3 Major Reasons to Secure Funding Now!

There are signs within your business telling you it’s time for funding (cf ‘5 Indicators It’s Time For Funding’). But there are also external factors and trends weighing on your ability to leverage the cash. Here are 3 major reasons to secure funding immediately: Threat of Government Shut Down The Office of Management and Budget (OMB) states that these are the risk to small businesses as a result of the government shutdown. Federal loans to small businesses, homeowners and families in rural communities will be put on hold. Private sector lending to individuals and small businesses will be disrupted, because banks and lenders will not be able to access government income and social security number verification services.   Interest Rate Hikes Transcript from a PBS interview between Anchor Hari Sreenivasan and Eric Platt, Financial Times Reporter states: Rise in interest rates impacts businesses access to capital and increases cost. Also impacts consumers and businesses decisions to incur debt, thereby reducing businesses selling capacity.   End of Year Tax Benefits Interest from loans and equipment purchased/financed before the end of the year may qualify for tax deductions and possible accelerated depreciation: Equipment purchases are eligible for Section 179 deduction treatment: 2015 deduction limit of $25,000 (normally $5,000) 2015 spending cap $200,000 Must be financed/purchased and put into service by the end of the day, 12/31/15. Tax deductions for interest paid on loans for businesses.   You have always heard that he with the cash makes the rules! By capitalizing now you will be positioned to take advantage of lowest rates currently available, cash flow to manage inventory to buy in...
5 Biggest Obstacles Impeding Your Small Business Revenues

5 Biggest Obstacles Impeding Your Small Business Revenues

Congratulations! You have launched your business, which is an accomplishment in itself. Yet the work is far from over. As an entrepreneur, you are constantly engaged in building your business and increasing your revenues. You will encounter many road blocks. Here are the 5 biggest obstacles impeding your small business income: 1. Acquiring new customers We all have heard that people do business with people they know, like and trust. Yet to grow your business, you have to attract, convert and close new customers that do not know you and have no reason to trust you. “Anyone interested in my services” is too general of a statement. By targeting a specific audience, you are not excluding people, rather focusing your resources and energies at a higher level to attract a market that is more likely to buy from you than any others. 2. Honing in on your competitive edge When looking at your competitive advantage, you inevitably compare your products and performance to those of your competitors. Yet spinning your wheels searching for all the ways that you are “better” will not advance you very far. Your distinction is not defined by your competitors but by your best customers. These are the customers for whom you made a difference, for whom you were the only answer. Learn from them. 3. Undervaluing your product/service To grow their market share, small businesses often sacrifice their revenues by undervaluing their products/services to reach a wider audience. Such tactic requires patience and a lot of capital for no guaranteed success. A more sustainable route to build your business is to create more value...

Funding Broker Vs. Direct Lender

There will come a time when you will seek capital to help grow your business! It is important to understand that you have options, choices and you decide what, how, when, who, where you receive the capital from. Options mean what types of capital available to you. Choices refers to programs, what type of capital you want, how refers to amount of capital you need, when refers to when you would like to receive the capital, who refers to which company you want to do business with and where refers to lenders location, ability to service, etc. In understanding this we have assembled an overview chart of broker vs. direct lender to educate you so the best decision can be reached. Here is why you should consider each: Options: Brokers will have multiple lenders for multiple loan products. Multiple lenders means better bargaining position regarding rates, terms and fees. Direct Lenders will only have access to their loan programs.  As brokers Altima is consistently able to achieve better terms, rates, etc. for our clients by negotiating one lender against another. Timeliness: A brokers ability to quickly place an applicant with the correct lending source based on lenders criteria means quicker funding. Direct Lenders have to lump everyone into their specific guidelines and if you don’t fit, they cannot provide you with the necessary funds, meaning wasted time. Every lender has a different risk tolerance and appetite. I.e. Construction Vs. Retail, 800 Fico Vs. 520, etc. It’s important to know this for effective and time efficient outcomes. We research lenders loan programs to ensure borrower meets their guidelines for faster...