How can you get money for your company operations Well, started operations means that you must have the capital to do it. This is a basic requirement for you to realize your intentions. In recent years, the number of business loans increased compared to the previous period. Aentevery important reason, which is more economic openness among countries in the region and around the world have created favorable conditions for newly established companies engaged in economic networks commerce. But perhaps anyone also find that raising capital to fund business operations is always problematic. Many people abandon their dreams also enriched by it. Currently, to get funding for your business can be managed in ways different. Basic way they can mobilize personal property, relatives, acquaintances. But according to current trends, the majority of loans from banks or insurance companies, or possibly via the Internet to attract investment ... Every individual can find a suitable method for their loans to start the business and to use that money for maximum efficiency with the highest profits, you can succeed. This discussion of our group will give more details of a loan for those who started to build a career, help people have a clearer view of the matter. Here are 6 ways to get startup money to launch your new business. . The first part is Personal Savings Personal Savings A lot of people dream about owning their own business. Ive seen potential businesses close their doors even before theyve opened. Why? One of the problems is their failure to secure any type of business financing. Personal savings are probably the number one financing source that most businesses take when starting a new business. These are the most important sources of finance for a startup. Getting money for starting a business is one of the thorniest parts of starting a business. The first key is to save money so that you can put your own personal savings into the business. Nobody is going to want to invest in your business if you do not invest in your business yourself. Lenders cannot help poor people. But they can certainly help rich people that dont have any money yet. It is difficult enough to get a loan with a business startup and next to impossible if you dont invest in your own business. Lenders want a track record and you may have none. Live frugally and save money so you can show potential lenders that you are committed to your business
Introduction Hello, we are group There are members in our group: Tuyet Mai, Vu Mai, Binh Minh, Thanh My, Bich Ngoc and Van Nam Today our group is here to talk about “ How can you get money for your company operations?” Well, started operations means that you must have the capital to it This is a basic requirement for you to realize your intentions In recent years, the number of business loans increased compared to the previous period Aentevery important reason, which is more economic openness among countries in the region and around the world have created favorable conditions for newly established companies engaged in economic networks commerce But perhaps anyone also find that raising capital to fund business operations is always problematic Many people abandon their dreams also enriched by it Currently, to get funding for your business can be managed in ways different Basic way they can mobilize personal property, relatives, acquaintances But according to current trends, the majority of loans from banks or insurance companies, or possibly via the Internet to attract investment Every individual can find a suitable method for their loans to start the business and to use that money for maximum efficiency with the highest profits, you can succeed This discussion of our group will give more details of a loan for those who started to build a career, help people have a clearer view of the matter Here are ways to get startup money to launch your new business The first part is Personal Savings Personal Savings A lot of people dream about owning their own business I've seen potential businesses close their doors even before they've opened Why? One of the problems is their failure to secure any type of business financing Personal savings are probably the number one financing source that most businesses take when starting a new business These are the most important sources of finance for a start-up Getting money for starting a business is one of the thorniest parts of starting a business The first key is to save money so that you can put your own personal savings into the business Nobody is going to want to invest in your business if you not invest in your business yourself Lenders cannot help poor people But they can certainly help rich people that don't have any money yet It is difficult enough to get a loan with a business startup and next to impossible if you don't invest in your own business Lenders want a track record and you may have none Live frugally and save money so you can show potential lenders that you are committed to your business Personal savings are commonly used by business owners to help pay for startup costs You won't incur any interest expense when you use your own money to finance your business You also won't have any creditors to pay back, and no one will come after you for money if your business fails or isn't successful right away Investing personal savings maximises the control the entrepreneur keeps over the business It is also a strong signal of commitment to outside investors or providers of finance However, most beginning entrepreneurs don’t have adequate personal savings to fund a business start-up Others, on the other hand, have savings but refuse to dip into their piggy bank for a variety of reasons It may be their retirement money or for emergencies; while others would rather use their savings as collateral and borrow against it at a low interest rate The second part is being presented by Vu Mai Seek investment from family, friends Besides the capital accumulated from ourselves, then the mobilization of family and friends is one of the most effective search for capital Because they are the ones to supporting your success will be easier compared to other funding sources such as banks or credit institutions With advantages such as easy to convince, fast, simple, many young people see this as an end to his career entrepreneur But you also need to understand, these funds are very difficult to control time Whenever, you can also be active on the issue of pay On the other hand, money is sometimes easy to cause a negative impact on the emotional relationship initially Therefore, when using this method of raising capital, you need to think about the payment to weigh the pros and cons of it Find funding from partners This method is quite popular choices when starting a business By convincing those who have idle capital flows to invest in your company This method is considered quite effective cooperation You can use your product key to convince partners about the possibility of success in the future Mobilized from the general business In some cases, start-up from a group or at least two people With a unique idea, a full feasibility plan, you absolutely have the ability to search for people starting a business together The start-General will help you solve a lot of difficulties in capital, adding that there are more decisions in their work as well as the problem arises However, you should remember: although capital is an important factor, but you also need a long-term partner, with each of opinion, personality and business Having so your business and new associates really effective and bring success The third part is being presented by Binh Minh Venture Capital: Venture capital is money for new, young, and/or small businesses that typically have little or no access to capital markets HOW IT WORKS (EXAMPLE): There are three general types of venture capital: seed capital, for ideas that have not yet come to market; early-stage capital, for companies in their first or second stages of existence; and expansion-stage financing, for companies that need to grow beyond a certain point to become truly successful Venture capital can also help a company merge with or acquire other companies Although some venture capital comes from private individuals, most venture capital comes from venture capital firms These firms are often partnerships that obtain their investment funds fromwealthy individuals, investment banks, endowments, pension funds, insurance companies, various financial institutions, and even corporations wishing to foster new products and technologies A venture capital firm must raise the money it needs to make investments in new businesses This fund-raising is typically done by circulating a prospectus to potential investors who then agree to commit money to the fund Once the venture firm has enough commitments, the firm may begin collecting or "calling" those commitments when it wants to make an investment If and when the venture capital firm invests all of the fund's money, or if it simply wants to expand its investing activities, it may start another fund Most funds have a fixed life, meaning they must make their investments within a certain period (usually about ten years) Venture capital firms may have several funds going at the same time Typically, venture capitalists decide which companies to invest in by reviewing hundreds of business plans, meeting entrepreneurs and company managers, and performing extensive due diligence on investment candidates They are very selective because they are seeking opportunities in which their investments will grow rapidly and provide a successful exit within a certain timeframe When they make a decision to invest, venture capital firms typically purchase a company's preferred stockand/or lend money to the company An important part of a venture capital investment is the exit, or the venture capital firm's plans for selling its investment in a company Usually the exit, also known as the harvest, takes place anywhere from three to ten years, often via an initial public offering or through the merger or sale of the company Venture capital is an important and necessary form of investment because it fosters entrepreneurship, especially in high-tech and other innovative industries This in turn promotes job creation and economic growth At the investment level, venture capital can be tremendously lucrative because it allows investors to get in at the ground level of what could be some of tomorrow's leading companies However, venture capital is not without risk In fact, it is one of the riskiest investments available because many new companies fail or underperform Venture capital firms anticipate this by diversifying their investments and hoping that their successful investments more than compensate for their losses Nonetheless, venture capitalists must be willing to take significant long-term risks for what can be high returns Advantages • Business expertise: Aside from the financial backing, obtaining venture capital financing can provide a start-up or young business with a valuable source of guidance and consultation This can help with a variety of business decisions, including financial management and human resource management Making better decisions in these key areas can be vitally important as your business grows • Additional resources: In a number of critical areas, including legal, tax and personnel matters, a VC firm can provide active support, all the more important at a key stage in the growth of a young company Faster growth and greater success are two potential key benefits • Conections: Venture capitalists are typically well connected in the business community Tapping into these connections could have tremendous benefits Disvantages • Loss of control: The drawbacks associated with equity financing in general can be compounded with venture capital financing You could think of it as equity financing on steroids With a large injection of cash and professional— and possibly aggressive—investors, it is likely that your VC partners will want to be involved The size of their stake could determine how much say they have in shaping your company’s direction • Minority ownership status: Depending on the size of the VC firm’s stake in your company, which could be more than 50%, you could lose management control Essentially, you could be giving up ownership of your own business The followed by your presentation Ngoc Credit card The following, I will tell you one more way to have more financial resources for the activities of your company That is to use a credit card If you have good credit - is the easiest way to get money to start a business Credit cards are a form of substitute for direct payments This form of payment is made based on reputation Cardholders not have to pay cash when buying Instead, the Bank will advance the money to the seller and the cardholder will pay back to the bank transactions Credit cards allow customers to "pay down" the amount paid in the account Credit cards are issued after the service provider approved by the approved credit card account, then the cardholder can use it to make purchases at the point of sale to accept cards So, equipment, suppliers, advertising and postage (for mailings) can all be purchased with a credit card And if your credit card gives you a line of credit, you can give yourself an instant loan (up to your credit limit) But using a credit card to start your business bears some significant risk, too ATM card, you are spending your cash available in it Conversely, when paying by credit card, you are spending substantially equal amount of bank borrowing before If you're not careful you can quickly run up a huge credit card bill - a bill you'll be responsible for paying whether your business is successful or not Therefore, you should only spend with a credit card to make sure your money that will be refunded during the month If not, you will stick deep into debt So be careful when using credit cards as a source of financing for your business offline Now is your presentation Nam Banks Banks can be a little tricky when you are trying to attain a small business loan Each bank operates differently and policies will differ Banks may be one of the first sources that come to mind when you begin searching for a small business start up loan The great thing about banks is that they have money available to lend However, it may be difficult for a new business to get a loan from a bank since lenders usually prefer to lend to established businesses Of course, not all banks look at it this way I suggest you approach your bank and get to know the commercial banker From a banking stand point, it gives them more confidence when they are dealing with someone they know Remember, you need equity to leverage a small business loan The equity can be in the form of cash, investments, and tangible collateral such as vehicles, land and buildings If you don't have a dime to your name and you don't own anything, it's going to be very difficult to get a loan.Also remember you need a good credit rating If you don't have a clean record, banks simply won't take you seriously I'll describe the credit process in more detail below The final part is being presented by Thanh My Insurance Companies Currently, the loans from the insurance companies are no longer so new This form of loan is quite popular And the procedures and conditions for borrowing increasingly simplified meet the requirements of customers and help the transaction to take place smoothly and quickly When starting a new business, you should borrow from the insurance companies as an individual There are two major forms of the loans from the company: borrowing unsecured loans and borrowing secured loans (mortgage loans) But now, in Vietnam, the form of borrowing unsecured loans is increasingly popular due to the ease and quickly Borrowing unsecured loan is a loan without collateral assets based on where you purchased the contract takes effect one year or more of any insurance company as of the present time The bank approved loans based on life insurance premium amount that customers play every year You can participate in insurance premiums on a monthly, quarterly or annual basis, it depends on you And after an interval of your premiums will be charged interest at the interest rate of the insurance companies and you can get to use any gain or not After at least a year, the insurance company will sign a contract with your mortgage loan if you have demand for loans At the same time, lending rates are also similar to banks but with lower interest rates than banks In Vietnam currently only two companies that VP Bank and Prudential Finance to support borrowing unsecured loan banks Any form of public loans are also the advantages and disadvantages of it, and for the form of loans from the insurance company and not the exception Advantages: - Conditionality simple: the citizens from 21 to 60 years, life insurance plays in a year, to work or self-employment wage, minimum premiums as million VND/year Procedures and records simple: mainly copies of ID, copy of household or KT3, copies of contracts of life insurance and the nearest border fee's On the other hand, you can conduct transactions at home or through the insurance company's website there In the form of mortgage loan under life insurance are favored banks should support the disbursement rate in this method is very high Customers can borrow up to 100 times more detailed than the monthly cost of closing simultaneously with preferential interest rates extremely with 1.66% for all customers Additionally, you can also enjoy the special treatment program from the insurance company Disadvantage: Because it takes at least a year to pay the premiums for the company to ensure that loan conditions so it is difficult for people who need money immediately Conclusion So, money is the lifeblood of business, a company does not have money like a spot-no blood, or a car without gasoline, it is an important resource that a company should have to promote all potential heavy Financial intelligence is the ability you can think of how many different financial solutions to manage a problem Money is the lifeblood of your company, although all of us should go into business with the desire to be doing things that you enjoy and make a difference for the people we serve, the money still is something not to be missed here is the problem we always need management and due attention to achieve success Robert Kiosaki stressed so many times in the famous book "Parenting enrichment Episode 1" on the importance of financial intelligence in the process of doing rick If be lucky and make more money without to overwork, forcing you to financial intelligence With ambitious entrepreneurship, raising capital is one of the important issues need to be resolved first Along with the business idea that is always a key factor in the process of starting a business Moreover, funding is like a journey solve complex, both legal again both artistically How to raise funds most effectively? The following tips can be the manual on your entrepreneurship journey We’ve finished our presentation Do you have any questions about our topic? All comments are welcome Thank you