Ben marks Mackay - Working Capital Necessary For Every Business

 Working capital is the amount of capital required to carry on a business. It can be a problem for businesses to obtain the necessary working capital, especially when they are starting up, and that is why it is so important for businesses to know all that they can about obtaining the necessary capital to build their business properly. Whether a business is small or large the same programs are available to those seeking financing.

Business micro loans are one source for getting working capital. These are smaller loans, which are typically between $5,000 and $35,000, and are targeted to startups and newly established small businesses. This program is established by the Small Business Administration. Non-profit community lenders are given the money by the SBA, and they make the decisions on who gets the loans. Micro loans have terms of up to six years, and requirements by lenders vary.

Ben marks Mackay decided to get a micro loan and prepared with collateral, and also be prepared to personally guarantee the loan. Specific training and business planning requirements must be fulfilled before a micro loan will be accepted as well.

Credit card receipt advances, also known as merchant advances, is a fairly new, but effective method for obtaining working capital. This method allows for an immediate cash injection because the lending source will buy your future credit card receipts in the form of a cash advance. The great thing about this option is that you can apply with poor or under established personal or business credit. The requirement is that your business processes a minimum of $2,500 per month. After meeting that requirement your business will be advanced up to $100,000. The amount that you can receive is established from current sales receipts. A small percentage will be deducted from your ongoing credit card receipts, and there are no fixed payments or fixed repayment terms.

Ben marks Mackay says working capital can also be obtained by selling your account receivables. There are many advantages to this option including not having to give up equity, you can purchase in volume from suppliers, you can eliminate bad debt, and there is no additional debt accrued because selling account receivables is not considered a loan.

Business credit cards give you another option for obtaining working capital, and they provide your business with a great amount of flexibility. You can track employee expenses, smooth out the process of cash advances, you can reduce some operating expenses, maximize the potential of cash flow, and they can also help businesses with their vendor relationships. Make sure that when you are looking at a business credit card that it reports to the Small Business Financial Exchange. This ensures that the card will help build up your business credit scores so you can secure larger loans down the road. If the business credit card is not reporting, you won't be gaining all of the benefits you can out of your business credit cards.

The equity loan allows businesses to obtain working capital through investment banks that provide capital secured by the equity or ownership of shares in a company. Companies that typically get this form of loans are in a market that is growing quickly, or they have established a niche for themselves. An equity loan is typically between $1 Million and $2 Million dollars initially with the potential of the loan being more over the life of the loan.

Ben marks Mackay - Managing Your Personal Finances The Easy Way

 

Taking charge of your financial situation is one of the most important things in life. The information that follows will help you establish your personal goals and take firm control of your financial future.

Steer clear of products or schemes that promise you overnight success. Lots of Internet marketers get fooled by these types of programs because they're new to business and need money now. Certainly learn, but spend more time actually doing than spending, and your profits will grow.

Trust is one of the most important characteristics you should look for in a broker. 

Ben marks Mackay says never deal with a broker who is less than completely honest and forthcoming with you, and look for sterling references from other clients. The experience level that you bring to the table is also important.

Save a ton of money while traveling abroad by avoiding the touristy areas and opt for local restaurants and cafes. Restaurants in your hotel, as well as in areas frequented by tourists tend be be significantly overpriced. Look into where the locals go out to eat and dine there. This is a great way to find authentic food at a budget-friendly price.

In these volatile times, spreading your savings around into multiple areas is a good idea. Put some money into a standard savings account, leave some in your checking account, invest some money in stocks or gold, and leave some in a high-interest account. Use all or some of those ideas to keep your money safe.

Ben marks Mackay says consider having an automatic transfer monthly that will put money in your savings account from your checking account. Set up an automatic account if you find it hard to put some money aside. You can also make use of this plan to save up for major purchases or expenses, such as vacations and weddings.

Your credit score may drop as you try to improve your credit. That doesn't mean you've screwed up somewhere. Your credit score will improve as you take steps to improve your record of payment for your debts.

You can't repair your credit without getting out of debt! Cut back on spending and pay off debts, loans and credit cards. You can do things like eating in more and limiting yourself from going out on weekends. If you take your lunch to work and do not eat out during the weekend, you can save lots of money. If you are serious about having good credit, you will need to make a commitment to reduce your spending.

If you handle your banking and other personal finance matters online, take note of the alert services your bank offers. Most banks will let you know about important activity on your account via text or email. Having alerts in place for low balance and large purchases can prevent you from suffering overdraft fees, and let you identify fraud quickly.

It should be pretty obvious by now that keeping your finances in good order is very important. By heeding the advice above, your financial standing will improve. You can manage your finances, reach your goals and make the most of your money.