Let your business chart new heights- follow these simple mantras!

Success is a desirable fruit that everyone would like to cherish. Though the “definition” of success could vary but we want to sail in the same boat of success. For every business to be successful, there needs some amount of planning and labour. One cannot taste the success just by wishing it. It requires your involvement and sincere efforts. Though, we do agree that it may not work at the first instance as expected by us.

Once you set up a business it is fundamental aspect that you promote your business to get the desired success especially at this time of recession. Promoting business requires funding promotions. Without adequate funds you cannot achieve what you have dreamt of. If you are seeking funding for promoting business, opt for small business unsecured loans or unsecured business loans, the most convenient option. Here are the few promotion tips that will help your business find new customers without spending a fortune.

• Print your logo, name, all the contact details and company information on every piece of paper and other electronic communication that you mail, faxes or email.

• As internet marketing has evolved the world, so local internet marketing is an easy way for your small business to get a head start. Keep writing articles and press releases about your products to draw maximum traffic towards your site.

• Social media has rocked the world as it is a free outlet of advertising for every business. Social Media sites like facebook and twitter are a few examples where you can plug in your business to get of the amazing power of promoting business.

• Another way to promote your existing business is to run occasional discounts and sale on your products and make sure it reaches to your entire customer base. If you require easy and quick cash flow to run promotion activities smoothly, opt for small business loan.

If you want to stir up business sales in this the most competitive world, follow the above mentioned few tips and for funding your promotion, your are free to contact us at www.FundFactor.com

Detailed analysis on Bank and Private Equity Financing

Other than the pedagogies that we have discussed till now, the most celebrated means to procure funds still remain to be financing from the nationalized banks and personalized private equity small business funding. Thus, we bring you a precipitated note on the procedure of obtaining small business funding from banks and private money lenders both. The blog article also makes you aware of limitation you could face while trying to procure loans from either of the institutions.

Bank Financing

The most popular and celebrated means of procuring small business funding is traditional model- banks. Most new business owners seekbanks to obtain short term loans for business expansion. Banks provide small business funding in exchange for personal guarantee or security in the form of assets owned by an individual or the company. There is also a possibility that banks may decline one’s loan application.

Why banks may decline loan applications?

• Start-ups are considered really high-risk ventures. Thus, many banks decline loan applications by early-stage business owners who lack either sufficient security or business experience to support them.

• A drastic rise in number of small ventures in the past decade has made banks witness a crowd of loan applications.This has led to banks revising their loan provisions/conditions and terms, making business loan available to only those companies that fulfil their strict loan selection criteria. Since most businesses in their nascentstages lack business finesse, chances are they may be refused any lending from popular traditional banks.

• Also mushrooming of these numerous businesses in every nook and corner has forced banks to exercise caution. Resultantly, they have made the loan eligibility criteria very stringent that is difficult to cope up with when one’s business is setting up. Consequently, they are rejected bank loans.

However, over a period of time if the organization is generating good business, is maintaining its credit ranking, assembling and handling its securities well, keeping the documents in place and documented, it helps in enabling one to meet a loan eligibility standard. A quick word of caution for you, Banks differ in their loan schemes; a thorough research before applying is important.

Else you could also procure money from private money lenders, also termed as private equity. Though these private money lenders allow you a bigger grant than your present economic stature could afford, but it is fairly high return investments. Take a look at how this system functions:

Private Equity Small Business Funding

Private equity, or venture capital, supports business growth through high-risk, high-return investments for approximately 3 to 7 years before capital funding is withdrawn. Venture capital investing firms provide small business funding to high-potential growth businesses in exchange for company shares. Venture capital small business funding is a six-stage financing that is directly aligned to developmental stages of company; it keeps releasing funds as the business keeps expanding and entering the next sphere of performance.

Howdoes Private Equity funding function

• Seed Money financing or low-level funding helps prove a business idea and is provided by an affluent individual or investor.

• Start-up financing is provided to companies to cover business marketing and product development costs.

• Following PD, the first-round capital takes care of a company’s early sales and manufacturing costs.

• Second-round financing allows companies to continue their product marketing processes, since most businesses take time to benefit and make profits from sales.

• Once a company starts profiting from sales, third-round or ‘mezzanine’ financing allows business expansion.

• Continued funding encourages companies to ‘go public’. This is also called ‘bridge’ financing.

Targeting dedicated venture capital companies with proven track records of investment successes ensures the best results for your business. Along with these, there are certain money lenders who allow you the grant lump sum without taking the burden of releasing it cyclically. This helps the organization to use more in the sphere it deems most fit. That is how these two set-ups aid business formation and expansion in formative years of a business.

For More Info visit us at : www.FundFactor.com

Merchant Cash Advance: A saving grace!

Current US financial market conditions leave banks hard-pressed to make provisions for loans, resultant which 98% of the total population that has applied for loans find themselves hard pressed for money, time and luck! In this situation merchant cash advance, also termed as business cash advance present a lucrative opportunity to obtain quick working capital to meet your business needs. That is the reason we consider these a great alternative for revenue against traditional business loans. Let us peek-a-boo at the advantages that the merchant cash advance have over traditional bank loans.

The application process

All it takes is a two days funding procedure to apply for a business cash advance  compared to a fortnight long verification checks that  a traditional loan set up asks for! Furthermore, banks involve the applicants in a grueling course of action, with endless questions and stipulations and a significant processing fee.

Mode of Repayment

There are also various clauses attached here, there is a specific time period involved, a specific amount that must be rolled out in the favor of bank each month. Plus, there is a significant amount of fine that you’ve to pay on missing any of the payments in the tenure, else penalties would surface.A merchant cash advance is returned as a percentage of one's income and thus would be less the month or quarter your income falls, consequently, there is no likelihood of penalties or harm.

Credit History

It is herculean to dream of a traditional bank loan without a sound credit ranking. An approval without a minimum ranking of 650 points on 100 is almost impossible. Thus all those small, young and budding entrepreneurs will seek to procure business cash advance instead of a bank loan.

Statement of Utilization

This does not end the ordeal, banks ask for documentation, an evidence of sorts with regards to the purpose of utilizing funds. You could use the fund you procure with a merchant cash advance as you desire.

Deposits

If the amount you’ve asked for supersedes what you should, in banks estimate, then you would be asked to deposit security collaterals. Like a statement of real estate, valuable equipment bonds, stocks etc. Since merchant business cash advances are unsecure, no collateral is necessary for small business owner applicants.

Also to qualify for a traditional funding is a task in itself, given the time it eats. People often ask for traditional funding to cope with immediate business requirements, they want capital for renovation, expansion and advertisements etc. With merchant cash advance by fundfactor.com you could easily procure up to $250,000 of working capital within 72 hours. It is an excellent choice indeed.

For More Info visit us at : www.FundFactor.com