3 Ways To Improve Your Financial Health
“Personal finance” is a term which refers to the way you manage your money and how you plan for the future. All of your current financial decisions and activities have an impact on your financial health, both now and in years to come.
Often, we are guided by certain phrases or “rules” which have been passed through the generations, such as “don’t buy a house which costs more than 3 years salary” or “you should save 10% of your monthly income for your retirement”. Whilst many of these wisened quotes stand the test of time and truly are helpful, it is important that we take a closer look at what we should be doing in general when it comes to improving our financial health and spending habits.
Work out your net worth and personal budget
Money comes in, and then money goes out. For many, this is pretty much as far as their understanding of money and personal finance goes. Rather than ignoring your finances and chancing whether you have the money needed for your planned purchases, a bit of budgeting can help you to reevaluate your current financial health and determine how you can reach both your short and long term financial goals.
As a starting point, it is vital for you to calculate your net worth, which is the difference between what you own and owe. To do this, you need to calculate your net worth by taking note of your assets, which you own, and your liabilities, which you owe.
If you have property, or own business properties, then you should list these and you may want to discuss this with a chartered surveyors, Manchester based if you believe there may be a change in the property valuation. By tracking your net worth over time, this allows you to evaluate your successes and identify potential areas which require improvement.
Recognise inflation
Most individuals will spend more money if there is more money to spend. When people advance in their careers and go on to earn higher salaries there is often a correlating increase in terms of spending, which is something known as lifestyle inflation.
Whilst you might be able to still pay your bills, lifestyle inflation can be extremely damaging in the long run as it limits the ability to build wealth. It isn’t uncommon for people to feel the need to match the lifestyles of their peers and friends. It’s easy to overlook the fact that actually, this way of spending leads to a lot of debt as people battle to keep up.
If you own business properties, then you might want to review the rent you currently charge. Due to inflation, you may find … Read more
Advantages of Finding Funds through Receivables and Factoring Funding
Slow cash flow movements are often a problem that prevents your business from developing more successfully. One of them concerns the problem of accounts receivable (granting loans to other people or companies). The receivable collection process is quite long causing delays in the smooth running of the company’s balance sheet.
If it continues, this can cause serious problems for your business. It is not possible, right, you run a variety of operational activities without having an adequate availability of cash. Therefore, it is important to deal with it well from the beginning to avoid the impact or risk that will arise.
In this problem, entrepreneurs will usually take away to finance receivables or by using factoring. This method is considered as an alternative to short-term or long-term financing according to a mutual agreement or quick solutions to get funds that can make cash flow stable again.
Before deciding to choose one of these solutions, you need to understand the difference between receivable financing and factoring financing. If you are interested in getting more complete information or want to consult more clearly you can visit: factoring companies.
Receivable Financing
Receivable financing or known as invoice financing/invoice discounting is an act of borrowing several funds against several company receivables that are running in a company.
Broadly speaking, factoring-brokers will lend you the funds as borrowers as long as the receivables are still running and have not been billed. Then, when the consumer has paid your loan, you must return the funds to the investor. Of course the loan repayment and all the interest following the agreement that was agreed upon from the beginning.
If you have urgently needed funds to run the company’s operations, and are confident of being able to collect receivables from those who pay you in quick time, then this credit financing solution is suitable for you to choose. But keep in mind, you should still consider the risks that will arise if the collection of receivables does not go according to your estimates.
Benefits of Receivables Financing
1. Receivables financing can expedite cash flow in a short time.
2. Can overcome a variety of urgent financial problems for your business, especially if you can no longer find other sources of loans in a fast period.
3. Company activities can continue to run well and normally, until the time the receivables can be disbursed.
Factoring
Factoring is an act of financing by purchasing company receivables. Understanding factoring is financing activities in the form of purchases or transfers, as well as the management of receivables or short-term bills of a company from domestic and foreign trade transactions.
Broadly speaking, the understanding is, the owner of the receivables will sell … Read more
Posted: June 22, 2020 by Ginger
Tips for investing in Gold Bullion
It is really hard to believe that there are still individuals who do not invest in anything. Of course, some people might just be saving money. But you should have your money working for you. Just count how much money you could earn instead of losing it because of inflation.
You know, the world situation is not always stable, especially now. So, maybe it is better to think about your future and your kds? Of course, you can get a business going. But it is crucial to realize that not all the people are born businessmen and you take huge risks making your own product. What if you want to develop your business slowly, hence hindering your financial success?
You have an opportunity to invest in bank deposits, real estate (both residential and commercial), company stocks, numerous hedge funds, and so on. But one of the most classy and reliable methods is precious metals investing. Gold always goes up in value. And it does not lose ground. According to Wikipedia, “compared to other noble metals used for investment, gold has the most effective safe haven and hedging properties across a number of countries.”
What you need to know for investment in precious metals
Speaking about gold, why is it so valuable all over the world? It is so for a reason that there are a small number of gold mining spots on our planet. Moreover, gold mining is a laborious and long-lasting process. Gold as metal can boast of unique physico-chemical parameters like anti-corrosion, high plasticity, and excellent electrical conductivity. As an investment product, gold is known for:
Purchasing gold you can save your money from inflation, devaluation, and loss of purchasing power. There are also different methods of gold investment. Your gold may be invested in coins, bullions, exchange trading, and depersonalized metal accounts. But buying gold bullions seems to be one of the easiest and profitable options.
If you are determined to make the right choice and invest in gold bullions, we highly recommend you to refer to professionals. One of them is Auctus Metals which will help you from the beginning of your way to gaining a real income.
However, if you are still not ready for purchasing gold, you have an alternative. And it is Silver bullions investment. What are the pros of silver investment?
- A low value;
- The metal deficit which
… Read more