Month: April 2021

One Thing Banks Do Want to Finance – Owner-Occupied Commercial Real Estate

As bad as the economy is and even though the slow climb out of the recession is probably going to cause more small businesses to fail, one particular item that banks are still willing to finance is owner-occupied commercial real estate. Most other types of credit for small businesses – working capital being a prime example – have become very difficult to get. But for businesses that might be doing well enough to qualify for financing and are currently renting their space, this is one of the best times in a very long time to buy a building.

The commercial real estate crash, with overall commercial real estate prices down almost 40% below their peak in 2007, has created a large supply of buildings at prices lower than have been seen in recent memory. To a bank, a building occupied by a business owner is about as good a risk as can be found in today’s economy. Then add to that the fact that even though there may be a little more downside left in prices, there is much more upside potential as the economy continues to pull out of the recession. So add together an unusually large supply of buildings, and banks aggressively competing for this type of business, and a business owner has a real opportunity at this time to acquire space to grow their business.

Making it even more attractive for banks that are comfortable with SBA lending is the fact that banks can get 75% of their loans guaranteed, so SBA loans become even more attractive as a means to accomplish a building purchase. And for the potential business owner-borrower, the fact that SBA allows a 25-year amortization on commercial real estate usually means lower monthly payments on loans that also cannot be called. So for small business owners needing expansion, this is a very unique opportunity in recent economic history.…

Leaders Must Realise How This World Is Crooked and Has Little Time for a Straight Man of Integrity

We are living in what appears to be an increasingly troubled world. In the U.K. we face a very hard year on the economic and financial front as a consequence of appalling Government decisions over the past twelve years and mismanagement and greed and selfishness in the banking and business world.

Those who were in charge might be clever but they have certainly not been very wise.

However, this is not the first time all this has happened but there will nevertheless be serious issues faced over these next weeks and months.

In my recent readings and studies in the book of the prophet Isaiah, there are lessons regarding leadership and integrity and fairness which cannot be improved upon.

In Isaiah Chapter 51 and at verse 4 following, God says yet again to His people, “Listen to Me. I am going to bring justice. I am going to put right all that is wrong. I am going to restore what has been destroyed.”

People are looking for this everywhere.

We hear of demands for justice, but seldom do we hear people demanding righteousness.

We hear about rights but seldom do we hear about responsibilities. God is going to bring about Justice and Righteousness.

In verse 6, we read of a surprising scenario, or at least it will be surprising to some.

Lift up your eyes. Everything you can see, God is going to destroy. All this is going to decay and pass away. We hear so much today about being ‘green’, as conservation has become high on man’s list of priorities. Many things have to be looked at now in the light of preservation and conservation. It may be too late for that.

What the Word of God tells us is that the earth will wear out like a garment.

As an old coat wears out, so this world will wear out. We also read of this in Psalm 102 and Hebrews Chapter 1 verses 10 and 11. They will perish, but you will remain. They will wear out like a garment.

There are some people more committed to preserving some special bird or specific animal, than some believers in Jesus are committed to Christ. That should not be.

What is going to last? My salvation will last for ever. My righteousness will never fail.

Once again there is a call to people to listen and to hear. If you know what is right and seek to do it, and if you have My law in your hearts and seek to live that way, then you will face the reproach of men, and you will be insulted.

We need to remember that this world is crooked, and the world does not like a straight man. A straight man is like the edge of a ruler, showing up what is crooked and irregular and twisted.

We have seen how crooked and twisted man …

Leaders of Integrity Are So Needed in Government, Business, Finance, and in Every Walk of Life!

Leaders need to know where there is safety and security in times of upheaval and danger. The western world is currently facing economic hardship which was totally unexpected but it is the result of bad management and appalling leadership in the financial and business world and even in Government departments.

We need somewhere secure to throw our anchor when sorrow and suffering and ridicule and undeserved criticism and persecution come our way! What are we to do?

When Job was faced with such trouble he turned to God and did not sin. His wife reacted very differently. She wanted him to curse God. Sometimes people near us can react very differently at times and that is something else we have to face.

Are we not aware of people in positions of leadership who curse God and take the Name of the Lord God in vain and swear and use language that poisons the air and the atmosphere?

The world has some peculiar ways of dealing real sorrow and painful suffering. The world has no answer. The Stoics, Buddhism, Hinduism and even Islam each attempts to deal with such problems, but none of them has a satisfactory solution. Today, alcohol and drugs might be used to try to dampen sore hearts or bored lives, but these only make the predicament worse, and leaders need to spell this out clearly.

When that snake fastened onto Paul on the island of Malta, and we read of this in Acts Chapter 28, the people first thought he was a murderer, and then when he shook it off, they changed their mind and they thought he was a god. They were so wrong.

The world can be so wrong at moments when it is important to be right.

People can be so fickle and superficial and flimsy without Jesus Christ.

Jesus accepted the fact and reality of human suffering, and Jesus does not try to explain it.

Jesus came not to explain things and give reasons for everything, but to give good news.

Man can be rescued, saved, forgiven, healed, restored, renewed, and become a new creation.

Jesus did correct the idea that no sinners are worse than any other sinners. We hear Jesus teach that in Luke Chapter 13, and when that bent over woman came before Him, Jesus placed His hands on her and straightened her out.

Turn to II Corinthians Chapter 1 verse 9, because when I was in Cape Breton wondering, what am I doing over here, this word came to me in my daily Bible readings – “we might not rely on ourselves but on God”.

Everywhere I have gone since first going to Uganda, there has been a word either before going or on the day of arrival.

Now, that is different kind of reassuring anchor.

While in II Corinthians, look at Chapter 4 verse 16, where we read that we are being …

Watch Your Money – Personal Finance Basics

Recently I had a misadventure with my money. My automobile insurance company called a a couple months ago to let me know that they wanted to give me a deal. I could change from one company to a new one and it would save me $30 a month. It seemed like a no-brainer to make the switch. Those are the personal finance basics I like. I signed the paperwork and left it at that. Having a spotless driving record pays for itself. Normally I would recommend that you take care of these kinds of contracts well before they call you, because let’s face it, they will try and avoid giving out deals if they can.

I was thrilled. I had been using an older savings account from which my old insurance was being withdrawn and decided to use a new account for this new insurance company. Mistake number one. I didn’t check the old bank account. I more or less forgot it existed. The simple plan was to assume that all was well and planned to let the minute amount of money in the account collect a couple cents worth in interest every week or so.

Fast forward half a year. My bank calls to let me know something is wrong. I have an account that is in a negative balance by almost $500. How can this happen? I always pay attention to what I buy and budget my finances accordingly. When I saw the statement from the said account the issue was strikingly clear. The old insurance coverage plan had not been cancelled by my broker. They had continued to withdraw money from the old dormant bank account for six months to the tune of close to $1,000.

Monitoring your money is a simple personal finance basics we all need to take care of. It’s easy to make a mistake like this and this is the type of error that is totally avoidable. I was both angered and slightly red faced about this situation. ‘How could I let this happen?’ I kept asking myself on the route to clear it all up. I’ve always known how to manage my money since I had my paper route when I was a young teen. I have never had a negative balance in my account. The biggest piece of advice I can offer is to always check your dormant accounts. Even if there is a balance of zero in the account, a person with ill intentions could either steal valuable information about your identity or they could steal deposit bogus checks and then withdrawl that money before the check clears.

I’m happy to say that my insurance broker apologized and rectified the situation immediately. Things could have been worse. Much worse. As I said earlier, for the same amount of time a person with ill intent could have taken out massive amounts of money without me knowing and I could have been left to foot …

Are You Taking On Too Much Risk?

The majority of people in sales careers that are starting their own businesses have a large risk appetite. They take on risk quicker and more liberally than the rest of the population. Normally when you invest the risk conversation goes something like this.

Advisor: “Hey Bob, thanks for coming in today, which one of these graphs looks best to you?”

Bob: “Green obviously, who would choose to make less money!?!”

Advisor: “Sounds good Bob, we’re done here.”

I understand this is simplified but in reality it is pretty close to how advisors choose client investments. While it is certainly possible that this process can land a client in the right portfolio, the HUGE exception to this is if you are in sales or are an entrepreneur, and because you are reading this blog I am assuming this to be true.

Your income moves with the market and looks something like this:

Generally income ebbs and flows with the market. When things slow down for you it is around the time everyone else is slowing down. This creates a double hit on your money. You are losing money in the markets the exact time your income is diving. You are losing money right when you need it to support your descending income.

What ends up happening is bad. After this ride the result is buying high and selling low through the entire cycle. You are buying in when the market is good and taking out when the market turns sour.

This is your final result from being set up incorrectly from the beginning:

Although counterintuitive, it is best for you to be in a more conservative portfolio for two reasons.

1) Support – Through a down market you may need some money here and there. This is to cushion you through the down turns so you do not have to use your investment accounts or borrow money.

2) Opportunities – Major business and market opportunities generally lie at market valleys. Having enough cash on the side and being conservatively invested will allow you to take advantage of opportunities as they arise. This is the time to pull the trigger and take the big risks. This is the time to double down and use your money to build.

Flip the script and get conservative. It may be hard at first to limit your money’s growth, but it will pay off over time. This approach will help you get rich through losing less in the downturns and having enough money in a downturn to be able to pull the trigger on a few opportunities. Around 1 out of 5 years is a down market, rest assured there will be plenty more opportunities.…

Debit Cards and Personal Finance

A lot of people are switching to debit cards for their loans and other financial needs. Although in terms of fees, they are much more favorable than getting a credit card, you would have to take note of risks involved in getting a debit card too.

First in the list is security. With a credit card, there is more protection. You would not be responsible for charges that are unauthorized and above $50. However, with a debit card, there are a lot more things for you to do in case it gets stolen. First, you have to report the theft or loss within two days. If you miss that deadline, you can still report it but be on the hook for around $500. After two months, however, you would have unlimited liability for that debit card. There are different policies for each company, so it is best if you consult and understand the proceedings well.

Your credit score would not increase with a debit card. No matter how many times you use it, you would not be able to improve your score. However, the records that are in your card would reflect that you are able to pay your bills on time. Also, they do not have provision for dispute once you have paid for charges made to it.

It is recommended that you do not use your card for large purchases. It is because you would get more protection with a credit card than with a debit card. Also, when making online purchases, it is best to go with a credit card, since they provide you with safer transactions. Moreover, do not link your card to a checking account. There are a lot of risks you can be prone to if you use your card for large purchases and if you open it up to different sources.

A debit card has a lot of advantages as well. It is much favorable than carrying cold cash around with your. Also, it is much easier to get than a credit card, since you would not need to have a good credit score to qualify for one.…

Foreign Currency Buying and Selling Schooling

The novices course is the primary, child step in your forex trading education. It’ll take you through the essentials that you can wish to recognise before you trade. Simply remember to keep away from starting out with any courses that make exuberant claims. As an alternative, concentrate on the fundamentals, and upon getting dabbled with a chosen trial system, you’ll make the next massive bounce ahead on your forex trading training – get back onto that very same trial system!

That is an absolute: do not let your money be swallowed-up by approach of the marketplace, without giving it a possibility to make a profit. That opportunity will usually come after practice. Your trial trading system really will provide you with the largest bounce forward in your foreign currency trading education.

The demo system should be used to really feel your method across the market. With it you can make stronger the terms and ideas that your foreign forex trading education may have offered to you. As soon as you’re feeling confident with it, you wish to have to step back and plan. Take a look at the markets, and to find the ones you feel relaxed with. Check out the buying and selling tactics that appear appropriate to them, and make a selection a spread of strategies so we can suit the tendencies you expect to see on your market.

But do not get started hitting the demo gadget until you’re proud of that general plan of attack – then you’ll unharness your virtual cash!

Once your technique has started, be positive you work out the main points of each and every trade. Treat them as you would real world trades: before they are put on, be positive you have deliberate entry, exit and prevent loss levels, and keep to them. This self-discipline is essential to building up on your forex trading training, so that you take care of it for actual global trading. If you’ll, take a look at your technique for several days, to present it a chance to paintings, however do glance out for indicators of a trend switch.

In case your market does change pace, such that your strategy is no longer doable, it’s time to change to some other of your pre-decided on strategies. File any digital profits or loss from the strategy, and also be aware what it was once that signalled the switch. Your new technique must confidently be extra suited for the new market conditions.

The speculation here is to get a really feel for how different strategies can perform in several market trends. It would be just right to hide a minimal of 3 strategies, for down, up and sidelining trends. Optimistically, in case your planning and self-discipline have been just right, you may also have made a few virtual benefit from them. However extra importantly you’ll have made large gains on your forex trading education.…

Understanding the 5 Cs of Credit

When it comes to establishing a business line of credit – there vital indicators that lending institutions such as banks look into when determining the viability of your business loan. Given It’s important to understand the 5 Cs of small business finance.

The 5 Cs for establishing good business credit

1. Cash Flow – your business will have to demonstrate that it will be able to maintain a healthy cash flow and make its loan repayments. The lending institution considers your current and projected cash flow forecast as well as a number of other indicators to determine your business’s credit worthiness.

2. Collateral – types of applicable collateral that can help your business secure a loan include equipment, inventory, accounts receivable and real estate. Certain types of equipment finance involve a business leasing the equipment from the lender who owns the title.

3. Capital – business owners should have a certain amount of their own personal equity invested. This demonstrates confidence and gives banks the assurance that you’ll see the operation through a financial difficulty.

4. Conditions – lending institutions examine the conditions of the current industry, competitors, customer relationships and any supply risks that are associated with your venture.

5. Character – a business owner’s individual is also considered. A lender will look into the past ventures of a business owner or the director of a company.

For many businesses without an established business line of credit, alternative finance may be more practical and easier to secure. No matter your vertical, print, IT, veterinary or medical – equipment finance is available to help.…