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Small-Business Owners Are Not Saving Any Money

As more and more Entrepreneurs start their own businesses there is a growing issue. They are not saving for retirement. An American Express Survey in 2013 said 60% of small-business owners were not saving the money they needed for retirement. And 73% were worried about maintaining their lifestyles in retirement.

 

Via USA Today

 

"Record numbers are not saving any money or not saving enough," says Jerry Linebaugh, CEO of the Linebaugh Group in Denham Spring, La. "I am a small-business owner myself. I have been since I was 16. Capital is the lifeblood of any business, and small businesses don't have enough."

"A lot of time they get caught up in work," says Michael Foguth, founder of Foguth Financial Group. "Successful entrepreneurs put in a lot of hours and sweat equity. Now they want to reap the rewards. They want to take a vacation, do something fancy. They spend it on materialistic things or pump it back into the business for greater growth opportunities."

"The short answer for why most don't save — they are running their business," says Neil Smith, executive vice president of Ascensus in Dresher, Pa. "They are busy driving revenue growth, watching the bottom line, dealing with employees. They make the conclusion that the business will be their retirement fund. In many businesses, it can be a difficult transaction to get the liquidity out of the business."

Small Business Loans Help Businesses Make it through the Storm

According to a report in The Boston Globe the recent winter weather has given Small Business Owners the cold shoulder. Small Business Loans from the Federal Government may be a financing option. Restaurants, retailers, beauty salons and spas have been frustrated as snow piled up and business ground to a halt. Small Business Administration (SBA) loans can provide small businesses with the working capital they need to recover from physical damages like failing roofs and frozen pipes. They can also help with losses triggered when employees could not get to work.

 

According to The Boston Globe:

 

A wide array of Boston-area businesses — restaurants, retailers, print shops, law firms — have been frustrated in recent weeks as snow piled up and business ground nearly to a halt. The snow derailed MBTA service, snarled vehicle traffic, and turned commutes into hourslong treks.

Even Valentine’s Day dinner reservations ended up being canceled. As a result, some companies might be struggling to make payroll.

For most companies, the loss of normal business can be among the most difficult costs to recover and usually isn’t reimbursed by insurance. Most insurance policies will cover lost business during a storm only if there is direct damage, such a roof collapse.

Add to that a variety of other exclusions in the fine print of insurance policies and some businesses can find it tricky to claim financial losses from their insurance companies.

 

If you are a Small Business owner and you are in immediate need of working capital we can help. Premier Business Capital has helped thousands of customers like yourself build their businesses by solving their issues with liquidity and stifled growth. Our client list is full of success stories. If you need a solution to provide working capital to your business, please contact us!

Wednesday, 04 February 2015 00:00

How Big Is The Typical Small Business Loan?

How Big Is The Typical Small Business Loan?

How Big Is The Typical Small Business Loan?

Loans can range vastly in size, and what would be a massive windfall for one company could be a drop in the bucket for another. Traditional small business loans usually max out at $750,000. Some of the small funding solutions, however, are more typically lent at around $10,000. In general, many loans amount to about $150,000. Borrowers can basically fall anywhere among those numbers, but the bigger the amount, the harder they are for borrowers to secure.

How Can I Get Financing To Start A Business Since It Seems That Organizations Only Want To Find Growth?

Securing funds when you’re just starting out can be difficult because you have no documented history of success. Banks usually want to put their money into growing a business rather than risking it all on start up. There are a few solutions for those who are just getting started that will still get them the capital that they need.

Investors- Some businesses forgo banks all together and work with individuals or companies who want to use their money to float the operation while it’s growing. These could be venture capitalists, angel investors or people who the business owners know personally. Do your research about the person or entity who wants to invest because they’ll likely take an equity stake in the operation once you start making money. That means that a percentage of everything that the business makes will go to them over the lifetime of the agreement, and sometimes over the lifetime of the operation.

Cash Advances and ACH Loans- Another option that can get businesses up and running are merchant cash advances and ACH loans like the solutions offered by Premier Business Capital. These are similar to small business loans, but they have a faster application process, require less of a documented history, and can be attained within a few business days. They’re usually paid back through a percentage of the operation’s daily credit card sales or through a fixed daily debit. The lenders work through a different kind of bank, so it enables them to skip the arduous terms and just get business owners the funding that they need.

What Associations Can Help Me Figure Out What To Do Next?

For additional guidance on the different types of funding and on how to secure a small business loan, the Small Business Association, run by the federal government, has plenty of information available and people who can answer questions. They were established to assist small businesses in finding success, and they’re behind the rules and regulations that come with traditional small business loans.

What Do You Need For Success

Whether you opt to go for a small business loan or want to get your funding through another channel, getting these documents in order is never a bad idea. You can have them on hand for a rainy day or in the event you decide to sell the operation. They’re valuable for more than just the purposes of getting a loan, and sorting them out when it’s not crunch time makes things that much easier.

Wednesday, 04 February 2015 00:00

What Information Do I Need To Apply For A Loan?

What Information Do I Need To Apply For A Loan?

A loan application can feel like a scavenger hunt of collecting information. The forms and data necessary to complete your application include corporate and personal data. If you’re getting ready to put together your packet, make sure you have these things:

  • Financial statements from the business and each owner
  • You can get a sample financial statement from the Small Business Association
  • Copies of credit reports for the business as well as each owner
  • Profit and loss statements that have been reviewed by an accountant
  • A strong business plan
  • Proof of collateral
  • Resumes for each owner

What Can I Do In Advance To Make This Easier?

If there’s a chance that you might need a loan, then there are things that you can do from day one that will make it easier to get what you need. They make for more work up front, but they can seriously pay off in the end when all you have to do is hit the “print” button.

Accounting Software- Start your operation using professional accounting software, and make sure that every penny gets accounted for. If a bill payment gets made, an invoice comes in, supplies are purchased or any other major or minor exchange of money happens, it should be recorded and itemized every time.

Inventory- Do regular inventories to make sure that your money isn’t walking away. Supplies and inventory need to be regularly accounted for so that you can prove to the lender that you know what’s going on within your own house.

Expense Reports- If you have employees (or owners) who spend money that is reimbursed as a business expense, make sure everyone is filling out expense reports that get itemized and submitted. Keep those on file to prove that they are actual, deductible expenses.

Record What You Take- It’s easy to fall into the trap in the beginning of just taking money out of the till or living off your business credit card, but it’s not a good idea if someone is going to be scrutinizing your finances and liabilities. Figure out how to pay yourself and employees on the record so that there is no question as to where the money is “walking away” to.

Keep Your Own Finances In Order- Even if it means living lean for a while, keep your own finances in order when you start a business. They’ll be looked at down the road when you decide to go for a loan, and letting them get out of hand could be the reason that you don’t qualify.

Tuesday, 03 February 2015 00:00

How To Get A Small Business Loan

How To Get A Small Business Loan

It’s easy to get overwhelmed by the sheer number of documents that you need to get ready to apply for a small business loan. Whether you’re an established operation or just trying to get your foot in the door of an industry, the process to securing funds can be long and arduous--depending on who you’re borrowing from. Small business loans can provide the liquidity to grow by leaps and bounds, but you’ll want to make sure that you have everything that you need before spending months in the application process. A denial after that amount of time does more than just sting.

What Criteria Do Banks Look For When Making Small Business Loans?

Banks aren’t likely to just hand out money. The first step in getting a small business loan is qualifying based on set criteria. There are certain things that every borrower has to prove before they’ll be considered.

Location- Loans like this are only for businesses that operate within the United States.

For Profit-Small business loans are reserved for “for-profit” companies, so you must represent one of the eligible business types in order to be considered. This means that they don’t lend to charities or other organizations who fall under the “not-for-profit” umbrella.

Funds Allocation- You’ll have to be able to prove that you plan to use the funds for a purpose that has been approved by the lender. For instance, loans are rarely made if their purpose it to pay off another debt of some kind. In essence, you have to be using the funds for future growth and operational expansion. You can use it to hire staff, buy new equipment, build another location, and other, similar pursuits. A few cases exist that make it possible to borrow money in order to refinance existing debt, but the instances are limited and you must fall into a very slim category.

No Other Options- Most banks won’t lend to a small business if the money could come from somewhere else. If you have major investors who could supply the capital or a large amount of capital somewhere in the operation, then they aren’t likely to dole out funds.

Good Credit- Both the operation and the business owners have to have stellar credit to get a traditional small business loan. That means that everyone who has a controlling interest in the operation is under the microscope. If even one owner has a history of default, you could be stopped in your tracks.

Repayment- Operations have to be able to prove that they can repay the debt. If there is a significant chance of default, the small business won’t qualify. While paying back a loan seems like a no-brainer, it’s not always that simple. Banks have procedures that determine likelihood of ability to pay back the loan, and they can be very complex calculations.

Management Skills- When a small business borrows money, banks are relying on not only the potential profitability of the organization, but also the skills and character of the people in charge. They want to see a long history of management skills as well as a personal history of being responsible with money. If either are missing, the chances of getting a loan from a big bank can be slim.

Trajectory- Business owners have to prove that they know where they’re going. Getting a business loan without a business plan can be nearly impossible when you’re working with a big bank. A business plan illustrates the kind of growth that will require the funding that you’re asking for. Banks want to see that it’s possible to get where you say you’re going based on numbers, marketing plans, potential buyers and more.

Sunday, 17 August 2014 00:00

6 ways to do a new job successfully.

When you are successful in the job search, the next step towards it is to take the responsibilities in a sensible and professional way. As you know, company has invested its time and energy to pick you up amongst the number of candidates, therefore it is your turn to flourish the company by your arrival. You have to know about the business disciplines, management skills, way of interaction with fellow employees and much more to put your efforts in.

There are several key points to think about and apply when one is committed to a new job to create a strong impression. They are quite important yet very simple to follow.

1. Consult your friends or other people you know who are in the same sort of job. Get advice and follow up on it as soon as possible. Show your boss that you are one of his very good choices among the list of several other people who applied for the same post. Learn the way of managing work from your colleagues and but don't try to show yourself more than what you are.

2. With your colleagues and boss, build a relationships based on excellence not on mere conversation. It destroys your image more than anything else. There is no alternative for the work for which you have been hired. Make your new relationships on the basis of trust, sincerity and actions.

3. All the businesses or companies are not the same. Definition of an outstanding employee is thus different in every case. The company where you have a commitment right now, might have a different approach towards the best performer, so consult the senior employees and learn from their experiences to patronize your way of doing work.

4. For you, the new job can be a way to grow and bloom in business industry, it is making your dreams true and you are looking for a bright future ahead, but don't forget the company's cause for which you are hired. They have many tough objectives that they want to secure by your assistance. Thus it is very necessary to focus on the higher level of productivity.

5. Learn the communication skills. It not only means to greet everyone in the office with a smile but in the business management, it is more than this. It is to inform your boss about the details of your work especially when it is an outdoor task, avoid approaching him in very minute issues, not being extra talkative with the coworkers and to be sensible in meetings. There is a list of communication patterns that vary from company to company.

6. Every office has its own environment so it has its unique definition of a decent dress. Look at the rest if people how they are dressed up, imitate them in a beautiful way. The way how you are dressed up, builds your personality so it is something you have to prioritised.

The first day at a new job is so important as it is making your first and final impression over your boss and colleagues. If you have a previous working experience, you can plan your first day with no difficulty. But it is also a fact that every new day must bring in you the new enthusiasm and eagerness of doing your work honestly. If you keep all these steps in your mind while starting a new job, you can successfully compete with the old workers.

Sunday, 17 August 2014 00:00

Work etiquettes for fresh employees.

When you start working somewhere, you normally come with a lot of energy, skills, experience and seriousness to do it perfectly. You have to win the hearts of your fellow employees as well as the manager. But apart from all the professionalism, there are few ethics that are quite important to adapt that show your manners and etiquettes and that make you a promising business employee.

Following these etiquettes inspire your colleagues to admire you and to make a good working relationship with you. These simple tips are listed below:-

1. Greeting warmly and shaking hand with your business companions is of great value as it drags their attention towards you and help you decrease the unnecessary distance. If you have to make a business tour internationally, you must search for the greeting statements and beautiful words in their own language to meet them.

2. Many people don't know the proper use of cell phone in office or business meetings. They don't consider it seriously but the boss or managers think it a cause of great disturbance. Put your phone on silent or turn it off before joining a meeting. Even in your office, don't use a loud ringtone as it spoils the working environment. Don't answer the phone calls in gathering, your personal life is indeed personal.

3. Show generosity to your fellowship. Be ready to help them in terms of manual assistance or in sharing expertise. You are a part of a big team and if you work sincerely at your part, it is the success of whole crew. Respect your managers as they are elder to you by post and may be by age too. 

4. Speak in a gentle tone to everyone. Rising voice in the arguments or in general conversations is typically among bad manners so keep your voice as soft as possible. Sometimes misunderstanding arises and somebody starts arguing with you. You have to tackle this situation wisely as fire cannot be extinguished with fire. Your smooth and polite tongue is enough to save you from bad experiences.

5. Its not good to meet everyone at a distance. Be friendly when you meet your colleagues or new business partners. Speak in a pleasant tone with a deep smile on your face.

6. It is better to keep your business and family life separate. Don't deal your office work at your home, its time to relax and have fun with your family so make it precious. Moreover if you have spent a good time at home, you are now quite ready to fulfill your job responsibilities at office.

7. You have to make yourself adaptable and flexible to cope with the fluctuating working demands. Accept changes and innovations courageously handle them in a highly professional way.

In the business environment, good behavior is of utmost important. It helps you to construct long lasting relationships with business partners and cooperation among employees. Thus the excellent display of good manners make you recognized as the best employee.

Sunday, 17 August 2014 00:00

Management tips for business meetings

Business owners, managers, executives and employees spend so much time in meetings but at the end of the day there is no fruitful result that increases the productivity of a business. Many renowned organizations and companies are going through the same problem. What they don't do is to manage the meeting before time, work over it, call for the responsible people only and to focus on the results.

Following are few management tips for meetings that work so effectively and immediately. If you neglect any one of these, your meeting shall bear no positive result for which it was held. Not only to train yourself, you can train your meeting members as well to reach the constructive conclusion.

1. Start with the planning. Successful meetings are well planned and well disciplined. Plan for the place, time and attendees who are going to meet you.    Identify whether other staff members are needed to help you plan the meeting. Construct a framework and put all the things in right order and in sensible priority.

2. Identify the aims and objectives for the meeting otherwise it will only be a business gathering or a party. Once the goals are set, manage your time in the discussing about them in meeting. It helps you to avoid the unnecessary points that can waste your time and draw your attention away from important tasks.

3. It might not be your first ever meeting because everyone has gone through a meeting experience in one's life, yet the nature of that meeting may differ. So you definitely know what are the things that cause disturbance in the meeting. Do as much as you can to minimize those disturbances. They kill the aim and essence and spoil the important time of important business personalities. Shut the doors of meeting hall completely to avoid interruption of unconcerned people. Switch off the cell phones and disconnect from social networks. Make yourself entirely focused on the goal that made the people join altogether.

4. Do some homework in planning the material that has to be discussed in the meeting. Prepare multimedia slides and highlight the necessary points. Engage all the people sitting there and get their feedback and their suggestions over the issue. Avoid the discussion that has no direct or indirect link with your subject matter.

5. If you don't want to waste your time, then start the meeting in a due time. Moreover, don't elongate it without any genuine reason if the time of meeting is over. Ask your attendees to be punctual. It is a great quality to use the available time, grasp the subject matter firmly and get to the solution in time.

Important part of meeting is the conclusion. If you have got the desired consequences, all of preplanning, infrastructure, time management, communicative skills and best presentation have really worked out and have brought you closer to the attainment of objective. If the situation is not like that, you must think that what is the weakness in your management.

Sunday, 03 August 2014 00:00

Effective job interview tips

Interviewing for a job is a daunting task for almost everyone. You may go through nervousness when you are exposed to unexpected and difficult questions. Even though in a big anxiety and tension you aim to impress the examiners or interviewing staff. Similarly you have to show yourself perfectly eligible for the recommended post. So it's natural to be under pressure.

Interviewing is a technique you have to learn before appearing in it. Following are the tips that will help you to express yourself in a very attractive way, you can present your views confidently and prove to be the best candidate for the post. They will help you to cover everything that is the requirement of a successful job interview.

1. Choose a dressing in accordance with the nature of job. Keep your looks very attractive and genuine. If you don't have idea about what to wear, you can take help from any if your friends who may have experience with the same kind of job. You can also approach the human resource department of the same company to get idea about the getup you have to take. Your first look is quite important as it projects your real personality so how you are dressed up, shows what you are.

2. Don't forget to groom the little things, for example to press you clothes neatly, use matching tie, polish the shoes, make your face look glow instead of looking dull and nervous, carry a matching leather bag with all of necessary documents. This is the angle that you ignore but people certainly notice.

3. Review the interview questions that you think are quite expected to be asked. If you have experience of few past interviews, it will be very helpful as you will probably be asked the same sort of questions. Practise for it twice or thrice and it will aid you enormously. Moreover if you know the expected questions and get yourself prepared for them, it will help you to calm your depressed nerves.

4. Learn everything about the company before interview. Again you can visit human resource department of that company or meet the employees there to collect related information. If the company is developed and recognized, it must have some links with the social networks, so it will be very smooth for you to search the aims and objectives, successful areas and your particular faculty for which you have applied for. You can better understand the interview questions this way.

5. Make them clear that the new working environment is actually not new for you. You can adjust comfortably and enhance the productivity of the business. Company managers are always looking for the people who fit in their environment without any difficulty. You will also enjoy the familiar environment and thus focus all of your energies to work.

6. Prepare a curriculum vitae with all of your professional degrees, distinctions and efficiencies. Make a list of the things that you have done or can do in the future skillfully. It is a great way to markup your strengths and coverup the weaknesses before the interview staff.

These are the simple ways to keep yourself calm and confident in the interview seat. Prepare to the best of your ability as good preparation is the key to stay calm during the tough inquiry. Your interviewers are not as strict and complex people as you always think. With a solid preparation, walk confidently, speak clearly and put a warm smile on your face, it is quite enough for you to win the seat.

For most of the companies, a stage comes where they desperately require an outside assistance to modify their business or to take it to the next level. It normally happens when the high objectives are not in the capacity of business owners. They are in the state of making new decisions to collect more revenue with the same or a bit more investment. A skillful consultant is very helpful in such circumstances.

Whatever the size or the nature of business may be, business consultants are quite necessary to hire if the things are going out of the order. Following are the advantages that inspire anyone to go for a consultant.

1. Professionally, they provide skill and expertise that you lack in your office staff. But it is natural that no one is completely perfect and so as your employees are. Thus it is much easier to hire a group to design your social marketing, plan your business strategy and offer precious suggestions. If you have searched out a right helping hand, it adds extra efficiency to your business.

2. They have a greater experience in a particular field which most of the in-house staff lacks. After working with the different tough environments and for various companies, they get the necessary knowledge to make a better decision. They can better identity the strengths and weaknesses and work over them to attain required results.

3. Instead of searching productive employees after a long and time-taking process, consultants are easy to hire. They provide short termed services with even more skills and talent as compared to regular workers. So whenever you need a proficient aid, you simply contact them immediately.    

4. They behave like third party intervention. There are many companies owned by number of managers who are close friends or family members. They generally don't point out each other because of their critical relationships. A consultant can point out a weakness by staying neutral for both of the parties. He becomes a part of project without disturbing the overall business environment.

5. A major advantage of approaching a quality consultant is because they don’t work for a company, but for themselves to dignify their name. It helps them for future projects and for having a lot of experience. It is because of this reason, whenever you bring them into your business, they join you with the hundred of solutions.

In fact, consultancy adds such productivity and quality to your business revenue that your own team and marketing strategy lacks. Thus it is just one step closer to get your high aims and flourish by leaps and bounds.

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We provide two highly accessible financing programs that can get your business the working capital it needs in days instead of months.

For a small business, obtaining a traditional loan today is a complex and difficult process. That’s where Premier Business Capital comes in. 

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