If you have extremely bad credit and find yourself in a financial bind, one of the few kinds of financing you can turn to is payday loans. In recent years, it’s become easier and easier to obtain payday loans, and more cash advance stores have popped up in the US than there are McDonald’s and Starbucks combined. The money comes with no restrictions on it and can be obtained within minutes of filling out the application.However, payday loans have a darker side. They should only be used as an emergency funding source when they are really needed, and should not replace fiscal responsibility or other means as a regular source of funds. If they do, you can end up in a trap and pay several hundred percent interest each year on small loans.What is a Payday Loan?A payday loan is a short term loan given in small amounts of money, usually in the range of $100 to $500 depending on the size of your paycheck. The lender then charges a certain fee, usually around $10 to $20, and you pay the loan back with the fee you’re your next paycheck is issued. There are no credit checks involved in the application process so anyone can applyIn order to get approved you to only meet a few general criteria. You must be 18 years old and have a checking account and a steady job. The application process only involves the gathering of basic information such as your name, employment, address, and banking information. The money usually gets put in your account the same day, many times a few hours or minutes after your apply.What a Payday Loan Should be Used ForA payday loan should only be used in emergencies and to meet very short term needs that you absolutely cannot wait to get money for. In this circumstance and this circumstance only should you take out a payday loan and pay it back with your very next check. Never make a habit out of using them.The Dangers of Payday LoansPayday loans are dangerous because they get people into a trap. If you can’t afford certain expenses this payday, odds are you’re not going to be able to afford them next payday either, especially after losing a few hundred dollars to pay back your loan. The loan companies know this and will gladly roll over your loan for you, granted that you pay them the interest and fees due for this payday. If you get caught in this trap, you will end up paying huge amounts in interest by the time you can pay off the loan.As an example, assume you borrow $200 and pay $20 in fees for the service, which is at the low end of the spectrum. You pay this every two weeks until you can pay the loan off. Within 10 pay periods (20 weeks) you will have paid as much in interest as you paid on the original loan. If you carry the loan over the entire year, you’ll have ended up paying $520 in interest, which works out to 260% annually. Compare this rate to credit cards, which are considered to have high rates, but they only charge 20 to 30% annually on their cards! This fact makes payday loans an industry on the fringes of society because many of them prey on the poorer elements of society.If you are thinking about taking out a payday loan, make sure that you do your research. Be aware of all the terms and conditions that may apply. The internet makes comparison shopping easy; make sure you take advantage of this to save a few dollars on fees each payday. But above all take a serious look at your financial situation. See why you need to take out a payday loan and do everything in your power to eliminate this need in the future. It may be hard to cut your spending and save money, but it’s better than falling into a cycle of debt from which you might not be able to dig yourself out of.
Business Capital Solutions In Canada: Accessing Proper Cash Flow & Commercial Financing
Business capital requirements in Canada often boil down to some basic truths the business owner/financial mgr/entrepreneur needs to address when it comes to financing for businesses.
One of those truths? Knowing the true state of their financial condition and what financing they do and don’t qualify for when it comes to meeting commercial lending requirements in Canadian business.
Business Loans In Canada
Whether you are smaller or start-up firm looking for information on how to get a business loan or a larger established firm looking for growth financing or acquisition opportunities we’re highlighting 3 mistakes that commercial loan seekers like your company need to avoid making when addressing, sourcing and negotiating your cash flow / working capital and commercial financing needs.
1. Understand the true condition of your company finances – These are almost always successful addressed when you spend time on your financials and understand how your financial statements reflect your access to commercial loans & business credit in general
2. Ensure you have a plan in place for sales growth and financial needs as it relates to commercial financing
3. Understand that actual hard facts about cash flow which is, of course, the lifeblood of your company
Can you honestly answer or feel positive about all those 3 points. If so, pass Go and collect $ 100.00!
A good way to address your company’s finance plans is to ensure you understand growth finance solutions, as well as how to manage in a downturn – i.e. not growing, losing money, etc; It’s never fun to fund yourself in an economic or industry downturn such as the COVID pandemic of 2020!
When we talk to clients of new or established businesses it seems they are almost always talking about sales, so the ability to understand and focus on the differences in their profits and cash fluctuations is key.
How do cash flow and sales plans and projections affect the type of financing you require? For one thing sales growth usually starts out by consuming your cash, not generating it. A poor finance plan will drag your business down and addressing financing simply gets tougher and tougher.
Three basics always emerge when it comes to your search for the right business capital and financing.
1. The amount of financing you need
2. The type of financing (debt/cash flow/asset monetization) The business loan interest rate will be dramatically affected by whether you choose traditional or alternative financing solutions. Private business loans in Canada come from non regulated commercial finance companies most often known as ‘ alternative lenders ‘. These lenders are typically highly specialized in one ‘ niche ‘ of business financing and may be Canadian firms or branches of U.S. banks and non-bank lenders
3. How the financing is structured to be manageable with your day to day operations
What Finance Company In Canada Can Meet Your Borrowing Needs & Why Is Capital Important In Business
Let’s identify and break down key financings your firm should know about and understand if they are applicable and achievable to your business. They include:
A/R Financing / Factoring / Confidential Receivable Finance
Inventory finance / floor planning / retail inventory
Working Capital term loans
Unsecured cash flow loans
Merchant working capital loans/advances – these loans are geared toward short term cash needs and are typically one year in duration. Loan amounts are typically 15-20% of your annual sales revenues.
Royalty finance
Asset based non bank business lines of credit
Tax credit financing (SR&ED bridge loans)
Equipment Leasing / Sale leasebacks – Equipment financing in Canada is used by almost 80% of all companies looking to acquire new, and used, assets.
Govt Guaranteed Small Business Loan program – Government Loans in Canada are sometimes referred to as ‘ SBL’, aka Note: BDC Finance solutions are available from this Canadian non-bricks and morter crown corporation. A small business loan via the government-guaranteed loan program comes with true flexibility around term loan duration, market rates, no pre payment penalties, and of course the low personal guarantee that is required by borrowers. These two ‘ government ‘ loan solutions are often perfect for financing a new business.
If you’re focused on not making mistakes in your business finance needs and want to capitalize on the solutions your competitors are probably already using seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your cash flow and commercial financing needs.
Stan has had a successful career with some of the world’s largest and most successful corporations.
His employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) In 2004 Stan founded 7 PARK AVENUE FINANCIAL – He is an expert in Canadian Business Financing.
San Jose Costa Rica Travel and Highlights
San Jose, capital and largest city, has the best Costa Rica tours for most travelers and tourists. This city offers numerous spectacular museums, first class restaurants, and amazing night life venues. Some may think less of this city because of its urban sprawl but nevertheless, they soon found out how this city can be very entertaining especially once you’ve visited Plaza dela Cultura and Paseo Colon.Some of the fun things to do in Costa Rica can be done at the Plaza de la Cultura. It is also known as the Culture Square, is usually the place to go to shop for souvenirs, sun bathe or enjoy a night out while watching marimba bands and other entertainers including comedians or clowns, jugglers and colorfully dressed artists playing Andean music. The Paseo Colon; however, is one of the best hotels in San Jose with really accommodating and helpful staff as well as luxurious and comfortable rooms.The Jade Museum is one the most visited attractions according to Costa Rica vacation reviews, highlighting the country’s century-old artifacts and the world’s largest and renowned collection of Pre-Columbian Jade. The Costa Rican Art Museum also known as Museo de Arte Costarricense by the locals, showcases a collection of works by the country’s most celebrated artists back in the 19th and 20th centuries. Its presentation is highly impressive because of its rotating shows and sculpture collection. Most of the works are exhibited in all forms of media. The National Museum, also called the Museo Nacional, was founded in 1887 and is situated in the old fort used by the military during the civil war back in 1948. This museum displays the natural history, Pre-Columbian culture as well as history of Costa Rica.Other exciting Costa Rica tours involve the Pre-Columbian Gold Museum near downtown San Jose. The Pre-Columbian Gold Museum which is part of the Central Bank Museums is an underground cultural center that exhibits the marvelous collection of gold objects that reflect the techniques of the Pre-Columbian people in Costa Rica. The exhibition is divided into two levels: an introductory and area for orientation at the 2nd level of the structure that interprets the evolution of Pre-Columbian cultures. The metallurgy development in Costa Rica, the styles and stages are also featured in this level. The second level which is located at the 3rd level of the structure showcases the diverse uses and meanings of the gold objects. An introductory video is presented in this level before people can view the collection.The Mercado Central also the Central Market in Costa Rica is another destination where tourists go strolling about to purchase the exotic spices, fruits, vegetables and even t-shirts. There’s also a bakery and even wood and leather handicraft sold in stalls. This market consists of three blocks and is located near a train station.Most tourists check out travel agencies in Costa Rica to get the best travel packages only to visit San Jose. The best thing about this city is that most of the tourist destinations are really accessible. Many realized it’s best to explore the city on foot. But if travelers decide to travel around outside the city they can opt to go visit the Monterverde National Park considered the most visited national park in the country.An overseas travel adventure to the Monteverde National Park is only 3 to 4 hours from the capital by car; however, air travel is offered through Sansa Airlines which only takes 20 minutes. It contains the most beautiful beaches and coral reefs coupled with a superb combination of lush rain forests. The rain forest houses a diverse collection of species including monkeys, iguanas, sloths, squirrels and crabs.