by My Commercial Capital | May 12, 2023 | Blog
Each year, when the calendar reaches the end of December, some small business owners go into a mini-panic, recognizing that tax time is right around the corner. If you’re totally unprepared for it, tax time can be a nightmare, but if you’ve been observing some good practices throughout the year, your accountant may not have much trouble in filing your taxes and keeping your current. Here are some recommendations on how to prepare for that all-important tax time, so you don’t have to dread it every year.
Preparing for tax time
By taking the steps below, you should be well-prepared for tax time, which means you won’t have to dread it when it comes:
- Get organized – throughout the calendar year, you should be organizing your expenses, invoices, and business statements so they’re all accessible and ready to support your tax claims
- Bank reconciliations – make sure all your banking transactions have corresponding entries in your accounting system. This should be done each month, so it’s not a mammoth task at the end of the year.
- Quarterly payments – if you’ve made quarterly payments this past year, these will need to be compared to your end-of-year statement. When your books are fully reconciled, you’ll have no trouble preparing year-end statements accurately.
- Prepare W9 documents – if you’ve done business with contractors in this tax year, you’ll need to prepare the mandatory W9 statements, provided that your contractors earned more than $600 from your business.
- Start early – it’s never a good idea to wait until tax season to contact your accountant. By getting an early start, you can be sure that you’ve allowed enough time to handle any issues that come up, and you can be sure of booking time with your accountant.
Owe money on your taxes?
Many small business owners find that at the end of a tax year, they owe the government money, and this just isn’t budgeted for. To cover this shortfall, you may want to apply for some kind of business loan that will keep you current with the federal, state, or local tax agencies. Contact us at My Commercial Capital if you’re in need of financial assistance to cover your tax responsibilities.
by My Commercial Capital | May 5, 2023 | Blog
For entrepreneurs starting up new businesses or taking their companies to the next level, effective time management is essential. Time is a valuable asset, and too often it seems you don’t have enough of it when you measure it against everything that needs to be done. However, you can use your time more efficiently by adopting these tried and proven time management strategies.
Clarify Your Goals
As an entrepreneur, you may have numerous goals in mind for your business. One of the first things you should do is list these in order of priority. As you consider the goals, you will realize that some are essential while others are desirable but of obviously lesser importance.
Prioritize What Pays
At the top of your list of goals should be tasks that pay off in funds to run your business. If you are deciding between various project options, first take on the one that brings in the most income for the least amount of effort.
Plan Ahead
Once you have settled on your short-term and long-term goals, prepare a plan for their accomplishment. Break up larger projects into several intermediate milestones that will mark your way towards ultimate fulfillment.
Do the Most Urgent Tasks First
Many people obtain satisfaction from accomplishing numerous smaller items on their checklists, but for entrepreneurs this is inefficient time management. Instead, always tackle the biggest, most urgent task first. See this task through to completion, and then go on to the next urgent task. Remember that the quality of what you get done is far more important than the quantity.
Set Deadlines
Deadlines are an important factor in your time management strategy. Estimate how long it should take you to finish important tasks, and set realistic but challenging deadlines for their accomplishment. These time constraints will spur you to focus better and work harder.
For more tips on time management for entrepreneurs, get in touch with My Commercial Capital.
by My Commercial Capital | Apr 28, 2023 | Blog
All business owners would probably prefer to conduct all transactions on a cash-only basis, but that just isn’t realistic because it would tend to limit the volume of sales in your company. By allowing for trade financing with your customers, you make it possible for them to make purchases, or to make larger purchases, than they would have been able to make if all transactions were strictly cash. On the other hand, allowing trade credit to customers can open up a real can of worms, in terms of delayed or late customer payments. Here is how trade financing works, and how you can take advantage of it to help your business grow.
The nuts and bolts of trade financing
By allowing customers to purchase goods on credit, you can enjoy some or all of the following benefits:
- Higher sales volume – customers will almost always buy goods in greater volume when they don’t have to pay cash for them.
- Customer loyalty – the fact that you’re allowing customers to buy on credit will usually instill a certain amount of loyalty in them, so you can count on repeat business
- Competitive advantage – if your rivals cannot offer trade financing, you might get a leg up on them because you do make this option available to customers
- Early payment incentives – you can offer incentives to your customers to pay early, so you’re not obliged to wait the full 30 days before receiving payments. For instance, by offering some kind of discount for early payment, you may be able to get most payments well ahead of the 30-day terms allowed for in such purchases.
Is your business hampered by trade financing late payments?
Many business owners who offer trade financing find themselves with cash flow issues, simply because payments are delayed while expenses remain immediate. If your business is suffering for this reason, we may be able to provide financial assistance. Contact us at My Commercial Capital to find out if you’re eligible for a business loan that can help you stay afloat until revenues come in.
by My Commercial Capital | Apr 25, 2023 | Blog
Attorneys often find the majority of their clients through referrals. Even when this is true, they can still benefit from maintaining an online presence. Perhaps your firm could use guidance with online promotional efforts. Here are some marketing tips for lawyers with the potential to attract promising clients.
Include Calls to Action
It’s human nature to follow the path of least resistance. If someone’s on your website and contact information is difficult to find, that person is likely to go elsewhere to handle legal obligations. Contact forms make sending inquiries quick and easy. Incorporate them into every page of your site. If you send promotional emails, provide information on how to get in touch at the bottom of each one. Use language that encourages reaching out. Stress that there is no fee or obligation for consulting with a representative.
Create a Blog
When people face legal problems, they often search the internet for information about their situation before deciding on a lawyer. Have articles addressing relevant topics on your webpage, and those in need of assistance might wind up reading them. Individuals who find your words useful are more likely to solicit your services. Use search engine optimization practices to improve your Google ranking.
Get Involved with Charities
There’s no better press than earned media. Unlike traditional advertising, this type of exposure stems organically from your actions. By contributing to a worthwhile cause, interested outlets will naturally start singing your praises. When reporters come calling, request that links to your home page and social media accounts be a condition of your doing an interview. The charity you’re connecting with is likely to have a website. Ask if the association is willing to promote your services on account of your generosity. Besides the promotional aspect, it nourishes one’s soul to help those in need.
Optimize for Mobile Devices
Many access the web from their phones, not high-end desktop computers. Smartphones don’t display websites the same as their PC counterparts. Smaller screens sometimes make navigation difficult. Limited memory might mean fancy plug-ins and sophisticated add-ons do not work. Your site should look great no matter how it’s accessed. Create a slimmed-down version of your domain that users are automatically sent to when browsing from less powerful devices.
The law is a competitive field. Thus, attorneys should use every promotional advantage at their disposal. These and other marketing tips for lawyers can make an enormous difference in whether they stand above the crowd.
by My Commercial Capital | Apr 21, 2023 | Blog
The big advantage of obtaining an unsecured line of credit is that you don’t need to offer any business assets as collateral, which means you can’t lose those assets if you should default on the loan. In most cases though, it means you’ll need a really good credit score to qualify, and you’ll also need to have been in business for several years to demonstrate stability. Some lenders may also require you to have a specific annual revenue income before they’ll consider your request.
Qualifying for an unsecured line of credit
When you apply for an unsecured line of credit, the lender will review the status of your business, and may also investigate your personal income situation. Most lenders want to know that you’ve been in business a while and are an established company, and they’ll also take a good look at your cash flow. If you’ve been regularly experiencing cash flow issues, it will be a definite red flag for the lender. Sometimes a newer business can get an unsecured line of credit by accepting a smaller line of credit amount, at least until they become better established.
Once you’ve been in business for a time and have established good credit, you may be eligible for a larger line of credit. Some lenders also will increase your line of credit after you’ve shown that you can consistently pay back borrowed amounts on the credit line, and are not maxing it out soon after obtaining it. The amount of any line of credit you receive will always depend on the age of your company, your credit history, your business revenues, and your business expenses.
Looking for an unsecured line of credit?
Of course, it’s easier to qualify for a secured line of credit by using business assets as collateral, but if you lack these business assets, you may still want to apply for an unsecured line of credit. Contact us at My Commercial Capital to see if you’re eligible for one of these loans, and our specialists will be glad to work with you in that regard.
by My Commercial Capital | Apr 14, 2023 | Blog
Working capital loans can be issued by banks or alternative lenders and their purpose is to cover the short-term needs of a small business. It can temporarily increase cash flow, until revenue streams become more steady and consistent. Most companies that look for working capital loans need them for such expenses as rent, debt payments, wages, inventory, or sales and marketing expenses. Even if your business assets are greater than your liabilities, you may not have the working capital you need, because many assets are not liquid, and cannot be easily converted into cash. Here’s how a working capital loan can help you meet the needs of your small business.
Using a working capital loan
Generally speaking, a working capital loan is used to cover some kind of shortfall in cash flow, and it can be used for almost any purpose whatsoever. One common use for working capital is to purchase additional raw materials from your suppliers, in order to fill an unusually large order. You might also secure such a loan when an opportunity arises to get a significant discount on raw materials by purchasing in volume. When cash flow is lacking, you might need a working capital loan to pay your employees or to manage monthly expenses like utility bills, facility rent, or vendor payments.
It would not be advisable to use a working capital loan for long-term purposes, such as financing equipment or buying capital assets. These things can be obtained by applying for a different kind of loan that would offer more advantageous long-term interest rates and financing. When securing a working capital loan, you will probably need to use business assets as collateral, since unsecured working capital loans will require that you have a very high credit rating.
Need a working capital loan?
If your business is in serious need of more working capital, we may be able to provide the financial assistance you need. Contact us at My Commercial Capital so our financial specialists can work with you to determine your eligibility for funding.
by My Commercial Capital | Apr 7, 2023 | Blog
It has been estimated that between 50% and 67% of all small businesses will need business loans at least once during their operating lifetimes, and most businesses actually require several loans during that time. In many cases, working with traditional lenders like banks and credit unions simply won’t work for a small business, because the approval rates are typically low with those institutions. It’s also true that even if you are approved, it will generally take between one and two months before you actually have money in hand. Fortunately, alternative lenders can fill in the gap and provide much of the funding needed by small businesses.
How alternative lending helps
Many new businesses simply don’t have the cash reserves or the good credit history to be eligible for a loan that might be sorely needed. This is when alternative lenders can really fill the void left by all those bank disapprovals. In many cases, banks won’t even lend amounts of less than $200,000 to businesses, because they can’t make enough profit on them. Again, alternative lenders can fill this gap and provide needed funding to small business owners who qualify.
Alternative lenders are not under the same constraints that banks are, and can be much more agile in lending than all the machinery involved in a bank loan. When you need money quickly to take advantage of a sudden business opportunity, you might be able to secure the necessary funding in a matter of days with an alternative lender, as opposed to the weeks or months it would take in a bank loan. You might have to pay a higher interest rate, but that’s because the alternative lender is exposed to the possibility of you defaulting on the loan, and they have to protect themselves.
Looking to work with an alternative lender?
You can often be approved for a loan more readily by an alternative lender than you would be with a bank, because alternative lenders are not subject to the same kinds of restrictions that banks are. If you’re ready to work with an alternative lender, contact us at My Commercial Capital, so our financial specialists can help you secure the funding you need.
by My Commercial Capital | Mar 24, 2023 | Blog
Change is a critical factor for both individuals and businesses. Indeed, it could be said that sameness is an enemy to greatness. Every business owner should want to achieve some type of business growth. No business owner likely ever tried to shrink to success. As James Cash Penney, founder of JCPenney stated, “Growth is never by mere chance; it is the result of forces working together.” One of the key forces is financing for business growth.
The Measures of Business Growth
Business growth can be achieved and measured in many ways including increased topline sales, increased bottom-line profitability, added products or services, greater market share, a larger customer base, more employees, and added locations. Each of these will likely require financing.
Why is Business Growth Desirable
Business growth just for growth’s sake is not a wise strategy. Growth should be pursued purposefully and strategically. Then it becomes desirable for many reasons including being able to attract more talent, defend against competition, achieve a stronger market position, achieve economies of scale that result in lower costs, secure stronger buying power, become more economically resilient, and seize new opportunities.
Sources of Financing for Business Growth
Sources of financing for business growth include:
- Traditional bank or credit union loans. These loans are often difficult to obtain for small businesses and they often involve an intensive and slow application process.
- An SBA loan is a loan that is offered by a bank and backed by the Small Business Administration. These loans are specifically for small businesses and usually come with lower interest rates and favorable payment terms.
- A business line of credit.
- Equipment financing.
- Equity financing. Financing can be obtained through angel investors or venture capital firms, but this often comes with a loss of control.
- Financing from lending specialists instead of from banks.
Seek Expert Financing Assistance
Contact My Commercial Capital, based in Bel Air, MD, for expert financing assistance. We have a wide variety of financing solutions to meet your needs, structured to provide maximum benefits to borrowers.
by My Commercial Capital | Mar 21, 2023 | Blog
Your customers’ shopping patterns change as technology changes. Your company’s marketing plan should also evolve. A successful digital marketing strategy uses multiple aspects of electronic technologies to communicate your message. Take the time to make sure that all of these components reflect your business plan. Here are some types of strategies you should be sure you are using effectively.
Website
Your website is the core component of your online presence. This is your customer’s landing page, and most transactions are placed through this site. In addition to your product, history, and contact pages, your website should include blogs, videos, and testimonials. Your website should be current and easy to read.
Social Media Advertising
Develop a consistent social media strategy to attract your customers to your website and learn more about your company. You can post videos, blogs, or promotions through different social media outlets. Use this digital marketing tool to build brand awareness with your customers and prospects. The feel of your website and social media must be similar so that the transition between the two is seamless.
Search Engine Optimization
SEO involves identifying commonly searched keywords related to your company. When your customer enters those keywords, your website appears as a search result. Customers navigate to your dynamic content which then directs them to your website.
Pay Per Click Promotion
PPC advertising is a component of SEO. Your website or ad appears at the top of a search engine results page. When your customer clicks on the link, they are directed to your website, and you pay a fee. The fee is based on the frequency of keywords and where your link appears on the SERP.
Content Marketing
Content Marketing is a long-term SEO strategy that involves developing materials that increase brand awareness. These materials include videos, e-books, podcasts, and white papers. This strategy encourages you to nurture customers from lead generation to advocates for your company.
Email Promotion
A sound email marketing strategy gives you frequent contact with your customers and prospects via email. Make sure you are developing rich content to engage your customers. Personalize and time your e-mails for the most effective reach.
Many digital marketing components have built-in measurement tools to measure the success of the strategy. They also allow you to adapt your strategy in near real-time. Integrating any or all of these components can improve your online reputation and increase sales.
Seek Expert Assistance
Some advertising companies try to impress you with a bunch of tech jargon and big words that don’t mean a thing. At My Commercial Capital, we prefer to let the results speak for themselves. Like other small businesses, our main concern is to make our clients happy. We work hard, give you high-quality content, and produce digital marketing that has a great effect on your company’s online reputation.
by My Commercial Capital | Mar 17, 2023 | Blog
Many businesses across the country have embraced alternative financing. To find out if your company should join them, keep reading to learn why alternative lenders are so attractive.
Speedy Application Procedures
Speed is one of the best features of alternative financing. Often, alternative lenders can process applications in a fraction of the time a traditional bank may take to make a loan decision. That speed advantage is especially helpful when a business encounters a time-sensitive opportunity, like a great real estate deal or a chance to make a bulk purchase on inventory. It also helps in less favorable conditions, such as when an emergency situation calls for a funding injection.
Less Time Spent Doing Paperwork
Generally, alternative lenders require relatively little paperwork. That means that rather than dealing with mountains of forms, you can put your attention where it should be: on your business.
Versatile Solutions
Another strength of alternative financing is its versatility. Lenders in this industry can not only extend loans but also offer a wide range of other arrangements. Whether your business is seeking a line of credit, invoice factoring, equipment financing, or something else, there’s likely a solution available.
A Lower Barrier to Entry
Alternative financing is gaining steam partly because of traditional banks’ reluctance to lend to new, less-established companies. For entrepreneurs who haven’t had the opportunity to build a long record of solid credit, alternative lenders may be more amenable partners than traditional banks.
Continued Ownership
Some financing methods require owners to surrender some control of their company, with one example being when an entrepreneur takes on a partner to access their capital resources. Alternative financing is often a way business owners can stay in control of the show while still gaining needed funds. In fact, in many situations, borrowers don’t even need to put forth an asset as collateral.
My Commercial Capital has a variety of alternative financing products that can help your business. To learn more, just call or message us.
