by speedadmin | Mar 28, 2023 | Blog
Owning commercial properties can be quite useful in building wealth. Many wealthy people attest to that. Take it from the famous author Robert Kiyosaki, who said that real estate investing, even on a very small scale, remains a tried and true means of building an individual’s cash flow and wealth.
Benefits of Owning Commercial Real Estate
The principal benefits of investing in commercial real estate are the power it brings to your investment portfolio. In addition to high recurring income, these properties can be eventually sold for a tidy profit.
In addition, there are many tax benefits available for those who own commercial real estate. Here are a few of the most common ones:
- Depreciation. The depreciation value related to commercial real estate holdings can be deducted annually.
- Loan Interest Deductions. Interest on mortgages or other property loans may be deductible at tax time.
- Capital Gains Benefits. Upon the sale of real estate, any capital gains are taxed at a lower rate than ordinary income.
- Passive Income Rules. In some cases, income generated from commercial properties may fall into lower-taxed passive income rules.
Financing Your Real Estate Purchases
Real estate, and in particular commercial real estate, can be expensive to acquire. Most people take out some form of financing to get the property they desire.
Here are a few of the options available to you:
- CMBS loans.
- HUD and FHA lending.
- SBA 7a and 504 loans.
- Equity and mezzanine financing.
- International financing.
- Bridge and hard money loans.
Speed Funding Can Help
Speed Funding is an expert in commercial real estate financing. They offer the full spectrum of commercial real estate financing options mentioned above, whether you are a first-time buyer, rounding out your property portfolio, or somewhere in between. Give them a call today to learn more about your opportunities.
by speedadmin | Mar 21, 2023 | Blog
Business ownership can be challenging, so sometimes it makes sense to have business partners. Let’s explore some questions that all business owners should ask potential partners.
What Are Business Partnerships
A business partnership is a formal and legal arrangement between two or more people who will be involved in a business and share its profits. There are several types of business partnerships: general partnerships, limited partnerships, and limited liability partnerships, each with its own conditions.
Do You Need Business Partners
Before starting a serious search for business partners, it is important to consider whether you really need (or want) a business partner. There are pros and cons to having business partners.
The Pros:
- Business partners can add valuable knowledge and expertise as well as provide complementary skills.
- They can add new perspectives and insights and help you overcome blind spots.
- They can provide an infusion of critical cash, attract investors, or help raise capital for your business.
- They can help secure more business opportunities, perhaps with important personal connections.
- They can help you achieve better work/life balance by sharing a leadership workload.
The cons:
- Business partners share liabilities, so you share any backlash from the mistakes of a partner.
- You may lose some autonomy.
- There may be some emotional conflicts.
- There may be some future selling complications.
What Questions Should You Ask Potential Business Partners
Ask these questions of potential business partners to assure yourself of a good fit:
- What is his/her expectation of the time and skills required?
- What is their level of experience? Understand their skills and talents.
- Can the partner fully embrace your vision for the business? Will the partner’s commitment to the business be as strong as yours?
- What is the partner’s financial condition? You don’t want any major debts or red flags to cloud your relationship.
- What is the partner’s reputation?
- Is there anything in their personal life that would be problematic for you or the business?
Seek Expert Financing Assistance
Contact Speed Funding for a wide range of expert financing solutions to meet your business needs and achieve your goals.
by speedadmin | Mar 17, 2023 | Blog
As a passionate, conscientious business owner, you know the importance of a strong online presence. Your ideal customer must be able to find you easily and interact with you. As you consider your web design, you’re probably looking at several factors; the demographics of your audience, your unique branding, and the role of your website in the customer experience. Leading-edge trends are appropriate for some business websites. Read on for several.
1. Innovative Navigation
Yes, having navigation fully visible at the top of your site is the standard practice. But, depending on your audience, hiding the navigation (necessitating a scroll down) or putting it in an unexpected location (like a popup) leads to different customer behaviors than usual. The first example leads the visitor to consume information about your business first, and the second functions as a multi-choice call to action (CTA).
2. Scrollytelling
Speaking of scrolling, many innovative websites employ “scroll telling,” which opens up rich vistas of content that animate in compelling ways as the user scrolls down. For businesses that have an artistic element, this is a strategy that will fascinate and draw customers in.
3. Minimalism
Thinking about using a simple landing page with contact information and one CTA? You’re in good company. Brands that leverage mystique or do most of their business away from their websites use this approach to their advantage. If you decide to go in this direction, your brand needs to be instantly recognizable and irresistible.
4. Grid Layouts
There’s something about grid layouts that bring nostalgia for old-fashioned stores and other brick-and-mortar businesses. The regularity and symmetry of grids also are relaxing and reassuring. Most online storefronts use this layout, but it’s also effective to employ it on home pages and selected interior pages. Experiment to see what works best for your business.
5. Text-Based Designs
Want great SEO (search engine optimization)? Use text as the centerpiece of your web design. The layout, fonts, and content will be the focus, rather than the imagery. Search engines tend to prefer websites with high-quality text content. You don’t have to skimp on design. Select your fonts carefully, and format the design so that users can find what they need easily. Break up your paragraphs to prevent the dreaded “wall of text.”
Your web design possibilities open up when you consider out-of-the-box ideas. Keep these suggestions in mind as you plan your online strategy.
by speedadmin | Mar 14, 2023 | Blog
Businesses always find it highly desirable to achieve and maintain a strong credit score. A high score shows lenders and other firms that your company is financially stable. A strong credit profile will enable you to obtain financing at favorable rates should your business require it.
Business Credit Scores in a Nutshell
A credit score for businesses is a measure that provides a benchmark of the creditworthiness and overall financial strength of a business. In most cases, data from a business’s credit report is used to calculate a company’s credit score. This data can include information about the company, such as its number of employees, historical data, payment history, account information, owed amounts, and more. A business credit score can be looked up using credit reporting agencies such as Dun & Bradstreet, Equifax, and Experian.
Building Up your Business Credit Score
There are a number of ways that a business can improve its credit score. If you are looking to strengthen your business’s credit score, consider the following five points and determine if you can make any changes in your operations:
- Register your business and apply for an EIN (employer identification number) if you have not yet done so.
- Establish and utilize a business credit card regularly and responsibly.
- Monitor your business’s credit score.
- Pay back credit installments on time or early.
- Refrain from continuously maxing out your business’s credit limit.
Speed Funding Can Help
Some lenders tolerate lower credit scores when businesses need financing. Traditional banks in particular often demand stellar scores. If your business needs credit and has been denied financing elsewhere, seek out alternative funding sources.
Speed Funding is a lending agency that works with all types of businesses. They have a wide variety of financing options. Reach out to them and see what your business financing options are.
by speedadmin | Mar 7, 2023 | Blog
Many people find themselves desiring to buy a property but are short on the needed cash. A bridge loan may be the best option for them.
Bridge Loans Explained
Bridge loans are a common type of financing used by real estate investors. These are short-term loans designed specifically for the real estate market, typically with terms of up to three years. They are designed to be extremely adaptable and provide quick funding and are ideal for a crowded real estate market in which properties can move quickly.
The inherent flexibility of bridge loans is one of their primary advantages. The most common use for them is to speed up the closing of a property purchase. They can also be used to pay for a host of other expenses related to property purchases.
In a fast-moving real estate market, quick-funding bridge loans are superior to conventional loans. Traditional bank loan applications typically can be tedious and can take a long time. There is usually a prolonged waiting period for approval after the application is completed. In some cases, the applicant may be denied the needed loan.
Using Bridge Loans: Typical Scenarios
Bridge loans are generally used when a prospective buyer has not yet sold an already-owned property. Here are a few examples:
- An individual just lands a great job in a new city. He sees a house in the new city that he wants to buy but can’t sell his existing home in time to provide the cash needed.
- A business finds a commercial property that just came to market that it wants but has very little cash on hand to seal the deal. It takes out bridge loans and purchases the property within a few days.
Contact Speed Funding for More Information
Speed Funding is a lending company that knows bridge loans inside out. They can answer any additional questions you may have or get the short application process started immediately. If other funding mechanisms seem a better fit for you, they will suggest these options as well.
by speedadmin | Feb 28, 2023 | Blog
Cash flow is important because it lets businesses meet both immediate and future financial obligations. To improve your business’s cash flow, try implementing some or all of the following strategies.
Monetize Your Savings
A fire-and-forget way to boost your business cash intake is by seeking a savings account with a high-interest rate. Assuming you won’t need the funds in the near future, the contents of a savings account can build up money through interest payments without effort on your part.
Excise Excess Expenses
All businesses incur expenses, but without occasional pruning, unnecessary expenses can linger and eat into the cash flow of your business. For instance, subscription-based software that nobody uses anymore can extract money regularly from your business while providing nothing in return. To counteract this problem, set up a regular schedule to review your recurring expenses and eliminate unneeded ones.
Incentivize (and Make) Early Payments
To get cash from clients and customers into your business’s coffers sooner, you can implement a discount program, rewarding people when they submit their payments early. Conversely, you can approach your suppliers and contractors about whether they’ll offer a discount to your business in exchange for ahead-of-time payments on your part. Either method may boost cash flow.
Promptly Invoice Clients and Customers
After your business has delivered goods or services, send out an invoice as soon as possible. This way, the person or business that owes you money will get the invoice while the payment is still top of mind. Be sure to clearly spell out due dates, acceptable payment methods, and any penalties for late payments.
Research Different Price Points
Some businesses don’t maximize their cash flow because they’re undercharging for their product or service. To get an idea of whether your business is undercharging, try researching what your business’s competitors are charging. That can help you figure out what price(s) will maximize your profits while still being acceptable to consumers.
Looking for specific advice on your business’s cash flow situation? The experts at Speed Funding are available to talk.
by speedadmin | Feb 21, 2023 | Blog
Bridge loans are a financing tool many borrowers have turned to. Essentially, a bridge loan fills in the funding gap that arises in situations like when you’ve sold a home but are waiting for the proceeds to flow in. They are quite useful whenever an individual or business needs to cover a cash-flow gap, as shown by this article’s look at their advantages.
Bridge Loans Have Faster Applications
Compared to traditional loan applications, such as those for mortgages, bridge loan applications are generally faster. That makes them a good fit for when a business or individual needs to make a time-sensitive purchase.
Shorter Terms
Bridge loans are generally shorter than most other loans businesses and individuals encounter. You can usually expect a loan repayment length of six to 12 months. Conventional loans often drag out for many years, so bridge loans can be a good way to get cash in quickly, then promptly move on from the debt. (This condensed timeframe may come with higher interest rates and different payment obligations than a borrower is used to, so as always, carefully consider any loan’s parameters before entering an agreement.)
Protecting Opportunities
A bridge loan can help borrowers make sure opportunities don’t slip away. For instance, if a business is short on cash because they’re waiting for clients to pay, but a great deal on inventory presents itself, the business could use a bridge loan to seal the deal on the inventory. As clients pay up, the business would pay off the bridge loan. An individual, meanwhile, may use a bridge loan to make sure a real estate opportunity doesn’t fall through.
Convenience
Bridge loans can lead to more convenient transitions for individuals and businesses. On the individual level, if you need to move rapidly for a job, a bridge loan can let you secure a home in your new city quickly. Businesses, meanwhile, gain access to funding rapidly while avoiding long-term debt obligations.
Considering bridge loans or another type of funding solution? At Speed Funding, we’d love to discuss your options, so please reach out today.
by speedadmin | Feb 17, 2023 | Blog
Search engine optimization isn’t some mystical enigma that’s impossible to decipher. It’s also not as simple as some brands may think. SEO requires hard work, experience, and persistence, but if you follow through, you can get great results.
That’s par for the course for most things in business, so it shouldn’t come as a surprise that investing time and money in SEO pays dividends. What should you do to have greater success?
Work with SEO Professionals
The first key to success is hiring the right company to help with your digital marketing efforts. In the world of online advertising and search engine optimization, it’s true what they say: you get what you pay for. If you try to do it yourself with a small team, it’s not realistic to expect good results.
SEO professionals have two main advantages for helping your web content perform better. First, they have years of experience. They understand how key markets and statistics work, so they can adapt when changes are needed for results. Many SEO experts also keep up with search engine changes, so they use modern techniques that competitors probably don’t know about.
Use Keywords Naturally
A common mistake for businesses with new websites is spamming keywords all over the place. Choosing good search terms for your audience is smart, but articles need to make sense for the average reader. Otherwise, your web pages sound like an advertisement. People tend to ignore that type of content, which hurts your rankings considerably.
Instead, choose high-value keywords for your customers, and then create entire articles around them. For example, imagine that you want to attract visitors looking for the “best power tools for construction.”
Instead of using that keyword phrase over and over on different pages, create a detailed guide dedicated to the best power tools for construction. That way, you can use the keyword naturally throughout the content, but visitors receive high-quality information that helps them.
Make Navigation Simple
Imagine what it would be like if a grocery store only had one long aisle with hundreds of different products on it. Finding the right item would be next to impossible. That’s exactly what it’s like for website visitors when you only have a single “products” page or “services” page.
To improve the customer experience and help your search engine optimization, create sub-pages under your main categories. Clothing websites do this with pages for “women’s fashion,” “men’s fashion,” “shoes,” and similar categories. The easier it is for people to find what they want, the better your page statistics look.
by speedadmin | Feb 14, 2023 | Blog
Annuities promise guaranteed future payments from the insurance companies that sell them. But if you need funds sooner, annuity financing is a useful tool for transforming annuities into immediate financial help. Annuity financing can help you keep possession of your annuity while still handling unexpected expenses or pursuing business ventures.
To make the most of this financing option, it’s useful to understand what non-qualified and qualified annuities are, plus the methods for unlocking short-term cash via an annuity.
Qualified vs. Non-Qualified Annuities
Qualified annuities generally are found in workplace retirement plans. Pre-tax dollars contribute to their funding. When they begin paying out income, that income is taxed. Meanwhile, non-qualified annuities receive their funding from post-tax dollars.
Non-Qualified Annuity Financing
Non-qualified annuity financing is a loan from your annuity you’ll pay back over time. You’ll first need to determine if the insurance company allows annuity loans, then apply. If you’re approved, review the terms carefully to make sure you can keep up with the repayment schedule. If you accept the offer, you’ll have quick access to a lump sum of cash.
Qualified Annuity Financing
Qualified annuity financing works similarly to non-qualified annuity financing, but to avoid taxes and penalties, you may need to meet certain guidelines, such as paying the loan back within a short time. Borrowing from a qualified annuity may lead to an undesirable tax loop, too: You’ll repay the loan with income that has been taxed, then pay taxes once again on the income the annuity pays out down the line.
Using Annuities as Collateral
Another annuity financing method is using an annuity as collateral to secure a bank loan. However, the IRS will levy taxes, plus a penalty if you’re younger than 59 and a half. Annuities that are part of a retirement plan are off-limits for collateral purposes, meaning qualified annuities generally won’t work.
Want to go over your financing options? Speed Funding’s pros are eager to hear from you.
by speedadmin | Feb 7, 2023 | Blog
Retail financing takes multiple forms, but they share the general goal of injecting cash into a retail business’s funds to help it operate. This article takes a look at three predominant types of retail financing: loans, merchant cash advances, and equipment financing.
Cash Advances
When a business takes out a cash advance, the business receives a short-term injection of cash from the financing entity. Generally, this involves one of two financing types.
The first financing setup is through a merchant cash advance. In this setup, the business receives cash, and then the lender withdraws a percentage of the business’s credit card sales, often on a daily basis.
The second financing setup involves ACH withdrawals. They are taken from the business’s bank account daily until the cash advance is paid back.
Different lenders will charge different markups for these services depending on the business’s creditworthiness and other factors.
Inventory Retail Financing
As the name suggests, inventory financing involves taking out a loan or using a line of credit to purchase inventory. Lines of credit are often a preferable route, as you can access the precise amount you need for inventory. Then, you’ll pay back the withdrawal to restore the amount of credit available.
Franchise Financing
Franchise retail financing helps franchisees get their franchise branch up and running. Some parent organizations run lending programs to help new franchisees out. Other potential sources of franchise financing include banks and alternative lenders.
Equipment Financing
Almost all businesses need some kind of equipment to operate. If purchasing the equipment outright is prohibitively expensive, businesses can use equipment retail financing to gain access to it. This can take the form of a loan, which is often preferable for equipment that will remain in use past the end of the loan’s repayment, or a lease, which is generally good for shorter-term equipment needs.
To explore retail financing and other funding options in greater depth, you can always talk to an expert at Speed Funding. Contact us to get started.
