by dorraadmin | Aug 9, 2022 | Blog- Financial
One of the best ways to stay ahead of the curve financially is to make good investments. A common debate among investors is which investment is better: stocks or real estate. It turns out that both can be excellent and many investors have some of each in their portfolios.
Real Estate Investing: Pros and Cons
Many folks favor real estate for investment profit because it provides real and tangible assets for your investment dollars. You can invest in real estate with other peoples’ money, can use it as a tax shelter, and can receive passive income from it. Additionally, it can serve as a hedge against inflation.
Some of the best ways to invest in real estate include:
- Investing in rental properties
- Purchasing shares of real estate investment trusts (REITs)
- Fixing and flipping properties, and
- Participating in a real estate rental group (REIGs)
On the other hand, some real estate investments can take a lot of time to find and fund. Real property tends to be expensive and is relatively illiquid. In some cases, high transaction fees may be involved.
Stock Investing: Pros and Cons
Stocks, representing equity ownership in publicly traded companies, can produce excellent investment profit. Stocks provide a number of positive benefits for investors. These include relative liquidity, ease of diversification, and relatively low cost of initial inventment. These days, many stocks can be bought commission-free.
On the downside, investors must be prepared for volatility when investing in the stock market. A bear market situation, often catalyzed by rising interest rates, can rapidly erode the value of a stock portfolio.
Partner With Dorra Financial Group
Many investors look to participate in both asset classes to achieve high investment profit. Look to Dorra Financial Group should you need financing for real estate investments. They will help you select the right option that fits your needs perfectly.
by dorraadmin | Aug 2, 2022 | Blog- Financial
Entrepreneurs starting up businesses typically seek financing options. However, many of them are unaware of the risks involved in making unwise funding decisions. Here are some of the most common mistakes to avoid when you are looking for business financing.
Limiting Your Search
When you are searching for the right business financing, it is a mistake to approach only one lender. Instead, you should compare what a number of lenders have to offer so that you can find the terms that best suit the needs of your company.
Approaching the Wrong Lenders
Most lenders have specific criteria concerning the businesses they are willing to work with. Approaching lenders that are the wrong fit for your company will only waste your time and cause frustration.
Not Sufficiently Vetting Lenders
Of the many lenders that advertise their services, not all are reputable. Before you agree to work with a lender, you should investigate them. Look to the Better Business Bureau, the website of your Secretary of State, trade associations, and the website of the International Franchise Association for comments and complaints.
Lack of Preparation
Before offering you business financing, lenders want assurances that you will be able to pay them back. To prove that you can repay the loan, you need to provide a business plan that includes an explanation of your company’s income sources and a clear projection of future finances.
Lack of Patience
It is easy to become intensely frustrated when you are seeking business financing. Have patience, and project a timeline for funding that is realistic and achievable.
Not Realizing the Risks
Failure to repay a loan means the loss of any collateral you have put up, which may even include your home. Before you take on the responsibility of business financing in the form of a loan, be sure you are confident that your company is running well and that you can meet your obligation to repay.
For more advice on business financing, get in touch with Dorra Financial Group.
by dorraadmin | Jul 26, 2022 | Blog- Financial
When you think of skills that are important in the workplace, time management and attention to detail likely come to mind. However, creativity at work is key, as well. Even if your employees sit at a desk all day, a creative mindset is vital.
The Importance of Creative Problem-Solving and Thinking
Being creative does not just mean making a colorful presentation. Your workers can also be creative when solving problems. Creative individuals will look at all sides of the situation, allowing them to come up with interesting solutions.
Creative thinking is similarly valuable at work. It is easy to get bogged down in the same stale ideas. However, a fresh campaign or new project could be just what your business needs to stay relevant.
This type of thinking is a bit risky. After all, what seems like a bold and fun concept, in theory, could end up falling flat once it is actually implemented. A creative thinker must realize that failure is sometimes necessary. If your employees only focus on safe ideas that have worked in the past, you will never find out if different concepts could be even more successful.
How To Promote Creative Ideas
Encouraging creativity in the office will thus help your business advance to new heights. There are several things you can do to foster a more creative working environment for your employees.
For starters, you should teach your employees to be more creative. Give them exercises to help them hone this skill. Have them create multiple ideas that link dissimilar themes and topics. You should additionally ask your employees to list various ways to use a basic object.
Originality is a key part of the creative mindset, as well. To encourage your workers to be original, hold brainstorming sessions and tell employees to write down all of their ideas, not just the ones that they know will work. Finally, ask your employees to describe an event using all five of their senses. This will help them learn to add new perspectives and viewpoints to information that is already available.
Above all, you should praise creative thinkers and problem solvers in your office. Instead of shunning out-of-the-box ideas, be open to them. Otherwise, the most creative people in your company will feel stifled.
Creativity should be a valued skill in the workplace. Hire creative individuals to join your team, and encourage them to share their unique ideas. You should also help your current employees become more creative in their thinking and problem-solving.
by dorraadmin | Jul 19, 2022 | Blog- Financial
When you start your own business, you may feel as if you have to do everything yourself. You might not trust others to perform important tasks. Yet as your company grows, you will have to learn how to delegate. Delegation allows your employees to use their skills to improve the company.
After all, you are only one person. There are so many different jobs involved in running a company, and you will eventually need other people to ensure everything is completed on time. Specifically, you should delegate certain tasks that do not play to your strengths. Below are some common jobs that company owners hire other individuals to perform.
Travel Plans
You may have to travel a lot for your business, whether you are attending conventions to attract customers or visiting potential investors. While you can use websites to make online reservations, this requires time-consuming research. You may thus want to hire a travel agent who can find the best flights and hotels for you.
Tech Support
A computer or internet issue can bring your business to a halt. You should thus have a reliable technical support team to call upon when needed. Even if you know a lot about technology, a delegation of IT tasks will prevent you from wasting your valuable time refilling cartridges or fixing crashed computers.
Website Design
Your website is one of the most important parts of your business. It should be optimized for search engines so potential consumers can easily find it. An amateur-looking website could also deter customers. Unless you know a lot about website development, you should let an expert create a site for your business. A web design specialist will know how to create an artistic site that attracts an audience.
Customer Service
Whether you provide a good or service to customers, you will likely have to deal with complaints or questions from consumers. Dealing with these inquiries requires patience and strong people skills. If those are not your strengths, you should delegate customer service jobs to employees.
You may have started your company all by yourself, and giving up total control of your baby is difficult. However, delegation is necessary for your business to prosper. It allows you to focus on the big picture and gives you time to recharge. Your employees will also appreciate that you are allowing them to complete important jobs. This, in turn, will make those workers happier and more likely to stay with your business.
by dorraadmin | Jul 12, 2022 | Blog- Financial
Are you thinking about taking out a business loan or business lines of credit to start or better a company but don’t know what is best to choose? There are multiple avenues from which to choose a payment method to keep the business thriving.
Business Loan
With a business loan, the full amount of the loan is given. This means that whether the total amount is used or not, it will have to be paid back in full. The amount given is decided on the credit score of the applicants and their ability to pay the loan back promptly.
Business Lines of Credit
In this form of business credit, a set amount of funds are approved. However, unlike a loan that requires the total amount received to be paid back, only the amount used has to be returned. For example, given an $80,000 line of credit but only $15,000 is used, only the $15,000 has to be paid back to the bank or lender. That $15,000 will be subtracted from the total amount of the line of credit.
Revolving Business Lines of Credit
Think of this form of credit as a credit card. This type of credit can use by a business owner. With a revolving credit, when part of the credit is used and then paid off, it is added back to the preexisting amount. If the credit of $80,000 is given and $15,000 is used, as soon as that $15,000 is paid off, it gets added back to the original $80,000. This means the full amount will always be there and accessible. Other than this one difference between revolving and nonrevolving credit, going about getting one is the same.
Secured vs Unsecured
Each of these options has both a secure and an unsecured option. In a secure loan or credit, there has to be some sort of collateral. Usually, what is used are possessions of the applicants with high value. An unsecured loan or business credit doesn’t need any type of collateral. This method is less risky and safest to use as a business owner. An unsecured business loan or line of credit is also typically faster and simple to achieve.
Remember to ask the lender or bank what loan or line of credit is best for the company. Having the proper loan or line of credit can make all the difference to improving an existing business or starting one from scratch.
by dorraadmin | Jul 5, 2022 | Blog- Financial
Knowing where to turn when you run into a financial setback can be a lifesaver when you own a business. This is especially true when the problems you face are not as clear or straightforward as you’d expect. For example, there might be times when your longstanding clients are not paying you in a timely manner for the services you’ve provided. If this happens, you want to take action immediately by using a service like accounts receivable financing. Review these points and learn more about your options.
The Problem
Your clients play a very important part in your success. However, there are going to come times when these same individuals hold you back in ways you don’t expect. If customers are not paying you in a fast or prompt manner for services you’ve already completed, it can lead to major disruptions to your cash flow. The longer you wait to access capital, the more likely it is that these setbacks will lead to more severe problems for the greater supply chain, your employees, your investors, and more.
The Solution
Accounts receivable financing is a practical solution to consider because it allows you the chance to immediately access cash at a time when you need it most. This form of asset-based lending centers on unpaid invoices as a type of collateral. Using this to secure an advance, you will not need to worry about sinking into debt or hurting your credit score. Since this is money you are already owed, you simply need to pay the fee for the service in order to use it to your advantage.
The Considerations
There are several benefits that come along with AR financing services. The fast and convenient option allows you the ability to stay on track no matter what your clients decide to do. However, you should also consider the fee attached to the service. Failing to budget for the fee can be a problem, especially if you don’t realize how much the service provider is asking from you. Take time to look over the ins and outs of the service as dictated by the lender and you’ll have more perspective on the matter.
When it comes to your company’s future, you need to think about all of the services available to help you through difficult times. Should customers be the source of your setbacks, there are solutions worth noting. Learn more about accounts receivable financing to see if this is the best option for your needs.
