In the article it is spoken about The Art Of Getting Financed. Getting funding for your business is getting harder as ever before, with the global recession streaming in from all financial sectors. The banks are now financing clients from whom there is a sure chance of repayment and they are least willing to take a risk. However, there are various things and traits that we as individuals can develop or deliver to be a successful entrepreneur.
The first and the most important thing that banks look for, in an individual or a group seeking finance is a “solid business plan”. The predominant misconception is that once a business plan is given finance is sure to come by which, however is not true. Banks may ask you for clarifications and they may also tell you suggestive corrections to make. One who is patient and adaptive will surely find his way through the procedures and will get what he ultimately desires.
The second thing is that; do not ever imagine that you will get financed just like that. There is no angel riding on your back to show its lucky charm at all times. Put in the necessary efforts to succeed.
The third thing is to find the best lender. People usually have the tendency to settle with the first lender to whom they ask for finance. Rather than doing this, think of all alternatives. Give every available option, a try. List out the details and zero in on the best so that your chances of success maximizes considerably.
The fourth mantra is to be having the trait of perseverance. Never give up or shy away from difficulties. Most people drop their ideas when banks ask for too many details. The banks do not want to hurt you or your business ideas; they are just making sure that your business plan is a calculated risk that they can afford to take. Make sure that you keep them updated on all intricate details in your business plan.
The fifth and the most important trait are to wait. As rightly said by one poet “patience is an art well learnt when one is at the mercy of nature”. Loans usually take from a month to even a couple of months to get sanctioned. Just keep up your spirits high and hope for the best.
The sixth trait is to be realistic in your ideas. Do not overestimate your requirement and at the same time never underestimate it too. Be very clear about the money you require and state clearly the ways in which is going to be spent. There is no point in borrowing money and then finding ways to invest them. Plan where you want to invest the money, if it gets sanctioned.
For every month of delay, it is you who is going to pay interest from your profits. Start making profits that is at least twice the interest which you have to pay. By this way you ensure pay back to the lender and also have some income for you to spend on. A good business man will not only earn for his income and to repay the lender but will also make profits to pour in more investment into his venture. Remember the golden rule is to be “patient”.