Everyone no matter young or old has at least once thought of a ground-breaking business idea, and many even put them into action. However, how many have you recognised to succeed? Survival of a business is no simple easy task, let alone progressing it into something much bigger and more successful. And a key factor of whether a business can smoothly succeed or not is its relationship with finance. No matter how out of this world your business idea may be, the foundation for it to establish and grow is accurate financing, no matter the amount of how big or small. Whether you are an expert or just starting out from scratch, Dizishore is offering the best guides to help you curate the best path for your business with proper financing.
Financial Resources:
Financial resources are the funds obtained by the business to invest into profit. There are several ways you can get your hands on required finance for your business however this varies from individual to individual. Regardless of whether your business is in years in progress or is yet to come into fruition, there are endless resources to experiment with.
Depending on what you have access to as well as your personal preferences and needs, here are only some examples of financial resources to support handling your business:
- Business Operations (Sales)
- Selling Assets
- Bank Loans/Overdraft
- Venture Capital
- Crowdfunding
- Stock Sales
- Cash
- Grants
- More
What are Financers Looking For?
In order for financers to lend you money, they must be sure to trust you. And in order to trust you, you must have an avid yet secure plan on why and how you intend to invest the borrowed money into your business so your financer can get their funds repaid.
Some things financers would look into when deciding if they should and how much money they would let you borrow and invest, would be:
- The quality of your business plan
- Your finance plan
- Your entrepreneurial qualities and experience
- Your/the business’ financial credit history
- The amount and duration of the loan requested
- Budgeting Plans and Obligations
- Ability to repay
- Market research and knowledge
- etc.
Creating a Finance Plan:
To help you manage your Business & Finance, it is crucial to create a strong finance plan in preparation of launching your business and to maintain it in the long-term.
There is no strict structure a finance plan and it can be different for everyone on the basis of their experience, knowledge, business objectives, size and more. There are many different elements which you can pick out and put together into a plan suited to yourself and your business.
Some things you could include are:
- Balance Sheet
- Profit and Loss Statement
- Break Even Analysis
- Cash Flow Statement
- Sales Forecast
- Budgets (financial, investment, operating, etc.)
In all – this is only an overview. For further in depth studies to maximise the potential of your business to flourish, get your hands on the many books with Business & Finance expertise right now on Dizishore.