Ten Ways Start-ups Use Venture Leases And Loans To Generate Millions

Written by George A. Parker


Continued from page 1

6.To bridge-finance equity transactions. Occasionally, start-ups are able to obtain short-term loans to bridge upcoming equity transactions. These loans are usually well secured by all-asset liens against these companies and are generally available for short time frames. Most venture lenders who provide this type of financing require equity kickers inrepparttar form of warrants to purchase stock inrepparttar 111998 start-ups or stock issued directly to them byrepparttar 111999 start-ups.

7.To hedge against rapidly depreciating equipment. Venture leases can be structured as fair-market-value leases. These leases usually allowrepparttar 112000 lessees to renewrepparttar 112001 leases at fair-market-value renewal rates, to purchaserepparttar 112002 equipment at fair-market-value purchase prices, or to returnrepparttar 112003 equipment torepparttar 112004 lessors atrepparttar 112005 end ofrepparttar 112006 leases. The return option allowsrepparttar 112007 start-ups to conveniently dispose of obsolete or unneeded equipment.

8.To replace venture capital. Start-ups are using loans inrepparttar 112008 form of subordinate debt as a substitute for additional equity rounds. These loans can be collateralized or unsecured and can be used for many ofrepparttar 112009 same purposes as equity funding – to continue product development, to add key personnel, to expand marketing and to support sales efforts. Venture lenders generally charge a premium rate for these loans and require sizeable equity kickers inrepparttar 112010 form of warrants or ownership shares inrepparttar 112011 start-ups. These loans are generally cheaper than equity financing and may amortize faster.

9.To spread equipment cost overrepparttar 112012 productive life ofrepparttar 112013 equipment. By being able to spreadrepparttar 112014 cost ofrepparttar 112015 equipment over an extended period, start-ups can get productivity out of these assets while they pay. Paying forrepparttar 112016 assets out of internal cash has justrepparttar 112017 opposite effect.

10.To quickly build out infrastructure to allow all employees to be more productive sooner. Venture leasing and lending allow start-ups to add computers, phone systems, networking equipment, software and other business essentials quickly. Employees can be more productive sooner and benchmarks can be reached faster.

Using venture leases and loans is a smart choice for savvy entrepreneurs. It allows them to build substantial equity value with minimal dilution. These arrangements usually do not require board representation or loss of management control. Start-ups are able to add needed equipment and finance working capital with lots of flexibility. Additionally, these forms of financing are significantly cheaper thanrepparttar 112018 likely alternative, more venture capital financing. Savvy entrepreneurs have discovered these advantages and are using them to put their firms ahead ofrepparttar 112019 pack.

George Parker is a Director and Executive Vice President of Leasing Technologies International, Inc. (“LTI”). Headquartered in Wilton, CT, LTI is a leasing firm specializing nationally in equipment financing programs for emerging growth and later-stage, venture capital backed companies. More information about LTI is available at: www.ltileasing.com.


The one essential thing you need to make money on ebay

Written by Ebay Steve


Continued from page 1

So how do you go about getting a USP for your Ebay auction? THINK about it! Check outrepparttar auction titles for similar items and make sure you don't simply copy someone else's. Put on model and make numbers, for example, orrepparttar 111997 color. In terms of a description, ALWAYS write it yourself. Sure, you can start with a standard description, butrepparttar 111998 more you tweak it,repparttar 111999 more potential customers will think you stand out fromrepparttar 112000 crowd. Just be careful to leaverepparttar 112001 essential info in there!

When it comes to images, if you don't have a digital camera, you are basically stuck with using stock images. Think about leaning how to manipulate images to make a subtle change - perhaps croprepparttar 112002 image, changerepparttar 112003 contrast, and so on. Whatever you do, make sure it is SMALL - nothing scares potential customers away faster than slow loading pages. Gifs are usuall best, then Jpegs. Try not to use pngs or tiffs.

With these simple tips, you can ensurerepparttar 112004 success of your ebay auction whateverrepparttar 112005 size ofrepparttar 112006 competition!

Ebay Steve owns and writes for www.ebaySteve.com the #1 web site for free advice on how to make money from ebay.


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