What is Business Borrower’s Alliance?
You may have vowed to stay away from bad business habits, but one wrong decision about finance could put you and your company at risk. At Business Borrower’s Alliance, our speciality is in sourcing funding solutions that give you the best chance at success.
This section contains our tips on how to avoid some of the most common pitfalls faced by new business owners:
Working with the wrong investor
Not only will the wrong investor leave you financially unstable, but the damage that they inflict on your credit rating and business reputation could affect you for the rest of your career. That is why it is vital to go with the right type of investment from the outset.
Going with a responsible lender such as MYJAR.COM will give you fast access to cash loans directly to your account whilst having the benefit of working with one of the best companies in their field. For more information, visit their official website.
Lack of leadership
It goes without saying that all top performing businesses have in common strong leadership. No matter the industry, every successful business needs a leader who is capable of making critical decisions at the right time.
One of the most common reasons why businesses fail is due to the lack of basic planning and preparation. Make sure that you have a strong business plan and review it periodically. You should also prepare a contingency plan in the event that your business does fail
Not selling when the time is right
It is hard to let go of a business that you have built from the ground up. But selling your business at the right time could earn you a fortune. Stick to business logic, weigh your options and always be prepared for change.
Business finance for beginners
There are many ways of financing your new business. Get this aspect of your business right, and you can begin reaping profits from the early stages of trading.
Here are some of the best options for funding your start up:
Selecting business partners, stakeholders or shareholders is never easy. If you are lucky enough to work in a popular industry where people want to see businesses like yours succeed, angel equity could be for you. Finding an industry executive who understands the problems you are facing will allow you to capitalise on their experience as well as on their financial input. As the old saying goes, it’s not always what you know, but whom you know!
Choosing the right leases
Depending on the industry that your business is launched into, there are smart choices you can make when it comes to funding some of your more expensive acquisitions. Leasing assets rather than buying them outright can free up some much-needed cash to spend on other essential capital items.
Banks are one of the most popular places that new businesses turn to when they are in need of financial aid. Competitive bank loans with the right conditions are a simple way of obtaining capital whilst having the flexibility of paying them off over a long period of time.
Advance payments from customers
Cash flow can be extremely tight, especially during the first few months of trading. You may wish to consider credit-checking customers by only dispatching goods on receipt of payment.