Business Advice: It’s OK to Get Help

If you are like most entrepreneurs, you like to do things on your own. You came up with a business idea and you want to execute that idea and turn it into a business all on your own right? You might look up ideas and tips, you might ask for advice from a respected mentor, but that is all that many are willing to do in terms of asking for and getting help. Here is some helpful business advice on how, when, and why to get business advice:

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Business Growth Planning: Scaling Through Technology

A very important part of your business growth planning includes learning to scale your business effectively. Planning ahead with the proper technology keeps your business from punishing your current customer base with growing pains.

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Key Business Advice For Securing Financing

securing financing

Securing financing is key to any business, especially a business that is growing or plans to grow. However, the minefield of applying for a loan is daunting even for seasoned business owners.

Banks want to loan, but have trouble finding creditworthy applicants. Banks make money by lending so it makes sense they would want to loan. The difficulty most businesses face is bridging that gap between what the company needs and what the bank wants. How does a business find the magic formula that will encourage a bank to loosen the purse strings and lend money?

It turns out the formula isn’t so magic, but it does take some planning and preparation. Here’s some key business advice on how to prepare a compelling loan package and securing financing you need to grow your business profitably.

Have a Strong Business Plan – Banks may want to loan money, but they also want to minimize risks. A robust, well-conceived business plan will go a long way to giving the bank confidence that you are prepared to run the business in a solid fashion, thereby reducing risk.

Know Your Numbers – Bankers love numbers, and well they should, because most of their decisions are based on them. Have a solid grasp on your cash flow and financial projections. Demonstrate to the bank that you know your business well enough to gain their trust.

Take a Long Hard Look – Don’t wait for the bank to find weak points in your financial picture. Before going to the bank, invest the time to look at your business plan, your financials, and your budget. Think about how you can improve your plan or make adjustments so your business is more creditworthy.

Build a Relationship – Banks like a proven track record. If you already have a relationship with a bank, this can be a big contributor to getting a loan approved. In fact, the survey by the Federal Reserve of New York showed that 75 percent of businesses approved for a loan had a relationship with the bank. If you don’t already have a relationship with a bank, start building one now to prepare for future banking needs.

Remember, running a business successfully does not need to be complicated.  Keep it simple!

For more valuable articles to help you successfully manage the challenges of growing your business profitably, please search our blog at our website www.portalcfo.com.

Business Advice: Three Mistakes Not To Make

When starting a business, shortcuts might present themselves that will be tempting to take.  However, being penny-wise in the beginning could end up costing you dearly a few years down the line.

Here are three items of business advice on what NOT to do when starting out:

  1. Skipping legal counsel – Unless you know business law then you do not want to proceed without legal assistance. Did you know: your trademark does not cover all uses of your mark when using the generic classification of goods and services?
  2. Forgetting the company’s value proposition – You started your business to help your customers, then began to doubt whether it would sell without something flashy: big mistake. You need to provide the best product possible to your customers because it is what they’ll associate with your brand. It could take years (not to mention the cost) to change the customers’ perspective of your brand if you produce something that seems impressive, but doesn’t offer any solutions.
  3. Doing it alone – This company is your passion and your life, you don’t want someone to come in and ruin your vision; and that isn’t what’s going to happen. Whether it’s getting a business partner, a CFO, or a business coach; having a second set of eyes will help make your company well-rounded and grow.

Remember, running a business successfully does not need to be complicated.  Keep it simple!

For more information on business analysis, business planning, and ways to grow your small business profitably, please check out our website www.portalcfo.com.

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