Monthly Archives: January 2008

How you can get approved for a business loan

Lack of funds can often be an important critical factor towards the growth of a business development. If you have faced the same situation or are going through it, know the fact that you are not the alone struggling through this phase. The latest business statistics show that the faster a company grows, the more it becomes under-financed. Thus, it becomes important for people who have started a new business to have enough funds ready in their stock so that they can meet the needs during the deficit period.

Lenders and banks will do a personal check of your personal credit history before approving any kind of loan to you. It also plays an important role in the status of your business loan. You need to know the five important steps through which you can convince them to offer a loan for your business.

  • Develop a solid business plan: You can persuade the bank to offer a loan by showing them something which will persuade them to offer the loan to you. Then planning out a well business strategy is the next step to go for. Explain your business in a well thought descriptive manner so that the bank knows the idea of your business. Banks mostly look at the executive summary of your business plans so that they can think about offering the loan to you. If they can judge that your business summary is somewhere related to their summary, they will offer you the loan.
  • Invest your own personal money: if you can invest a major chunk of your money to the bank for starting up your business, they will be more serious towards financing for your business.
  • Rent instead of buying: banks are interested to work with those businesses who rent their business space as opposed to buying the property outright. The reason behind this thought is that banks will prefer you to spend money on items that can generate potential income such as inventory and equipment.
  • Review your credit report: banks will review your credit report and this is the most vital step to show your business. Go through your credit report and try getting any negative items removed before starting up the application process. Banks use personal credit history to check if you can pose as a risk to their finance. If you find an error on your credit report that is affecting your credit scores, contact the credit reporting agency and get it corrected. Sometimes, your credit report will show a legitimate late payment on it. If this is the situation, write a letter and explain how it happened and what steps you have taken to rectify the situation. You need to explain everything to your bank who will be offering the loan to you.
  • Utilize local banks: many new business owners go to the big banks of trying to get a loan from them because they believe that they have more money to finance for your business. You can always apply for a loan with some of the lesser community banks. They will be happier to finance for a business that’s in their local area and they can give you much more personal attention than a big bank and you can sell your idea to them in a much easier way.

Why to trust a real estate agent when buying a home

If you are led to believe that you can save a lot of money if you purchase your next piece of real estate on you own, you are making a wrong move. If you chose not to be represented in real estate transactions, you are actually taking a risk in the price factor. When you go unrepresented by any professional, you actually take a huge gamble and risking time, money and the best interests. You should always choose to take professional help from a real estate agent. His services are absolutely FREE! The buyer never has to pay anything to the agent. He is paid by the seller who sets the payment of the commission before the listing was ever marketed. This means that the seller is going to pay the agent a pre-determined amount irrespective of the fact that the buyer has an agent or not.

You don’t have to depend on the services provided by the real estate agent. You can also take the help of an attorney who might charge you a fee between $250- $600. As a matter of fact, why do you want to spend money on something that you can get for free from a real estate agent?

Most people don’t know how to negotiate and don’t have the complete market knowledge because of which people end up paying more for the real estate than if they had an agent to guide them. Thus the portion of money that could be saved can be used towards furnishing the new home, office or build on the new land. The market always keeps fluctuating. Real estate agents are always aware of the latest facts. They are always updated of the next roadway construction, new builds, community projects and more. Buyers always rely on their eyes and are not updated of the current events in the market prices. The real estate market always keeps fluctuating and it’s the real estate agent’s duty to relay those facts to their clients.

Time is money! Agents do the base work for the buyers as well as for the sellers. Realtors are updated with the most current information that the public may not be even aware of at that time. A professional real estate agent has been into this networking since a long time and knows about the next greatest property.

Real estate agents have to perform a lot of fiduciary duties to their clients. They always try to put the best deals in front of their clients so that they can make the best decisions. They act like a buyer’s security blanket under which the buyer rests peacefully. Sometimes, buyers don’t know the questions to ask when buying a home or the concerns that matter the most. A good agent will inform them of the points that may not have been thought by the buyer. He will provide answers to all questions and the perfect source of professionalism. When you are in the hands of a good real estate agent, you can put your complete trust on him. Utilize the agent’s services. They won’t charge you for every minute like an attorney. The services of the real estate agents are free, so make the best use of it. Be protected otherwise you could end up making a costly mistake.

How to waive off your unsecured debts.. Legally!!

I am here like any of you who are having a hard time with growing credit card and unsecured loan debts. I have been to that dark side of the world with an ugly picture. I will tell you my own experience and how I have managed to come out of the dark world. I can assure you that my experience will be beneficial if you are going through a lot of financial stress each day.

I have grown up in a very poor family where I didn’t get a chance to enjoy the nicer things in life. I was the youngest of my twelve brothers and sisters. My mom used to work very hard to feed all of us. Dad was an alcoholic and he spent all the money on booze and women. We never had nice clothes to wear. My mom used to keep our old clothes neat and clean and mended though. We had no running water supply in the country where I spent my childhood. Most neighbors had outside wells. We didn’t have one. Our neighbors used to allow us to pump waters from their wells in return to dropping water cans to their houses. Mom used to heat up the water that my brothers used to bring home and arrange our bathing. Today, my children don’t have to go through the same problems that I had to go through and I am happy for it. They get to enjoy nicer things of life. As parents, we always try to give happiness to our children. This is what I intended to do for my family.I work in a factory. I don’t get all the comforts but still I can manage to keep my children happy. I work overtime as long as I can. If I turned any overtime down, I will always feel very guilty of having done so. The idea was to work hard as much as possible and then save. Good things to happen will follow. I never had a good home in my childhood. I always wanted to have a good house because if I invite my friends to come over to my house, I don’t have to feel embarrassed because of not having my house clean and too old to show to anyone. I never wanted the same thing to happen for my children. I didn’t want them to go through the same embarrassment that I had to go through in my childhood. I have a great understanding with my wife and we share the same dreams of having a dream house someday.As years went by and children started to grow older, the dream seemed to fade a little. Life was taking us in all different directions. There was no extra money available for us. The home that we had always needed some kind of repair. It seemed that the money that I earned never seemed to be enough and all was going towards repairing the house. Our children were becoming matured and we felt the need to sell this house and buy a new one. The money that was going towards repairing this house can be used towards buying a nicer home. So we went shopping for our next and hopefully bigger house. To shop for a new home was an exhausting experience. There were so many houses and so little time to look at them. Most of the time, we were looking into realtor books, traveling from one house to another and at the same time, show buyers our own home that we were to sell. It was no fun! There were plenty of houses to finalize but could never do so because of some reasons or the other. There was a brand new sub division of homes opening up in our area and we thought to take a look. Our mouths dropped in awe as we walked around in a daze. It was an absolute dream house. A house that we could never afford! The realtor knew how to talk and convince. He literally sold us!Things were going to be tight in the coming days but we would just buckle down and make this thing work. Having this new house was like a dream come true. I promised to my wife of working overtime to be able to live in the new home. Finally, we moved to our dream home. Gradually, we started having all new expenses after moving to the new home. We didn’t have a lawn in the new home, so we thought of making one and this increased our expenses because we wanted to make the lawn pretty. We installed an in ground sprinkler system. We wanted to show our neighbors that we had a good lawn. It was nothing but pure temptation of showing good!Next, we needed a nice wood fence because we can’t keep a cyclone fence in this nice neighborhood. Moreover, putting cyclone fence would be against the rules of the association. The place where we lived in didn’t have city codes, so we needed to follow the rules laid down by the association. This meant adding up more expenses to my limited income. I had to come out of my dream haze and into the nightmare reality after having this dream house. Expenses just coming in, sources of income were tight.

Then, it was time for me to get a home equity loan and needless to say, I completely maxed it out. Charges kept piling up and I was never able to keep it down. I was working all extended hours to bring more money to home. I continued doing this until five years and then everything came to a stop. The factory where I was working shut down. Now, we were in desperate need of paying off our debts. I was in desperate need of a debt settlement program that can waive off my bills. The debt settlement company promised that will lower our existing interest rates and therefore lower down the monthly payments. It sounded good to hear! The last thing that we saw happening was to default on our bills. That’s why we saw the debt settlement program to be the perfect choice for us. We immediately got three months behind with our creditors who were ready to help. We were getting regular phone calls from almost all creditors. Our debt settlement company assured us that the calls are going to stop since they have already sent the power of attorney. They will do all the negotiations regarding our accounts and pay off the settlement amount. Slowly, we started to see them settling our accounts with the smallest balance. We started to build more trust on them since they were keeping us updated on every account and the negotiation process. Slowly, we started to see our total debts shrinking to a smaller amount and finally we became debt free. It was a long road that we had to cover with a lot of terrible experiences. But now we have a fantastic feeling to be on the road to financial recovery. Now, the last thing that I need to do is to sell this dream house that turned out to be a nightmare. After it’s sold, I will look great.