Having Financial Freedom And Being Realistic

Strategy Driven

Monitor your credit report so that you can actively make changes. The next thing you might want to think about is your current financial history regarding credit and your current score. You may want to look into your report on credit reference agencies so that you have a true idea of what is going on behind the scenes. This could be focusing on paying off debts or ensuring that all details on your credit file are correct.

Do You Need Good Credit to Start A Business?

Strategy Driven

We all know that many entrepreneurs have bad credit score. Moreover, some go through personal difficulties which affect their personal credit score at the same time. Do you need good credit to start a business? While having a bad credit should never be a hindrance for you to start your own business. Improving your credit score allows you to get loans or business line of credit that you can use to build your business.

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Why Leaders Need to Think More Like Professional Gamblers

Leading Blog

While their job may have been setting or applying strict credit policies in the past, they may now start to wonder whether their traditional credit rating models are still effective. O NE OF the unfortunate side effects of living in an age of accelerating technology is having to deal with increased uncertainty. When faced with uncertainty, how should leaders react? Should they make a big bet, hedge their position, or just wait and see?

5 Viable Options for Financing Your Small Business

Strategy Driven

Financing a small business isn’t always easy, but there are plenty of solutions available, no matter how bad your credit rating is. Credit Card. When you don’t need a huge amount of capital, easily accessible funding options like credit cards are a useful tool. The great thing about credit cards is that they are flexible, so if you only need a short-term cash injection to buy supplies, a credit card may work for you.

A Guide to Marketing Your Business: 2020 Edition

Strategy Driven

If your credit rating is in bad shape, Now Loans shows you can still acquire funding this way despite the hurdle. Marketing is an integral element for any business. From recent startups to long established organizations, continual promotion is necessary for a number of reasons. It allows a brand to become visible to new potential customers, it keeps them in the consciousness of current customers, and it can bring instant awareness to new products or services.

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Geting to Grips With Your New Business’s Finances

Strategy Driven

Get Yourself A Great Rating. When you’re trying to be careful with your funds, and save wherever you can; you might think that getting yourself a credit card might be a bad idea. However, it’s worth getting one so that you’ll have a credit rating or score for you and your business. Without a credit score, it can be difficult to gain investment or receive a loan, and you’ll probably need these at some point to invest further in your company.

Why You Should Improve Your Business Credit Score

Strategy Driven

When did you last check your business credit score? Most business owners know that a personal credit score is important but many have never given their business score a thought. According to Experian, 59% of small business owners have never checked their commercial credit score. Most people do not know what a credit score is or how it works. But why is your business credit score important? Not already sharing information with any credit rating agencies?

How to Finance a New Vehicle

Strategy Driven

If you get a decent interest rate on your savings, as a low-interest loan may mean more money in your pocket overall. If your credit is good and you’re always getting loan offers, then you may decide to take out a standard bank loan to finance the car. You should calculate your monthly payments compared to rates offered by auto loan companies, and if possible, try to take out the loan over a shorter term to save on interest.

7 Ways To Finance Your Business

Strategy Driven

Plus, if you do need to borrow more at a later stage, your business’s credit won’t be affected. It can work out very well, and with enough research, you will be able to find a variety of different loans with varying interest rates and special deals. You may not be eligible for all of them, however, and applying for too many loans all at once can damage your credit rating. A Credit Card.

The 5 Easiest Ways to Build Business Credit

Women on Business

However, if your company can build business credit, you will find yourself gaining more opportunities to access cash. Whatever you do, don’t operate your business on your personal credit. Not only does it make your personal finances vulnerable, but business credit is a much more powerful tool professionally than personal credit. Make the financially fit decision Use these 5 quick tips to start building business credit today.

Find High Acceptance Loans the Easy Way

Strategy Driven

Finding a balance between a trusted lender and high approval rates can be tricky and making the wrong choice can end up costing you considerably more. To be able to find lenders who offer high approval rates with low-interest rates, you’ll need to look at the market in general to compare the lenders. One of the problems you may find is that some lenders will claim they can offer high acceptance even with poor credit and charge a fee to go through an application.

Unsecured Business Loans: A Comprehensive Guide

Strategy Driven

To get this type of loan all you need to do is apply for financing and also have a good credit score. Another option that works best for short term financing resolutions is an unsecured business line of credit that is indeed a more adaptable finance choice, which is perfect for numerous purposes. Many companies that want to create a good credit rating so that they can prepare their business for a much bigger loan in the future also use this type of loan.

When is Spinning the Message a Good Thing?

Marshall Goldsmith

This dysfunctional spinning led to countless disasters for buyers - who lost their homes and ruined their credit ratings. Q: In our company we value integrity, yet leaders - especially in marketing - are taught to "spin" to make products and services sound good to clients. When is "spinning" a message a good thing? When it is wrong? A: Every company that sells products or services "spins" these in a positive way to clients. This is not immoral, illegal, or unethical.

Use Big Data to Create Value for Customers, Not Just Target Them

Harvard Business

Multi-billion dollar businesses such as Yelp, Zagat, TripAdvisor, Uber, eBay, Netflix, and Amazon crunch quantities of data including ratings of service providers and sellers in order to reduce customers’ risk. Currently, these good-bad-ugly ratings provide generic evaluations of sellers on standard scales. Big data holds out big promises for marketing.

What are the Best Working Capital Loan Options in 2019?

Strategy Driven

OnDeck: OnDeck offers working capital loans to borrowers with a minimum credit score of 680 with rates around 9%. It also offers a line of credit which has a repayment period from 6 months till one year. To qualify for OnDeck, you must have a credit score of at least 600 and must have a business history of one year. Along with that, even if you repay your loan early, the interest rate will remain the same for the entire term of the loan.

How to Boost Your Personal Finances

Strategy Driven

The nature of your accommodation is determined by your income, while your ability to get loans and credit opportunities is hampered by a poor credit rating. There are many things in life that rely heavily on your personal finances. In short, your personal finances, if healthy, can promote your overall wellbeing – and if poorly managed, your personal finances can cause you a great deal of discomfort.

Subprime Credit-Card Holders Are the Most Profitable

Harvard Business Review

Although credit-card holders with low credit ratings default more often than the rest of the population, the interest and fees they pay make them far more profitable for banks than any other groups of credit-card customers, according to research reported in The New York Times. Even during the financial crisis, when banks were hemorrhaging money on subprime mortgages, subprime credit cards were a major source of profits.

Why Including Government Procurement In Your Sales & Marketing Strategy Will Catapult Your Business To The Next Level

Strategy Driven

Most agencies have very high credit ratings, and companies can even get advanced payments from financial institutions on the future payments of government contracts (if necessary). The federal government spends over $4 trillion per year, and state & local agencies spend over $3 trillion. Government spending is the largest “industry” in the United States representing over 13% of U.S. Gross Domestic Product (GDP) — with manufacturing second at 12% of GDP.

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Creating a New Approach to Engineering and Innovation at Hitachi Metals - SPONSOR CONTENT FROM HITACHI METALS, LTD.

Harvard Business

The company is a member of the Hitachi Group, listed on the first section of the Tokyo Stock Exchange, and enjoys an A+ credit rating and stable outlook from Ratings & Investment Information Inc.

The Impact of the Blockchain Goes Beyond Financial Services

Harvard Business

Blockchain technology can also take networked business models to a new level by supporting a whole host of breakthrough applications: native payment systems that run without banks, credit card companies, and other intermediaries will cut cost and time from transactions. Reputation systems built on social and economic capital and controlled by individuals, rather than by intermediaries like rating agencies and credit rating services, will change the dynamic between consumers and companies.

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Using Digital Exhaust to Improve Sales

Harvard Business

The tool’s analysis of inside sales calls at one company found that although reps had long been coached on a broad set of practices, four specific behaviors correlated most closely with sales close rates. It notifies a company if one of its competitors files a credit check on a customer, signaling potential defection. This type of software has consistently improved call response rates, close rates and average order value.

As AI Meets the Reputation Economy, We’re All Being Silently Judged

Harvard Business

But the omnipresent rating game has one big catch: ranking up is incredibly hard, while ranking down is rapid and easy, like a free-fall. The reputation economy is based on the simplistic, but effective star ratings system. Anyone who’s ever rated their Uber driver or Airbnb host has actively participated. In 2012, Facebook applied for a patent that would use an algorithm to assess the credit ratings of friends, as a factor in one’s eligibility to get a mortgage.

StrategyDriven Editorial Perspective – Negotiations and the Divided Government

Strategy Driven

The second objective of all three parties was the avoidance of a credit rating downgrade. At the time (prior to the actual downgrade), the threat of a credit downgrade forced all three parties to the negotiating table. This increase in tax revenue derived from this group would be achieved through the elimination of existing tax deductions and an increase in these individuals’ tax rate.

7 Ways to Improve Operations Without Sacrificing Worker Safety

Harvard Business

According to Jim Gallogly, no matter how low the OSHA recordable injury rate, if there is a serious incident — a fire, a chemical release, a worker is seriously hurt — no manager gets a bonus. ” Rethink how you think about injury rates. Injury rates, often called “OSHA recordables” are important metrics, in that they reflect the very real experience of your workforce. That said, you should set concrete goals for injury rates at your company.

The Real Challenge to Turkey’s Economy Isn’t Terrorism

Harvard Business

Turkey’s general credit rating is still higher than that of Brazil, Croatia, Portugal, Cyprus, and Serbia. The domestic saving rate , stagnant productivity , unemployment , and rapidly increasing labor costs all adversely affect growth. Three attackers armed with machine guns and strapped with explosives conducted a frontal assault on Istanbul’s Ataturk Airport on June 28. The brutal attack left dozens dead and hundreds injured.

Does Standard & Poor's Deserve a Downgrade?

Harvard Business Review

nation's credit rating has the same tone. Ratings are great when there is misinformation or uncertain information, but that is not the case here. An "AA+" rating is defined by S&P as follows: "An obligation rated 'AA' differs from the highest-rated obligations only to a small degree. And all ratings agencies tell their constituents that their ratings are a guide, a compass, not a hard and fast rule.

How Share-Price Fixation Killed Enron

Harvard Business Review

It appears that Enron''s final fatal mistake was to try to support its stock price instead of living up to key contractual obligations required to maintain its credit rating. What caused Enron''s bankruptcy was, quite simply, the loss of its investment-grade credit rating. So, what caused Enron to lose its investment grade rating? Were the rating agencies aware of Enron''s oft-maligned financing structures?

Ratings Agencies Are the Darnedest Things

Harvard Business Review

They gave AAA ratings to financial instruments that were essentially fraudulent to begin with and effectively worthless at the end. The fault here, though, lies as much in ourselves as in our ratings agencies. And S&P's ratings downgrade of the U.S., I should disclose here that John Chambers, the chairman of S&P's sovereign ratings committee, is a social acquaintance. Lots of overseas regulators and private investors have come to rely on the ratings as well.

How Blockchain Could Help Emerging Markets Leap Ahead

Harvard Business

This in turn boosted development by allowing relatively poor farmers to reliably send and receive payments at affordable rates, fostering economic growth by lowering transaction costs. Educational records, business histories, health care information, and credit ratings could all be made usable the world over, helping those who want to trade or travel to prove their credentials.

Government Regulation That Actually Works

Harvard Business Review

Workplace inspections not only improve safety, they cause no discernible damage to employers' ability to stay in business and no reductions in sales or credit ratings, according to our research. The federal Occupational Safety and Health Administration (OSHA) is back in the news after the Government Accountability Office criticized the agency for taking too long to adopt new safety regulations. The GAO report says the delays compromise worker safety.

How Credit-Worthy Is America, Inc.?

Harvard Business Review

In financial terms, and especially with regards to credit, governments are no different. As the CEO of a credit business, I’m in a unique position to take a look at how the US actually stacks up. Several agencies rank government creditworthiness, and according to all of them, the US is pretty darn good: Moody’s rates us at the top of the scale with an AAA rating. If the government were a business, how would its credit rating look?

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A Lesson from Warren Buffet about Ethical Blind Spots

Harvard Business Review

It also accounts in part for the failure of security rating agencies to accurately gauge the riskiness of the instruments they rate. And, when we allow financial firms to choose for themselves the agencies that rates their financial products, the agencies have every incentive to be lax. The data seem clear on David Sokol's conflict of interest in the Berkshire/Lubrizol deal. He bought shares in Lubrizol, and then encouraged Berkshire to buy the company.

Africa’s Unique Opportunity to Promote Inclusive Growth

Harvard Business Review

But with robust growth rates and economies unburdened by legacy structures of the last century, Africans can innovate beyond what others are doing. The AfDB has the strongest credit rating of any organization in Africa and in 2008, it surpassed the World Bank in lending to Africa , a signal of Africa’s growing agency in its own development. Six years after the global recession began, many parts of the world are still struggling to achieve growth.

Three Questions to Ask Your Advanced-Analytics Team

Harvard Business Review

The idea is that direct driving behavior over time will be more predictive than traditional proxies such as age, credit rating, or geography. For insurers, transforming these data into their most usable form may require the creation of new composite variables or scores from the existing data — something like a driving risk score that gives weight to telematics data, geography, and credit score.

Crisis of Faith in the Financial System

Harvard Business Review

This pattern of abstracting further and further away from "real" things and "real" value has continued to the present day, giving us credit cards and collateralized debt obligations (not to mention casino chips). From Bernie Madoff to derivatives to the housing bubble to dubious AAA credit ratings, we continue to find new ways to encourage people to make financial leaps of faith. What happens when there is a mass loss of confidence in the financial system?

Four Steps to Fixing Your Bad Data

Harvard Business Review

As one might expect, officials are using the error and S&P's earlier failure to properly rate bundled mortgage products to argue that the downgrade is incorrect. From falsified mortgage applications and bundles of toxic mortgages, to incorrect credit ratings and balance sheets that couldn't be trusted, the financial crisis is as much about bad data as it is about unfettered greed. At this point, most everyone has heard that S&P downgraded U.S. government debt on Friday.

Who Fixes the Euro?

Harvard Business Review

But remove the currency markets and you take away the constant credit rating service the currency markets provided. To replace all that the banks ought to have undertaken keener credit analyses, probably resulting in higher margins on loans to the peripheral countries. It was the same problem with credit analysis. It probably will be (and I expect should be), perhaps through the use of the credit default swaps market.

Private Equity Can Make Firms More Innovative

Harvard Business Review

Further proving this, the researchers found that PE firms had the largest impact on innovation in industries and companies most likely to be financially constrained—industries, like manufacturing and pharmaceuticals, that are highly dependent on large outside investments, and firms that have a relatively low credit rating. There’s a longstanding debate about whether private equity investors create value for the firms they buy.

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Badges? We Don’t Need No LinkedIn Badges

Harvard Business Review

Money became a key element of these trust networks because it was cheaper to trust the money than the credit of a counterparty beyond your clan, village, or tribe. These hacks are things like badges, diplomas, dress codes, and, as it happens, credit ratings. The son of a Texan friend of mine decided earlier this year not to go to college, as someone like him would surely have done a few years ago.

The Real Solution Is Growth

Harvard Business Review

Recent headlines have focused on the debt ceiling , the recent credit rating downgrade , unemployment , and the other thorny fiscal challenges facing the United States. But consider this: increasing the country's average growth rate by one percentage point over the next 20 years would not only result in much higher incomes and more jobs for all Americans but would also obviate the need for drastic spending cuts today to reign in the government deficit.

AskObama Is a Meaningless Marketing Stunt

Harvard Business Review

The dismal truth is that pretty much all of yesterday's institutions — from banks, to "the corporation," to credit ratings, to schools — are just as broken as our political institutions are. I'm a citizen of a generation whose future is going up in smoke faster than you can say "credit default swaps." So, what are you asking President Obama? Why not more stimulus? Why did he choose to bail out the banks?

What Economists Know That Managers Don’t (and Vice Versa)

Harvard Business Review

To begin with, quite a few parts of it are heavily concentrated at a global level (the credit ratings business, for example, or global investment banking), and many more at the national level (just six financial institutions account for 46% of all U.S. Why did Jean Tirole win the Nobel Prize in Economics?

What Economists Know That Managers Don’t (and Vice Versa)

Harvard Business Review

To begin with, quite a few parts of it are heavily concentrated at a global level (the credit ratings business, for example, or global investment banking), and many more at the national level (just six financial institutions account for 46% of all U.S. Why did Jean Tirole win the Nobel Prize in Economics?