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Brent Finlay

Avoiding the top 7 business financing mistakes is a key component in business survival.

If you start committing these business financing mistakes too often, you will greatly reduce any chance you have for longer term business success.

The key is to understand the causes and significance of each so that you’re in a position to make better decisions.

>>> Business Financing Mistakes (1) – No Monthly Bookkeeping.

Regardless of the size of your business, inaccurate record keeping creates all sorts of issues relating to cash flow, planning, and business decision making.

While everything has a cost, bookkeeping services are dirt cheap compared to most other costs a business will incur.

And once a bookkeeping process gets established, the cost usually goes down or becomes more cost effective as there is no wasted effort in recording all the business activity.

By itself, this one mistake tends to lead to all the others in one way or another and should be avoided at all costs.

>>> Business Financing Mistakes (2) – No Projected Cash Flow.

No meaningful bookkeeping creates a lack of knowing where you’ve been. No projected cash flow creates a lack of knowing where you’re going.

Without keeping score, businesses tend to stray further and further away from their targets and wait for a crisis that forces a change in monthly spending habits.

Even if you have a projected cash flow, it needs to be realistic.

A certain level of conservatism needs to be present, or it will become meaningless in very short order.

>>> Business Financing Mistakes (3) – Inadequate Working Capital

No amount of record keeping will help you if you don’t have enough working capital to properly operate the business.

That’s why its important to accurately create a cash flow forecast before you even start up, acquire, or expand a business.

Too often the working capital component is completely ignored with the primary focus going towards capital asset investments.

When this happens, the cash flow crunch is usually felt quickly as there is insufficient funds to properly manage through the normal sales cycle.

>>> Business Financing Mistakes (4) – Poor Payment Management.

Unless you have meaningful working capital, forecasting, and bookkeeping in place, you’re likely going to have cash management problems.

The result is the need to stretch out and defer payments that have come due.

This can be the very edge of the slippery slope.

I mean, if you don’t find out what’s causing the cash flow problem in the first place, stretching out payments may only help you dig a deeper hole.

The primary targets are government remittances, trade payables, and credit card payments.

>>> Business Financing Mistakes (5) – Poor Credit Management

There can be severe credit consequences to deferring payments for both short periods of time and indefinite periods of time.

First, late payments of credit cards are probably the most common ways in which both businesses and individuals destroy their credit.

Second, NSF checks are also recorded through business credit reports and are another form of black mark.

Third, if you put off a payment too long, a creditor could file a judgement against you further damaging your credit.

Fourth, when you apply for future credit, being behind with government payments can result in an automatic turndown by many lenders.

It gets worse.

Each time you apply for credit, credit inquiries are listed on your credit report.

This can cause two additional problems.

First, multiple inquiries can reduce you overall credit rating or score.

Second, lenders tend to be less willing to grant credit to a business that has a multitude of inquiries on its credit report.

If you do get into situations where you’re short cash for a finite period of time, make sure you proactively discuss the situation with your creditors and negotiate repayment arrangements that you can both live with and that won’t jeopardize your credit.

>>> Business Financing Mistakes (6) – No Recorded Profitability

For startups, the most important thing you can do from a financing point of view is get profitable as fast as possible.

Most lenders must see at least one year of profitable financial statements before they will consider lending funds based on the strength of the business.

Before short term profitability is demonstrated, business financing is based primary on personal credit and net worth.

For existing businesses, historical results need to show profitability to acquire additional capital.

The measurement of this ability to repay is based on the net income recorded for the business by a third party accredited accountant.

In many cases, businesses work with their accountants to reduce business tax as much as possible but also destroy or restrict their ability to borrow in the process when the business net income is insufficient to service any additional debt.

>>> Business Financing Mistakes (7) – No Financing Strategy

A proper financing strategy creates 1) the financing required to support the present and future cash flows of the business, 2) the debt repayment schedule that the cash flow can service, and 3) the contingency funding necessary to address unplanned or unique business needs.

This sounds good in principle, but does not tend to be well practiced.

Why?

Because financing is largely an unplanned and after the fact event.

It seems once everything else is figured out, then a business will try to locate financing.

There are many reasons for this including: entrepreneurs are more marketing oriented, people believe financing is easy to secure when they need it, the short term impact of putting off financial issues are not as immediate as other things, and so on.

Regardless of the reason, the lack of a workable financing strategy is indeed a mistake.

However, a meaningful financing strategy is not likely to exist if one or more of the other 6 mistakes are present.

This reinforces the point that all mistakes listed are intertwined and when more than one is made, the effect of the negative result can become compounded.

Brent Finlay makes it easy to understand business financing. Learn how to locate and secure proper financing for your business. To receive your free 6 part mini-course visit http://www.businessfinancespecialist.com

Disposable shoe covers are employed by workers of numerous industries, from food production to microchip fabrication. These covers may be considered as protection supplies that mandates the safety of footwear overall, no matter what type of germs there may possibly be lurking around. Although contamination through footwear is mostly neglected by some, others do know how diseases can travel and this is actually 1 of the most dangerous of methods. Since footwear are always touching the ground, there’s trillions of tiny harmful organisms waiting for the proper break to make its move.

Wearing disposable shoe addresses not merely helps safeguard their personal shoes from contamination, but also, perhaps more importantly from the company’s point of view, the goods from their footwear! It’s simple to determine why inside the case of both food production and microchip fabrication: after all, who wants foreign particles in their food? And when it comes to electronics, even dust poses a trouble and so not only are shoes covered but practically all else, too.

Disposable shoe covers are simple to put on and take off and meant to be thrown away so as to make certain a clean work environment. They’re also employed in other settings besides industrial ones. Realtors for upscale residences will generally call for prospective buyers or renters to don such addresses so as to not dirty the fine flooring. In fact, their very presence, the extremely requirement itself, can produce an impression of affluence and quality, akin to the effect that white gloves will have on an occasion.

Depending on the circumstances, even disposable covers might be reusable. Most are tough sufficient to see much more than just a day of service. But as with most so-called throwaway items, they are obtainable in only two sizes, a universal one-size-fits-all model and an additional for those rare cases that need something much larger!

Other kinds of shoe addresses are utilized for recreational activities such as mountain biking or bicycle touring. Also known as “booties,” these addresses are not created to guard any floor or prevent contamination but meant instead to further safeguard the wearer’s feet from the elements, above and beyond the minimal protection already offered by his or her own shoes. This kind of specialty covers generally resist water and offer a little bit of insulation for warmth and may possibly offer beneficial functions like reflective piping or strips for visibility at night and miniature cargo pockets for carrying small items.

As seen so far, a wide selection of covering alternatives exist for footwear and floors. Most are created with extremely specific purposes in mind, for instance individuals covers which bear treads to offer grip and avoid skidding. Other people are general-purpose, useful for most settings. Either may possibly be disposable. Then there are individuals created to go with a particular pastime, like cycling. Whatever the precise require, a fantastic variety of affordable solutions are now available.

Are you interested in planning a trip to Hawaii? If you are, the travel plans that you have to make may seem overwhelming, especially at first glance. The good news, however, is that planning your dream trip to Hawaii is actually a lot easier than it originally sounds.

The first step in making your Hawaii travel plans is to decide on a location. Hawaii is filled with a number of beautiful islands, all of which make great vacation destinations. Maui is one of the most popular choices for travelers, like yourself. However, it is important to remember that you do have other options. These options include Oahu, Kauai, Big Island, Molokai, and Lanai.

Once you have decided on a location, you will want to start examining your overnight accommodations. This is important, as it may open up a world of opportunities for you, as well as save you money. Hawaii hotels are popular. If you choose to stay at one, you may be able to find affordable, moneysaving vacation packages. These vacation packages, although they do come in a number of different formats, may allow you to book your hotel, flight, and car rental all at the same time and for one affordable price.

In keeping with your overnight accommodation options, Hawaii hotels are nice, but you should know that they aren’t your only options. You should also examine Hawaii vacation rentals. What is nice about Hawaii vacation rentals is that they include so many different property types. These properties include homes, cottages, condos, villas, and apartment rentals. When making your choice, be sure to examine and compare rental fees, features, and convenience.

Whether you choose to stay at a Hawaii vacation rental or a Hawaii hotel, it is important to make your reservations well in advance of your trip. Hawaii is a popular vacation destination. This means that you will likely face some competition. Early reservations help to ensure that you get your first choice accommodations and that your Hawaii vacation is just how you imagined it would be.

As previously stated, if you book your Hawaii vacation in the form of a package, you often get to make your flight arrangements and car rental reservations all at the same time. If you opt for a private Hawaii vacation rental, you may need to make your reservations separately. The good news is that most online travel websites will let you do so.

Speaking of your other Hawaii travel arrangements, it is important to decide if you would like to get a Hawaii car rental. When making this decision, examine your overnight accommodations. Hawaii vacation rentals are often centrally located, but they may not be on the route of public transportation. That is why you should also examine Hawaii car rental companies. For a reasonable and affordable rate, you should have the ability to come and go as you please.

Your airline reservations also need to be made and well in advance of your trip. If you would like to book a stay at a private Hawaii vacation rental, it is a wise idea to make your airline reservations later. This is important, as some vacation rentals have limited availability dates. You do not want your flight to arrive in Hawaii two days before your vacation rental is available for you. To help you save money, be sure to price compare. There are a number of airlines that service Hawaii; therefore, you will want to take the time to find the best deals.

It is also a good idea to preplan your Hawaii vacation activities. Do you already know what you want to do and see when in Hawaii? If so, you are at an advantage. In all honesty, there is so much for you to do and see while vacationing on a Hawaii Island that you may not have time to do it all. That is why you should first create a list. What Hawaii attractions are must visits for you? Which Hawaii activities have you always dreamed of participating in, like learning how to surf?

As a reminder, an important part of planning the perfect Hawaii vacation involves making your travel arrangements well in advance of your trip. Whether you are interested in booking a private Hawaii vacation rental or staying at a hotel, visit HawaiianBeachRentals.com to start making your travel plans today.

HawaiianBeachRentals.com specializes in helping those planning Hawaii trips. Examine their large selection of affordable Hawaii vacation rentals and Hawaii vacation packages today.

Working capital is one of the most important concerns of any business. Working capital can, at its simplest, be identified as a business’s current assets minus their current liabilities, the result being a numerical description of a business’s capacity to pay off debt, known as operating liquidity. In layman’s terms, running liquidity is a term that simply equates to the amount of financial leeway or slack provided to a business.

If a business has much more in the way of financial liabilities than they do assets, they will incur a negative working capital, recognized as a working capital deficiency or deficit. Furthermore, a business needs to ensure that its assets are either in cash form, or can be quickly changed to cash – in any other case their value remains frozen bearing little result on the equation against operational liabilities.

Management of working capital is perhaps, at its core, the primary concentration of any business owner. Though the certain facts aren’t quite as simple, in principle ensuring a constructive working capital is ensuring a profitable business, as opposed to one failing or merely making ends meet. And as such, the steps that must be taken to guarantee positive operating liquidity are often one in the same as steps taken to assure a profitable business. Even earlier than a grand opening, factors such as area or advertising should be taken into consideration as later they will play a large role in affecting working capital.

Once established and running, there are a great many more considerations to be taken into account. Management of inventory, for example, is one of them. Connected directly to the basic economic principle of supply and demand, inventory should be checked so as to ensure that there is exactly the necessary amount of product available for sale. A surplus will equate to squandered funds paid to a supplier for products a business is unable to sell. Alternatively, having too little of a product will quickly leave you with a shortage of things to sell, ergo, less profit.

Employee wages and workforce are two other important factors that are directly related. If an employee is paid too generously for the amount of labor they do, then again this will amount to squandered profits. Nonetheless, employees who are underpaid are most times unmotivated and will not work quickly or proficiently, leaving the entire machinery of your business to function poorly. Underpaid employees whose work cannot be expected to meet the required standards may necessitate either higher pay grades, or a greater number of employees. Here again, too few employees will leave your business undermanned and operating at only limited capacity, whereas too large a workforce will require more pay. A careful and intricate understanding of the logistics required to efficiently run a business must be achieved, and one must find the optimum balance between the fiscal liabilities of paychecks and the size and competency of your workforce.

Fairy tales and castles are the basis of many a childhood fantasy. Re-create those fantasies and discover the enchanted world of royalty and fine living at one of the many luxury castle destinations available throughout Europe.

Today royal families are few and far between, but there remains a romantic lore and mystique surrounding the lifestyle of kings and queens, lords and ladies who lived hundreds of years ago, and rightfully so. These wealthy and prominent individuals vied with each other for power and prestige and built lavish homes to showcase their wealth. Since most royal descendents cannot afford to maintain a castle as their private home, adventuresome travelers who are looking for the best in luxury travel can experience the romance of the days of yore by planning a luxury vacation getaway at a castle that has been restored to 5-star expectations and beyond.

And true castles these are, huge rambling buildings adorned with gargoyles, towers, turrets and steeply sloped roofs. The old castles, built in the centuries before electric lighting, feature expansive windows that give unparalled views of carefully manicured lawns and ornate gardens fit for a modern king and queen. For those who are seeking a vacation that provides royal treatment, what better place to find such luxury than at an authentic castle retreat?

The ultimate in romantic travel, luxury castle vacation venues are available throughout Europe. The best feature the latest in modern amenities such as on-site spas while offering traditional royal amusements like horseback riding and custom hunting and fishing excursions. Typically, on-site dining is of gourmet quality served in elegant surroundings of the ancient formal dining room. Travelers who vacation at these luxurious imperial residences should understand that they are also contributing to the preservation of these magnificent historic treasures for future generations.

Castle hotels in Ireland offer world-class accommodations and five-star service. These castles, surrounded by hundreds of acres of private grounds, are ideal for those who are seeking a quiet luxury vacation. Spend time in the formal gardens or wander the private grounds for peace and solitude. Irish castle vacations have particular appeal for golf enthusiasts. Top rated golf courses abound in Ireland plus some castle resorts offer a private golf course as well.

For those who desire the ultimate in privacy, smaller Scottish castles may provide the perfect luxury vacation experience. Nestled in scenic locations, fully restored estates dating back to the 1500’s that have been renovated to five-star standards are available for rent by the week or the month. Although smaller than the castle hotels, these estates boast a dedicated full-time staff to cater to the guest’s every need and provide a perfect hideaway in a historically romantic setting.

Germany is the ideal location for travelers looking for a romantic locale. The famed Romantic Road that winds its way through southern Germany from Wurzburg to Fussen through historic architectural districts is one of the world’s most popular tourist routes, especially in summer. Instead of joining the throngs of tourists on the Romantic Road, experience romantic German castles firsthand on the German Castles Road, which extends from Mannheim on the Rhine River to Neckarzimmern in the Neckar River Valley. Here luxury-minded travelers can choose from dozens of elegant five-star castle hotels.

Southern Germany is, of course, famous for mountain views. There are elegant castle hotels nestled in picturesque Alpine locations that will take a visitor’s breath away each and every day. For those who are wine enthusiasts, look for a castle hotel in the Rhine River wine country.

No matter the setting, expect the best in discriminating personal service and the finest gourmet dining fit for royalty at these luxury German establishments. Experience the feeling of history that is embodied in the surrounding castle walls that is available nowhere else in the world. Whether you are seeking a quiet retreat or a bustling continental hotel environment, there is a luxury German castle hotel to meet your needs.

“A man’s home is his castle” is a phrase that’s been around for a long time. When you are ready to leave your castle for a vacation at a European royal castle, the best advice is to consult a travel company that specializes in luxury travel to help you find the exact location that meets all of your needs and desires.

Justine has been a journalist for 20 years and is a contributor to Just The Planet, the online luxury travel magazine for independent travellers.