Knowing a Great Business Idea When You See One

Searching new business ideas is very difficult when you started your own business. It is because you accustomed to see everything in orders. Catch up some great and new ideas when you see one need a skill, and a good news is you can learn that skill.

Change your mind set

First thing we have to change is our mind set, successful businessman have mind set a little bit different from most people. They have an ability to see some problems in different point of view, think outside the box. That’s the secret..!

Good example for thinking outside the box is Ingvar Kamprad founder of IKEA, the largest furniture company in the world. He’s Top 5 wealthiest man in the world.

When he started his furniture business, there was a condition that good furniture is always expensive and can only enjoy by few people , but he tried to thinking outside the box that he had to provide good furniture with a lower prices.

Now IKEA become global trademark and furniture’s trend setter. Today if you’re talking about IKEA, you’re talking about life style.

I hope Ingvar Kamprad can inspired you. Just start with a simple first step. Look around you, choose any kind of business that running well in your area, then do the “thinking outside the box”, see if there is possibilities to make any of those business better, more efficient, don’t follow most people. Think inverse from your habit. Then you'd see better opportunity of business.

Look for solution

Look for solution of consumer’s problems is good matter to get new business idea. So many problems in this world faced by people. I believe that you do have your own problems. Is it your life, family, relationship, business, social, education, etc. There is possibly thousand of it

Somehow a creative businessman able to see a chance here. Solving the problems seems easier when they aren’t yours. They used their ability to solve someone’s problem and make them became their business. Sound creepy isn’t it, you used other’s suffer to generate your profit. But it’s not the way it works. It’s a mutual ism symbiosis. Everybody’s win.

When you get idea for some problems, think farther, if you can make it profitable, then you’re a good businessman? Maybe you can be the business leader in that category. And remember that most business started from someone’s problem. Bill Gates himself started his Microsoft business empire, because he found the way to providing a personal computer in each house. How about insurance, cleaning service, delivery service, security service, you named it.

The idea is making existing problems as an opportunity to you.

[get this widget]

Knowing the Key to a Bank Loans

Preparing your business to get a bank loans is a little bit complicated. If your business running well, it’s easier for you to get their loans. You have to make your business report in your loans proposal.

Banks have very strict criteria for approving loans. Most banks are going to require your good credit history. They want to see a person who has multiple good reports on their credit report and no bad reports. They will see your account history, is it good or poor. They want a person who has a steady and secure income source. Overall, they want the least amount of risk when lending to a person.
The key to a bank loan is knowing what they want. If you’re wanting to get a bank loan then they have to start analyzing their financial situation.

It starts with the your credit history. A person must ensure they have absolutely no bad credit history. They need to repair anything that could adversely affect their credit. Then they will need to wait at least six months before applying for a bank loan.

When applying for a bank loan a person must have all their paperwork in order. They need to have pay stubs, bank statements and their credit history for the loan application. This way they can be sure they can provide the bank with whatever they need.

They should also look at their budget. They need to ensure their income is exceeding their expenses. It is likely the bank will want proof of income for six months or more. If a person has been employed for less then six months, then they should wait until they have been before applying for a bank loan.

Additionally, bank loans are more often then not secured loans. At least for a person getting a bank loan for the first time, the loan is going to be secured. A secured loan is secured with either collateral or money. The bank requires this for two reasons. First, it allows the borrower to assume some risk. They are either risking losing their collateral or risking losing their money. Secondly, in the case of using money to secure a loan, the borrower is lowering the actual amount they need to borrow, which in turn lowers the risk to the bank.

One of the best things to do is finding out the banks general criteria for getting a loan. Most banks will gladly tell a person what they expect from a borrower. This can allow the person to make sure they adhere to the banks qualifications which can make the whole loan process go smoother and faster.

Bank loans can be difficult and very frustrating. It is hard to know exactly what a bank is wanting from a borrower.But if they rejected your proposal, they won’t tell you what the reason is, you don’t have to worry. You can try another funding sources such as : private investor, ventures, or maybe you can started to analyze your cash flow. Is your business really need more capital or there is another way to reduce your cost for efficiency.

[get this widget]

How to Get a Loan for Your New Business

If you want to start a new business, your most difficult task is finding money for your working capital. Taking the necessary steps to prepare for a small business loan can minimize the difficulty. Learn what you need to know to clinch the loan deal.

Finding a new business loan is not a tough task. With coming up of more and more online lenders, internet provides you with the fastest and the simplest procedure to avail new business loans. All you need is to just click on the mouse button and you can access various websites offering new business loans.

The main requirements of attaining a small business loan are your personal credit history, business plan, experience, education, and feasibility of the business you are starting or expanding.

Preparing a business plan is the most important thing. The business plan needs to show the lender that providing you with a small business loan is a low-risk proposition. Your business plan must answer the questions a lending institution would ask. These questions usually are:

How much money do you need?

If you are starting a business, this should be included at least in the start-up capital estimate. Accuracy is important, don’t marking up your cost, they have loan’s analyst to analyze your cash flow. So take request enough money to invest wisely.

What are you going to do with the money?

You will have to provide, in detail, the designated use of every dollar requested. A small business loan is often needed for: operations (new employees, office stuffs, marketing, etc.), assets (equipment, real estate, etc.), or to pay off business debts.

When will you repay the small business loan?

Explain the whole detail how your small business loan will serve as a stepping-stone for your business. You have to convince the lender (with your financial statements and cash flow projections) that you are able to repay the loan through the expected long-term profitability of your business.

What will you do if you don't get the loan?

Let lenders know that rejection will not discourage you from starting or growing your business. You want to portray a confident and determined personality and you will try lender after lender until you receive the money you need to get your business moving.

Be confident and proud of your venture. Let lenders know you are in control and know what's best for you and your business. Understand that lending institutions need to make loans. But if you don't get one, don't get discouraged. Ask the lender why you didn't get the small business loan. Learn from the answer, move on, and try other lenders.

[get this widget]

How to minimize the risk when you start your own business..

Most people believe that become a business owner is risky than people who get their income (salary) regularly. For some reason, I agreed with this opinion, you’ll get paid if your business is running well and able to generate income. In the other hand maybe you’ll lose all of your money when you get into bankruptcy.

But today, regular income such as salary, not automatically make us safer, more comfortable, because there is still a risk that you’ll lose your job, from company factor, or even from yourself. Not now anymore, today more people realized that if you want to get more salary and passive income you have to take that risk. High earning is equal to the risk, there’s no shortcut.

You can minimize those risky failure, in other words you take the predictable risk

How can you predict the risk? Well, there is a simple way for you, just take a blank paper, divide it into 2 columns. In the first column you can write about benefits and profit you’ll receive if you decide to start your own business. In the other column, write about every risk you possible have if you start your business. Then you’ll see the big picture about starting up a business.

I’ll show you 3 simple ways to minimize the risk loosing all of your money.

1. Buy a franchise business

Franchising offers franchisees the advantage of starting up a new business quickly based on a proven trademark and formula of doing business, as opposed to having to build a new business and brand from scratch (often in the face of aggressive competition from franchise operators). A well run franchise would offer a turnkey business: from site selection to lease negotiation, training, mentoring and ongoing support as well as statutory requirements and troubleshooting.

2. You can use other people’s money (OPM)

When you start your business, there is an option about your starting up cost. You have to find resources to get your working capital. If you have enough money for start up cost, you have to make a good and detailed cash flow to make your money safe. But if you don’t have enough money to starting up your business, there’s still an option, you can use other people’s money (OPM). But you still have to make a great business plan and find someone (Investor) to cooperate with.

3. Start with a good business plan

A good business plan follows generally accepted guidelines for both form and content. There are three primary parts to a business plan:

· The first is the business concept, where you discuss the industry, your business structure, your particular product or service, and how you plan to make your business a success.

· The second is the marketplace section, in which you describe and analyze potential customers: who and where they are, what makes them buy and so on. Here, you also describe the competition and how you'll position yourself to beat it.

· Finally, the financial section contains your income and cash flow statement, balance sheet and other financial ratios, such as break-even analyses. This part may require help from your accountant and a good spreadsheet software program.

[get this widget]

Having a business "Superhero"

Sound cliche isn't it? well, not really…

Everyday we watch news about those business “superhero”, how they rule the business world, almost every aspects of their life available in every media, some of them even have their own biography book.

So, who is your business “superhero” ? in US, they have the longest man who stayed in the #1 position of Top 10 wealthiest in the world, Bill gates, in Mexico - maybe Carlos Slim is the heroic figure for many of them. Sam Walton, the founder of Wal Mart. Ingvar Kamprad, the IKEA's hero. J.K Rowling, the richest woman in U.K, mother of Potter magical adventures. For Indian people maybe their hero is Lakshmi Mittal, owner and founder Mittal Steel Company - the biggest steel company in the world, or maybe you have your own local hero in your country ?

OK, no matter who your hero is, you realized that having a hero, a role model, or even a great teacher for your business is not a bad idea. You can learn about everything that makes them very successful, .their life, their passion, creativity, great business maneuver…and the most important things is HOW THEY STARTED THEIR BUSINESS.

Maybe you’ll find out the great ideas after you learned everything about them, such as:

1. What was their first step to start their business

2. What were their greatest challenges in their business

3. How they find the way out to solved every problems they had

4. How they generated their creative ideas to make a new things

5. What were their biggest mistakes and how they fixed them

6. How to developed and expanding their business

So many things we can learn from them, but the bottom line is that seven of the top ten world’s wealthiest are considered “self-made.” That is, they earned their fortune not through inheritance, but through their own hard work, creativity, ingenuity, and their own business. I think that’s impressive, and highlights the beauty of capitalism and personal, individual effort, and the ability to make your own fortune in this world.

So, do you want to be your “superhero”..?

[get this widget]

5 Great benefits of having your own business

In a business world, there is no such a magical/instant way to reach your wealth. We’re all agree that business mean hard work, creativity, networking, and a little bit luck…that’s how the biggest companies in the world such as Microsoft, Wal Mart, General Electric, Mittal Steel Company started their business.

You can start your own business to, start with a small one, manage it, make them profitable, and soon you’ll find out that your business is not that small anymore. Of course everything still needs an effort to do, to make your business bigger and bigger.

The 5 benefits of having your own business are:

1. A small business can be started at a very low cost and on a part-time basis. Small business is also well suited to internet marketing because it can be very manageable to serve a niche, something that would have been more difficult prior to the internet revolution which began in the late 1990s.

2. Adapting to change is crucial in business and particularly small business; not being tied to any bureaucratic inertia, it is typically easier to respond to the marketplace quickly. Small business proprietors tend to be intimate with their customers and clients resulting in greater accountability and responsiveness.

3. You are the Boss...If you are an employee, no matter how hard your work is, you’ll receive limited income, eventhough you are the most profitable employee. Pathetic isn’t it, but if you are a business owner, there is no limitation how much money will you receive every year,it’s depend on how good and eficient you are running out your business. Bottomline is you are the decision maker, everything is in your hand.

4. Feel more freedom. Because time is priceless, you can manage your own schedule, choose a time for your business, your family, for yourself maybe.You work your own hours and if you want to take a day off you don't need to phone the boss.

5. Generate your passive income. Good business means good profit, well...there are a process to reach a good and profitable business, if your business running well there are so many passive incomes generator, such as : rent expenses, royalty, profit sharing, fee and else.

[get this widget]