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Archive for the ‘business financing’ Category

ALSO why do VC’s provide financing at all I mean say you need money for your business and I give it and I want a 51% stake in the company as the venture capital firm but I am PAYING FOR THE WHOLE THING how does this help me?

I’ve always financed things with the local small bank as they give the best terms. There are now some finance companies backed with wall street money but their terms will be in between bank and VC firms.

The answer to your second question is purely R.O.I. or RETURN ON INVESTMENT. If a VC firm lends $50,000 that returns $25,000 a year to them, why wouldn’t they do it? They realize there are plenty of entrepreneurs out there with great ideas and they want to piggy back on your success. These people have money, but they need your ideas, and you’ll also be doing the work. They are just lending money, and they can’t make much lending it out in the traditional fashion like banks. If you start the next Yahoo or Google they don’t care how much money you make as long as they make it right along with you.

In order to finance a start-up business, banks may require a guarantee from the Small Business Administration. Investigate business financing with tips in this free entrepreneur advice video from a professional business consultant.

Expert: Emily Gasner
Contact: www.tmcworkingsolutions.org
Bio: Emily Gasner is the program director for Working Solutions in San Francisco. Working Solutions is a 501(c)(3) nonprofit organization that provides business advice to under-served micro-entrepreneurs.
Filmmaker: Sam Lee

Duration : 0:2:34

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Technorati Tags: business management, entrepreneur, funding a business, home business, investment, investment capital, start-up money

im looking for collages across america. ive decided i either want to major in accountant, or major in finance & minor in business. please help me find the top schools that i should go see in order to get the best education.

UNC

Currently, a person would have to drive 45 minutes to take their kids to a place that has go-karts, games that distribute tickets, mini-golf and so on. I would like to look into openeing a business such as that lacally. I have no clue how to go about getting financed or how to plan the business…or even where to start. I have heard that the government has loans specially for women. Can anyone point me in the right direction to plan for a business?

Go to your local Chamber, they should be able to help you with everything you do.

First and foremost. Write a Business plan.

Government grants are easier to get for a small business when all information needed by the government, like tax returns and financial statements, is readily available. Be wary about giving out personal information when applying for government grants, and choose a government lender carefully with tips from a certified public accountant in this free video on new business financing.

Expert: Amber Hill
Bio: Amber Hill is a certified public accountant and a partner in several small businesses that she started from the ground up.
Filmmaker: Carlye Jones

Duration : 0:1:37

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Technorati Tags: business, commercial loans, funding, grants, loans, sba

I own a six-month old single-owner LLC, which I operate out of my house. I want to purchase a car to use for my business. My company is a telecom-consulting business, so the primary use for the car would be to drive to client appointments and to take packages to the local shipping store. I typically don’t do much personal driving during the week after business hours.

I am not sure if I should pay cash for the car, or if I need to finance the car. Which is a better write-off?

My wife has her car, and we use it primarily for family functions. So, how much could I use the company car for my own personal use without the risk of doing something illegal (tax-wise)? My wife would probably never use the car, even though she is technically an employee.

As with many things, don’t be blinded by the tax implications of the decision. Tax impact needs to be considered of course, but should NOT be the overriding consideration. It’s just one of many factors.

Although you can take a business expense for the finance charges, the the total out-of-pocket cost for financing will still be higher even with the tax savings. The highest tax bracket is 35% but most taxpayers will see savings of 15% – 28% at most. From that standpoint, paying cash will make more sense.

However, other factors come into play, not the least of which is your cash-flow. Paying cash ties up capital that maybe could be better used for other business development. This is something that is often overlooked by the novice.

If you wind up having to take out a loan for other business purposes as a result of paying cash for an expensive asset you may well wind up paying a higher interest rate for an unsecured loan or having to guarantee it personally — other things to think about.

If cash-flow is a consideration and ease of bookkeeping is a factor, leasing a vehicle may be just the way to go for a business vehicle especially if you can accurately predict your mileage requirements. Leases usually SUCK for the average wage-earner but are often an excellent option for business use.

Resist any temptation to use the business vehicle for personal use, especially if you take a Section 179 deduction for the full purchase price. You don’t have to account for business vs personal use, keep mileage logs, or other tedious bookkeeping tasks. If you own other vehicles for personal use, the IRS won’t question your claim of 100% business use; just play by the rules and you’ll be fine.

If your wife uses the business vehicle for business use, that’s not a problem. But if she hauls the kids around or goes shopping with it — or if you do — you’re risking having its use challenged. Bending the rules occasionally probably won’t trigger an audit, just don’t let it become a habit.

Hello,

I have a small residential and commercial cleaning business that I am looking to expand. I have been shopping around for financing through traditional lenders, but due to my 518 FICO score and millions of charge-offs, I can’t get fianancing. I have applied to a few non-profits in the state that I live in. I have also been pitching my case to some friends. I don’t have any family that can help. They all have bad credit and so do much of my friends. I really do not know anyone with cash on hand either. I have been looking into getting an angel investor or a venture capitalist, but I do not know if that’ll work. I’ve posted an ad on Prosper and I never get responses. Again, I think that this is due to my bad credit. I am seriously running out of ideas. I have 15 months invested in this and I do NOT want to give up. Does anyone have any suggestions or can anyone suggest a place that can help me? I know I need to fix my credit, but I need the money to do it. Please, please, help!

I think Prosper.com may be your last best chance. Maybe you need to change your writeup. Potential lenders want to know about your past but, most of all, they want to hear your honest description of why and how you think you’ll be successful this time. Potential lenders like to invest in people, not in businesses.

Just be careful that any solution you decide on is not taken in desperation and quick judgement. The results could make your situation worse than it already is.

I’m sure you realize it now, but others should learn from your experience that poor financial responsibility has very serious long-term effects that are extremely difficult to overcome.

Best wishes to you.

Panelists will talk about what lenders and investors are looking for, new strategies, and alternative sources of financing for your business.

Moderator: Chunyee Miot, CPA

Panelists
Yan Li Jiang, Loan Consultant, Accion USA

Simon Lee, Branch Manager, China Trust Bank USA

Man-Li Lin, Business Development Specialist, U.S. Small Business Administration

Duration : 0:9:41

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Technorati Tags: AAARI, American, Asian, business, CUNY, Economic Development, Institute, Lecture, new, Research, York

I own a business and im looking for financing,cheap financing and africa doesnt seem to have it.Are there Africa focused business angels out there?

You should go to Prince Akeem of Zamunda and ask him to loan you some money.

I am trying to buy into a franchise with a friend and my husband. We have a 4 year old bankruptcy and are looking for less than $100,000 to open. The problem seems to be that there are no tangible assets in the type of business that we are looking to open. Are there any suggestions of lenders that may be willing to loan or a direction that we should go toward? Any suggestions are greatly appreciated.

I don’t know who might be a good source of financing on this deal, but here’s a source that may very well be able to point you in the right direction. And if you do decide to open this or any other business, they can provide a wealth of great information on how to do so.

Service Corps of Retired Executives (SCORE): A national organization sponsored by the Small Business Administration (SBA) of over 13,000 volunteer business executives who provide free counseling, workshops and seminars to prospective and existing small business people. There are 389 chapters nationwide. For more information, call them at 1-800-634-0245 or visit their web site at: http://www.score.org