Should You Be Dealing With Angel Investors?

By Wade Henderson

Getting a Business loan at your bank is a terribly difficult task these days regardless if you are in Canada or the United States. Because of this many businesses feel they need to seek the operating cash they need from Angel Investors. But are you ready to turn your business over to an Angel Investor?

Banks will look at you company from one perspective while Angel Investors will look at it from another. They will want a minimum of 5 to 10 times their investment back when they pull out. The time frame that they want to be involved with your company varies between 1 to 5 years. They calculate the deal based on liquidation factors such as stock offerings, liquidation of assets or hostile takeover.

Since the market over the last few years has been such a challenge, Angel Investors have now increased their requirements fro 10 to 50 times their initial investment because the time frame they need to have funds tied up for has increased to up to 10 years.

Since the ROI for and Angel Investment is so high but the lower costing financing at the credit union and banks are not available, especially for business start-ups it makes being in business even more difficult. The reason the banks and credit unions are not interested in financing start-ups is because they lack the history and asset backing required by their underwriting guidelines.

At this point, you have been turned down by the banks and credit unions plus the Angel Investor proposal does not look very attractive, so what do you do now?

It is irrelevant if you are in Canada or the United States, the story is the same but there are options. This is a real life deal that I just completed recently. It is a Distribution company in Alberta Canada that had a unique product that it wanted to market throughout North America. The owner went to the usual banking institutions and was denied the loan. He then spoke to a few Angel Investors who gave him proposals which he did ponder over but shortly after continued to search for options. When I spoke with him I suggested a combination Accounts Receivable Factoring and Purchase Order Finance facility.

When I had initially spoken to the owner of the company, he had shipped out one large order and was about to ship out his second large order which was going to wipe out his entire inventory and he would have to wait to receive payment from the customers before he could replenish his stock but he had several additional orders to be filled and he had no way to fill them without cash.

Within a week of his initial application the company was funded and he now had the operational funds needed to operate his business smoothly.

In short, if your company has been turned down by the banks and credit unions plus there is no comfort for you in dealing with an Angel Investor due to their terms, be sure to check with a Professional Commercial Finance Broker so they can put together the proper financing for your business. - 29936

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Payday Loans Can Be a Rapid Source Of Funding.

By Roger Hurst

There are many times throughout life that we find ourselves in situations that are not the best when it comes to money. This is where payday loans can be a huge help to people. They can be the perfect option for those looking for a quick solution to the money woes that are having. Here we look at some of the other benefits that these loans provide for people.

There are several ways that a person can secure this kind of loan. This is a great choice for people that are unable to get to the office due to mobility reasons for example. If you have a phone or a computer you may opt to use either of them to apply for the money you need. No matter which you choose you will be assured of the same courteous service.

It is an easy process to get the money that you need in this manner. The time that it takes is quite minimal as compared to the time with other lending institutions that offer loans to people. You can be out the door with your money in as little as 20 minutes.

There is no fear of your private information getting into the hands of others when you get a loan of this kind. They have very strict policies to protect the client's when it comes to this. The understand the importance that this issue has to people and have put these policies in place to help them feel more at ease.

There are fees that are associated with getting this kind of loan. This is the way tat they stay in operation. The fees are not excruciatingly high and are also paid back at the time the loan becomes due. There are times that certain lenders require a certain amount down in order to secure a loan. This is not the way that payday loans operate.

Most times there is no credit checks involved with this type of a loan. The money is also immediate. There is no long wait to get the money that you want. These are also very important things to the people that are borrowing the money. Many times they may not have the best of credit and this can be a way to help restore the credit rating to some degree.

These are only a few of the many great things that payday loans have to offer their client's. By looking around the internet you can find a lot more information about them. You can also often find customer comments about the service that they received. These can all offer you a lot of valuable information for when it comes to making a decision. - 29936

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Factoring Saves Texas Based Trucking Company

By Wade Henderson

Can you imagine working really hard to make ends meet and cutting costs everywhere to make yourself profitable and your get a registered letter in the mail from your bank demanding their Line of Credit to be paid off within 14 days?

This is a real event for a Texas based Freight Carrier recently. After a brief panic attack, the CEO called his bank and the account manager told him that due to revisions of the banks risk structures are laid out, he has no choice but to pull the financing. He has 2 weeks from the receipt of the letter to repay the loan of $1.0 million. Upon dealing with a Professional Commercial Finance Broker, not only was the loan paid off at the bank on time, but the trucking company had a new Line of Credit of $1.75 million now.

I can not tell you how many times I have seen this situation happen to companies over the last 2 years. Most people are very eager to see what the new programs that the US Government is rolling out, but banks are still calling their loans, and denying even more applications.

Many businesses are in dire straights in regards to their cash flow and the last thing they need is more debt. Accounts Receivable Factoring is designed just for this situation. It is not debt, the advances you get is your money so you are not increasing your companies debt load by using it.

Commercial Finance is extremely specialized. It is not like going into the nearest lender to you and asking for a generic flavor-of-the-day Commercial Loan and having it fit exactly what you need it to. Some lenders do Commercial Mortgages with a side of Equipment Lending while others will be really good at getting Equipment Deals done for Trucking companies, but also offer Equipment Financing on restaurant equipment, but are really lacking in regards to their termsThe Commercial Finance Broker will know about this and will be able to package your deal for the best lender for you.

Commercial Finance Brokers specialty is Commercial Lending products. Not Residential Mortgages or Personal InvestmentsCommercial Lending. It is their job to keep up with the new trends and guidelines so they can put your deal with the best funder. The Financial Products most Brokers deal in are Accounts Receivable Factoring, Purchase Order Finance, Export Finance, Commercial Equipment Loans or Commercial Mortgage. - 29936

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The Homeowners Insurance Policy

By Rudolf Hansard

Once choosing on a favorable quantity of homeowner's insurance plan primary you have to decide the estimated substitute rate associated with your house. Therefore, you should select the insurance coverage quantity that matches your requirements best. You might wish to select a insurance coverage quantity which is similar to the predicted substitute price. You might desire to think about the advantages of getting plenty of insurance coverage rather than "just enough" experiencing as exactly how it's nearly not possible to guess the upcoming and in these types of changing moments what could have practically never occurred in the area before might be the phenomenon which occurs tomorrow.

A homeowner's insurance coverage quote can be your main insurance plan in relation to damage created to your property. This insurance plan normally would supply meant for impairment to your property caused by windstorms, fire, explosions and hail also theft & vandalism. Whenever your property is getting not fit for habitation as a result of impairment protected by your insurance plan your homeowner's insurance coverage may also supply the required cash meant for you and also your wife and kids to survive in a different place as your property is under development or maybe improvement.

It's your decision to find out with your own insurance plan company concerning what losses have no protection by your own homeowner's insurance cover. Many advises may well grant divided state-sponsored catastrophe resources, for example the windpool department in which protects destroy because of hurricanes, hail, tropical storms and wind. Because of the fact that this insurance plan might be presented by the state much homeowner's insurance coverage may perhaps terminate policy cover and send you to their windpool so that you can receive insurance coverage handle wind-related loss. For that reason, every time finding your dream house located in maximum-risk hurricane countries for instance Florida, South Carolina, Mississippi, Alabama, North Carolina and Texas you will require take into consideration paying for windstorm insurance plan.

Other problems that may typically seriously isn't protected with a large amount of homeowner's insurance quotes is the flood insurance plan. The flood insurance plan is commonly purchasable on the National Flood Insurance Department regularized by a Federal Emergency Management Agency. All of this protects damage generated caused by extreme waters or temporary floods. Hence principally as long as a temporary flood can cause water to penetrate your property the flood insurance plan as opposed to homeowners insurance plan is going to cover up your difficulties. At any time you really don't recognize if or not your private home is situated in any flood probability place you may perhaps the desire to discuss with your current insurance plan vendor and after that set your own insurance quote consequently.

Finally , the load of analyzing and renewal the homeowner insurance plan lies on the owner of a house. It's essential to ensure you accomplish this occasionally to make certain that you sustain sufficient protection. Remain conscience of many upgrades you're making to your house no matter whether you've got recently remodeled or even merely bought brand-new furnishings or gadgets. You should also stay aware of inflation and also increases in house price. A house which was bought for $30,000 in 1974 could be valued at $160,000 in 2004. It's also smart to think about the year your house was constructed and the price of construction materials in that time. In case your house was constructed in the 1970s does the constructing code of the latest millennium permit for similar building specifications? Do not become underpaid in the occasion of a loss simply because you underestimated the price of your house. - 29936

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Auto Insurance Premiums - How Can I Pay Less?

By Dan Python

Most of us are used to spending our hard earned money on buying material assets which gives rise to the need of protecting them by having them insured against unforeseen circumstances. In the case of auto's that comes in the form of auto insurance premiums.

Factors That Will Influence How Much You Pay For Your Auto Insurance

The auto insurance market is a very competitive one and as a result you will find many different companies you can go with that offer you a whole range of different auto insurance policies.

One thing that can affect how much you pay on your auto insurance is the likelihood of your vehicle being stolen. Is it in an area with a lot of theft? Has it got a good alarm system fitted? Have you got a history of having vehicles stolen?

You could also end up with a high auto insurance premium if your vehicle was particularly expensive and had higher repair and general maintenance costs associated with it as a result.

If however your vehicle is not in a high crime area, is well equipped with alarm systems, is not a particularly expensive model and so does not warrant expensive repairs and maintenance, you really shouldn't end up with a high auto insurance premium.

In other words getting a low cost auto insurance premium starts with the right vehicle. Also naturally you should have a safe location to put your vehicle in when you're not using it.

There is also the question of paying adequate attention to your car, which will not only lower your auto insurance premium, but will also provide you pleasurable ownership of the car.

You must make sure that your vehicle is properly maintained, are your locks and alarm system in proper working order? Are your brakes working adequately? Do your tires have plenty of tread on them?

If you do this you will be far less likely to end up having to make a claim on your auto insurance which will keep your record in good standing and as a result allow you to benefit from lower auto insurance premiums.

You will also end up paying a reasonable auto insurance premium if you compare different policies of various companies and survey the market before deciding on a particular insurance company.

It is thus absolutely necessary to consider the safety, damage as well as repair costs and also the possibility of theft of your car when deciding on which auto insurance policy is best for your car. - 29936

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Is A Huge Sale A Dream Or A Nightmare?

By Wade Henderson

Ever worked on getting that big customer for months, chasing after then, long drives or flights to see them so you can win them over with your service and determination? Then have the worst thing that can happen in a situation like that you get the order and now you have to figure out how you can possibly fill it because the order larger than your total Operating Line of Credit.

This has happened to other companies and it can happen to you to. After you get over the initial rush of the big order and you think of all the cash that will be coming in, then you think How can I possibly pull this order off? You will need to hire staff, buy equipment, pay for materials and you do not have the money for that. That is exactly what happened to a company in New York State USA. The owner of the company just figured he would go to the bank and they would lend him the money he needed, but the bank declined him.

The customer in this case had to have 30 day terms on the invoice. To make it worse, the suppliers needed to be paid before they would ship the goods. Big problem. If you look at a 10 day delivery time on top of the 30 day sale terms, he would have 40 long days that needs to be gapped. With the though of having to refuse the order in your mind, consider this. What if there were a way to finance this gap in funding that would not involve major financial statements, appraisals and other types of documents?

The owner of the company did speak with some Accounts Receivable Factoring Companies but they were not able to help out due to the time lag between the timing of the advance requirement and the delivery of the goods to the customer. They could not Factor the Accounts Receivable until the product was delivered, and they could not deliver the product until they received an advance to pay for the product.

Through the use of a Commercial Finance Broker, a facility for Purchase Order Finance and Accounts Receivable Factoring was created. The order was able to be accepted which opened the door for future order from this customer and others just like them. - 29936

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Bad Credit Loans In The US - A Good Idea?

By Henry Ling

Many people are able to receive bad credit personal loans after bankruptcy, often as soon as 30 days following the discharge of the bankruptcy. Many companies have actually found a pretty good market offering these loans to their clients.

You see these companies rely on the fact that no individual after filing bankruptcy can do so again until seven years have passed and sometimes even longer.

This opens a new market where some lenders will take a chance of people with a bad credit rating knowing they have legal recourse to recoup the amount of the loan.

Even though many of the larger boys in this industry are simply not interested in this market these other generally smaller companies are taking the market very seriously.

The truth is there are no laws that govern people in a bankruptcy that stops them from taking on these loans, although it is true that it probably wouldn't be their first suggestion in their required counseling classes.

This means that there should be nothing to stop someone from searching out financial support in the source of a loan once they have discharged their bankruptcy.

Although bankruptcy records are open to the public, and their availability is often seen as an embarrassing punishment for ignoring past responsibility, the availability of bad credit personal loans after bankruptcy has many taking that route to get out from under a heavy debt load.

In fact some of these people who are not so fortunate end up going from one bankruptcy to the next every seven years. Even today with the new bankruptcy law in place this still happens.

The absence of a law against bad credit personal loans

There are a number of laws in place that govern who can give bad credit personal loans after bankruptcy as well as the amount of interest charged with these loans. However no such laws exist to govern who can apply for these loans.

It doesn't even matter if the person applying for a loan has already been in multiple bankruptcies. These loans come with high rates but even so this does not put off a lot of people.

It is the norm for lenders in this industry not to require collateral for the loan. The truth of the matter is that because of the legal recourse available which can include Wade garnishment, even when the loan goes into default the lender stands to make a profit.

Normally a court will make sure that a repayment is granted for whatever the loan amounts to including any additional costs involved with the collection should it default.

As with anything bankruptcy related, if you are bankrupt you must consult a lawyer in regards to this subject and carefully convey all of your options before making any decisions. - 29936

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