Need Additional Business Funds? Stop Right There!

Written by Mark Askew


Continued from page 1

The online loan shopping resource at www.RefinanceLoanRates.com defines cash-out refinancing as a home refinancing program that allows you to you to refinance your mortgage, possibly loweringrepparttar current rate, reduce monthly payment amount and pocket cash to fund college education, add that extra room or pool to your home, buy a car, invest in a business venture and just about anything else. “You use it as needed.” says Mark.

How does it work? Here's an example: You currently owe $90,000 on a home that’s valued at $160,000. You are seeking to lowerrepparttar 112627 interest rate. You also want $20,000 in pocketable cash. You refinancerepparttar 112628 mortgage for $110,000. This leaves you with a lower rate onrepparttar 112629 balance you owe onrepparttar 112630 house, and you pocket $20,000 cash to use as you wish.

Your mortgage company is required to provide you with a written good faith estimate of closing costs within 3 working days of receivingrepparttar 112631 application. When a mortgage company tells you they have locked your rate get a written statement which detailsrepparttar 112632 interest rate,repparttar 112633 length ofrepparttar 112634 rate lock and details aboutrepparttar 112635 program.

When seeking capital to expand business ventures one would do well to make it a priority to first cut costs at home base and proceed from there.

Mark Askew is founder and editor of the Mortgage Loan Search Network located on the web at http://www.mortgageloansearch.cc, a division of Financial Marketing Network Inc.


Preparing a Budget

Written by Sue and Chuck DeFiore


Continued from page 1

Another type of expense is a variable one. In budgeting, this is known as a variable “cost,” which is a cost that increases withrepparttar level of sales or income. They are variable becauserepparttar 112626 more income you generate,repparttar 112627 greaterrepparttar 112628 costs you will incur (this just meansrepparttar 112629 more you sell, you more you have to buy).

If you have others working for you, sales commissions are an example of a variable expense—the greaterrepparttar 112630 sales revenue,repparttar 112631 greaterrepparttar 112632 sales commissions.

You need to be sure to do research before starting your business to determine what comprises your fixed and variable costs.

Certain types of businesses have an established profit margin. This information may be available by simply asking other professionals in your field. Your accountant sees thousands of tax returns and may be able to give you an idea ofrepparttar 112633 average “cost of sales” or “profit margins” for your type of business. The averages for certain industries are also compiled by financial ratings organizations such as Dun & Bradstreet, Moody’s and Standard & Poor’s. For example, if you are starting a coffeehouse, you could compare your sales, gross profit ratio, and net income torepparttar 112634 averages forrepparttar 112635 retail sales/coffee industry compiled by Dun & Bradstreet.

It’s amazing how many home based and small-business owners don’t know if they’re making a profit on service, parts or sales. Others don’t know whether they’re making or losing money on a particular job. The purpose ofrepparttar 112636 accounting and budgetary process is to help you answer these questions and makerepparttar 112637 right management decisions. You can’t plugrepparttar 112638 leaks in your revenue ship if you don’t know whererepparttar 112639 holes are.

Again, using a program like Quickbooks allows you to see where time is spent for a particular project, what your costs are, how many employees were needed to completerepparttar 112640 project andrepparttar 112641 time it took them (which gives you an idea of salary differential for certain projects).

If for example you are running a consulting business, Quickbooks allows you to trackrepparttar 112642 number of hours you work on a project and what your costs are. In most consulting businesses your time is your valuable commodity. You need to be compensated forrepparttar 112643 time you spend on a particular project or with a client.

Copyright 2003 DeFiore Enterprises



Interested in having your own successful, home based creative real estate investing business? Chuck and Sue have been helping folks start successful home based businesses for over 17 years, and we can help you too! To see how, visit http://www.homebusinesssolutions.com


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