Business Finance – Strategic Planning

Whether you are starting up your business or expanding it you will need finance in order to do so. This is especially relevant to new businesses that are just starting up. There are numerous avenues that you can approach in order to gain this start up finance and there are many different forms of it open to you; choosing the right finance that will benefit your business most is the important thing.

There is a saying that states ‘it takes money to make money,’ this applies so much to new business ventures. For your business to become a success you will need a large amount of money to start off with that can be used to get your business set up. This money will be used to buy equipment, pay the rent on your business property, employ your staff and ensure that you have enough stock to get your business going as well as being used to pay the first few months of all your bills.

Two of the main reasons why many new businesses fail to get anywhere beyond the starting point are due to inadequate business capital and poor management skills, which is why raising money is so important in the early start-up stages of business.

Some ways in which people choose to fund their business idea is by using savings, but realistically not many of us have that sort of cash tucked away, which is why we require outside help. You could opt to borrow money from friends or family if they have the financial resources to help you or you could take out a credit card for the specific use of funding your business. All of the financial options that are open to you can be split into two sections, either debt finance or equity finance. Debt finance is classified as being money that is borrowed from varies different aspects. This is finance that is required to be paid back.

Some examples of debt finance include:

o Bank loans

o Credit cards

o Overdrafts

o Leasing

o Asset financing

All of these are the borrowing of money in one form or another and they will require monthly repayments that will have added interest. Most people however use their bank as the first call of gaining start up finance regardless of the fact they are going to end up paying more money back.

There are disadvantages and advantages of using a bank loan to fund a new business idea. However the disadvantages of having a bank loan to fund your business start up far out-weigh the advantages. The benefit of using a bank loan for business finance include being able to organise a repayment holiday meaning you only have to pay interest for a certain amount of time and you don’t have to turn over a share of your profit. The disadvantages however are that bank loans have strict terms and conditions and can cause cash flow problems if you are unable to keep up with your monthly repayments. Also bank loans are often secured against assets and you may be charged if you decide you want to repay your loan before the end of your loan term.
The other form of finance; equity finance, is often more overlooked than it should be when in fact equity finance could be just the answer that your business is looking for. The main forms of equity finance come from business angels and venture capitalists. Equity finance is money that is invested into your business in return for a share of the business. With equity finance the advantages out-weight the disadvantages and equity finance is a lot more helpful to small businesses than bank loans are.

Some of the advantages of equity finance include your investor being committed to your business and intended projects, they can bring valuable skills, contracts and experience to your business and they can assist you with strategy and decision making as well as often being prepared to follow up funding as your business grows. Two disadvantages of equity funding are your business may suffer as you are spending time securing your investor deal and the investor will own a share of your business.

The one thing that you must do when choosing your business start up finance is to use a finance option that is most suited to your business needs.

How to Apply For Car Financing

If you want a new car but don’t have the money to buy it, there are certain things that you can do to possibly take home that car and just pay for it on a monthly basis. This is called car financing and you can virtually apply for one at any bank. However, not all banks would approve your application. There are things that they have to look into before they would decide in favor of financing your new car.

In car financing, the bank would buy the car you like from the dealer. The bank becomes the owner of the car until after you have completed paying for it. This means that you just have to pay the bank together with the agreed interest to gain full possession of the car.

Right now, there are many banks and financial institutions that are providing car financing to those who need it. However, they need to prove their capability to pay first. Banks get in trouble when people fail to pay the monthly payment settled upon. Banks are losing money everyday if somebody defaults or worse, choose to just surrender the car they have bought and not to pay for it any longer.

This is the reason why banks and financial institutions do an intensive credit check before they hand the car over to you. You would be subject to a series of questions about your lifestyle, your income, and the stability of your job. They want good buyers and responsible payers. They are staying clear of people who can’t answer to their current financial obligations.

In the U.S., such background checks are easily performed. Each person with a Social Security Number has a credit history. That credit history would show everything about that person, his previous employees, his annual income, the current debts he has, and everything else that are relevant to his personal finances. The credit history would also show any bankruptcy cases filed by the person.

To get approved for financing for a car, your credit history has to impeccable and your credit score should be high. Those will give the edge, if ever you intend to ask a bank to finance you a car. Today, credit checks can be conducted in a matter of a few hours. As such, you will know the status of your car loan the next day.

With the easy accessibility of credit history, banks can easily approve car financing application or deny it altogether. It is but your responsibility to keep your financial status on the good side. There are many credit repair companies that can help you improve your credit score. They can help some, especially if you’re in a dire need of a loan approval.

But other than going to them for help, planning would do you good. If you want to get a new car in the next six months, you have to be very conscious of what you buy and what you pay for. As much as possible, don’t use your credit car within that period because that would affect your credit score and eventually your rate of approval for a new car. Your credit standing determines your capability to pay. Do your best to look good in front of your creditors.

Indian Online Finance Community – Challenges and Precautions

Security is one of the key requirements by financial customers today as they increasingly use the Internet to not only manage their financial transactions online but also to buy different financial products. Online finance community is the buzz word of the young Indians. With the increased per capita income and shortage of time, people are now preferring purchase through online mode. Swiping a credit card has become a common phenomenon. In such a scenario, banks and other financial institutions should invest in and promote the security of their online websites stand to differentiate themselves from their competitors and win more customers. The rapid growth in online phishing along with identity scams and increasing regulatory pressure has ensured that security is a critical concern among the online finance community in India.

Day by day banks are exploring a variety of online security threats. The key ones among them are phishing, keyboard logging and man-in-the-middle who have emerged as serious threats over the last 18 months. The interesting part of this security story is that these threats are something that the customer must protect themselves against and requires a lot of customer education and financial literacy. When a bank realises that there is a phishing attack; there is enough possibility that some of the customers would have already been affected by this . There are a number of solutions available to prevent each of the above mentioned threats and it is important that the banks implement them as soon as possible to make the online finance community more secured.

Apart from phishing, the other disruptive threats that affecting the Indian online finance community are spamming, virus infusion and Trojans. These threats have been there for a long time but cannot be ignored. The spectrum of affected areas by these threats range from identity theft of bank’s online customers to loss of transactional integrity for online deposits and withdrawals. There a number of attacks associated with Indian online finance community which require large investments and may not be justifiable with the customer base of some banks. As a matter of fact, there are many banks who are willing to compensate for the fraud losses but not picking up a solution to prevent the same.

The online finance community’s need for security policy must be continuously monitored and updated as a result of newer security threats. This constant updation is required because the bank has to continuously evaluate the risks, the cost of technology solutions and even the upgradation. Then it gets all the more challenging due to a variety of technological solutions available in the market, each addressing one or the other problem but none offering a one-stop solution. A number of online banking users are unaware regarding types of threats they face online and the precautions that they must take to counter them. Hence, financial literacy is a must for the Indian online finance community. The customer education becomes a key element to prevent the manifestation of a number of risks associated with these frauds.

The growth of online finance community also depends a great deal on the customer-targeted communication from the banks to alleviate the fears of all these above risks. The experienced eyes of an Internet-savvy can detect potential phishing attempts when compared with a customer comfortable with the traditional mode. The beginners or users who have started adopting online banking do not continue to use them if they are struck by a fraud or attempts of fraud. This is due to the fact that their confidence on such a channel is drastically reduced and fall back on the traditional modes of banking. Hence, to conclude, the regulatory bodies should enforce online security norms,and reward initiative and innovation from the banking and IT communities.

Home Loan Finance – So Much to Choose From When You Deal With a Mortgage Broker

So often we settle for what is easiest or the most convenient. If you are looking for home loan finance you might think that the easiest course of action is to apply to your own bank. Well, it might be the easiest but it may not be the best or cheapest home loan available. Some borrowers don’t enjoy the prospect of applying for a new home loan directly with their bank. They don’t always have their financial papers in order, they are uncertain as tom what exactly is required for home loan finance. This is where a good mortgage broker makes it so much easier and delivers so much more to you.

I had originally applied for home loan finance through my own bank. Firstly I found it very frustrating that I could not speak to someone when I first called. I had set aside some time because I thought there would be a fair amount to discuss on home loan finance but when I eventually got through to someone they were unable to assist and could not put me on to someone directly to help with the queries I had about the home loan finance I wanted. No, I had to goivbe my name and contact details and wait on a return call from someone. Needless to say that came through at dinner time and it simply wasn’t convenient to discuss home loan finance when my son was wanting help with homework.

I decided to contact a mortgage broker who had been referred to me by a friend. He had been in the market for home loan finance and had told me that by using a mortgage broker he had not only been able to obtain a better interest rate but the mortgage broker also ensured that the home loan finance was very flexible. The mortgage broker had experience and an extensive knowledge of the different home loan finance packages available in the market. I gave the mortgage broker a call and it was smooth sailing from there. He let me know what home loan finance was available and explained the benefits of certain features of different home loan finance product.

I knew nothing about 100% offset accounts for example and my own bank had not mentioned that this might be an attractive structure for me. I did have about $15000 in a savings account with my bank and the mortgage broker explained that if I put this into a 100% offset account (attached to my new home loan finance) then I would only be required to pay interest on the difference between my outstanding loan balance and the $15000 in my offset account. This made a significant difference to the total interest I would pay over the term of the home loan finance. My bank did not discuss the benefits of salary crediting and using a credit card for monthly purchases. The mortgage broker showed me how by crediting my salary to the home loan each month I saved in interest because interest is calculated on the loan balance on a daily basis. Even if I have extra money in the home loan finance account for a short while it still means a better “bottom line” for me. The mortgage broker advised that by using a 55-day interest free credit card to make my monthly purchases and then paying the credit card balance in full on the due date, I made further savings. The mortgage broker calculated the interest I would save by leaving my salary in the home loan account for as long as possible before having to pay off the credit card balance. As a general rule the banks might not highlight these features because if you use them correctly you save money while the bank , for a change, loses out!

15 Most Common Banking & Finance Interview Questions

Some of the most common interview questions for an investment banking interview include (some are a bit on the tough side but they DO come up very often, increasingly as a means of trimming down the candidate lists as the finance graduate job market gets harsher):

How many degrees (if any) are there in the angle between the hour and the minute hands of a clock when the time is a quarter past three? [Typically asked during investment banking interviews for entry level investment banking graduate jobs]
Find the smallest positive integer that leaves a remainder of 1 when divided by 2, a remainder of 2 when divided by 3, a remainder of 3 when divided by 4,… and a remainder of 9 when divided by 10 [Asked during interviews for quantitative finance jobs]
Two standard options have exactly the same features, expect that one has long maturity, and the other has short maturity. Which one has the higher gamma? [Typically asked during interviews for bank derivatives trading jobs]
How do you calculate an option’s delta? [Asked during investment banking interviews for derivatives trading jobs]
When can hedging an options position make you take on more risk? [Typically asked during interviews for trading jobs]
Are you better off using implied standard deviation or historical standard deviation to forecast volatility? Why? [Asked during interviews for quantitative finance jobs]
Describe “duration” and “convexity”. Describe their properties and uses [Typically asked during investment banking interviews for graduate investment banking jobs]
Two players A and B play a marble game. Each player has both a red and a blue marble. They present one marble to each other. If both present red, A wins $3. If both present blue, A wins $1. If the colors do not match, B wins $2. Is it better to be A or B, or does it matter? [Asked during interviews for quantitative finance or derivatives jobs]
How do you “value” yourself? Here “value” means in financial terms [Typically asked during interviews for MBA finance jobs or experienced banking hires]
What distinguishes you from other candidates we might hire? [Typically asked during investment banking interviews for graduate investment banking vacancies]
If you could go on a cross-country car trip with any three people, who would you choose? Why? [Typically asked during interviews for corporate finance / mergers & acquisitions banking jobs]
Tell be about a stock you like or hate and why [Asked by job interviewers for any accounting, finance or job!]
What is the difference between default and prepayment risk? [Typically asked during interviews for credit jobs / risk management jobs]
How would you move mount Fuji? [Typically asked during investment banking interviews for consulting jobs or graduate accounting jobs]
Estimate the annual car demand for car batteries [Typically asked during interviews for corporate finance jobs, mergers & acquisition banking jobs or consulting jobs].

Sell Your House Quickly Using Seller Financing

Have you been trying to buy a house through traditional means lately? Using a Realtor and mortgage broker to purchase a dream house with a white picket fence isn’t as easy as it used to be.

How about selling you home? Finding a buyer who can qualify for a loan is extremely difficult as well.

Who is the culprit most responsible for buyers not being able to purchase property and sellers not being able to transact? The bank! So if you could eliminate the bank from this process, do you think you would be able to make a real estate transaction?

A popular and easy to execute strategy that offers a solution to both scenarios is known as Seller Financing. Seller financing is when the owner takes a second note, or even finances the entire purchase of the property in order to assist the seller in financing a real estate transaction.

Usually sellers will offer this option when a buyer has difficulty qualifying for a conventional loan or meeting the 20-30% required bank down payment.

Seller financing differs from a traditional loan because the seller does not give the buyer cash to complete the purchase, as does a lender. Instead, it involves extending a credit against the purchase price of the home while the buyer executes a promissory note and trust deed in the seller’s favor.

These special circumstances must be acceptable to the lender who makes the first mortgage on the property. The necessary paperwork is prepared by the title or escrow company after the terms are worked out between the buyer and seller.

Seller financing is advantageous to the buyer for three main reasons. First, seller financing typically has less closing costs than conventional financing. Conventional financing has closing fees up to 9% of the deal. With seller financing, the fees are generally less than conventional fees and usually between than 5-7% of the deal.

Second, in addition to the closing fees being reduced, the down payment required is generally less. For banks, a 20-30% down payment is required. For seller financing, that amount is negotiated, but generally is around 10-20%. Generally speaking, the higher down payment you invest in your property, the less risk in the eyes of the owner financing the property and the better monthly payment plan you may negotiate.

Finally, you have more flexibility on the terms. The parties can negotiate the interest rate and the repayment schedule, as well as other conditions of the loan. The buyer can request special conditions of the purchase, such as the inclusion of household appliances. Also, the borrower does not have to qualify with a loan underwriter. And, unless negotiated, there are no PMI insurance premiums.

The following would be an example of a typical owner finance terms:
o 5% owner finance fee
o Initial down payment of at least 10% of the sale price
o Fully amortized term between 24 and 120 months
o Interest rate of 8 to 20%.

The interest rates are higher than conventional loans in order for the owner to counterbalance the risks – limited equity, a payer with low or no credit score, possible foreclosure, or having to foot the bill for legal actions and selling the property via auction. But with the elimination of PMI Insurance, the monthly costs end up about the same. As the buyer, you will need to make the determination as to whether or not a higher monthly payment for 1-3 years is worth the ability to own your dream home.

The benefits of seller financing the property for the seller are as follows:
1) You receive payment 3 different times. As the seller, you receive money when you sell the property (in the form of the owner finance fee), when you receive monthly payments (difference between what you receive and what you owe), and when you the mortgage balloons at the end of your term (negotiable, but generally balloons within 2-5 years).
2) You are the BANK, not the landlord. All you do is collect checks. You are no longer responsible for repairs. Do people call Chase Bank when their toilet clogs? No. And your buyer will not call you for repairs. Again, they’re the homeowner and responsible for all maintenance and repairs. All you do now is collect money!
3) Flexibility. You can determine whether or not a buyer qualifies instead of leaving it up to banks. If their credit score, job history, and reserve requirements are to your liking, then you make the decision as to whether or not to execute the deal.

In summary, seller financing is an advantageous strategy for both buyers and seller as under current economic and banking conditions, many buyers do not qualify for conventional loans and transactions are not being made. This strategy is also attractive because the fees are lower and the requirements are more flexible and negotiable. Anytime you can take banks or underwriters out of the equation, you can guarantee a much more personal and expedient outcome.

Racing Awards, Medals and Customized Gear for Runners

Running, whether it be a 5k with the family, a 10k for an extra challenge, or a marathon for the elite runners, can be a very exciting and memorable experience. Running is a very personal sport to lots of people, as it can be great exercise and can make you look and feel very refreshed. Tons of awards are given out to winners at races each year. For people organizing these racing events, finding customized and personal running gear can be difficult, as well as finding unique prizes for running champions. When orchestrating a race, you want to have a memorable competition. Medals and unique prizes can help to make the race more exciting. Participants can keep prizes as souvenirs, and remember the experience better because of a keepsake.
The most important souvenir a competitor can take home is a winning medal. Those are worn with pride, and showed to family members and friends. They are often hung on walls, or shown off where they can be seen. Of course, medals need to be personalized, unique, and specific. You cannot award a running champion with a medal that doesn’t recognize what it’s for. It is often a perfect idea to find a company that will provide you with customized prizes for winners. Often, you can ask for customized medals that include the date, the name of the race, and the name of the company sponsoring and orchestrating the event. That way, when people proudly show their winning medal to others, the people who made the event happen will receive the credit and publicity they deserve.

In addition to medals, running apparel and gear can be a great way to make the race more memorable. Unlike medals, gear is commonly worn and would be used often. Passing out swag, such as customized shirts, jackets, hats, and bags can be a great way to add to the excitement of the race. Races with their own gear are viewed as more unique, as they have customized logos and attractive designs. Shirts can be given out to families, and jackets can be sold at the finish line. Hats can be passed out before the race to keep the sun out of the athlete’s eyes. And, of course, bags can be kept forever and used for multiple occasions. Having the name and date of your race on these items can help to increase publicity and help the runners remember what a successful and memorable race it was. Customizing these mementos can help to define a great race, and will definitely help a race to be more exciting and enjoyable.

Gamble on Line – Possess these Various Advantages for your own

There Really are assorted kinds of games and sports which can be found around the world and human beings possess significant interest within them. There’s simply no uncertainty at the simple fact this one among the absolute most essential explanations for why the games and sports really are all important to this public is on account to how those toss some type of troubles .

There Is just 1 particular certain form of video sport which likewise causes it to be into this set of their treasured games which people are able to playwith. And it’s also not any aside from betting. Betting fulfilling the exact same and is exactly about challenges. There are areas. But once again if it regards betting on line the huge benefits really are far a great deal greater than that which it’s possible to see right now.

Now you Must definitely make certain which you’re choosing the optimal/optimally internet web sites as a way to acquire through together using the practice of betting absolutely. And this is what’s going to offer a great deal of benefits to you.

A Variety of Benefits of gaming Internet:

After Would be the numerous benefits of betting on line that individuals have to be mindful of:

· Convenience:

Comfort Is decidedly among the greatest explanations. Here really is some thing which functions being a boon because you aren’t going to need to go everywhere whatsoever.

· Engage in every time you enjoy:

This Is another benefit that is important you have to know of. The internet singapore casino has ever let exactly the exact same as properly. You may be certain you are surely becoming to engage in midnight or sunrise much.

? Perform from anyplace:

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Each of In making certain you’re receiving through, These items can help you With the consequences for on line.

Coloring Pages Growing Horizons Of Kids

Children are amazing. They know whatever they are taught. If You wish to enhance the horizon of one’s children, and it’s time to get them participated together with coloring pages. Yes, even they all are on line pages that offer many different ways to bring the hidden talent in your kids. These coloring pages comprises of exceptional lessons that are conveyed at a manner that is fundamental to enable kids to grasp.

Coloring Pages – Benefitting Childrem

Worrying concerning the cost in Association? Chill, as they truly have been available at no price tag. Furthermore, you need to stay away from the stress of shopping for exceptionally costly gadgets that are educational. Everything you will need to have is your distribution for your own printer. It can open the pathway for both kiddies to take high benefits in association with internet colouring pages.

You must be wondering why children Have to Be included in coloring. The main reason is that coloring an image will absolutely control the entire attention of one’s kid. They is going to be in a favorable position to concentrate regarding completing their work followed closely by presenting the most useful finished merchandise.

Parents Can Be Getting Brief Repite

Additionally, Mom and Dad Will Have the Ability to Acquire short respite as your Children will probably undoubtedly be coloring pages which is really a funny exercise. On the web coloring pages have been well known to give children several of the best educational gains entirely. They is going to soon be memorizing numbers along side titles of veggies as well as creatures.

More vulnerability to coloring, simple will probably be learning methodology. Kiddies will secure a chance to fortify the coordination between eye and hand . Since they’ll be learning to color lines, abilities will grow in a ultimate manner. Psychologists state that coloring offers an insight into emotions of children in an imaginative way.

Which exactly are you thinking? Involve your kids with coloring Pages in the earliest.

Types of Wood Siding Available for Homeowners

When building your home, even the smallest decision could make a world of difference in what it ultimately looks like. This is also true when undertaking an exterior redesign project. Siding, among other key characteristics, is one of those big decisions that could entirely alter your home’s exterior appeal based on your decision.
Although plastic siding has become a popular option in recent years due to pricing, traditional wood siding remains the preference for many homeowners. This is because wood siding offers customers numerous benefits over their plastic counterparts. Benefits include:

• Wood siding is eco-friendlier than plastic

• Wood is more aesthetically appealing

• Many types of wood are naturally resistant to mold, mildew, and rot, which allows the home owner less maintenance

• Wood lasts longer

• …And much more

One of the main benefits is that wood naturally takes to paint, stains, and other decorative options incredibly well. Plastic, on the other hand, often must be crafted in the customer’s color choice – meaning that options are limited. Once decided upon a type of wood siding, however, you can then choose any type of finish. Whether you want to paint your home the colors of the rainbow, or opt for a natural dark wood stain, anything is possible. Below we look at four of the most commonly used types of siding available: board and batten siding, bevel, tongue and groove, and lap siding. Each has their own aesthetic appeal so that there is something for every person’s unique tastes.

Board and Batten Siding

Board and batten siding is a vertical design created by using two different sized boards. The wider boards are set beneath, while the narrower boards are placed atop the joins. These narrower boards are called ‘battens.’ There are no set widths, so homeowners can choose their preference. The most commonly used measurements, however, are 1 inch by 3 inch battens placed over 1 inch by 10 inch boards.

Bevel Siding

Bevel siding is the most commonly used siding. Installed horizontally, boards are cut at an angle so that one side is thicker than the others. This creates a shingle effect, or the appearance that the boards are overlapping one another. Tongue and Groove Siding Tongue and groove siding is incredibly versatile. Available in both rough and smooth board finishes, it is fitted together tightly to give a sleek appearance. It can be installed in any direction, which does not only include horizontal and vertical, but also diagonal.

Lap Siding

Lap Siding is also known as Channel siding. This siding is very versatile, with installation capabilities for any direction (like the above tongue and groove siding). This unique siding features boards which partially overlap one another, and the ultimate results are a rustic appearance like those of a hunting cabin. If you’re interested in learning even more about wood siding -including less commonly used types available – you can contact your local siding specialist or construction expert. They will be able to give you more detailed information, including a price estimate for your area.