How to Create Solid Financial Habits For Your Business

If you want to ensure the long term success of your business, you need to be utilizing solid financial habits on a regular basis. Furthermore, business owners should stay on top of their spending habits and should constantly reevaluate the way they are spending and tracking their money. Falling into complacency is a big issue that business owners face, which can wind up becoming extremely costly. The more in tune you are with your financial habits, the healthier your business is going to be. Incorporating these solid financial habits will increase the likelihood that you find continued success in your business endeavors.

Prioritize Saving


Saving money is one of the most important financial habits to incorporate into your business. There are far too many businesses out there that don’t focus on putting money in the bank, which can wind up being incredibly costly. Furthermore, if you don’t prioritize your savings, you may wind up being unable to capitalize on potential business opportunities that present themselves. If you want to grow your business, you are going to have to have liquid funds that can be accessed at any point in time. Failing to do so can be incredibly costly and can limit your ability to grow your business. Furthermore, having liquid savings available is a safety net that may be critical if your business runs into financial difficulty in the future. Rather than constantly investing money back into your business, it is wise to put money aside and prepare for the unexpected. It is generally a good idea to determine a set amount that you are going to put towards savings and stick to it each and every month. If you make this a priority and run into financial hurdles in the future, you should be able to get over the hump. Additionally, your savings may provide you the resources to capitalize on an opportunity that requires liquid funds.

Track Expenses Accurately


Spending is something that each and every business is going to engage in, although it can get out of control quite quickly. While you typically need to spend money to make money, you need to make sure you know exactly how much you are spending each month. Tracking expenses properly is crucial when it comes to understanding where your business stands financially at any given moment. If you are inaccurate when it comes to tracking your expenses, you might find yourself making financial decisions that may negatively affect your business. These mistakes can cripple a business, so make sure you know exactly how much you are spending.

Set Financial Goals and Stick to Them


Setting goals in life is the key to success and these principles also apply to business. If you want to be successful, you need to sit down and determine the financial goals you have for your business. Be realistic and develop a plan that you believe is attainable and stick to the goals that you have laid out in your business. The more diligent you are with your planning, the greater the chance you are going to be able to achieve your goals. Dictate the necessary steps that you will have to take to achieve each financial goal you have set for your business. Possessing lofty financial goals is admirable, but you need to understand the necessary actions you must take on the micro-level if you want to achieve them. Laying out a solid gameplan with things that must be achieved each and every day will help you to reach your goals for the year.

Use Debt Appropriately


Debt is a word that gets a bad reputation, based on the fact that most people view it as a negative. However, you can use debt to your advantage when it comes to growing a business. A loan is a debt that you may incur, which you might use as a means of expanding your business. The revenue you create from investing can help you to pay off the original loan. In this sense, businesses can profit off of debts and use them to their advantage.

Utilize Financial Counseling


Companies such as Finance Solutions are excellent when it comes to helping businesses create a financial plan. Finance Solutions can help your business to work around high-interest credit card debt, which can be a major problem that drags down profitability. You may be under the impression that you have your business finances in order, but consulting with a professional may help to identify holes where you can increase efficiency


How Much Does a Business Attorney Cost?

Starting a business can be an extraordinarily tough endeavor to place oneself in. However, the rewards of being your own boss and building something of your own is, without a doubt, a very triumphant and rewarding feeling.

When building a business and scaling a business, it would be a great idea to invest in a business lawyer.

There will be a host of legal issues that you will want an expert’s Alice on, and there really is no better an expert than a business lawyer.

In this article, we will explain how much it cost to have a business lawyer on your team and if it will be worth it in the end.

As the old saying goes, “you have to spend money to make money.

And this is very true when scaling a business.

If you would like to learn more Law issues and concerns, then feel free to give Douglas Healy website a look.

The law does need to be as complicated as many make it seem. The more you learn, the less likely you are to fall prey to those who would break and bend the law to their whims.

How Much Does a Business Attorney Cost?

What Is a Business Attorney?

Before we begin to discover the price of a business attorney, it would prove most salient to understand what a business attorney is.

A Business Attorney helps handle certain legal matters.

Legal matters such as (but not limited to):

  • Buying and selling a business
  • Filing incorporate documents
  • Drafting and/or reviewing certain business documents

What your Business Attorney will do (assuming you hire one) is:

  • Help with business information
  • Any Business Disputes
  • Any conflicts that may, and most definitely WILL, arise
  • Make sure your business is in compliance with local laws and regulations
  • Help with international and interstate laws and requirements

How Much Does It Cost To Hire A Business Attorney?

Now, that you have a better understanding of what a business attorney is, let us get into the main objective of this article, which is how much does it cost to hire a business attorney.

The amount that you will pay for the business lawyer is determinate upon the size of your business, as well as the type of ring process you are doing.

Most Business Attorneys are hired out per hour.

And what this means is that you must pat them for their hours of work.

The amount that you will pay is somewhere in the estimated ballpark of $150 to $325 per hour.

It is essential to know that the amount that you will pay out is also influenced by the town or city you may be residing in.

It is very safe to say that if you are working in a small town in the Midwest, you will be paying as much as a person who is living in the “Big Apple” or somewhere out “In Hollywood“.

Your location will be a factor.

What will also be another factor is the amount of work that is needed by the Business Attorney.

Not all cases will demand the same timeframe, and as such, the job and tasks will also play a role in how much you will be paying.

Different Law Firms

Lastly, knowing what law firm company you will be working with will also be something you will want to consider. There are many “affordable” (and we use this word very lightly here) that can do the job for you at a price that makes it seem like a steal.

But this is because most likely these are NEW Business Attorneys trying to get their foot in the door.

It may cost more to work with a more reputable company, but you must take into consideration that you will be hiring someone to do the job RIGHT.

You don’t want to pay someone who will do the job but only cause you more headaches later on.

This is just a piece of friendly advice and something you may want to consider when hiring a Business Attorney.

Want To Learn More

If this article has piqued your interest and you would like to learn more, feel free to reach out to Douglas Healy with the link provided above


How to Manage Money When You’re Self-Employed

There are many things you can do to manage your money when you’re self-employed — things like loans, budgets, and plans that keep your spending to a minimum. There are a lot of ways to save money, budget well, and manage your money to maintain a pleasant profit at the end of each month.

Loans

There are many ways to get a loan and some reasons why there needed. Some reasons why they are needed is that you are just starting up a business, and need funds to be able to get the company up and running. Another good reason is that you need more products to sell if you don’t have the money to buy the items you need to sell, them more than likely a loan is right for you. The good thing about this is that there are numerous options to take out a loan from. The 1st option is getting money from friends or family and paying it back when you can, but that can get messy. There are hard money loans or self employed loans, this option is hard as it puts your property up as collateral, and you need the property to put it up. Another option is Private lending, and this is favorable for people with no or bad credit. The last option is bad credit loans, and this is the best loan for people with no credit or bad credit, they give you the loan with an increased monthly fee, and this works for both parties. Any of these options are good for self employed loans.

Budgeting Your Money

Budgeting your money is crucial, primarily when self-employed. A lot of people think that budgeting costs time and requires sacrifice. Those are both untrue and can lead to losing money if you decide not to budget. We’ll go through a list of everything you can do to budget your finances better. Number one is getting a budget sheet. Then when you get a budget sheet, write down your finances. The finances should include what you make, your fixed costs, optional obligation costs, and variable costs. What you make should be your monthly income, and everything else should be based on that. Second is the fixed costs, and these are things you need to pay each month, like your health insurance, car payments, house payments, rent, etc. Next is optional obligation costs are expenses that you opted into like a phone bill, cable bill, subscription, or membership. Finally, your variable costs are anything left. Any bills or purchases you’ve made over the year should be in this category, including gifts, clothes, and entertainment costs.

After all of that is put into a sheet, you need to work on your financial goals and wishes. This includes things like big purchases such as a car, house, property, stocks, retirement, or anything else. This could also be a vacation so that you have a good trip. This allows you to see how much you can save up a month for it, and know when you can take that vacation. Then prioritize your goals and don’t exclude necessities. This will ensure that you have enough money to do what you want, and you’ll be able to see what you are spending.

Managing Your Funds When Self-Employed

While managing your money may seem hard to do at first, here are some things to consider while setting yourself to a managed budget. First, and an important thing is not to underestimate your expenses. They will add up, and you need to be ready for them by setting aside extra cash to help pay for it. Budgeting your income was covered above, but it is a vital tool in helping to manage your self-employed business. Another thing to consider is to avoid credit cards, don’t use them, and don’t rely on them. Then you want to keep tabs on your taxes, record expenses so that you can write them off during tax time. Keep all your records accurate and factual. If that doesn’t help, get a lawyer to help with all of this if it becomes too much.

Conclusion

With so many options to take out loans, it’s no wonder self-employed people choose to go this route so that they can stay ahead financially. However, it’s always important to keep a record of all of your finances so that you know what you’re spending per month, and how to budget yourself to do things you love. So if you think that this is too hard, you can hire a lawyer to help keep all your information for you and help you to put everything together, or maybe a CPA to help you with your taxes and budget


13 Business Finance Terms You Need to Know

Whether you are just starting out in business or you are a well established. There are business finance terms that everyone should know. It is important to know the lingo of business in order to be successful. Now, there are countless business finance terms but for this blog, we have chosen what we see as the top 13 vital business finance terms.

1. Bookkeeping

Bookkeeping is the process by which you keep a record of all your incoming and outgoing expenses. This is vital information, as it gives you an overview of your business and can help you at tax time.

2. Capitial

If you don’t know how much your business is worth, then you are not a very good business person. The term Capital is used to reference the overall wealth of your business. It is an indication of the current and future success of your business.

3. Gross Profit

This is the term used to highlight the actual worth of the business minus expenses.

4. Depreciateion

Depreciation is the record of assets and their loss in value over a period of time. Depreciation is a good way to decrease values of assets and allows you to get tax breaks on depreciated and replaced assets.

5. Intangable Assests

An asset that is not physical, such as intellectual property.

6. Profit/Loss statement

Profit/Loss statements are used to keep track of the business expenses. 

7. Liability

Liabilities come in the form of liabilities or monies owed now, or in the future. Liabilities include wages, taxes, supplies bills ect.

8. APR (Annual Percentage Rate)

This is the amount of money each year you have to pay in interest on top of the principal balance on a loan.

9. Bankruptcy

Bankruptcy is the legal process that a business goes through, after they have gone broke, or are on the verge of. When your business fails, there is bankruptcy protections in place to protect you, and any creditors you may have.

10. Collateral

This is any asset or securities you pledge to surrender if you default on a loan.

11. Fixed Interest Rates

This is a fixed amount of interest on a loan. A fixed interest rate never changes throughout the lifetime of a loan.

12. Floating Interest Rates

Floating interest rates change with market fluctuations. This may not always be to your advantage. Rex Burgdorfer is an authority on the market and always has vital information. Check him out by searching Rex Burgdorfer Crunchbase or Rex Burgdorfer Twitter.

13. Guarantor

When you have low capital, or a low credit score, it is sometimes a requirement that you have someone who has good credit and a sound amount of capital to vouch for your ability to pay your bills. If you default on the loan, then your guarantor will be obliged to pay what is owed.

There are many more terms but, the ones mentioned in this article are, in our opinion, the most vital business financial terms to know. For more great business advice, check out a finance authority, Rex Burgdorfer Crunchbase or Rex Burgdorfer Twitter