How A Business Loan Helps Business People

Overview:
Becoming a self-employed businessman is a great reputation in the society but the problems faced by the entrepreneurs from the day one of their business is enormous. It is a great challenge for a person to overcome all obstacles to become a successful businessman. The numerous problem faced by all is finance. Even great entrepreneurs of various industries have struggled a lot of financial crisis for setting up their business and to run their daily business operations. Thus finance plays a major role in the life of business people. Great ideas require the necessary financial support to bloom into a successful business.Introduction:
There are various sources for business people to raise capital for their business. The most trusted source is from banks. There are various reasons why people choose banks as the best source for raising capital for their business. Banks provide a lower cost of funds in the form of Business Loans. There are various types of business loans at differential interest rates to facilitate business people to solve their financial crises.Types of Business Loans:
Businesses are of different types and need finance at different stages of their business operations. The need also being different, banks help them in providing different types of business loans helping various small and medium enterprises to raise capital.New Project Loan – Banks are interested in funding for new businesses and also for new projects of existing business. There are various criteria for getting new project loan and differs from bank to bank. Project loans are approved against the collateral of the person like residential property, commercial property or empty land.Top-up on Existing Loans – These loans are issued for expansion, replacement, diversification of an existing business. These loans are approved for short term or long term basis to buy goods, machinery or any fixed assets for the company.Working Capital Loans -These loans are provided for the business to solve sudden financial crises and repaid within short durations. Banks are more interested in providing working capital loans against their inventories, stocks or receivable bills of the company.Secured Business Loan – Business loans in which companies raise their capital against any security for the bank. It may include plot, residential or commercial places, gold, shares, bills, insurance as collateral to get funds for their business. The interest rate is preferably less.Unsecured Business Loan – Every businessman cannot afford to pledge a security in getting the business loan, so bankers help them with loans without any security based on bank transactions and income tax returns. These loans are charged with more interest rates when compared to secured business loans.Requirements of the Banks:
There are various steps and procedures followed by banks to provide funds. The procedure and documents to be submitted to the banks as followsIdentity and address proof of the company – Address proof and identity proof of partnership or proprietor business.Statutory legal registration of the company – Whether the company is legally registered under government norms and have followed all procedures legally in setting business.Financial statement of the company – Every bank is interested in seeing the recent 1-year business transaction of the company.Income tax returns – ITR helps the bankers to check the business performance, efficiency level, assets and liabilities of the company and also tax that company pays from their current earnings. This also plays a major role in deciding the loan amount for the business people.Financial Security – It includes the fixed and movable assets of the company which helps the banker to consider providing business loans based on the asset value along with the business transactions. This also safeguards banks from the failure of businessmen that fail to repay the loan amount.Previous Loan track – This is a very important factor considered by banks which will help them evaluate the financial condition of the business and also to check on past repayments on loans.Litigation – It will help banks assess the character of businessmen before providing a business loan.Takeaway:
Though business loans are found to be a great source for raising capital, businessmen undergo challenge in getting timely funds from the banks. In order to help them in availing timely loans, even NBFC is also now prepared to help them with funds at various stages of their business. Banks & NBFC have also made the lending process easy, with all verification done in shorter time-span, doorstep assistance in collecting documents etc. Businesses with good cash flows & credit score can avail timely funds with much ease.

Marketing Theory Without Execution: An Idea With No Follow-Through

An ongoing debate exists in the marketing industry that begs the following question: Is it more important to devise a marketing strategy or to execute actions to achieve your goal?There are good arguments all the way around this debate, but when it comes down to it, the answer is really… neither. You simply can’t be successful without either one.The problem, however, is that many companies, consultants, and marketers do a lot of “theory” and talking, without taking it beyond that. They can sit around and discuss all the latest marketing tactics and even try to put them in place, but in the end, it’s all for naught if they don’t develop a solid strategy and execution steps to make it work for their business.It’s like school-you can sit in a classroom and learn all the information and theory that is taught to you, but what good is it unless you can apply it in real life? We all know this, but as marketers, we forget that it works the same way. Understanding theory is helpful, but you need to know how to develop a strategy and execute that strategy to actually see results.From Marketing Theory to Strategy & Execution
Successful marketing is really a 3-part process that involves following sound marketing theories, creating a detailed strategy, and executing that strategy. Let’s look at each of these steps in more detail.Follow Sound Marketing Theory
Marketing theory is the science of marketing. It’s the “rules” and guidelines we follow. It’s the methods we use to form our strategies.Marketing theory can lead to strong marketing strategies, but too often, we get stuck on the former. We might feel as though we are getting things done by talking and learning about various types of marketing theory, but in essence, we are just spinning our wheels.Mike Roach, CEO of CGI, was quoted as saying, “Strategy without execution is a hallucination!” If that is true, then marketing theory without strategy and execution is psychosis. It’ll get you nowhere.Create a Detailed Marketing Strategy
According to strategy-business.com, a strategy is “the series of choices you make on where to play and how to win to maximize long-term value. Execution is producing results in the context of those choices.”Your marketing strategy is your map. It’s like a light shining in the darkness, guiding every decision you make. Without it, you’re driving in the dark without headlights, expecting to find your destination and not crash in the process.Your strategy shines a light on the road ahead, making it clear when you could veer off a path and driving you forward in the right direction. With it, you’re able to work your way around your obstacles, follow your objectives, and illuminate the choices that will get you to your goal efficiently.According to the Small Business Association, only about 50% of small businesses succeed within the first 5 years. It’s not that businesses don’t have some sort of plan in place; the problem is that most small businesses don’t have a clue how to map out a plan that will lead them to success.They don’t have a strategy that is based on sound evidence, data, and experience. Instead, they read a lot of marketing theory and try a lot of different things.That is not the same thing as having a strategy.Without a sound strategy, companies struggle to keep up with their competition, they miss opportunities that would lead to better results, and they win fewer customers.Execute Your Marketing Strategy
Execution is what seals the deal. Without it, no strategy will be realized, which is why it’s crazy that so many companies create a business plan and then file it away in a binder on a dusty shelf.We know that we can’t get anywhere in business or life if we don’t take action, so too often we find ourselves spinning our wheels moving from idea to idea. We’re taking action, but it has no real strategy behind it.When we skip over strategy and start executing based upon abstract marketing theory, we’re shooting in the dark hoping we hit something, but we rarely hit the thing we want to hit. Unfortunately, that’s what too many companies are doing.We should use marketing theory to inform our decisions and help us plan our strategy, and when we do that, our execution will be solid.Why Companies Struggle with Marketing Strategy & Execution
There are so many reasons why it’s easy for companies to struggle with strategy and execution…Where to Start?
Right off the bat, it can be downright scary to figure out where to start when it comes to drawing up a strategy and executing it to success. Digital marketing has become more and more complicated as new technologies and opportunities keep cropping up.With so many options, how can companies choose? How do you know which marketing ideas to subscribe to and which ones to ignore? Just because one marketing theory works for one company or even thousands of companies doesn’t necessarily mean it will work for another company.How to Maneuver the Marketing Paradox of Consistency & Change?
The fact that marketing is ever changing makes it that much more difficult to execute a sound strategy. How do you know where to place your time, money, and energy? And what if you put all that effort into 1 or 2 marketing tactics and then they lose their effectiveness?How do you create something concrete that is ever changing? How do you know when to be flexible and change your marketing plan versus when to stay steadfast? After all, remaining consistent is essential when it comes to digital marketing, but so is changing with the times. It’s a paradox that can be difficult to maneuver.How to Know (Not Just Guess at) Who Your Customers Are?
Most companies don’t spend enough time discovering who exactly their customers are to be able to draft a marketing strategy that will lead them to success. It takes customer data, assessments, feedback, and a lot of investigation to really get to know your customer, but knowing how to compile all of that information can be overwhelming.Since different marketing tactics should be used for different customers, knowing this is essential, but too many companies guess at who their customer is rather than knowing them in depth.How to Bring It into the Everyday Details?
Understanding how to integrate your business plan into daily work is not as easy as it might seem. As a result, decisions are often made without the consultation of the marketing strategy, and that means they are not likely to be in alignment with the strategy.Methods need to be put in place for sharing the company’s marketing strategy with all team members and keeping them on the same page. This ensures the company’s message and interactions are carried out consistently. Expectations and follow-through need to be set up so that there is no duplication, which only leads to wasted time and money. Every decision should be made with the strategy in mind.How to Not Let Everything Else Get in the Way?
Especially for small companies, one thing or another can come up that gets the business owner off track, and unfortunately, when that happens, marketing tends to move to the back burner. Unless time is dedicated to each and every week to working a marketing strategy, forward movement in business is highly unlikely.The Solution
Look, here’s the bad news… For most small businesses, overcoming all of the obstacles that get in the way of creating and executing a sound marketing strategy is not really feasible. Without an in-house marketing team that is skilled and dedicated to marketing planning and execution, it is understandably difficult.But here’s the good news… That’s why most small businesses turn to marketing experts for assistance, and when they do, their business explodes.It is so important to partner with a company that can do more than just talking about marketing theory. Your marketing partner needs to be able to come up with a solid strategy and determine which tactics will best fit that strategy for your unique business.By moving from a marketing theory focus on a strategy/execution focus, you can move past your obstacles and charter the course to success.

Biggest Mistake When Starting An Online Business!

Are You Ready To Face The Hard Truth?Affiliate marketing is a great way to start an online business. Many successful online business owners have used affiliate marketing to launch their online businesses. After achieving a certain level of success, they specialize in their interests and start other businesses.I know of affiliate marketers who have achieved high incomes; however, even though it may be a great way to get started this should not be assumed it is easy.Affiliate marketing is not easy, although you can find mentors who will help and guide you so you can prevent making the mistakes, which in itself will accelerate your learning curve. However, there is still going to be a learning curve and a lot of work.One of the biggest misconceptions I believe out there in starting a business online is, ‘people set up and affiliate program or website and then sit back and expect the money to roll in.’Although to most this seems ludicrous. Yes, you will be correct in thinking that this type of thinking is ludicrous, people are still doing it, and subconsciously this is precisely how they think.They set up their affiliate program, website or blog, then start doing excellent work. As the results aren’t quick enough, they become distracted by the next big thing or stop believing that this business they have just started will work.There are good reasons for people to have this behaviour and belief system. The internet business opportunities have taught people for years about money-making opportunities and get rich quick schemes that have littered the internet since time began, (online that is).The making money online it’s easy, sit back and watch the money roll in, earn millions while sleeping or working ten minutes – all these tag lines.These taglines are correct, but only after a lot of work has done to set this business up to be at a stage where you will be making money in your sleep, etc.The reality is, if you want to start a business online, start making money online – you are going to have to put in a lot of work. Yes, you read correctly. You are going to have to put in a lot of work. Let’s face it. You are starting a business. Especially in beginning a business you are going to have to do a lot of work to get it up and running.There is going to have to be an investment. This investment would either be time, money or a combination of both. Just remember you are starting a business. Starting by not investing a lot of money – you would need to spend a lot of time. The reverse is true. The best option in my experience and from the mentors I follow is a little of both – time and money.Good mentors will help and guidance along the process, saving a lot of hassle, time and financial waste. However, you will need to be able to find these mentors, that could be difficult enough with every other website promising the world on a push button get rich quick scheme.I am thankful for being introduced to my mentor and have not looked back. When I met him, he told me I was going to have to do a lot of work. He didn’t shy away from this fact. I will have to put in the time. He also told me very clearly that I will have to invest some money.After all, I am starting a business, and these are two aspects many don’t mention or want to hear. The result is they get caught out and lose interest or end up losing money, wasting a whole lot of time only to have nothing to show for it. Therefore in the process, their confidence in any future online business in tatters.So if you can be honest with your self, you admit that you are going to have to put in some real work and invest some money. If you understand this simple point, you already have an advantage over most people who start online.Surprisingly today, people are still looking for that golden egg or easy money.No, it is not all doom and gloom. Although I don’t think that what I have just shared is doom and gloom, instead it should be a breath of fresh air and should fill you with excitement as I have just told you that if you are willing to put in the work and invest some money and stick with it, you will be successful.Now mentors like mine who have genuinely been successful in the area that they teach and have a passion for teaching others are invaluable to people who want to start a business online. You will be able to learn how to do things the right way rather than have to figure it out yourself. They will have developed processes and tools that they pass on to speed up the process and help build, once again, you don’t have to improve. However, more importantly, they will be able to guide and mentor you and invite you into the community they have created where people are helping each other to achieve their online business goals.Let’s admit it the first time you mentioned that you were starting an online business to your closest and dearest, be honest they were probably not that supportive and filled with excitement. Now that alone is one step closer to defeat for your online business dreams. However, with a ready-made community that are all interested in you succeeding in your online business goals and more often than not can help and guide you along the path to success, continuously encouraging and supporting you.If you would like to get introduced to my mentor who will tell you like it is, he will show you how to genuinely start and achieve success then click on the link below. I will send you a three-part video training from him that will show you the quality of the mentorship you will get, and it will show you the quality of the training you will get. It will show you the honesty and easy to follow precise instructions.I highly recommend this great community, combined with the mentoring program. I have personally been trying to achieve success on the internet for many years. I have fallen for probably close to every scam, which eventually crushed my goals of ever having a business online. A guy introduced me to my mentor through this same video training I am offering you right now for free. Have a look and make your mind up. All the best with your online business endeavour, I sincerely hope you can put in the necessary work and achieve the success you desire for yourself and your family.P.S.With this mentorship program, you will not get forced into selling their products and services. What I liked most of all is that the strategies they teach they even encourage you to focus on your interests and passions and start your business in those spaces through their mentoring.