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Since lenders or banks lend only against your creditworthiness, it does makes sense for you to know what factors determine your credit score. Read on to find out what affects your credit score (which is based on your credit report information) and how you can get working capital on loan even with a bad credit record.

What Goes Behind Your Credit Score?

What Goes Behind Your Credit Score?A credit score is primarily based on credit report information, typically from one of the three major credit bureaus, Experian, TransUnion and Equifax. Since lenders or banks lend only against your creditworthiness, it does makes sense for you to know what factors determine your credit score. What Is A Credit Score? Based on the snapshots of your credit report, credit score is the number arrived to summarize your credit risk. It ranges from 300 to 850 and helps a lender to determine the risk level. Or we can put it like this, if I give this person a loan, how likely is it that I will get paid on time? There are different methods of calculating credit scores. FICO is one of the most popular credit scores developed by Fair Isaac & Co. The higher is the FICO score the lower is the risk for lender. What Affects Credit Score? Your credit reports contains many pieces of information that reveals certain important aspects of your borrowing activities mainly focusing on: Late paymentsThe amount of time credit has been establishedThe amount of credit used versus the amount of credit availableLength of time at present residenceNegative credit information such as bankruptcies, charge-offs, collections, etc. Bad Credit Small Business LoansSeeking loans with low or bad credit score can drive you up the wall. The mainline lenders may simply reject your loan application while the others from subprime market may charge you extortionate rate of interest on your bad credit small business loan. In case you are an entrepreneur and need new business loan for growth or expansion, bad credit can put you in pickles. In such a scenario, its better to go for cash advance option that is provided irrespective of you credit history. Such cash advance is given against your future credit and debit card sales. What Is Cash Advance Option? Cash advance is a small business loan approved against the monthly amount you process through credit card sales. Cash advance lenders do not ask you for your credit rating and can pre-approve your loan within 24 hours. A mutually agreed upon percentage from your daily sales through credit card processing goes to the lender automatically as repayment of the loan. How To Increase Your Credit Score? Your credit score cannot be improved in short run but a few steps can help you improving your credit rating over a period of time. Here are a few tips: Pay your bills on time. Late payments and collections can have a serious impact on your score.Do not apply for credit frequently. Having a large number of inquiries on your credit report can worsen your score.Reduce your credit-card balances. If you are "maxed" out on your credit cards, this will affect your credit score negatively.If you have limited credit, obtain additional credit. Not having sufficient credit can negatively impact your score.

Prosperity System Network for Auto Wealth Generation

Prosperity System Network for Auto Wealth Generation

Have you always struggled to find the right home based business or the right coach? Though there are plenty of home based business opportunities floating around amidst a lot of hype, it is difficult to locate one that really fulfils all of the tall promises it makes. My hunch is you might have also passed by some MLM gimmicks OR some others might have made the going tough.The very reason you are reading this page is, you have had enough of the BS! Here is a legitimate home based business opportunity that actually lets you build your fortune with less startup cost and very less effort. Unbelievable as it may sound, at the Prosperity Automated System (PAS) is a real massive money maker from actual sales.PAS proves that Internet Marketing in direct sales has come of age generating real good cash. PAS takes all those online marketing work which make the conventional marketing over the net really boring and unyielding, and generates only prospects, i.e., real buyers. You are backed by Prosperity System Network that does everything from generating leads to closing the sales for you. It combines the creativity of man and the speed and accuracy of a machine.PAS has eliminated the drawbacks of conventional multi level marketing in successful home businesses. There is no fear of rejection. It has been built to employ the maximum possible automation capability of the internet. It is innovative, subtle and high yielding. It is just like any other home business but beats them all in income generation. PAS has lessened the burden from your shoulder. After registering yourself as an affiliate with the System. You can be at leisure and still making monster profits. The prospect network system and team leaders are always with you. If you have nothing to sales you can sell the system itself and the pay line created by PAS will numb your mind!

Disaster Preparedness in a Post 9/11 World

Disaster Preparedness in a Post 9/11 World

So much has changed in the last several years after 9/11, and yet most businesses are still inadequately prepared for disastrous situations. Not only are they vulnerable from the threat of terrorism, but from security and natural disaster standpoints as well. While a terrorist act poses a substantial threat to business operations; data loss, internal and external theft, floods and fires can be just as harmful. Unfortunately, of the few businesses that have some semblance of a disaster preparedness plan, there is still little consideration given to business continuity management. When disasters happen, not only do businesses need to be prepared to immediately offset the effects of the detrimental event, they must do so while maintaining core operating functions. Disaster preparedness without continuity management can be likened to fortifying a strategic position without a progressive plan of action. What can make things more complicated is the tendency for businesses to implement a disaster preparedness plan without fully considering the consequences. A good disaster preparedness plan shouldn't hinder a businesses ability to continue functioning. Initiating a disaster preparedness plan that will protect the interests of the business should be an all inclusive affair, with due diligence given not only to limiting damage from the situation at hand, but to keeping operational status. Given the uncertainties faced by businesses in the post 9/11 world, continuity management can often mean the difference between success in the face of adversity or a complete loss of business. So often, companies take steps to limit their loss liability, but rarely consider the fact that most loss liability can be avoided altogether with the proper safeguards in place. A well thought out "business continuity" management plan, which should include a contingency centered around disaster preparedness, can prove triumphant in the face of what would otherwise be considered tragedy. As the old saying goes, "An ounce of prevention is worth a pound of cure".

Do Small Businesses need websites?

Do Small Businesses need websites?

Should Small Businesses have a web presence?In one word, yes! The internet is the most effective marketing tools in existance nowadays, have the capability of reaching far more people than any leaflet drop or advertisement in the local paper ever will. Should you produce your own website?It all depends on your skills, if you have the ability to produce a site that looks good, then go ahead, it will save you money and will work wonders as a marketing tool. However if your skills are limited or non-existant then we'd say no. Why? No, not because we want your money (although we don't mind if you want to give it to us...), because if your site doesn't have a professional look to it, then it is going to reflect badly on your company's image. Do you need to spend lots of money?It really depends on the size of your website, if you're looking simply get a presence on the internet, then you can easily get something for around 250 if you take the time to look, if you're really getting into the idea of being online and effectively having your shop exist in cyberspace you're going to be looking at more money, however even then, there are many self-build options such as Ekmpowershop. What content do you need?This all depends on what you want from being online, if you want to sell online, have your products online is going to be very useful! If you're just looking to get your company online, then there are TWO elements that we believe are imperative: Information about your company How to contact you Without these two no-one is going to know who or what you are, with the former being your chance to sell yourself. Remember when people look at websites, if its well designed they won't know if they're dealing with a multi-national company or a one person organisation, this is your chance to play alongside the big boys!! What to do now?So you're convinced a website is the way to go? Excellent, this can only be of benefit to you! Now you've got to find a designer (there's one right here!!!), things to keep in mind when looking is what kind of style are you looking for, find some websites that you like then find some designers and see if they can produce something along that line! If they can, you're on the way to bringing into being what can be one of your best employees!!

Business Tools to Help You Run a Successful Business

When setting up a business, even the best prepared among us will struggle to do everything and remember everything. It is very unlikely that we will understand all of the financial and legal ramifications of a new business, especially when we need to concentrate on getting that elusive first sale or completing the first contract. It isnt always feasible to employ an accountant and a solicitor as well as a secretary, a salesperson and any other workers needed in the daily running of the business. So, we need to be able to diversify when setting up a new business and the best piece of advice anyone can give you to help is to make the most of the widely available business tools on the market.Financial Documents and ToolsAn accountant is a very expensive commodity that many new businesses can afford full-time. It is down to us to undertake as much of the financial side of things as possible; a daunting task indeed. There is help at hand in the form of "business tools" .Spreadsheets have become immensely powerful and can do much of the financial work that any business needs, even invoicing. The Internet is awash with free standard documents for almost any occasions; if you arent proficient at doing this yourself, you can find balance sheets, daily cash sheets and almost anything you could need.The Legal MinefieldMention legal documents to a new business owner and most will curse you. Again, paying for a lawyer to create all your contracts and other legal documents is a cost that new businesses may not be able to afford. Look at other contracts, get ideas off the internet and take a look at the standard contract and terms and conditions guidelines and when youre ready, book a session with an affordable attorney and let them look over everything. This way you will only pay once and get all the information you need for an affordable price.It is important that you get any legal documents checked at least once. A poorly written contract can cost you a lot more than the lawyers fees.Human ResourcesHuman Resources, or personnel as it was once known, will become very important when you start to employ staff. There are a lot of rules and regulations to abide by as well as a lot of extra information to store that is both important and confidential.You can get time and attendance software, standard contracts, standard terms and conditions and software to look after your payroll details.These are just a few tools available to new business owners. To do a job right requires the right tools. It is better to spend time researching your options first to find the right tools, than to get yourself into a real bind attempting to do the job with the wrong (or no) tools. You will find that the time it takes to get the right tools will pay off time and time again.

Guide To Small Business Factoring

Factoring is becoming a popular yet not so well known tool in the arena of small business. It is an important way of keeping cash flowing through the business when invoices are delayed or accounts receivable are higher than the money in hand. Basically factoring helps you get cash for your business without having that time delay from the time you issue an invoice. They also provide you with collection services and sales ledgers that can be helpful as well. If you are a small business owner, then you should consider this guide to small business factoring as a way to fund your business month to month.How does factoring work? It is easy and yet complicated all at the same time. The factor will generally manage your sales ledger for you while also providing you with colletion services for all outstanding invoices. Typically you will be loaned 80% to 90% of the total amount of the invoice. You will generally receive the money within 24 hours of agreeing to the services of the factor.Factoring for a small business does cost money, though. Usually there are a couple of different costs you have to consider. A service chare will usually cover the management of your sales and collections. The other charge is a percentage of sales factored as well as an interest charge of some sort on the cash advance the factor is giving you. The interest rates, obviously, will depend on your companys credit, the credit of the invoiced companies, and the institution you factor through.No guide to small business factoring would be complete without telling you want to look for in a factoring company. Obviously you should look for a stable financial institution that will be able to support the business. You should also look for good terms and a company you are comfortable working with since there will be plenty of interaction. Finally, you may want to consider a company that will give you internet access to your accounts. You can easily track the ledger, sales, collections, and your factored amounts that way.It is also important to understand that no two factoring companies are completely alike. While much of what this guide to small business factoring has explained is typical, there are exceptions to most every situation. The best thing you can do for your business with regards to factoring is research the companies you are considering. Think about what you need and what you want and what everyone is offering you.A guide to small business factoring can never be complete. There are too many ins and outs when it comes to almost any financial transaction. There are also a number of variables involved like current interest rates, your credit rating, reliability of your invoiced companies, and many other things as well. Before you ever agree to a factoring relationship, make sure you understand all terms as well as how long the contract is for and what renewal terms are. Protect yourself and do your homework and you can use factoring as a way to keep your cash flowing.

Summary

Since lenders or banks lend only against your creditworthiness, it does makes sense for you to know what factors determine your credit score. Read on to find out what affects your credit score (which is based on your credit report information) and how you can get working capital on loan even with a bad credit record.