Getting Started With Investing

IntroductionTraditionally investing has been seen as the preserve of the wealthy and has a reputation for being a minefield to the uninitiated. As western standards of living continue to increase, more and more people are beginning to realize the benefits investing even small sums can bring. This article seeks to explore some basic principles to help you get started with investing.1. What’s the basic premise of investing?The Collins English Dictionary defines the word invest in the following way; “To lay out, for profit or advantage.” To layout refers to the fact that something of value is needed in the first place in order to generate more wealth. In essence investing is a means of taking a pre defined sum of money and using it in such a way as to increase its original value, therefore generating a profit.2. Why Invest?This is one of the most fundamental questions that any person looking to invest needs to ask. The general answer is pretty obvious, to generate a profit, but the reason behind the investment are far more important and will directly influence how and where you chose to invest. In addition the answer will also determine the level of risk you are willing to expose yourself to and which will be explored in more detail later.Reasons as to why people invest are varied and may include some of the following; to build up a nest egg for retirement, to provide a financial safety net, to pay for future education or university fees for children, for fun because of the buzz investing can create.3. How Should I invest?This is also a deeply personal question and will depend upon the amount of money an individual has at their disposal. It is important to stress that investment takes many different forms all of which facilitate differing levels of investment. A single mum might decide to invest $20 or a business entrepreneur $1 million but both will seek a return on their capital outlay and how they go about achieving their investment goals may differ substantially.4. What level of risk should I expose myself to?Such a decision is very important as ultimately it will dictate the profitability of your final investment. In many respects this question will also be determined by the answer to the previous question, why invest? If an investment is being made to safeguard a financial future the level of risk taken may be lower than an individual investing for fun.Generally investments are made in three distinct categories low, medium and high. Low risk investments include Government bonds and savings accounts. Medium Risk investments could include certain types of shares or property. High Risk investments will almost certainly include shares in rapidly expanding companies exploring new markets. The dot.com crash in the late nineties, in which thousands of newly established technology companies went bust, is an example of a high risk investment going very wrong.What types of investment are there?This is not an easy question to answer because in theory anything that earns a profit from an initial outlay can be classed as an investment.There are however some common forms of investment that deserve further explanation.a) Government BondsThese are deemed low risk investments as money is invested in Government related projects and assets. It is unheard of in the western world for a Government to go bankrupt.b) SharesThis is a means of holding a stake in a company trading on the stock exchange and investors benefit from its profitability. Whilst share dealing can be low risk particularly if you are investing in established companies in the FTSE 100, most share investments are deemed medium or high risk. This is because such investments have the potential to return excellent profits but there is also a raised risk of losing your total investment.c) AntiquesAntiques are often a great source of investment given that they hold their value at the very least and have the added benefit of being easy to sell if you need a quick cash injection. In addition if you wish to leave a sum of money to family after your death they won’t be hit with inheritance taxes often associated with large amounts of physical cash. Perhaps one of the major drawbacks to investing in Antiques is the requirement of a level of technical expertise, or access to those skills, to ensure that suitable items are invested in.d) PropertyProperty can also be a very lucrative source of investment as property prices continue to increase across the developed world. Generally property prices increase in value in the long term.e) SavingsWhilst banks often make the distinction between savings and investments, in essence savings are a form of investment as the money you save with the bank is invested in low risk shares on your behalf, which ultimately enables financial institutions to make interest payments to you.How to investNow that you have more information to help you get started with investment the next step is to speak to an independent financial advisor. These consultations are almost always free and you can get specific advice tailored to your individual needs concerning investing. In the UK there is an excellent site for finding Independent Financial Advisors called unbiased, see the link at the end of this articleSummaryThis article has attempted to provide advice to enable individuals to get started with investment. Discussion has taken place about the basic premise of investing and the profitability of such a decision, along with examining different reasons for investing. Attention has also been given to how much might be invested and at what level of risk this might be undertaken at. Finally we have explored the vast array of investment options available and what the next step is for a budding investor.

Financing Options For Entrepreneurs In The Import Business

Entrepreneurs who want to break into the import business will face various hardships. Establishing their name and getting the trust and loyalty of new customers and suppliers are just two of the challenges they need to face and successfully overcome.Getting sufficient funds or money to support the start and ongoing operations of their import business can also be hard as well. In the import business, you need to have the means to pay your supplier.The good news is that there are various options entrepreneurs can consider when they are looking for ways to finance their import business. These options include:Accounts receivable factoring. Under this financing option, your company’s accounts receivables would be sold to either an accounts receivable financing company, a commercial finance company, or a bank at a discount of 80 to 90 percent of their face value. In return, the factoring company would give you a check wherein a fee of two to three percent has already been deducted. You can then use this money for import financing. When you factor accounts receivables, it is now called an asset-based loan.Purchase order financing. This financing solution is quite similar to factoring accounts receivable. Under this option, you would assign or sell your purchase orders to a bank or commercial finance company. This company will then take over all the processes that involve billing and collecting money from your customers. Once your products are delivered, your customers will pay the bank or commercial finance company. A portion of this payment will be allocated to the financing company and the remainder will be given to you. In general, purchase order financing costs more than traditional bank loans. However, if you are unsuccessful with getting a loan, this is an option you have to consider.Inventory financing. Under this financing solution, you would use the current inventory of your present business to get a loan. This loan will enable you to buy the goods from suppliers abroad that your customers have been waiting for. With this option, you will be able to increase your inventory without adversely affecting your cash flow. Banks and financing companies offer three types of inventory financing: floor planning, blanket inventory lien, and field warehousing.In the importing business (and most types of business), you need to come up with answers to difficult operational problems. By choosing the most suitable import financing option, you can overcome this challenge successfully.

Who Can You Trust to Help Build Your Online Business?

Whether you are experienced with managing traditional brick and mortar companies or if you are entirely new to the online and tech start up industry it is important to look into finding professional guidance to help getting any business model off of the ground. Building an online business with a mentor by your side is a way to move forward with plans you have in place with confidence and excitement.Determine Your NeedsBefore seeking out an expert online mentor it is imperative to consider the needs you have with running your business and what you most require help with during day-to-day management tasks. Understanding the type of assistance you require is a way to scope out mentors who have experience in similar industries and specialize in the areas you need help focusing on more professionally while running your business.Create a Business Plan and OutlineCreate a business plan and outline to review in-depth the overall methods of reaching consumers, the demographics and how you plan to offer your content, products or services to those who are genuinely interested in following your brand and company. Having a business plan ready when seeking out a business mentor that is right for you is a way to ensure you are selecting the right professional to come on board to provide additional guidance throughout your journey.Having a business plan thoroughly complete can help to expedite the process once you begin comparing online mentors who specialize in businesses and assisting entrepreneurs, ultimately allowing you to save time when implementing new strategies.Things to Look for in an Online Business MentorWhen you have made the decision to hire an online mentor that specializes in business it is important to review various things to look for in an online business mentor that is right for you and the future growth of your company.Review the experience any online mentors have that is relevant to the type of industry or market you are currently working in. Finding a business mentor with more experience in your market and industry gives you the competitive edge when developing strategies and continuously building the audience and demographic you are targeting.It is also important to review past experience, education and credentials of the business mentors you are working with online. Reviewing portfolios and past positions gives you more options when you have multiple choices while searching for a business mentor who specializes in building, managing and growing online businesses.Talking to an online mentor who specializes in business is also recommended when you want to work with someone who meshes well with your own personal attitude and approach to managing your business. Although mentors are likely to provide advice and help with decisions it is ideal to work with a professional who shares similar goals and visions for your company to work well with one another.Check Official Websites, Portfolios and Professional Communities Once you have found an online mentor you believe in who understands and want to help your business it is also highly advisable to search for more information about the professional prior to making a decision. Check official websites, portfolios and even professional communities to verify the experience and credibility the mentor claims to have before making a decision.Asking for referrals from those who have worked with the mentor in business online is another way to feel confident and reassured when moving forward in creating new plans, strategies and marketing campaigns for your online company or eCommerce store.Working with the right expert online mentor is a method of gaining insight into how to properly manage and grow your business while also learning about various aspects of handling all decisions for your company in the future. Understanding the benefits of working with an online business mentor is ideal when you are determined to outperform competitors and become a true leader of your own destiny.