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Budgeting is something that every business should keep in mind when trying to expand their horizons. Since expanding too fast will end up with you having to spend more money than your business can handle. Under spending, on the other hand, can cause your company to stagnate and cause your business to not grow as fast as it possibly could. So, how exactly can you get your budgeting balanced out to get the best results?

Budgeting is a Delicate Balancing Act

You have to keep in mind that whenever you make a budget, you’re dictating the pace of your business. Whether it’ll grow too fast and burn out too quickly or whether your business is going to be too slow and left behind by your competitors, you have to ensure that your budget is the perfect fit for your business. So, to help you create the perfect budget, we’ve put together some great budgeting tips for your business.

Never Take Funds Out Of The Business

This is the first mistake that many business owners make when business is booming. Instead of paying themselves a salary like an employee would, they would instead take funds directly out of the income of their business. This is a terrible practice that could lead to your business going under faster than a rock thrown into a canyon. This is because taking too much money out of your business will slow down the growth of your business. With competition hot on your heels all the time, stagnating will mean the end of your business.

Never Overestimate Your Profits

Every business has to turn up a profit for it to even be considered good business. However, many owners become over confident in their profit projections that they end up spending more than what they have on hand. Avoid this at all costs to make sure that you’re not going to end up having to pay a loan to pay off a bad case of overconfidence.

Pay Yourself a Salary

Even if you’re paying yourself a salary you should still make sure that what you pay yourself is fair and enough to get you by. This is the opposite problem of other business owners who take cash straight out of their business. You’re still an employee who needs to be compensated for their hard work at the office and neglecting to do so will leave you unfulfilled and stressed.

Correctly Weigh Risks

Risks are a normal part of the business. Every day you have to handle several risks, even if you don’t know whether it’s a genuine risk or not. Deciding whether to hire an employee, getting a loan and generally creating a budget are all risks. Each one comes with their challenges and it is up to your judgment as to how to handle it properly. You also have to know when to avoid these risks altogether.

Always Have a Backup Plan Or Funds

Business is often an unpredictable beast and you can suddenly find yourself in trouble. The worst part is that these situations often come without warning. One example is if one of your clients suddenly back door hires one of your candidates in the staffing and recruiting industry. You won’t know until John Smith starts his first day at your client without paying you a fee.

The best solution to these problems is to have a backup plan or extra funds that you can dig into when these situations arise. Preparation is key whenever you need to draft up a budget so always have a certain amount set aside.

Are you frustrated by the amount of money you spend buying businesses checks? Have you been looking for ways to save on these expenses? Then I am glad you’re reading this post.

With the ever-rising cost of doing business, you’d want to ensure that every penny counts. One way of doing that is making sure that you spend the least amount on checks.

The ever-tightening budgets leave no room for unnecessary expenses and motivate businesses to find favorable deals. This includes reconsidering your way of ordering checks.

Here you’ll find our tips to help you save money when buying checks. Read on and learn more.

Avoid Buying Checks from Banks

While banks offer an easy and convenient way to get more checks, it is probably the last place you should go. As with many things today, you’re likely to pay extra dollars for the convenience when you order checks from a bank. Thus the need to explore other options.

Though paper checks are losing in popularity, some people still use them for paying rent as well as other payments. Not all merchants accept credit cards or electronic payments.

As of 2012, 18 billion checks were written in the US alone. This is according to Federal Reserve.

Banks will charge $20 or even more for a box of checks. You can save up to 50 percent when you buy checks from online printers.

Don’t know how? I’ll explain it.

It is important to understand that banks do not print checks themselves. Banks are in the business of savings and checking accounts, credit cards, loans and digital banking.

Banks hire large scale printers to print your checks. Remember the printing companies are in the business of making a profit out of your order, banks feel they need to make money for the time they spent acting as middlemen between their customers and the printer.

Therefore, when you order your checks from a bank, they will be marked twice before reaching you.

Besides, due to the high costs of processing checks, banks do not want their customers to write checks. Banks would rather see their customers use other methods of payments such as electronic payments.

The high prices of checks from banks are meant to push consumers to depend more on online payments over written checks.

Order Your Checks Online

Ordering checks online is a great way to save money when buying checks. But don’t worry. Checks from online printers are just as good as those offered by banks.

According to Check Payment Systems Associations, all reputable companies produce checks that met the industry standards so that banks and other merchants can accept them.

With online printers, you are assured of fast business checks delivery in a secure and easy process.

Security is Key

If you are going to spend more on a check, it should be because it comes with more security features. Check payment is a method prone to a lot of fraud.

The main reason that makes some businesses shy away from buying business checks online is security concerns. Most of them consider ordering checks from banks safe while ordering online risky. But this is not always the case.

This can only be true if you’re ordering your checks from non-reputable websites. Reputable check websites are just as secure and safe as banks.

In fact, most online check websites use the same printers like the one used by the banks, only that they eliminate the middleman to make it less costly for you.

Therefore, conduct due diligence before deciding to buy your checks from a particular website.

You can do this by looking at the padlock icon available at the right-hand side of your check, just below the “amount’’ box.

If the check contains this icon, it is an indication that it has been approved by the Check Payments Systems Association, an association left with the responsibility of ensuring the security of checks.

CPSA will not give this symbol to check printers that haven’t included a minimum number of security features to protect consumers from altered or duplicate checks.

Checks bought online can even be more secure than those obtained from banks. Some check printers give consumers the opportunity of buying checks with extra security features, such as micro printing, thermocon imaging and chemically reactive paper.

While you might be charged an extra fee for these features, but considering the level of security that comes with, it is worth it.

Before ordering checks online, be sure to understand the process, including the amount of time it will take before you get your check.

Do you know what your finances will look like five years from now? Life is full of ups and downs, and financial uncertainty can be both personal and universal. It’s hard to know where you’re going to be down the line, no matter how carefully you’ve planned.

Causes of personal financial uncertainty include:

• Losing your job
• A decrease in income such as a pay cut or losing a client as a freelancer
• Injury or medical emergency, including medical bills and loss of income
• The need to care for aging parents

But even if your own prospects are positive and nothing unfortunate happens, the global economy can take a turn and leave you in the lurch as well. Some common causes of recessions include:

• Popping of an asset bubble, when overvalued values suddenly correct, leaving owners drowning in debt
• Rising interest rates that make banks less likely to finance debt
• Political causes, such as trade wars or regional tensions leading to reduced jobs and economic activity

Invest for Uncertainty

You can invest to plan for uncertainty. One of the chief benefits of investing in gold is that it gives you a tool you can use in downturns both personal and global. Whether you’re suffering personal financial troubles or the market as a whole is turning against investors, gold is a great way to ride through tough times.

How Gold Performs as an Asset Class

The last two recessions have both began with the bursting of an asset class. In 2000, it was the dot.com burst that caused $1.7 trillion to disappear from publicly traded internet companies like Cisco, AOL, and Yahoo. In 2008, it was the collapse of the real estate market – a fairly normal real estate bubble burst that spiralled into a global debt crisis.

Both times, gold prices improved dramatically. You can expect gold to perform well when other asset bubbles burst, especially if bullion is coming off a period of low prices or deflated prices. Investors have a chance to add precious metals at a low price and profit from the double-helix effect of riding through tough economic times.

Looking ahead to the near future, after a decade-long expansion, the stock market is due for a correction. Investing in gold now can help you get through the uncertainty unscathed.

Asset Liquidity

Gold is a liquid asset – meaning that it can be quickly converted to cash with little to no loss in value. Keep in mind that this is mostly true of gold bullion: 1 oz. coins and bars, as well as other forms with bullion-grade purity. Jewelry is not a sure investment bet.

But if you have the metal in bullion form, you can pretty much always find a market for it and sell quickly at no loss to value. When you run into personal financial trouble and you need to cash in an asset, you need to recoup the value. There’s no controlling when personal financial issues can come up; if you need to sell shares, but the company has just released poor quarterly earnings, you’re out of luck.

Investing in gold is a smart move for anyone who wants flexibility and security. Invest carefully today for a more comfortable tomorrow.

It’s no secret that operating within the construction industry is capital-intensive. Construction business owners need to shell out money in order to make money. Fortunately, you don’t have to finance construction projects out of pocket. Construction business loans are available to help contractors financing the costs associated with construction projects such as on-site facilities, materials, equipment and machinery, payroll, and working capital.

While it’s possible to bootstrap initial operations, eventually, you may need to apply for construction business loans to facilitate the growth of your construction company. But before anything else, it’s important to know what you’re getting into.

Factors to Consider in Choosing the Best Construction Business Loan

You’ll need to invest in the growth of your business before taking on new clients and accepting more projects. With that said, it’s important to have quick access to working capital for contractors in the construction industry.
There are different factors that determine the best type of loan for your business. As you search for the perfect construction business loan, here are six things to consider:

• Cost: Not all high-APR loans are bad. In fact, sometimes, it’s wiser to apply for short-term loans with higher rates to control your cash flow.

• Speed: If you need immediate funding, do know that working with traditional lenders take time. Check out alternative loans from online lenders instead. Application and funding process takes as little as 24 to 48 hours.

• Flexibility: Make sure to know what your company needs so you’d know which type of loan is best for you. Many business owners take on a business line of credit because of the flexibility it provides.

• Loan Amounts: Some business owners look to borrow as little as $500 while some want to borrow $5,000,000. The type of loan you’re going to pursue also depends on the amount you’re looking to borrow.

• Specifications and Requirements: The requirements vary depending on the type of loan. Make sure to ask your lender about this.

• Terms and Rates: Again, the terms and rates depend on the loan. You may have to make monthly or weekly payments; fixed or not fixed. Make sure to match loan payments to your income to prevent cash flow shortage.

Top 5 Construction Business Loans for Your Company

Now that you know what you’re looking for in a loan, it’s now time to narrow down your search. Here are the top five most common small business loans for contractors.

1. Business Line of Credit

As mentioned, a business line of credit is one of the most flexible financing options available. With a business line of credit, lenders assign you to a predetermined revolving credit line. You can repeatedly repay and withdraw from the line without having to reapply. Furthermore, you only have to repay the funds you’ve withdrawn plus the interest – not the entire credit limit. A business line of credit is great for contractors who need immediate financing to pay for expenses on a new or ongoing project. You can use the funds from the loan for any business purpose.

2. SBA CDC/504 Loan Program

We all know how hard it is for small business owners to secure funding from traditional lenders. Therefore, the government – the Small Business Administration (SBA) created loan products specifically for small businesses that struggle to qualify for funding.

One of the SBA loans is the CDC/504 loan, which happens to be one of the most popular construction business loans. SBA loans, including this one, come with low down payments, competitive interest rates, and longer repayment terms than traditional loans. SBA-approved lenders will loan you 40% of the costs to needed for the project – renovating existing facilities, building new ones, or purchasing land. Another lender will give you 50% of the project costs, while lenders expect you to provide the 10% or 20%, depending on the lender you’re working with. Repayment terms can go as long as 20 years and the interest rate depends on the U.S. Treasury market rates.

3. SBA 7(a) Loan Program

Another SBA loan suitable for construction companies is the SBA 7(a) program. You can use the funds for almost every business purpose, including the purchase construction equipment and commercial real estate. Just like the CDC/504 loan, you can receive up to $5,000,000 and the repayment terms can go up to 25 years. The 7(a) loan is one of the sought-after business loans because of its flexible use of funds, longer repayment terms, and lower interest rates.

4. Short-Term Loans

Short-term loans are great for contractors who need working capital for predictable business expenses. With short-term loans, borrowers are given a lump sum amount which can be repaid regularly, whether weekly or monthly. However, these loans can have a higher APR compared to long-term loans, but the key is to repay the loan within a year to save on interest rates. You can use a short-term loan for immediate purchases, as well as for daily business expenses, such as hiring new workers, making payroll, paying for utilities, and other business expenses.

5. Equipment Financing

In every construction project, you’ll need equipment to get the job done. However, construction equipment can be expensive and startup companies or newer firms may not have the funds to finance all the equipment needed to complete a project. Equipment financing provides you with the funds you need to lease or purchase construction equipment. Similar to traditional loans, you can repay the loan in regular installments. However, you don’t need to put up personal or business assets since the equipment being financed serves as collateral. In case of default, the lender will have the right to repossess the equipment.

Apply for Construction Business Loans Today!

Construction business loans can help keep your business afloat while you wait for your clients to pay you for services rendered. Banks loans take weeks or months before you can receive the funds. If you need cash quickly, SMB Compass offers construction business loans in as little as 24 to 48 hours.

It doesn’t take long to rack up a lot of debt. You buy a home, purchase a new car, and have student loans and multiple credit cards. Unfortunately, before you know it, all of your money coming in is going straight out the door. Once you reach this point with your finances, it’s only a matter of time before you are unable to keep all of your bills in good standing. The good news is that, if find yourself currently in this situation, there are ways to work towards becoming debt-free.

End the Late Fees

It’s a vicious cycle when you fall behind on your bills. You finally make the payment and now there are additional fees added. In order to stop the fees, you need to get current on all your bills. You can borrow money from a family member or try to raise the money by having a garage sale. If those are not an option, you can apply for a loan. Bad credit installment loans direct lenders take into consideration your income, whether you have an active checking account and are a U.S. Citizen. So even if you have a low score, you still have a good chance of getting an approval.

Ways to Reduce Your Debt

With a tight budget, paying down your debt may seem like an impossible task. It’s not. You can take on a part-time job until you get your debt under control. Or, if you have many credit cards, apply any extra money to the one with the highest interest rate and, once you pay that one off, move on to the next one. If you have too much debt divided between many places, you can always contact a debt relief agency.

Reduce Your Spending

Most people spend more than they need to on any given day. Maybe you buy your coffee each morning on the way to the office and you order take-out food at least once a week. Just those two items can cost over $200.00 a month, money that you can apply to your debt.

Lower Your Household Bills

There’s always room for improvement with your household bills. Take advantage of the de-regulation laws that have passed in many states which now allow you to shop around for the best rates on your utilities, etc. Review your utilities, such as the gas, elastic and water, and then contact other service providers in the area to see if their rates are better. The same goes for your cell phone and cable bills. Shop them around to see who can offer you the best deal. If you own a home and a car, try bundling the insurance with the same carrier. In most cases, you can save 10 or even up to 20 percent.

Establish a Savings

In order to prevent you from falling behind on your bills due to an unexpected expense, you need to create an emergency fund. Even if you can only contribute $5.00 or $10.00 a week, if you leave it alone, it will add up quickly. And then, the next time you have an unforeseen expense, instead of taking money allocated for your bills, you’ll pull the money from your savings.

Stop Impulse Spending

In life, there are things you need and things you want. The things you need, such as a roof over your head, you must take care of. However, the things you want–like a new 50″ TV can wait. Stopping the impulse spending and learning how to save up money for big-ticket items will help you stay on track, reduce your debt, and pay the exact cost with no interest or penalty fees added.

Becoming debt-free is something that you can accomplish. If you work towards paying down your debt, reduce your spending, learn to shop for services and create a savings plan, you’ll slowly start to see more of your hard-earned money.