How to prepare your business for capital raised

Mar 2021

Jan 2025

You have worked hard to start up your business. After perfecting your presentation, you have been able to raise some capital. Congratulations! Now what do you do? Make sure you don’t waste this opportunity to launch your business right. Here are five ways to prepare your business for capital raised.

1) Know your “runway”

Your business’s “runaway” is the amount of time your business has before it runs out of cash. First, you should look at your business’s monthly expenses and your capital raised and then, determine how much time you need in order to gain a steady stream of income. Ideally, you will want your business to have a six-month “runaway.” With six months’ worth of operating capital, you can deal with various disruptions that will come with operating a new business.

2) Use a budget management tool

One of the best ways to manage your business is to use a budget management tool, and with the right budget tool, you will be able to manage your expenses and identify opportunities to save money and run leaner. There are a number of top budget management tools that are designed around start-ups. Some of the top budget management tools include the following: Quicken - Quicken is great for smaller starter-ups with its easy-to-use software and interface. Centage - If you have more complex operations, then Centage is an ideal budget management software system. Lola - Lola is a great budget management tool if you are dealing with a number of expense report.

3) Secure the best prices from vendors

You want to make sure that your capital goes as far as it can possibly go. Therefore, you will want to control your costs. One of the best ways to control cost is to be able to get the best prices from your vendors. Be sure to get multiple quotes from as many vendors as possible. Also, if you are planning to use a vendor for the long term, try to negotiate better prices to help you stretch your capital.

4) Have a business plan

It’s a good idea to have a business plan. In fact, a business plan is like a road map that shows everyone in your company, as well as your investors, what is your plan to grow income and become profitable. If you have no experience writing up a business plan, don’t worry. There are a number of business plan templates that you can use to help you get started. Here are a couple of places where you can find business plan templates:

5) Have an emergency or contingency plan

You want to make sure that your business has a plan for the unexpected. In fact, situations such as natural disasters or disruptions in manufacturing or inventory can spell disaster for your business. The best way to plan for an emergency is to set aside a portion of your capital raised and set it aside for emergency situations. That emergency money can save you in situations where you need money fast and you may not be able to raise further capital.

Getting your capital for your business going

Now that you have the capital that you need for your business, it is time to get going. Be sure to have a plan, set a budget, and watch your spending. Also, spend your business capital the right way and you will be well on your way to start-up success. If you require a merchant cash advance for your business, 2M7 Financial Solutions are here to help you out. Request a quote, we will be happy to assist you.

April 7, 2020

January 24, 2025

Tips and Resources for Running Businesses in Ontario

The business landscape is always evolving. In the last few weeks, the situation for many businesses in Ontario has changed drastically. You may be wondering where you can turn to find support in these challenging times.The good news is that there are plenty of supports for business owners operating in Ontario. If you’re looking for answers, try some of these tips and resources.

Federal and Provincial Support for Business Owners

Both the federal and provincial governments have announced funds designed to help business owners keep their doors open and their lights on during this time. If you’ve faced slashed hours or needed to lay employees off, then you may be eligible for business support funds.These funds could help you pay your employees during this time. Other funds are available to help businesses n Ontario manage their day-to-day operating expenses.

Check Government Websites for Resources

You may also want to look at the provincial government’s website, which has lists of programs and services for business owners like you. You can find one-on-one small business consulting and guidance, as well as workshops and more. You may also qualify for consultations with lawyers or accountants. Support is also available if you need grants, permits, or licenses. There are even resources to support mentorship and networking, available through Small Business Enterprise Centres.

Connect with Your Peers

Networking resources may be available through government-run resources. You may also find support through local small business organizations or trade federations. Even social media can help as you connect with your colleagues and peers.

Great Options for Creating Liquidity

In an uncertain market, business owners like you need financial options to help you create liquidity. Check in with your financial institution about measures they can provide to help you. You may also explore other options, like a merchant cash advance. The right funding options will help you create stability and flexibility when your business needs it most. Curious to learn more about your financing options? Get in touch with the experts and discover what a merchant cash advance could do for your business.

September 7, 2019

January 27, 2025

Essential Steps to Become a Successful Small Business

Around 50 percent of businesses will close their doors before their 10th anniversary. Rates of survival are different depending on the industry you’re in. Every successful small business takes some essential steps. If you want to drive success for your business, follow these tips.

Focus on Your Clients

No business can survive and thrive without customers. By focusing on your customers, you’ll deliver great service and delight them every time. Over time, this means better relationships with your clients. In turn, they’ll buy more and they’ll tell their friends about your business.

Make Marketing a Priority

Nobody can work with your business if they don’t know you exist. That’s why marketing efforts are so vital to small businesses. Invest in a marketing plan and get the word out. Ask your customers to give you a review, or use social media to promote your brand.

Hire the Right People

Working with the right team is another essential step for any small business owner to take. If your people are dedicated and passionate, they’re ready to help your business grow. They’ll also be able to deliver better products and services to your customers. A team that’s ready to go the extra mile is one that’s headed for success.

Use Technology to Grow

Whether it’s a mobile app or a new cloud server, the right technology can help your business grow. Successful small businesses use programs and devices that help them delight customers.The technology could help you cut costs and deliver faster service to your clients.

Find the Right Funding Options

Hiring an employee, buying the right technology, and implementing a marketing plan all cost money. Successful small business owners leverage alternative financing like small business loans or MCA to make it all possible.Discover more about merchant cash advances and other alternative funding options. One of them could provide your business with the funds you need to thrive in 2019.

March 1, 2021

January 24, 2025

How to get your credit card back on track

Looking to get a loan? Perhaps you would like to lease an apartment? If you have issues with your credit card, getting these types of approvals can be an issue. However, there are a number of ways that you can get your credit back on track. Here are five steps that you can take to help improve your credit.

1) Cut up your old credit cards and only use one for emergencies

One of the biggest reasons why people have issues with their credit is due to the overuse of credit cards. Therefore, if you have a number of credit cards in your wallet, it's time to get rid of most of them. Try to have only one credit card in your wallet.With that one credit card, be careful how you use it. You should not use that credit card for regular purchases. Instead, you should reserve it for emergency spending. This will cut down on your credit card limits which can boost your credit score.

2) Pay with cash as much as you can

Now that you are cutting down on your credit card, you should start paying with cash. This will allow you to only spend the money that you have. The last thing that you want to do is spend money that you don’t have. By only using cash for regular purchases, you can be sure to maintain your budget.If you don’t feel comfortable with holding cash in your wallet or purse, then consider using a debit card.

3) Deal with high-interest rate debt first

Interest rates can be a killer when it comes to your finances. Be sure to pay off your high-interest rate debts first. This will help pare down the overall money that you owe. Typically, you high-interest rate debt will come from credit cards or payday loans.When you pay down a high-interest rate loan, be sure that you avoid any sort of high-interest rate loans or credit cards in the future. This will lower your chances of getting into any debt trouble.

4) Start an automated bill payment plan

Paying your bills on time will go a long way to boosting your credit. One of the best ways to pay your bills on time is to simply set up automatic payments. Most banks offer an automatic payment plan that will handle your bill payment duties.

5) Monitor your credit score

It’s a good idea to monitor your credit score on a daily basis. You can check your credit score for free on CreditKarma.com. Also, you are entitled to one free credit report from the two major credit reporting agencies:

Trans Union - to include a different link https://www.transunion.ca/
Equifax - to include a different link https://www.consumer.equifax.ca/

Getting your credit card under control

We believe that low a credit score shouldn’t stop you from growing your business. That is why 2M7 Financial Solutions offers merchant cash advance for small and medium-sized businesses regardless of their credit score. Our team is ready to help your business get the funding it needs. Contact us today.