- Crowdfunding: Breaking the Bank(er)
One of the most difficult task any small business faces is coming up with the necessary capital. This is true of both brand new businesses and older businesses that are looking to grow. A recent phenomenon that has sprung up to address this need is crowdfunding. On the surface it looks like a great way for a business to secure much needed capital, but is it right for your business?
How Crowdfunding Works
The idea behind crowdfunding is pretty basic. Leveraging the volume of the Internet, crowdfunding websites draw thousands of interested ‘investors’ who then contribute money to products or services they would like to see come to market. The term investor is used very loosely. Those that choose to contribute to the project receive no stake in the company. Instead they receive a prize or gift based on the amount they contribute.
From the perspective of the business owner this may seem like an ideal situation. They get the money they need to grow without having to give up an equity stake in the company. They pay a listing fee to the crowdfunding website based on the amount of money raised and pay for whatever rewards they decide to give out to ‘investors’. It’s pretty simple.
Bypassing Capitalism’s Traditional Rules
While crowdfunding does offer some big advantages for business owners, there is a downside. One of the drawbacks is that it bypasses the traditional rules of a capitalist system.
The process of selling an idea to potential investors forces an entrepreneur to do their due diligence. Having to answer tough questions from experienced investors forces a business owner to know their company and industry inside and out. An observant individual can learn a lot during this phase of the process as they must hear criticism of both their business model and their personal capabilities.
Because contributors on crowdfunding websites are not professional investors an important natural barrier is removed from the process. Many projects that are successful at raising capital do so with creative marketing rather than a solid business plan. This is a natural result of spreading the risk across so many people. No one feels as though they have a stake in the business and therefore are willing to contribute to ideas and plans that would never pass muster with a venture capital firm.
What Does This Mean for Your Business?
The lure of money with no strings attached can be a powerful draw, but it’s important to establish the viability of your business before pursuing this type of investment. Gaining the approval of hundreds or thousands of investors/donors from a website is much easier than proving a concept to those that have real world business experience.
Results Don’t Lie
Let’s take a look at a relatively new product category as an example. Kickstarter.com has 2 Paleo cookie companies that both drew in over $20,000 in funding. Both planned on using the money to expand into bigger spaces in order to grow their production.
One of these businesses has gone under in less than 8 months. To make matters worse they didn’t even fulfill all of the promised prizes to their ‘investors’.
In the end, it’s not a perfect system. Easy money doesn’t translate into business success. If you’re considering going the crowdfunding route, establish that your business is indeed viable, then by all mean secure the funding in any way you can.
- Consider Hardwood Flooring for a Professional Corporate Appearance
A professional corporate appearance doesn’t always mean running a business that employs hundreds of employees across the country and having multi-million dollar quarterly results. Even small and medium sized business will enjoy the benefits of a corporate appearance without having to spend exorbitant money. If you wish to show a premier corporate look for your business too, read on.
A good corporate look starts with the visuals that could depict the brand such as logos on packing materials, trucks, etc. So, start with having your own logo, color and a universal theme for all your packaging materials, trucks, advertisements and websites. Utilizing the innumerous possibilities of the internet can take your brand to the next level and your own business can reach that place people think are only reserved for corporate companies. You will regularly find hardwood flooring in Atlanta corporate offices because the style and energy efficiency of hardwood are unsurpassed.
A corporation loves to showcase its products and services. When a new customer visits you and ask for the list of services that he can obtain from you, you should be able to show him your portfolio without hesitation. A neat and organized office, accented by new hardwood flooring, can immediately create a premium appearance for your company with the customers who see it.
Associations and memberships with organizations like BBB and NWFA are not reserved for high net worth businesses alone. Every business owner can join those agencies and having the logos of such associations and memberships in your business cards, advertisements, websites and invoices could more than help you to create a corporate appearance for your Hardwood Flooring Atlanta business.
A Corporate business would most probably make use of the latest technology in every way possible. Websites, e-portfolio, email marketing, electronic voice assistance and software for billing, invoicing, etc. could be some of the places where technology can be used best. Having a strong technological impression could automatically uplift your business to a corporate level, when combined with the above mentioned factors.
So, if you are planning to take up a corporate level business and finding it hard to get startup financing for the same, consider choosing businesses like Hardwood flooring Atlanta where it is easy to get low interest loans and easier to make it get a corporate appearance.
Your best bet is to consult a business advisor that could help you in all aspects of your business, right from startup financing to corporate branding.
- A Simple Guide to Asset Protection Insurance for Business Owners
A business will eventually face certain challenges, and anyone taking risks must be ready for anything that may come. Business owners tend to take coverage from a reliable insurance provider specializing in asset protection insurance, for the sake of avoiding future losses. As a business person, proper planning is necessary to stay away from related risks. The planning for asset protection involves securing your business, its elements and anticipating risky events before anything undesirable happens.
How Important Is Asset Protection Insurance?
The typical insurance helps to offer a number of security measures, which are all vital for the business. However, that type of insurance cannot protect your assets from the risks. Basically, the policies are regulated in the type of risks that they cover. The limitation also comes in when determining the method of compensation. In a way, the typical insurance might not be as friendly as such to the business owners. Some of the reasons as to select asset protection insurance are:
They Help Protect Your Business from Unexpected Risks
A normal insurance will be limited when it comes to the types of risks that it covers. Generally, they are meant for the compensation and protection against loss from such events like lawsuit or fire. You might face tough times, and your business can get vandalized or maybe the goods stolen. But if there is no agreement to cover theft whatsoever, there will be no compensation. On the other hand, asset protection insurance helps to keep you away from any risk, and you will be served well in case of any risk, regardless of the type.
It Will Protect You from Economic Recession
A normal insurance is not established to shield you from economic meltdown, especially when you are having financial issues. Suppose you fail to pay your creditors, you might find it difficult to handle the situation. The insurance will not cover you in these times. Asset protection insurance however, will ensure that you are protected in the tough economic times. If you have any financial problem, the asset protection cover will always help you get out of it, or stay away from it.
- 4 Top Qualities to Look for in Private Wealth Management in Toronto
When it comes to private wealth management, it’s very important to screen your choices well. Make a poor choice and you might greatly regret it down the road. Partnering with the wrong company could potentially hurt your investments and even have a significant effect on your lifestyle or retirement.
You rely on wealth managers to ideally grow your investments. If they don’t perform and even worse, lose your precious investments – the outcome could be painful. Therefore, if you have decided to hire a private wealth management in Toronto firm, you’ll really want to list out all of the qualities you’re looking for, so that ultimately you can land with the best choice. In the greater Toronto area, there are lots of choices available, but only not all of them will give you what you’re looking for.
1. Trustworthiness. This is the most important quality to look for. You need to have an assurance that they will not generate major loses for your overall portfolio. They need to have a proven track record in the industry. They need to have people who can back them up. Finding solid recommendations or testimonials always helps, especially if there are a good number of them.
2. Competitiveness. This is also important since your investments will be in a market that includes many others in your same situation. Therefore, you need someone who can assure you that your investments are secure and that they are in it for the long run, not just to make commissions on quickly flipping your investments. Take note that there are a number of other good wealth managers in the industry, therefore, they must be able to work as well (or better), than their competitors.
3. Personal service. This is something that you need to immediately keep an eye on, as you can only build confidence in a relationship, after you’ve had at least a little time in directly working with them. If you have a hard time communicating with your wealth manager, or you feel like you can’t get your message across very well, then you might want to look for other options. It’s always best to discover any issues at the beginning of a relationship, as you don’t want to end up with more problems later on.
4. Decisiveness. Even if you find someone who communicates well with you and is good at making investment decisions, they also need to be strong at making important decisions. There will most likely be times, where they are going to be called upon to make important investment decisions and in a very short period of time. You don’t want your valuable portfolio effected because your wealth manager was slow in making an important investment decision.
Finding the right person can be quite difficult to find, especially since there are many standards to consider. Keep in mind that you have worked hard for the money that you’re saving and investing. This is in a way a form of gambling. You can’t afford to lose your money just because you have entrusted the wrong person.
Start now in researching online for some of the best options. You can even call one of the best private wealth management Toronto firms, which is http://www.etfcm.com/. Once you’re done with finding the right partner, the next step is to work closely with whoever you have chosen, to get exactly what you need. As with everything in life, good research and perseverance will go a very long way toward finding the success you are looking for.
- How to Find Startup Financing for a Tree Service
Starting a business is a hard task to accomplish and finding a financing option for a startup is even harder. And when you plan to start a business that already has a wide market and a heavy competition in your proposed place of business, then be very sure that you are up for some real challenge. One of such challenging situations is when you are planning to start a Tree Service in Greenville SC. Though it is hard to find funds for your Tree Service startup, it is not impossible.
There are some of the most basic yet most important factors of raising funds for a business. If they are taken care of, then you can get your business up and running in no time.
- Qualification: Financial institutes or individual financers will be more than ready to invest their money in a business started by a person who has either a professional certification or enough experience to handle business of his own. If you possess both certification and years of experience to your name, then raising funds for your tree service is comparatively easy.
- Business Plan: Only if you have a clear understanding of your business revenue model, you can make your prospective financers understand the real deal. A deep understanding of the current market, equipment requirement, challenges and opportunities for your business could help you to create a perfect business plan.
- Capital: You should be able to make it clear that you are serious about a Greenville SC tree business when you are proposing the plan to the investors. Investing a considerable part of the business capital from your pocket could do the trick for you.
- Resource: There are so many resources that you can utilize to find funding for your startup tree service, and you should only contact the resources that you think are the right fit for you credit score, capital investment percentage, size of business, equipment requirements, etc.
Train yourself or get certified to be professional tree service provider, understand the market & how you can make a change to earn profit and put in a decent contribution from your part. If you can get all these three done, then finding a suitable investor for your tree service business will be as easy as it could get.