How To Deal With Your Small Business Finance Needs

One of the most challenging and time-consuming tasks for any business owner is to finance even a small business. While it is considered an essential part of running and expanding a business, it should be done properly and carefully so that it won't hinder the establishment of the business as a whole. Small business finance is basically the connection between cash, value, and risk. Maintaining the balance of these three factors will ensure the good financial health of your business.
The first step that a business owner needs to take is to come up with a business plan as well as a loan system which comes with a well structured strategic plan. Doing this will certainly result to concrete and sound finances. It is of necessity that prior to your financing a business, you figure out what exactly your needs are in terms of small business finance.
In trying to determine your business' financing requirements, keep in mind that you have to have a positive mindset. As the owner of the business, you should be confident enough in your own business that you will be willing to invest as much as 10% of your small business finance needs from your own pocket. The other 30% of the financing can be from venture capital or other private investors.
In terms of the private equity aspect of your business, you would want it to be around 30 to 40 percent equity share in your company for a period of at least three years and a maximum of five years. But of course, this will still be dependent on the value of your small business along with the risk involved. Maintaining this equity component in your company will assure you majority ownership of the business. As a result, you will be able to leverage the other 60 percent of your small business finance needs.
It will also be easier to satisfy the remaining financing needs of your growing business. You may opt to get the rest from a long-term debt, inventory finance, short-term working capital, and equipment finance. Remember also that as long as you have a steady cash position in the business, many financial institutions will be more than willing to lend you money. In this respect also, it is recommended that you get an expert commercial loan broker who will do the selection of your financing options. This is also a crucial stage as you would want to find the most appropriate financing offer to meet all your small business finance requirements.
These are just some of the important considerations that need to be taken when financing a small business. There are, however, so many business owners who do not pay enough attention to these things unless their business is in crisis. As a business owner, what you should keep in mind always is how you can grow and expand. Therefore, have a small business finance plan as early as possible so that you can make sure that every financial aspect of your business is in good condition.

Troy Burton is a financial analyst who enjoys writing about debt consolidation services and New York debt consolidation as well as other financial services. Article Source: http://ezinearticles.com/?expert=Troy_Burton

Three Signs Of Financial Trouble For Couples

While the recession gives us an obvious sign that the country is in financial trouble, there are other ways of finding money issues within our own households. Let's look at three challenges many couples face in handling money together.
We argue about money.
There are many reasons why couples argue about their finances. We will just scratch the surface with a couple of the more common circumstances.
Entitlement is a huge cause for argument. If I earned the money, I should be able to spend it the way I want, right? Well, that thinking might have been fine when single, but it doesn't work well with a family.
Then there is the ostrich syndrome. One spouse always seems to have his or her head in the sand when it comes to the household budget. This person is pretty clueless about how much money is actually available to spend.
At times, it is a self-induced position, and this spouse doesn't care to know or understand why the checks keep bouncing. Other times, one spouse keeps the other in the dark. Neither is good, and both are grounds for heated discussions.
I hide my purchases from my spouse.
Spouses don't always agree on the best uses of the household income. Sometimes, husbands want new power tool toys, and wives can't wait to get a new pair of shoes.
In the interest of not causing further argument, many shoppers find themselves sneaking their "forbidden" purchases into the house. We put a lot of effort into making it appear as if that item had been there all along.
We have no savings.
When we feel entitled to spend money as we choose, are clueless about our actual household budget, and hide purchases from our spouse, the chances of having money saved are pretty slim.
Many families find themselves short on "rainy day" emergency money. If something were to arise suddenly, there would be a rush to use a credit card or to borrow from friends or family. Even worse, some couples may consider a payday loan.
It can be hard to think beyond today when there are so many important things that are happening in the present. But, at the same time, we must still be able to handle the potential unknowns that could catch us by surprise. Most quick solutions dig us deeper and deeper into debt.
Problem solved
These tactics can cause so much damage to relationships. There are many harmful issues going on here, including selfishness, dishonesty, and a lack of trust. No relationship can survive under these conditions.
The sooner we recognize whether any of these signs are present in our homes, the more quickly we will be able to work on a plan of action to correct it.
Couples must be open about how money will be spent within the household. There must be agreement, and at times, compromise may be necessary.
There must be a clear distinction between needs, wants, and desires - as determined by the couple. This will ensure that the most important needs within the home are always met first.
Open communication between couples can work wonders with respect to the household's financial stability. It won't always be easy and will remain a work in progress, but, as a result, the relationship can thrive.

Ozeme J. Bonnette is a financial coach, speaker, and author. She began her career at Merrill Lynch, and now works to increase financial literacy. She teaches and speaks to groups and organizations throughout the U.S. She earned 3 Bachelor's degrees at Fresno State and an MBA at UCLA's Anderson School. She blogs at http://www.povertynorriches.com/. Send questions and comments to ozeme@thechristianmoneycoach.com. Article Source: http://ezinearticles.com/?expert=Ozeme_J_Bonnette

Advantages Of Getting A Credit Line For Small Business

It is now possible to get credit line for small business without any hassles for those people who run companies that are not so large. With the current state of the economy, there are so many banks that have been affected and the stock market has also been affected. This means that most financial institutions and banks are willing to lend money, only to companies which they know will fare well. Any entrepreneur knows that having good cash flow can make the difference between success and failure.
The money obtained can be used in so many ways by the entrepreneur. But, the key thing is to fund the projects that will expand the prospects of the company. The finance provided is also a good way for the company to be cushioned against bad sales that sometimes may have some very dire consequences like budget cuts.
It will give the company the chance to avoid the high interests that are charged for loans by banking institutions. Securing the finance is easy and managing it is simpler than the normal loan given by the financial institutions.
Apart from the banks, there are many places where one can get financing for their company. There are companies that are usually a great resource when it comes to funding. This means that one needs to find the most suitable source of financing for themselves.
These companies offer lower interest rates. The payment methods offered are flexible and they are far much easier to secure than the regular loans. A business owner can use the internet to search for the available credit that will be suitable for the company.
Apart from these companies that provide financing, there are also some banks that will do the same and their interest rates are also good. The terms that will be given by the bank will obviously not be the same as those that are given by the most card companies. The main advantage with the banks is that they are more trust worthy and their terms for the financing are more predictable.
There are those people that apply for financing using online sites. It is always advisable to read all the information as sometimes there could be hidden stipulations that are written in small print. There are so many people that have failed to realize all the terms and conditions that have been given by financial institutions. There are those interest rates that will be very attractive but what the person may fail to know is that the rates can expire fast or even sky rocket at the same time.
Failure to check the interest rates can cost the company money that it has taken so long to try and save, leading to more strain. All the credit line for small business that will be taken either from a credit card company or from the bank should transparent. While the financing can be a turning point for the company, getting one that has the wrong terms and conditions that are not suited for a small company can be so costly. The main aim of getting the financing is so that the company will grow and not lose money.

Global Financial institution offering commercial and personal banking services including online banking, credit card, loans, Money Trinidad and Tobago and Finance in Jamaica Article Source: http://ezinearticles.com/?expert=Adriana_Noton

Payday Loans Are for People Who Don't Know About Progressive Finance

Have you ever had a emergency occur that required you to have money immediately that you did not have available? If you have in that case I am clear in your mind you may be of the same mind with me that it is totally no fun plus for the most part it is real nerve-racking to deal with. Not too long ago I went on a mini retreat and had the terrible chance of needing emergency car repair. To combine insult to injury by the time I was capable to get back to my vehicle that I left in what I believed would be a safe location where it would be untouched till I come back over night, it was towed away. So my monetary expenditure for the mini vacation to disaster ran up a total of being twenty-one hundred dollars counting the repairs. The problem I confronted was that my financial financial savings to cover the outing equaled merely $1700.00. With those numbers in mind you can see I was unquestionably confronted with a thorny problem. This is how I was introduced to the God send business "Progressive Finance".
There would be two weeks before I would be paid again and I needed my car back asap. I did not want to obtain a check advance from a payday company due to the quicksand effect it has on people finances which for most people is brutal. My cousin informed me that she had great success with this company and that they also help you pay their no credit check loans off by providing $100 referrals. Since she presented me to them I have been hooked. I have never been introduced to a bank or finance company that use a commerce model such as theirs. Out of all my years of doing business by means of financial institutions I have never had one compensate me substantially for referring clients directly to them. Long story short Progressive Finance is a great group plus they toil diligently to take care of their clients. For the top no credit check loans that are not high interest driven pay day loans I advise every person to use Progressive Finance.

Freelance research consultant for newspaper providers, I take pleasure in mountain climbing and hang gliding. Pay attention to this informative video named Death of Payday Loans it is amazing. Article Source: http://ezinearticles.com/?expert=Kent_McBride

Word Around The Net - Financial Bits

Most people turn to financial institutions and banks for financial loans. In the UK, the Bank of England is the central bank. However, there are many financial institutions and banks across the country. Getting a bank guarantee is essential for certain business transactions. A bank guarantee from a lending institution enables the customer to acquire goods, buy equipment, or draw down loans, to expand business activity.
The decision of lending financial loans made in the financial sector affects the entire economy. Majority of the banks offer both buyers and suppliers with structured trade finance and financing solutions products to raise funds for capital expenditure or working capital requirements.
Financial institutions offer different financial solutions and products. Structured trade and commodity finance is an increasingly important area of emerging-markets lending and is defined as cross-border trade finance in emerging markets. The intention of this form of trade is to get repaid by the liquidation of a flow of commodities.
Some trade deals fail while others succeed; numerous case studies demonstrate what can go wrong. There are certain pitfalls, but when compared to any other form of lending or investing in the emerging markets, structured and trade and finance deals have proved to survive even under extreme testing.
Structured and trade finance is important for the smooth operation of import and export business activities. Also, it is an essential tool for financing your business whether related to goods or commodities. In addition, structured and trade finance is also important if you run short of cash during any point of time of your daily business activities.
When you are approved for a financial loan, an agreement between the lenders, borrowers and shareholders is signed which is known as the capital call agreement, it is a popular agreement especially in tight credit markets. The capital call agreement is simply an official agreement by an investor to make certain investments in an entity, which typically is a borrower.
It basically, states a number of important and sometimes complex business and legal considerations that need to be addressed to craft a meaningful and legally enforceable document. There are many financial institutions in the UK that are listed on SearchMe4, the UK's leading online business directory.

For more information on Financial Institutions, visit our business directory. About the Author: Content writer and Specialist Tags: financial institutions, business directory Article Source: http://ezinearticles.com/?expert=Malik_Afzal_Asif

The Possibility Of Deflation In 2011

Can the specter of deflation be avoided?
Can the Chinese go on without tightening finances, raising reserve requirements and trying to control inflation. Possibly yes, if they want total social chaos; but pragmatically no: their worst fear being a fraction of the billion Chinese following the path of social unrest, rioting and chaos. With 5000 years of history to learn from, they know better.
Can the commodities keep on going up? Possibly yes if there was infinite demand, but in reality no, as demand is limited by the needs of the population on earth and their past spending habits. Case being Greece: GDP down by 7% over 9 quarters due to reckless spending habits. Ireland, Portugal, Belgium are also in the pipeline. And as dominoes keep on falling with Spain and Italy affected sometime next year, we are already seeing demand levels being rationalized.
Global Treasuries are not helping either. With the first leg down, the trend is just beginning and as they say..the trend is your friend..we will have to befriend this trend for some quarters to come...i.e. when the Fed announces that Quantitative Easing No. 2 is a success and roll it back.
Taking a look at recent ThomReuters/Jefferies CRB index action, various high probability conclusions can be drawn.
Commodities are nearing some serious demand supply equilibrium levels between 340 and 360. A subsequent move lower will definitely be a prelude to the deflation specter. A less probable scenario could be a false break above 360 till the artificial demand at that level exhausts, and then a steeper fall in percentage terms. Divergences with treasuries are not looking good at all.
So another index and another conclusion that 2011 is not going to be pretty. And yes...a black swan with a white camouflage can always show up to make things interesting. But as things stand towards the beginning of 2011, Governments will have to come up with newer measures to ward off the threat of deflation.
THE ABOVE IS NOT TRADING ADVICE

Mustafa Amjed http://mustafaamjed.wordpress.com/ Article Source: http://ezinearticles.com/?expert=Mustafa_Amjed

Free Penny Stock Advice - How To Profit From Penny Stock Investing

Many investors and traders will be so naive as to assume that penny stocks are very similar to the mainstream stocks traded over the big boards like the New York, Chicago and Tokyo stock exchanges as well as the Nasdaq. Unfortunately, the opposite is true.
Penny stocks are one of the riskiest, if not the riskiest, investments in the market today. Even trading in futures and commodities in a recessionary market is far safer than placing one's money where penny stocks are in many instances. So, what exactly makes us say these statements against penny shares at the risk of alienating the companies, traders and other professionals who depend on said stocks for their living?
Limited in Many Instances
Well, there are many valid reasons, of course, for such negative statements about microcap shares. Let's start with the fact that it is definitely more difficult to secure reliable, credible and relevant information about many of the issuing companies. This is because the companies listed especially in the Pink Sheets are not subject to the strict reporting requirements imposed by the Securities and Exchange Commission as well as the stock exchanges themselves.
As such, investors may have less qualitative and quantitative information on which to conduct technical and fundamental analysis. The decisions made regarding otc stocks based on such incomplete data can lead to a total wipeout of the investment capital.
In connection with the lack of reporting requirements, the issuing companies listed in the OTCBB and Pink Sheets are also not required to comply with minimum standards. These standards can relate to minimum asset amounts and minimum number of shareholders. Now, contrast this with the strict minimum requirements set by the SEC and the stock exchanges.
And there is also the understandable concern for limited liquidity in penny stocks. Keep in mind that microcap shares trade in significantly lesser quantities than the larger companies in the stock exchanges. Thus, any sudden changes in their supply and demand can send the price per share crashing or soaring with the result either being a big loss or a big profit depending on which side of the fence one is straddling in the transaction.
Indeed, if analogies are to be used, the New York Stock Exchange is the Cadillac and the Nasdaq is the Lexus while the OTCBB is the Hyundai and the Pink Sheets are the dilapidated cars sold by greasy salesmen. Sure, it is possible to find gems in the Pink Sheets but it is rare to do so.
Unlimited Promises
But traders and investors should not so readily dismiss penny shares. There are unlimited promises to these stocks that only the savviest professional will learn to appreciate in full while the others scoff at it.
Penny stocks are great teaching tools for knowing how to play the market, how to take capital losses and how to strategize. It cannot also be denied that a few penny shares are on the rise and it is up to the savvy trader to catch them and, hence, profit from them later on.
The trick is in knowing as much as possible about the company, about the industry and about the economy in general. Research is always one's best friend in stock trading and investing and so it is, too, with penny stocks.

Searching for a good global penny stock to add to your portolio? Start here --> top penny stock company. Article Source: http://ezinearticles.com/?expert=Jonathan_Gates