Finance Market

October 22nd, 2014 | La Grand 1520 Financial | No Comments »

Are your clients taking up to 60 days to pay their invoices? This is a very common situation and a significant cause of stress to many business owners. Unfortunately, having a profitable business does not necessarily mean that you have a reliable cash flow. Quite the opposite, many times a business may have great profits and a very unreliable cash flow.

How can this be? Simple. Your clients are paying you in 60 days, but you need to pay employees mostly all week, rent and suppliers. Although the numbers may work in the long term, in the short term you are left with very little cash. This is unless you have a lot of money in the bank to cover the deficits.

But, what do you do if you are new, growing or just don’t have a lot of funds in the bank? Get a business loan? Unlikely. Business loans are hard to get. A better option would be to use invoice discounting. Invoice discounting is a form of financing that is not offered by a bank – it’s offered by a factoring company.

Invoice discounting, as it name implies, involves selling your invoices for immediate cash, at a small discount. Its value proposition is very simple. Are you willing discount between 1. 5% to 6% from your invoices to get paid now? Consider that many business owners offer a 2% discount to businesses that pay in 10 days. So, invoice discounting offers a similar proposition.

Of course, invoice discounting (or invoice factoring as it is also called) is not for mostly all business. It works best when your profit margins are above 15% and if you use the accelerated funds to pay for business expenses or to pursue new business opportunities.

Factoring companies always purchase your invoices in two installments. The first installment, referred to as the advance, covers up to 85% of the invoice. The remaining 15% (less the discount) is rebated once the customer actually pays the invoice.

Invoice discounting is easy to obtain and can be set up in days. The biggest qualification requirement is to have invoices from reliable clients. So, if you are sitting on a whole bunch of slow paying invoices, be sure to consider invoice discounting.

Financial Theory (ECON 251) This lecture gives a brief history of the young field of financial theory, which began in business schools quite separate from ec. . .

Tweet this! StumbleUpon more…

" title="Digg this!"> Digg This! more…

" title="Bookmark on Delicious."> Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious

Get Stock Market

October 21st, 2014 | La Grand 1520 Financial | No Comments »

First we’ll start off with what a system is. According to Merriam-Webster’s Collegiate Dictionary a system is “an organized or established procedure”. It follows then that a stock trading system can be defined as “an organized or established procedure for trading stock”. Two words in this definition are very important. Those words are organized and established.

These words basically tell us that a stock trading system is planned. Planned is good because it indicates that when trading using a stock trading system that we know what to do ahead of time. Every profitable stock trader has a plan. You don’t want to jump into a trade and then try to figure out your next move at the last minute.

Another thing we can say about stock trading systems if that they are designed to trade stocks profitably. That, of course, is the intention and not necessarily the outcome. Basically I have not heard of anyone wanting to create a stock trading system that loses money. Stock trading systems may be broken down into 2 basic types:

Fundamental

Technical

The differences are that fundamental analysis uses economic data about supply and demand whereas technical analysis uses past price, volume, etc. data. Most of the time when someone refers to a stock trading system they are referring to a system designed using technical analysis. Stock trading systems range from very simple to very complex. A simple example of a stock trading system would be as follows:

Buy a stock at the open every Monday

Sell the stock at the close every Friday

I know this is a simple stock trading system and you’re probably saying to yourself, “That would never work”. Maybe it would and maybe it wouldn’t. . . only through testing would we be able to find out.

Stock trading systems have grown in popularity over the last few years. One of the reasons more and more people are trading stocks using stock trading systems has been the need to have more control over risk. After the sharp decline in stock prices starting about April 2000 we all started to realize that maybe there is more to making money in the stock market than “buy and hold”.

Brought to you by Warren Buffett giving an interview on the practices he uses for investing in penny stocks. To receive penny. . .

Tweet this! StumbleUpon more…

" title="Digg this!"> Digg This! more…

" title="Bookmark on Delicious."> Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious

Stock Markets

October 20th, 2014 | La Grand 1520 Financial | No Comments »

First we’ll start off with what a system is. According to Merriam-Webster’s Collegiate Dictionary a system is “an organized or established procedure”. It follows then that a stock trading system can be defined as “an organized or established procedure for trading stock”. Two words in this definition are very important. Those words are organized and established.

These words basically tell us that a stock trading system is planned. Planned is good because it indicates that when trading using a stock trading system that we know what to do ahead of time. Every profitable stock trader has a plan. You don’t want to jump into a trade and then try to figure out your next move at the last minute.

Another thing we can say about stock trading systems if that they are designed to trade stocks profitably. That, of course, is the intention and not necessarily the outcome. Basically I have not heard of anyone wanting to create a stock trading system that loses money. Stock trading systems may be broken down into 2 basic types:

Fundamental

Technical

The differences are that fundamental analysis uses economic data about supply and demand whereas technical analysis uses past price, volume, etc. data. Most of the time when someone refers to a stock trading system they are referring to a system designed using technical analysis. Stock trading systems range from very simple to very complex. A simple example of a stock trading system would be as follows:

Buy a stock at the open every Monday

Sell the stock at the close every Friday

I know this is a simple stock trading system and you’re probably saying to yourself, “That would never work”. Maybe it would and maybe it wouldn’t. . . only through testing would we be able to find out.

Stock trading systems have grown in popularity over the last few years. One of the reasons more and more people are trading stocks using stock trading systems has been the need to have more control over risk. After the sharp decline in stock prices starting about April 2000 we all started to realize that maybe there is more to making money in the stock market than “buy and hold”.

Brought to you by Warren Buffett giving an interview on the practices he uses for investing in penny stocks. To receive penny. . .

Tweet this! StumbleUpon more…

" title="Digg this!"> Digg This! more…

" title="Bookmark on Delicious."> Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious Bookmark on Delicious