Blog – Page 2 – OneBox Funding

August 26, 2019

Starting or running a business takes money, plain and simple. Working capital, and lots of it, is required for paying off all types of business expenses. Whether its paying employee wages, stocking up on inventory to sell, or just staying afloat with maintenance if you don’t have cash, you won’t have a business for much longer. Of course, just because your company is not profitable yet, or maybe you are just starting and you don’t have the cash to get your feet off the ground, doesn’t mean you cannot move forward with your business goals. Many successful small business owners opt to take out a business loan to get themselves the funding they need to make sure they can cover all of their expenses. In most cases, getting funding from a lender is possible if you meet certain required criteria that they are looking for (good credit score, a record of steady cash flow, etc). However, there are cases where you should NOT take out a small business loan because it might prove to be even more unhelpful in the end.

Firstly, if you do not meet the requirements of the lender, you will not be approved for a small business loan. These requirements include at least 12 months of bank states illustrating to the lender that you have had some sort of steady cash flow throughout your past year of business (even if your revenue goes up and down over different seasons), a decent credit score (which shows the lender that you are on top of your payments), and your most recent tax return (which assures the lender that all of your taxes are in order).

Assuming you do meet all of the requirements, there are still a few red flags which tell you that you are not in a good position to take out a small business loan, even if you do qualify. One of the biggest red flags that tell you taking out business funding is a bad idea is your income-to-debt ratio. Debt is a natural thing to happen to most companies, especially if you have taken out loans before, or you’ve made purchases bigger than your current profits could pay for. However, there is a point where you have so much debt that you cannot possibly pay off yet another loan.

The rule of thumb here is to make sure that your income-to-debt ratio is less than 50%. If your debt surpasses your income, so that you have more debt than you do money coming in, you are in a very bad situation. Taking out another small business loan, even if you want to use the funds for bumping up your business, will most likely end you up drowning in even more debt. If you find yourself in this kind of situation, you are better off waiting with yet another loan, and instead, trying to find ways to cut back on expenses and get your existing debt down as much as possible. Once you find yourself afloat once again, you will be in a much better position to take on another loan to make your business dreams a reality.

by Eli

August 19, 2019

It’s no secret that every business needs working capital, aka cold hard cash, to run and stay afloat. That being said, not every successful business owner has the funds to take care of all of his company’s needs and to keep it steadily growing. Often times, business owners and entrepreneurs opt to take out funding, in the form of a small business loan, in order to make the necessary purchases needed to run their business and keep it up-to-date.

Most of the time, a business loan comes to you in the form of cash directly deposited into your account, so you have free reign to do whatever you please with it. However, you should always have a plan and a goal in mind when you begin to use these funds to help your company. Otherwise, you will find yourself indebted to the lender, with a failing business to boot. Here are some of the best ways to put your small business loan to good use:

1. Hiring and Training New Employees

Scaling your business means making every aspect of it bigger. This includes the number of people you have on your team making the whole thing come together. Of course, with growing your business comes many expenses, so it can be hard to find the cash to covers the growing pains AND the new employees you’ll have to hire to keep up with it all. If that’s your biggest pain point, use your business loan funds for the first few months of salaries for your employees, until your larger revenues will cover the costs for you.

2. Get Yourself Online

Every day, we learn more and more towards technology and away from the physical world. That’s not to say that your brick-and-mortar company is in danger, per se, but it’s always important to keep up with the times. If you don’t have a website, or you do but it’s not optimized and user-friendly, use your small business loan money to hire a web developer to make you a beautiful site with a clean interface. This will give your customers an option to purchase your products online, from the comfort of their homes, which will increase your revenues a great deal.

3. Consolidating Past Debts

Most business owners are no strangers to debt, and it’s very likely that you may have taken out a loan or two in the past that you are still paying off. Save yourself a headache, and some money too, by consolidating all of your loans into one. This way, you’\ll no longer have to deal with multiple interest rates, payments terms, and due dates.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

August 12, 2019

It’s no secret that every business needs working capital, aka cold hard cash, to run and stay afloat. That being said, not every successful business owner has the funds to take care of all of his company’s needs and to keep it steadily growing. Often times, business owners and entrepreneurs opt to take out funding, in the form of a small business loan, in order to make the necessary purchases needed to run their business and keep it up-to-date.

Most of the time, a business loan comes to you in the form of cash directly deposited into your account, so you have free reign to do whatever you please with it. However, you should always have a plan and a goal in mind when you begin to use these funds to help your company. Otherwise, you will find yourself indebted to the lender, with a failing business to boot. Here are some of the best ways to put your small business loan to good use:

1. Keeping Up With Your Equipment

Unless your business is completely run online (and even if it is, this could still be relevant), you will eventually need to spend money on equipment. Whether it’s to fix a damaged machine or repair a broken appliance, or simply because you need the newest upgrade in order to keep up with the competition, your business loan funding could be very well used here. Making sure that you have access to the newest, most advanced equipment in excellent condition is imperative to keeping your business running as efficiently as possible.

2. Marketing Yourself

Even if you have come up with the most innovative and unique idea ever made, without marketing, absolutely no one will know you even exist! If you don’t have the funds or the revenue to take care of your marketing, using your loan here is a good idea. Marketing yourself effectively can mean the difference between being a nobody and having to fight off the paparazzi of clients at your door.

3. Buying Inventory

In order to open up a store, whether brick-and-mortar or a physical shop, you will need to purchase large amounts of inventory for you to sell to your customers. While the goal is to eventually buy it at a cheaper price than what you will sell it for, the fact remains that buying bulk inventory can take a pretty hard hit on your wallet. Instead, use your small business loan funds to purchase the inventory you need for however long of a season you wish to sell for. Hopefully, your revenue from the sales will leave you with enough money to buy the next round without taking another loan.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

August 5, 2019

There’s no shame in receiving some funded to give you a leg up in your business. In fact, most business owners have taken out, or will take out, at least one loan to help give themselves a boost and supply themselves with immediate working capital for their company’s needs. However, taking out a business loan is not as simple as it sounds. Here are some major DO’s and DONT’S when it comes to taking out a small business loan.

DO all of your research to find a reputable lender

It might sound obvious, but it is vastly important to use a lender that is well-known and who has good reviews. Although the lender needs to be able to trust that you will pay his or her money back, it’s just as important that you can trust that he or she gives you honest, reasonable terms, and doesn’t have any secret loopholes that might get you into trouble.

DO get multiple quotes

It’s always a good idea to get a second (or third) opinion, and that goes for a business loan as well. Even if you think you might have found the small business loan for you, you should always get multiple quotes to compare to one another, and you might just find out that you almost missed a better rate. With any big purchase (even if it’s only lent money), doing a double or triple check, is never a waste of time.

DON’T take out more than you need

On the one hand, you should always take out as much money as you need in one loan, instead of taking bits of cash here and there (that will leave you with multiple interest rates and payment terms to keep track of). However, while you should take as much money out as you need, you shouldn’t take any more. This doesn’t include a small, calculated buffer amount that you might need for unaccounted expenses. But it is a bad idea to take out a big surplus of cash to use on unrelated expenses, which could land you in hot water when it comes time to pay them back.

DON’T use your loan for non-business related expenses

When you’re handed a large lump of cash at once, it might be tempting to use some of it to finish up your car payment or help buff up your vacation a little bit. Don’t do it! To keep yourself organized and out of monetary trouble, you should use your business loans for business expenses only. If you find that you need more money for your personal expenses, you should look into a different option for funding, that’s more geared for personal use.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

July 29, 2019

There’s no shame in receiving some funded to give you a leg up in your business. In fact, most business owners have taken out, or will take out, at least one loan to help give themselves a boost and supply themselves with immediate working capital for their company’s needs. However, taking out a business loan is not as simple as it sounds. Here are some major DO’s and DONT’S when it comes to taking out a small business loan.

DO take out as much money as you actually need

It may seem financially safer to take out as small an amount as possible, even if you need a bit more, but in the end, it doesn’t pay off. You should absolutely take out the exact amount of money that your business needs. If you don’t take out enough to really make a difference in your business, the loan is essentially useless anyway.

DO have a clear understanding of the terms and conditions of your loan

Before agreeing to any type of funding, you need to be clear on what the terms of the loan are. What is the interest rate you will be paying, and is it accumulated monthly, annually? How much time do you have to actually pay the loan off in full? How often and what dates are payments due? These questions, and more, should all be answered sufficiently before taking out any sort of small business loan.

DON’T take out multiple loans at a time

It’s much more financially sound to take out one bigger loan, instead of multiple loans at once. Not only will this leave you with two different sets of terms to remember, but you will also have to pay two monthly payments of different amounts, most likely on different dates. This is a great way to become confused and get yourself into money trouble. It’s best to just take out the amount you need from one, trusted, loan provider.

DON’T put your assets up as collateral

There are some types of loans that don’t require the typical payment terms. While these may seem tempting, you should avoid putting up any of your personal or business-related assets up as collateral for your funding. This is a dangerous practice and could land you in some real hot water if anything goes wrong with your payments. Trust us, a late fee is a much better option than losing your home or your car.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

July 22, 2019

In an ideal world, everyone who ever put their hearts and souls into a company would have the reward of business success for all their hard work. Unfortunately, this simply is not the case. For many business owners, despite the blood, sweat, and tears they put into their work, their companies begin to falter and, eventually, come crashing down. However, there are signs to look for to see if your company is beginning to take a turn for the worse, and it is possible to stop it in its tracks and turn it around for the better. Here are 3 signs that your company is losing steam, and what you can do about it.

1. You Are Losing Business To Your Competitors

Competition in business is a natural thing. It keeps us on our toes and always progressing. However, if you start seeing that you are losing a huge bulk of your business to other companies in competition with you, it might be a sign that something is going wrong. Take a look at your competitors, and try to find differences in how they market and manage themselves. There must be something that consumers appreciate and would rather pay for, something that you might be missing. It’s always a good idea to do continuous competitor research, even if you re still ahead in the game.

2. You’ve Stopped Growing

No company is able to keep a continuous incline in their growth, it would be impossible. However, if you notice that your growth has stalled for a long period of time, it might be a sign that your company is starting to fail. Although you might still have your loyal customers with you, staying at the same level for so long will only allow others to surpass you and, eventually, beat you out. When you start to see that your growth has gone stale, that’s a sign to start looking for something new to add to the mix. Your old processes have worked for you in the past, but with stagnant growth, you might need to begin looking for other ways to go about your business.

3. You’re Working Extremely Hard with No Benefits

It’s always good to work hard for your business, but sometimes your hard work stops paying off and starts hurting you. If you find yourself putting in more and more hours with little to no reward, you need to take a step back and rethink your strategy. Hard work does help, but when you’re beating a dead horse, you’re not going to reap any rewards from your efforts. Instead, try refocusing your work ethic on new ideas that might prove more profitable.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

July 15, 2019

Anyone can start his or her own business, but not everyone can be successful at it. Although everyone has a different story, the most successful business owners and entrepreneurs all have a few specific habits they do every day, that make them successful in their company operations and allow them to meet their financial goals. Here are three habits successful business owners do every day that help guarantee them good results.

1. Create a Routine and Stick To It

Although nothing is ever certain or static in the world of business, it’s important to have some sort of daily routine that you can stick to as best you can. While always leaving room for unexpected changes, a routine can help you to make sure that you are making steady progress each day. Not only that, but the daily tasks that fall within your routine will start becoming like second nature to you, which will allow you to complete them faster, and with more efficiency.

2. Start With The Hardest Task First

Although it is much more tempting to get the “low hanging fruits” out of the way first, it is a habit of the most successful business owners to start with (and complete) the most difficult task beforehand. This way, you start off the day with fresh energy and a clear mind, which will allow you the stamina to tackle the most daunting task. When you’ve finished it, and your energy levels are much lower, you can still successfully complete many more, simpler tasks. Doing it in reverse will only cause you to push the difficult task off later and later, and you’ll find you won’t have the strength to deal with it by the end of the day.

3. Keep Track of Your Progress

While working on a daunting project (such as starting a company), sometimes it’s hard to see the progress you’re making, as your daily steps are considerably small in comparison to your end goal. To keep up your motivation, it’s a great idea to keep track of your successes and your progress along the way, so you can look back and see just how far you’ve come in whatever amount of time it’s taken, even if it feels like you’re getting nowhere.

Of course, every entrepreneur is different and has his or her own way of working. However, these tips can help propel your business forward and put you in the ranks with the most successful business owners out there.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

July 8, 2019

Anyone can start his or her own business, but not everyone can be successful at it. Although everyone has a different story, the most successful business owners and entrepreneurs all have a few specific habits they do every day, that make them successful in their company operations and allow them to meet their financial goals. Here are three habits successful business owners do every day that help guarantee them good results.

1. Embrace Changes Constantly

The world of business is always changing, every single day and business owners who are not constantly able to adapt will soon fall behind. Whether it’s a new technology, a new strategy, or a new way of thinking altogether, it’s important that you never become complacent in your routine. Just because something has been working for the past 3 years, doesn’t mean that one day 1 of year 4, it will continue that way. Business owners who are not afraid of change, even if it’s completely unknown to them, are always able to keep up with the times.

2. Understand All Finances

It’s simply not enough to look at your expense report or your monthly revenue and claim that you have your finances under control. Successful business owners understand that every cent coming in or out of a company needs to be accounted for. It’s imperative to look at every single expense daily, weekly, monthly, and annually to seek out patterns in your spending, or discover places to cut back. Have you borrowed any funding? Loans come with terms and interest rates that need to be accounted for. Keeping tabs on all of the cash connected to your business will guarantee that you keep afloat and don’t find yourself in any sticky situations with your money.

3. Take Calculated Risks

The very essence of risk-taking is, well, risky. However, all successful business owners have taken more than a few risks within their companies. Of course, that’s not to say you should throw all caution to the wind and take wild risks. But a well thought out, calculated business risk could be the difference between staying safe and making it big. Taking a calculated risk shows creativity, intuition, and faith in your own business and your team members. Being able to predict outcomes and take a leap of faith (and educated one, that is) could bring huge success or valuable lessons in what not to do in the future.

Of course, every entrepreneur is different and has his or her own way of working. However, these tips can help propel your business forward and put you in the ranks with the most successful business owners out there.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

June 27, 2019

For any business, big or small, there are many important factors that go into it to make sure that it becomes successful. Your products and/or services must be of the highest quality. You’ll need great customer support to keep your consumers happy. And, you’ll need to make sure that your finances are always in order. However, something that might be even more important than these issues, is brand marketing. Even if you are running a tiny company that has only a few employees, marketing your brand well can mean the difference between barely getting off the ground and building an empire. Here are 3 reasons why brand marketing is absolutely vital to your small business.

1. It Makes You Recognizable

Almost anyone on this planet can tell you that the golden arches represent McDonald’s and the green mermaid is for Starbuck’s. If you don’t have a solid, attractive, and recognizable brand, you’ll find that customers will be quick to forget who you are. You need to make sure that your brand image is one that, eventually, people will see and immediately know who you are. Don’t be the random brand that people buy because it was convenient. Instead, be the recognizable brand that people buy because they know you.

You Will Earn More Money

Statistically, it’s shown that customers are willing to pay more for a brand that they know. Basically, having a strong brand will increase your value in the eye of the consumer, and they will feel perfectly fine spending an extra dollar or two to purchase their products and/or services from a brand they know and trust.

You Will Build Relationships With Your Customers

There’s something almost nostalgic about that McDonald’s Happy Meal you used to eat as a kid. Now, imagine your local burger joint sold the same cheeseburger, fries, soda, and even a toy. It does not have the same emotional bond that good old Ronald McDonald has on you. When customers bond with your brand, they feel emotionally connected and invested in your products. This makes them much more likely to stay loyal to your brand, instead of moving to others (even if they offer slightly better prices).

Creating a strong, recognizable brand is extremely important when it comes to creating and running a successful business. Make sure that you have all of the elements there when designing your brand, and make it a good one.

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!

by Eli

June 24, 2019

Starting a business at any age can seem like a daunting task. Even for people with multiple business degrees and years of working experience, becoming an entrepreneur and building a company from the ground up is no easy feat. So to even attempt starting up a small business when you are young and inexperienced sounds like a pretty useless idea. However, starting a company while you’re young can be one of the best things you can do, for reasons you might not expect. Here are 3 reasons why you should start your business while you’re still young.

1. You Have Time To Fail

When embarking on any type of project, you can pretty much expect that there will be errors mistakes, losses, and all-around failures along the journey. So, if you know that you will fail at some point, you might as well get it out of the way early. When you are young, you have the time and the energy to fail, over and over again, and deal with each failure appropriately. You will have to take a few big losses until you earn a big win, and the ambition and energy of youth can be extremely helpful to not become discouraged and give up completely.

2. You Have Less To Lose

Nobody likes to fail, much less see their entire company go completely under. However, when you are already getting older and you have a family of people who are relying on you, it is a much harder hit when everything comes crashing down. The older you are, the more responsibilities and obligations you most likely have, so there is a lot more resting on your shoulders. While you are still young, there is much less at stake, and a failure’s price isn’t nearly as high as it could be in a few years.

3. You’ll Learn A Lot…Fast

No matter how many books you read and how much business theory you learn, there is nothing better than hands-on, personal experience when it comes to running a business. Whether you like it or not, you will be thrown head-first into the ocean of entrepreneurship and you will have to either sink or swim. This cold-turkey approach may seem extreme, but it is the quickest and most effective way to become a master of running your own company.

Even though it may seem scary to start your own business at a young age, there are huge benefits that you will lose each year that you wait. So, instead of being intimidated, take the leap of faith and try to build your dream company. Who knows? You might even succeed and be set for life by age 30!

Ready to take the first step to reaching your financial goals? Click here for a FREE quote from Onebox Funding, and find the best loan with the lowest rates, today!