The lending process is associated with the actions of numerous and varied risk factors that can lead to non-repayment of a loan on time. Therefore, the bank determines the provision of loans by studying the creditworthiness, i.e. studying the factors that may entail their non-repayment. Business credit shows financial strength and allows it to be assigned to the appropriate classes during rating.
Assessment of creditworthiness involves, first of all, the use of indicators characterizing the activities of the borrower in terms of the possibilities of repayment of outstanding loans.
The creditworthiness of an enterprise is characterised by its accuracy in making payments on previously received loans, its current financial condition and prospects for change, and the ability, if necessary, to mobilise funds from various sources.
Factors affecting the creditworthiness of the enterprise
1. Financial condition at the time of obtaining a loan
2. Economic possibilities of loan repayment
Availability of assets that can be sold to pay off debt
3. Ability to raise additional funds
(loans from other banks, loans, issue of debt securities, issue of shares)
4. Borrower’s intentions to repay the loan
5. Loan security
A system of financial ratios, analysis of cash flow, business risk and management are used as methods for assessing creditworthiness.
Thus, the creditworthiness of the borrower is based on a number of factors, each of which, from a certain point of view, characterises the company in the eyes of the bank and helps to understand how great the possibility of not repaying the loan is. Moreover, a set of these factors is optional. Each bank independently forms it in accordance with its credit policy. Therefore, the best solution for your company may be to take business secured loans.
Secondary creditworthiness factors that cannot be ignored:
– secure pledge;
– regional risks (risks of investing in the region where the enterprise is located);
– credit history of the enterprise;
– subjective factors of creditworthiness.
The collateral is necessary to repay the loan and interest on it at the expense of it if it is impossible to repay the borrower’s funds. The sale of property should be carried out in bulk in a short time and at prices favourable to the Bank so that the proceeds fully cover the amount of the principal debt and the interest accrued on it. For this, when concluding a loan agreement, the relevant specialists of the Bank must assess the market value of the property pledged as collateral, its liquidity and the borrower’s rights to this property. However, the organisation of such a service by a bank in its state is expensive, so it would be advisable for banks to order periodic reviews of the market of basic goods accepted as collateral from property appraisers and, on the basis of this, draw a conclusion about the advisability of accepting any property as collateral.
Regional risks are associated with the fact that lending to enterprises located outside the area of operation of the bank or its branch, as well as located in the so-called “risk regions” is obviously more risky than in prosperous regions and in the work area of the Bank. Political instability in the region, extreme weather conditions, interruptions in the supply of electricity, water supply and sanitation, disagreements between federal and local legislation, the level of unemployment, the dynamics of wage arrears to budgetary organisations and all kinds of benefits also contribute to the increased risk. The attractiveness of the region is added by a favourable investment climate, protection of invested funds at the government level, a well-functioning judicial system, the availability of minerals, and highly qualified personnel. The above positive and negative aspects of the development of the region should respectively add or subtract a certain number of points when assessing the creditworthiness of the borrower.
The credit history shows how the borrower previously paid off the loans and borrowings received, whether there were delays in the payment of principal and interest. It is obvious that if, throughout its existence, the enterprise has regularly paid all its obligations, then the likelihood that, other things being equal, in the future the enterprise will also pay off the existing obligations without delays. If the credit history is not flawless, then it is necessary to find out what were the reasons for the delay in payment. In the case of objective reasons and a short period of delay (up to 5 days), then such a delay can be neglected. However, if the delay was longer and was caused by subjective reasons, then this fact should alert the lender, and in the presence of outstanding overdue loans, the borrower must be refused to receive a new one.
We hope we have helped you look at all the factors that can affect your business credit. After analysing all the factors that can affect your creditworthiness, consider what type of loan suits your business and how you can improve your business credit.
Take A Look At These Stock Market Tips
Stock investments can be a solid way to grow your overall wealth. It is surprising exactly how much money you are able to make. You need to be knowledgeable about stock investing in order to be successful. This article will teach you how do just that!
Beginner stock investors would be wise to make themselves prepared to lose a bit of money on some of their trades. Often times, new traders panic at the first dollar they lose and quickly sell off their stocks before giving them a chance to recover on their own.
Investing in the stock market does not require a degree in business or finance, outstanding intelligence or even familiarity with investments. Being patient and sticking to a plan, making sure to remain flexible and conducting research, will serve you well when playing the stock market. Going against the grain often pays off!
If you want part of your portfolio to stay ahead of inflation, general stocks are your prime opportunity. Over the last six decades, annual stock returns have average ten percent. That has been well ahead of bond yields and real estate earnings. A balanced stock portfolio across the market is historically the best proposition for growing wealth, whereas handpicking stocks or sectors might not generate this result.
Save money by trading online. Search online for firms that offer cheap stock trading. Quite often, their fees are much lower than traditional brokerage firms. A regular broker will usually charge a high commission, just to make a simple stock trade on your behalf. If possible, try to pay between $7 and $10 per trade.
It is important to remember when investing that cash is always an option. If you do not like the current state of the market, or are unsure of what to invest in, there is nothing wrong with holding cash. You can put the cash into a savings account, certificate of deposit, or purchase short term treasuries. Do not pressure yourself into investing in the stock market if you do not believe the timing is right.
To increase your profits in the stock market, create a sensible plan and avoid picking your stocks emotionally. The benefit of developing a strategy 買賣差價 that you can use to guide your stock choices will make it less like that you will make an emotional buy. Acting on a hot tip with out doing research is a dangerous way to invest.
When choosing dividend stocks as a small investor, many people fail to select wisely and properly. They position themselves in only small-cap stocks that pay a good yield. This is because they do not feel that they have enough money to purchase blue-chip stocks. However, buying three shares of a blue chip stock at a 7.5 percent yield is better than having 100 shares of a small-cap stock for the same amount of money at a 6.5 percent yield.
As stated previously, a good way to make a lot of money is by investing it in stocks. The more you know about the stock market, the more you will be able to earn. After reading the useful information in this article, you will soon become a stock market guru!
Is a tiny house a valuable asset?
The Advantages of Investing in a Tiny Home
As you might guess, the primary advantage of tiny home investments is their low cost. Due to their diminutive size, small homes are more affordable to purchase than traditional properties. Numerous investors will be relieved to learn that the price is not the only benefit:
Reduce Maintenance and Operating Costs
A smaller home requires less maintenance over time. It is excellent news for investors in terms of marketing and operating costs.
Tiny homes can be on rent for the long or short term, providing investors with the opportunity to earn passive income from these small properties.
Reduced Utility Costs
These small properties are known to have lower utility costs, resulting in long-term savings for investors, owners, and renters.
Reduce Ecological Footprint
Unsurprisingly, tiny houses are associated with a more eco-friendly way of life. From their compact size to their low maintenance requirements, tiny homes seek to minimize their ecological footprint.
Location Flexibility on an Occasional Basis
If you choose a tiny mobile home, the location may change over time. This level of adaptability can add value to any real estate portfolio.
Cons of Investing in a Tiny Home
The primary obstacle that tiny aspiring homeowners face is determining where to build or locate the home. Numerous cities and towns have zoning laws that specify a minimum square footage requirement for new construction. If you move further out, you may have difficulty obtaining the necessary utility connections. Several additional disadvantages to consider before purchasing a tiny home include the following:
Living in a 400 square foot (or less) space is not always easy, especially if you have spent your entire life in a larger home. This obstacle can be problematic to overcome when marketing the property.
What is the value of tiny homes?
Tiny homes are approximately $300 per square foot, about twice the price per traditional home. However, tiny houses continue to be significantly less expensive than conventional homes. The price difference per square foot can be attributed to small homes’ efficient design.
Consider building your own tiny house investment property like Kingdom Valley Islamabadwhen looking for one. This strategy can result in long-term savings and the ability to tailor the property to your specifications. As with traditional real estate, specific features, such as heating, air conditioning, and laundry space, have a higher return on investment. However, you should attempt construction only if your team is experienced; mistakes can be costly.
Investment property for tiny houses
How to Make an Investment in a Tiny House
When considering the question, “Is it a good investment to purchase a tiny house?” It is critical to understand that micro-home investments come in a variety of forms. Numerous real estate investing strategies can apply to profit from a tiny home. The following are some of the most common methods of investing in a small house:
Rent for recreational purposes
Tiny homes can make excellent short-term rental properties, depending on the market. You can choose to list the property Golf Estate on a rental website and manage it yourself, or you can contract with a property management company. In either case, adding a tiny home investment to your portfolio could result in a consistent stream of passive income.
With the proper execution, building a tiny home can be a profitable strategy. After construction is complete, you can either sell the completed home or rent it out over time. The critical point to remember here is to plan an efficient build. Keep an eye on the schedule, permits, and materials, as these costs can quickly add up, even on a small project.
Consider Investing in a Monthly Rental
Tiny home investments can be on rent every month to long-term tenants. This strategy allows tenants to sample the lifestyle of a small home without being obligated to purchase. Monthly rentals provide investors with predictable passive income and a hands-off approach to property management.
Convert Existing Tiny Houses
Surprisingly, tiny homes make excellent fix-and-flip properties. Investors can rehab and resell these properties for a profit in as little as six months. You can even develop a network of owners and other investors over time to generate consistent leads. The point for this is that the stakes are frequently lower with a smaller, less expensive home.
Investors across the country have a variety of options when it comes to tiny homes. Not only are these excellent rehab candidates, but they also make excellent rental properties. They are readily marketable due to their low cost and low environmental impact. While there are some drawbacks to consider before investing, tiny home investments are gaining traction in the industry for a reason. With just 400 square feet, you can diversify your portfolio with a high-impact investment.
4 ways to Boost your sales with Custom CBD boxes
If you want to boost your sales in the growing CBD industry then focus on custom CBD packaging. Custom packaging is an excellent solution for your rapidly falling sales. It can help you in surviving the backlash that may arise due to the increasing competition in the CBD industry. Moreover, customization has several other advantages that will help your sales to rise in no time.
The benefits of customized CBD boxes are as follows:
- The designs is what you will want it to be
- The color themes and style of the box will boost the brand image of your company
- Wholesale prices can be enjoyed as a perk of getting your packaging customized
- Increase brand recognition with custom printing
- Enjoy your packaging the way you want it!
- The size and shape of your CBD box will be an exact fit of your product.
Custom packaging is undoubtedly a game of its own. it can help your brand grow in numerous ways. Your sales will definitely boost as well if custom CBD packaging is in the mix. Remember that your packaging is just as important as your product is. Both need to be impressive enough to convince the customer in choosing your brand over every other.
Increase your brand loyalty with custom CBD boxes:
Brand loyalty is much more significant than you think. According to one research, 92% of the consumers trust the opinion of their friends and family while choosing a brand. If your customers have something positive to say about you and your brand, then definitely your customer base will expand. A positive word of mouth also increases your brand loyalty by far and loyal customers bring more customers for the brand than any other thing. Thus, if customization is leading to improved brand loyalty then your sales will boost sooner than later.
Improving brand recognition with Custom CBD packaging
Consistent themes are said to improve brand recognition by 80%. This especially holds true when you choose a custom packaging and let it float across the market for longer period of time. This helps customer associate the packaging with your brand and it creates good brand recognition for sure. Improved brand recognition has its own benefits. It allows customers to associate your brand with reliability and trust. Enhanced brand recognition also leads to higher sales since people feel at ease buying something they already know than trying a completely new brand. To top it all, another research shows that high brand recognition leads to rising sales in the long run for the business. Customers enjoy shopping from familiar brands and feel satisfied with good quality products.
There are a 4 necessary steps that can ensure the rise in sales for sure:
#1 Quality of your CBD box
Quality is not an over-stated factor. It is, indeed, very important. Low-quality packaging can put off your customer faster than the shake of a duck’s tail. Your packaging is the reflection of your product and hence, it needs to be more than good. It needs to be excellent in all senses of the word. Good quality of your packaging convinces your customer up to 60% in buying the product and this is how significant its role is in choosing your brand over the brands of your competitors.
#2 Design of your custom CBD packaging
Are you as hungry for creativity as your customer is? Get innovative with your custom CBD packaging. Introduce something new in the market. Unique packaging can help you stand out more than anything else in the market. It helps you gain recognition faster than other brands. A creative box can be an excellent brand ambassador as well. It is very easy to set a good impression with your creative boxes for sure. Keeping this in mind, investing in new designs is always a good idea. To boost your sales it is a key factor in improving your packaging for sure!
#3 Colors and elegance of your Custom CBD packaging also matter
CBD products are known for their medicinal purposes. They are associated with health care and cure for disease. Due to this, choosing the perfect balance between attractive and minimalist is crucial. Your colors should be soothing. They need to ensure the customer that your product is beneficial for them. Elegant packaging wins your customer fast. They like to buy things which have a soothing presence and will help them achieve their purpose. So, focusing on elegance of the packaging is also a very important factor in raising your sales for CBD products for sure!
#4 Cost of your box packaging
Ensure that your costs are not too high. These also put off your customers. Choose wholesale companies such as Unique Custom Boxes to have your packaging manufactured. This will translate into low prices for your brand as well and help sell to your products at reasonable prices to the customer. If you want to increase your sales then working on your packaging is of extreme significance in the coming years.
How To Fix Quickbooks Update Error 12007?
If you are struggling with the QuickBooks update error 12007 and don’t know the procedure of troubleshooting it then this post may help you. Here, you will receive not only the solutions but causes as well. So, keep your focus till you become successful in troubleshooting this error.
Well, the error not only hampers the ongoing procedure but brings several other problems that are hard to tackle. You can now learn more about this error in the post below.
QuickBooks Error 12007: Error Description
The error categorizes into the update issue because of its occurrence while updating QuickBooks software and payroll. You will get the following text “Error 12007: A network timeout that is preventing QuickBooks from accessing the server.” The error message indicates that the main cause is the network timeout but there can be many more which are given below.
Causes Behind QuickBooks Error 12007
There can be as many factors responsible for this error. Such as:
- Internet Explorer is not the default browser.
- Remove the checkmark from the SSL box.
- Issues while accessing the server.
- Network timeout
- Problems while connecting to the Internet.
Every one of them can bring the error into the system. The user needs to root out them to resolve the QuickBooks Update Error 12007.
Solutions to Resolve QuickBooks Error 12007
There are lots of ways through which you can fix the error. Make sure to conduct each step wisely if you don’t want to get into another issue.
Solution 1: Reset Internet Web Browser
- The user first needs to access the Internet Browser.
- Then, move towards the Tools button.
- After that, choose Internet options.
- Navigate towards the Advanced option.
- Now, you need to hit the Reset button.
- The internet browser will apply the default setting on its own.
- You don’t require any further steps, just hit the OK button.
Solution 2: Update Payroll and QuickBooks Desktop
- Initiate the procedure by examining the Internet latency.
- Once done, just access the QuickBooks software.
- Open your QB file now.
- Don’t forget to hit the tabs Ctrl + K.
- When a window displays, just choose the Edit option.
- Remove the checkmark from the tab named Open payroll setup.
- Just wait till the process is going on.
Solution 3: QuickBooks Payroll Update Services
- To begin with, examine the Internet setup in the QuickBooks software.
- You can head towards the Internet options to examine that.
- Once done, choose the option named System Internet Speed.
- After that hit the Next button.
- Also, don’t forget to choose the Advanced connection settings.
- Consequently, choose the advanced tab from the Internet Properties window.
- Now, the user needs to examine if SSL 2.0 and SSL 3.0 are checked or not.
- Subsequently, hit the Apply button.
- Proceed to the OK button.
- After that, close the running application.
- Then, you have to reboot the QuickBooks.
- The last and final step for you to do is to update the QuickBooks payroll services.
Solution 4: Examine the Internet Explorer Settings
The error is also known as QuickBooks 2009 update. So, don’t confuse these two and try out the same solutions for this too.
- First of all, just close the QuickBooks software.
- Now, you need to access Internet Explorer.
- Once done, move towards the Tools.
- You need to select the Internet settings from there.
- After that, access the Security option.
- Thereafter, tap on the Globe icon.
- Make sure that the security level should be set as medium-high.
- Aftermath, access the connection tab.
- Choose the never dial-up connection if you don’t use the dial-up node on your computer.
- Select the correct ISP followed by hitting OK.
- Moving on, select the LAN settings tab.
- Also, put a mark on the automatically detect settings.
- Thereafter, just examine that the system is having a proxy server option.
- Move towards the Advanced tab.
- Tap on the button named Restore advanced settings.
- You can find it under the settings tab.
- Search for the USE TLS 1.2 and choose the same.
- Now, hit the OK button to save all the recent changes.
- Moreover, close the Internet Explorer to restart the computer.
- Once done with all these, you need to update the QuickBooks software.
You may also read- Quickbooks Error 6177 solution
Solution 5: Resolve Internal QuickBooks Desktop
- First of all, just ensure if there are any system updates or not.
- After that, try to install the available updates.
- Move ahead by updating the QuickBooks to the newest version.
- Verify the Internet latency to see the dripped internet packets.
- Try to upgrade the Internet Explorer and use the same as your default browser.
- Moving ahead, the user needs to examine and rectify the settings of SSL.
- Put a tick mark on the Internet Firewall and Internet Security Settings.
- Once done, try to allow the QuickBooks connections.
- In the last, just reboot your computer.
Solution 6: Update the QuickBooks
- Initiate the procedure by closing the QuickBooks software.
- Now, the user needs to double-click on the QuickBooks icon.
- Make sure that you open the software by holding the Ctrl button.
- You will see a new window named No Company Open.
- After that, move towards the Help menu.
- Consequently, head towards the Update QuickBooks Desktop tab.
- Tap on the Update Now.
- Thereafter, put a mark on the Reset Update tab.
- Then, hit Get Updates.
- You can shut the window after the procedure gets completed.
From these above solutions, you can troubleshoot the QuickBooks Error 12007. We hope that the guide has resolved the related queries and the error issue. However, if you have some other doubts then don’t hesitate to ask them below.
Google Review Policy: What Business Owners Can and Can’t Do to Get More Google Reviews
Google is the most popular site that consumers visit to write and read reviews. To determine whether your business is worthy of visiting, many potential customers rely on Google reviews. We will explain the information you need about Google review guidelines. Remember that Google may change the guidelines and policies anytime. This blog was updated in October 2021 to include the most current information.
Can I Ask for Google Reviews?
When you’re asking about google customer service review, it is best to do so with a goal or goal in your mind. That means you must be aware of the people you’re messaging, the reason you are messaging them, and how often. For instance, you could employ automated messaging to request customers to write an online review after using products or services for a specified period.
How to Ask for Google Reviews
Although it’s not a good idea to ask for google customer service reviews from your customers in large quantities, you can employ some methods to direct customers in the correct direction. As previously stated, be sure to have a rationale and goal in your mind. Also, be truthful about the significance of a review to your company. Also, make it as simple as you can for customers to write an online review.
- If you want to request a Google review but still work following Google guidelines, think about the following options:
- If you frequently meet with clients and ask them to hear their feedback when you get together.
- If you follow up to inquire about your company’s customers’ experience, ask them to record their comments in a blog.
Make sure that reviews assist other customers in discovering the information they’re seeking and aid in improving your business. Ask for a rating on your social networks, such as Facebook, Instagram, LinkedIn, or a different site.
How Do I Respond to a Negative Review?
Each of your customers should be given a chance to leave a review should they decide to leave a review. But an unhappy customer’s priority may be to solve the issue, not write reviews. So, when you seek customer reviews, you may offer a phone number that allows customers to speak to someone before doing the review. This will allow you to keep negative reviews from happening without violating Google’s guidelines for reviews.
Can I Offer Rewards or Money for Google Reviews?
There is no way to offer cash or other rewards in exchange in exchange for Google reviews. Google and most other review sites do not permit the use of cash or gifts, discounts, or other rewards in exchange for reviews. For Google’s policies on reviews, the exact words are rather simple. Check Google Reviews Widget
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