Connect with us

Business

Top 10 Financing Options for Small Businesses

small businesses constitute a substantial portion of the U.S. economy.

Published

on

It is safe to say, small businesses constitute a substantial portion of the U.S. economy. After all, there are over 29 million of them operating in the United States today, providing employment to almost half of the workforce in the country. With the existence of these many small businesses, there exists an entire industry dedicated to providing them with the resources they need to sustain their business operations. The most valuable of those resources is capital and ORUMFY have become the popular way to acquire that capital.

So let us look at the top 10 financing options for small businesses today:

  1. Traditional Bank Loans: The first and most obvious way to get a business loan is through a bank. Banks usually offer two types of business loans:
    1. Short-term Loans: These loans are provided from three to eighteen months term, and they are fast financing options. Due to their short time period coverage, they can allow a business to get capital quickly but at a higher cost.
    2. Medium -Term Loans: These loans are provided for longer terms usually ranging from one year to three years. Since they have longer period terms, they offer lower inte6rest rates on the loans, but also take longer to finance your business.
  2. Small Business Administration (SBA) Loans: SBA is not a lender itself but actually a branch of the government, which encourages actual lenders to lend more money to small businesses. Because the SBA ensures the lenders of large portions of the loan, lenders can reacquire most of their money from the SBA in case the borrower fails to pay back. The most common SBA loans are:
    1. SBA 7(a) loan program
    2. CDC/504 loan program
    3. Microloan program
  3. Online Lending Platform: The modern way of acquiring a small business loan is to link to link up with people who can help guide you on how to obtain loans, such as Orumfy. You can use their help to evaluate whether you qualify for a small business loan and where the lender can assess the financial health of your business. You can review the terms of the loan transparently and easily. Most small businesses can get their loans approved through online lending platforms.
  4. Equipment-Based Lending: This type of financing option uses your asset as collateral for the loan and assesses the value of the asset in order to provide the loan. This is usually an affordable option for small businesses. Especially for those that do not qualify for conventional or alternative loans, due to a low credit score.
  5. Business Line of Credit: In this type of loan, the lender sets up a capital reserve from which you can draw money whenever you need. The interest is paid only on the money you use from the reserve and it is replenished once the payments are made.
  6. Business Credit Cards: Not only do business credit cards have high credit limits and special preliminary APR discounts, they also help achieve better credit scores for your business every time you make purchases. However, you may not be able to get as much money from business credit cards as you can through small business loans.
  7. Account Receivable Financing: Also called, invoice financing: this is when the lender uses your invoices or payments to be collected from customers as collateral. In this way, you pay the lender and he tracks down the customers for the late payments, reducing your business risk as well.
  8. Merchant Cash Advances: These are loans provided to a business in exchange for a certain percentage of their future credit and debit card sales. This is a viable option for businesses with dismal credit scores and in need of fast cash. However, they also lead to loss of revenue on heavy sales days.
  9. Peer-to-Peer (P2P) Lending: This method eliminates the middleman by allowing one business owner to borrow directly from other business owners. When the loan is needed, all the peers fund the loan together, so that when the borrower pays back the loan and interest, everyone receives their initial investment back.
  10. Startup Loans: These are suitable for getting the business off the ground by using the SBA loans especially microloan programs. These sorts of loans require small collateral. They are specially designed for startups that may have difficulty in getting other types of loans.

Angela Is Working As Content Strategist. He Is A Beauty Blogger, Health Blogger And Public Speaker. His Goal Is To Educate People About Various Health Conditions, Beauty And About Wedding Trends. He Is A Passionate Writer.

Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Diamond Investment The Truth About Fancy Colored Diamonds.

Published

on

Movies and songs are filled with diamonds. Photographers love snaps of celebrities flashing diamond rings. Diamonds are beautiful and dazzling and often signify a commitment to love But the one thing they don’t give substantial returns as an investment in diamonds. This includes fancy and colored diamonds that originate from Canada.

Find answers to the following questions:

  • Where are fancy-colored diamonds from?
  • Are diamonds a wise investment?
  • Are diamonds scarce?
  • Colored diamonds are used as investment opportunities
  • How can you sell diamonds with confidence?
  • Where do Colored Diamonds Come From?

Specific colored diamonds can be found organically. Diamonds are formed at high pressure deep within the earth. When foreign particles and trace minerals are introduced into the process of crystallization, it alters the chemical process, which can result in a distinctively colored diamond. They are also known as naturally colored diamonds.

Color-treated diamonds are natural diamonds that have been colored to enhance their color. It is typically done through the process known as high pressure and temperature. (Conversely, this process could transform a diamond that is colored into a colorless diamond.)

Are Diamonds a Good Investment?

Making investments in physical goods, like diamonds in loose or gold, could be a lucrative option. However, is buying diamonds for investment purposes a good idea? Do all diamonds that are of the highest quality improve in value?

While they’re sought-after for their beauty and shine, diamonds aren’t scarce. They’re one of the most commonly used gems that can be found. The perception of value for diamonds, in general, may be related to the erroneous but widespread belief that diamonds are “scarcity.” The notion is the result of a clever marketing campaign of De Beers and because some diamonds have gained fame for their astronomical value, such as the infamous (and legend has it the cursed) Hope Diamond.

However, these diamonds tend to be huge or have extraordinary clarity. Diamond investments generally don’t make a profit. Greens, blues, pinks, and red diamonds have risen dramatically over the last 10-20 years. If you purchase the diamond for a significant wholesale price discount, you’ll require an incredible market movement to earn a profit.

A vehicle appreciates when you take away from the dealership up to 9 percent (per edmunds.com). The same is valid for diamonds. A diamond’s value decreases as you leave your jewelry shop or department, often up to 50% and at times even lower, down to 25% of the initial value of the diamond at the sale.

Do Not Forget My Beers A Myth of Diamond Scarcity

In 1888, following the discovery in the 1870s of diamonds in South Africa, the De Beers commercial mining company was in charge of the majority of diamante production and distribution. in 1902, that number exceeded 90 percent. It was for their benefit and continued profit to perpetuate and create the notion that diamonds were rare. From the 1930s onwards, De Beers also successfully advertised the notion that, in essence, diamonds equal love.

Diamonds are expensive at the time of initial purchase due to their price being dependent on demand from the market and supply.

Colored Diamonds and Fraudulent Victims

They are plentiful, and they often target vulnerable older people.

A boiler room operation operates under the brand name “No. 1. Gemstones” targeting elderly British expatriates in Spain. Cold calls were made to sell “rare” colorless diamonds. The scammers cheated victims out of one million dollars (about $1.3 million US) before the police arrested them.

In another scam involving colored diamonds, CDX Worldwide Ltd. made $1.2 million ($1.7 million US) by cold-calling. The company was registered with an online address in London; however, the website linked the customers to a company with a similar name within the United Arab Emirates.

A Toronto-based fake colored diamond business, Paragon International Wealth Management Inc., has racked up fraud on customers of approximately $1.7 million US and sent diamonds that didn’t meet the worth of their purchase.

In WP Diamonds, we have talked to a variety of clients from our clients in the UK, US, and Canada who have poured their savings and savings into “tremendous investments in diamonds” only to find out that the diamonds they purchased are, even years later – only worth an only a tiny fraction of what they that was invested. Some were even worthless.

How Can These Companies Get Through It?

There isn’t a cost-per-cart guide for diamonds of color as with the Blue Book. Each diamond is distinctive, and there is a lack of price information on the market for consumers to find, which is why it’s tough to conduct your due diligence. If a convincing salesperson offers you an investment opportunity worth your money, It is difficult to refuse.

How to Sell Diamonds and Diamond Jewelry Securely Online

WP Diamonds provides a safe and secure method of selling diamonds online. We offer transparent price estimates and quick payment. Our process could take as little as 24 hours, beginning to completion.

  • Experts in luxury: Our team of GIA-certified gemologists, possess the experience and knowledge in the field to provide you with an accurate price for your diamonds on the basis of the market for second-hand diamonds. We purchase various luxurious items, including diamond engagement rings, handbags, and watches.
  • FREE SERVICE: You can sell online or through an appointment (NYC, Hong Kong, Tokyo, and the UK). Our service is free, without fees or commissions taken from the final price you offer.
  • Reputation: We’re happy with the A+ BBB rating and more than 1,000 reviews from customers.

Where Can I Buy Sustainable, Fancy Colored Diamonds at the Lowest Cost?

The most eco-friendly and sustainable way to purchase fancy color diamonds would be to purchase recycled diamonds. They are not only greener because they don’t create the mining of diamonds for new and are less expensive.

Diamond mining is a burden on the environment due to the destruction of land and carbon emissions, the loss of water, the degradation of species diversity, and so on. Although Canada has the most stringent environmental standards concerning diamond mining and demands that the profits go to mining firms rather than groups that make money from forced labor, Canadian diamond mining still causes some environmental disruptions.

Diamonds that have been recycled offer the highest guarantee that the diamond you purchase is not mined or created at the cost of adults, children, and the environment. Explore a variety of recycled colored fancy diamonds and diamond jewelry pre-owned at my Emma without compromising on quality.

Continue Reading

Trending

%d bloggers like this: