How Do I Get Into Commercial Real Estate Investing?

First of all, commercial investing is not as hard as people think. There seems to be a stigma surrounding commercial investing. People think it's the big glass 100 million dollar buildings downtown. Sure, it is, but it's not always that. There are many different kinds of commercial investing that you can get into. You can start small and work your way up. It's not as hard as people think. It's not as hard to get funded, to find deals, and sometimes not as much work, once you have the deals. 

Everyone that owns commercial properties are not like Donald Trump. They don't all have their own TV shows, aren't in the news, aren't in the casinos, own sports teams, and don't have the perfect woman on their arm. It's just real people that own most of the commercial properties out there. People like you and me. It's the guy next store. The guy that owns a few Dunkin Donuts stores. There are all types of commercial properties. 

Let's talk about the basics. First off, what is commercial investing? When it houses a business, it's a commercial investment. Business parks, where it's one level, and there are many different buildings, those are commercial rented condos or business offices. It consists of office buildings in office parks. There are also industrial parks which look like office parks, but they are mostly blue collar businesses like manufacturers, warehouses, and storage places. This also includes strip malls where there are Starbucks, Dunkin Donuts, UPS stores, etc. It's one building, one-story tall that's broken off into many different stores. Then we have our indoor malls where there are hundreds of stores inside, which include an anchor store, which is the main store, like a Decathlon or Target to get your attention. There are also office condos which house doctors, offices too. Also, we have warehouses, and even apartment houses. These are considered recession-proof properties. Assisted living facilities are commercial properties as well. Let's not forget about land. People are buying land and putting a cell tower or antennae on the land and making money. 

When you are out driving around, please pay attention to what you are seeing. Start noticing these commercial properties. Start thinking about commercial investing! Commercial investing adds a zero. You can do one deal a year in commercial investing and become a multi-millionaire. Some people have done one deal and it has changed their life, enabling them to retire. Don't let it intimidate you. It just has one more zero on the end! 

One of the things about commercial investing is that once you own the property, it's easier to maintain it because most of the time, you will let the pros handle it. You will have a management team to handle the payments, as well as attorneys and accountants handling the day to day work. There will be less day to day work once you own that commercial property, versus a residential property. Let's face it. If you own one piece of property with tenants in there, you know how much work that is. If you have a few properties, it's even more work dealing with tenants not paying, collections, disappearing tenants, and cleaning it out and finding new tenants. It's a lot of work! Virtually, you can pretty much have the pros do it for you. You can hire a management team, attorney, and accountant. Properties generally throw off enough monthly cash flow so that you can have it all taken care of for you. 

Anything you do with residential properties, you can do with commercial properties! You can buy and hold a house and rent it out, as well as a commercial property. You can wholesale it, get a contract on it, find someone to pay more, flip it, and step out of the deal. You never owned it. You get your finders' fee or spread, but instead of making $3,000 or $8,000, you can start making $50,000 to $200,000 just by flipping commercial deals. Just add another zero or two! Don't let it intimidate you! 

You can also lease commercial properties with the option to buy and make the big bucks! 

All of the same techniques you can use with houses, you can use with commercial properties. Note that one of the main differences is how you get the value. You can have two apartment buildings across the street from each other or in the same complex, and both apartment buildings can be identical. But, if one is 30% occupied and one is 70% occupied, and the first one is worth $700,000 and the next one worth 3 or 4 million, the only difference is how much it's occupied. How do you make big money fast in commercial investing? You find the one that is 30% occupied, find 5 or 6 tenants and bring it up to 70% occupied, and then you sell, get out of it, and make the spread. You can double or quadruple the cost or equity of commercial property by controlling it, filling it, and then getting out of it. It's a beautiful thing! 

Don't let commercial investing intimidate you. Add a couple of zero's to the profit! Consider opening your mind about commercial investing. Start thinking big! 

Article Source: https://EzineArticles.com/expert/Nick_Cifonie/237825

Ladies- Top 7 Things to Consider Before You Start Investing

There is a lot of due diligence and groundwork that goes into understanding the financial markets before you start investing.  There are a few things you as an investor must consider before approaching any "Fiduciary" Asset Management Company or getting started on your own investment journey. 

Here are the top 7 things you should consider before you start investing to make more money: 

1. Pay Off Prior Debts

No investment can start without you actually paying off your debts and clearing your credit. A clean slate for all your debts is very essential to begin investing stress free, with a clear mindset and focusing on returns.

2. Create your Cash Emergency Fund Before you start investing 

It is very important for you to have a separate account prepared just in case of emergencies. There is no questioning the volatility of the market and you can't really depend on exiting from the market in profit when in dire need. Having an emergency fund lets you start your investment journey with a bit more ease. 

3. Create Financial Goals 

One of the most important questions often asked is how to invest money and earn quick profits! However, there is much more to investing than just expecting big returns. It is equally important to have your financial goals set it place and invest accordingly. Be it buying your home, education fund for your children or saving for retirement

4. Understand Financial Tools

There are so many options in the market which offer numerous benefits. The bigger question often is what you as an investor wish to achieve, quick profit, long term stability, lesser risk or just saving for the future? It's not tough to make more money with your investments as long as your priorities are already quite clear. 

5. Due Diligence on Investment Options 

Asset Management Companies have a variety of financial products that an investor can pick from and ensure that they make more money. If you want to know how to invest money wisely on the other hand then it is best if you do your due diligence on all the financial products in the market and then make an informed decision to earn profits. 

6. Research on market trends 

How to invest money wisely is indeed a question every investor should be asking themselves or the investment making company who is helping them build a portfolio. Keeping updated about the market, staying on top of news in the world markets and knowing the current business trends makes it easier for investors to pick their most optimal investment. 

7. Evaluate your risk tolerance

Every woman has their own risk bearing capacities. An investment making company will often ask you the risk level your profile fits in as an investor as it helps them decide where and how to invest money and earn quick profits. How to invest money is often a question answered at the expense of how much risk are you willing to take for the same, 

As simple and lucrative investing and making profit sounds, the truth is that unless you have a foundation in place and thorough research to build up, your investment portfolio won't be solid. Asset Management Companies are there to help investors with their portfolio, right from researching and investing to managing and reinvesting investors' wealth.

If you are new to the world of investing then these pointers will make sure that it doesn't seem intimidating anymore! 

Article Source: https://EzineArticles.com/expert/Linda_Terrill/2561984

A Woman Needs Cash

Are you thinking - how much money will I need to have invested so that I reach a point in my life where I will no longer have to work - and maybe I work only because I chose to? Imagine - you get up every morning knowing that you completely design your day and that your financial needs are handled. Will you want to alter your lifestyle a few years from now?

Let's say you're now forty years old. You're single with an annual income of $60,000. Your closet holds clothes you adore, you eat out occasionally, go to the movies on weekends, go to concerts every now and then, and enjoy a vacation away from home once a year. Or perhaps you're married with a joint income of $100,000. You and your Partner get away on weekends, drive two cars, play tennis, entertain friends as well as generally travel each year (excluding Covid periods). 

Now, how much cash will you need in order to continue that lifestyle once you stop working? The temptation is to say, "A lot." But how much is a lot? And where is it going to come from? There's an old saying about how you find wealth: You can marry it, inherit it, or earn it. (Of course, you can also steal it-but stealing rarely works for long run, and we're going to keep things honest here.) Let's say the only wealth you have and are likely to have is what you earn. And with your $100,000 salary, you spend about $6,000 a month for mortgage payments or rent, car payments, clothes, food, entertainment, and credit cards. To maintain this lifestyle, you'll need to have invested $1 million by the time you stop working so that at a (fairly typical) 10% rate of return, you and your husband can continue to receive the same income as you do now- $100,000 a year. 

Similarly, with a yearly income of $60,000, you'll need to have invested $600,000 by the time you ease out of working in order to support your lifestyle. 

Basically, then, you can add another zero to whatever you currently earn to determine a ballpark figure of how much you will need to have by the time you ease out of working so that you can maintain your present cash flow. 

Of course, inflation changes that canvas. You won't know what the rate of inflation will be at the time you decide to stop working, but inflation has been running at an average rate of 3% per year for the past decade. A moderate inflation rate, like the one we've experienced over the past decade, will increase the amount of savings you will need by a greater or lesser extent, depending on how far into the future you plan to live on the cash flow from your investments. 

Now, that $1 million we just discussed might seem like a whole lot of money. But let me tell you about a jewel for your financial treasure chest. This second gem is called the "Rule of 72." It's a simple mathematical calculation to help you understand the growth of your money. Here's how it works. Take whatever rate of return you expect to earn, and divide the number 72 by it to determine how many years it will take for your money to double at that rate.

For example, let's say the rate of return you use is 10%, as an average rate of return in the stock market. Divide 72 by 10. This equals 7.2. That means it will take almost seven and a half years for our money to double at that rate. Why use the stock market? Because it's the fastest and most proven way to double your money. A savings account at a bank currently averages 1%, and it would therefore take seventy-two years for your money to double. Underlying the Rule of 72, then, is the principle that a fair rate of return makes a significant difference in the growth of your money. 

The Rule of 72 is a handy tool for forecasting the growth of your money and determining its future potential for you. And it exemplifies the power money can have for women. Who would want to miss the opportunity to put this resource to work in her life?

 Voila!, by adding a zero to your current income you will determine how much money you target to save - and by saving dollars in an investment account - and monitoring the growth of this money on a yearly basis you can determine how quickly you will be a woman with cash and the financial freedom that you can create for yourself. 

Article Source: https://EzineArticles.com/expert/Joan_Perry/216137

Questions First Time Investors Should Ask Before Investing

It is easy to find people's opinion on how to invest in the stock market as everyone has a different angle on what to expect in the stock market at every point in time, but most of the time people's opinion may be very confusing. The most common problem that new investors do have is how to determine good investments from the bad ones, what to invest on, what time to invest among others. Some of the questions that you need to answer so as to make a good decision when you want to invest are highlighted below. 

Is This a Good Time to Invest in Stocks? 

On the off chance that you are taking a look at money markets when they are on the decrease, you may think it is a terrible time to begin investing. On the off chance that you are taking a look at it when stocks are reviving, you may think it is a decent time. 

Neither one of the times is fundamentally great or terrible in the event that you are investing for the long haul (10 years or more). Nobody can anticipate with any level of assurance which way the share trading system will move at any given time; yet over the long haul, stock markets has constantly moved higher. 

How Much Risk Should I Take? 

A standout amongst the most essential fundamentals of investing is the relationship amongst risk and returns. Without risk, there can be no profits. You ought to be willing to accept more risk on the off chance that you are looking for more noteworthy returns. In that regard, risk can be something to be thankful for, yet just in the event that you take into consideration adequate time to let the inescapable market cycles happen. 

By and large, in the event that you have a more long term view, you ought to expect a more noteworthy measure of risk, on the grounds that there will be more opportunity for the market to work through the high and low cycles. 

New investors are regularly encouraged to put money into various shared assets and resource classes, (for example, ETF's, global stocks or bonds), you can lessen the risk as you have diversified your portfolio. 

On the off chance that you are beginning an investment program by investing incremental measures of cash on a month to month basis, you will profit by dollar cost averaging. When you invest an altered measure of cash on a month to month premise, you get some share costs at a higher cost and some at a lower cost because of market changes. At the point when the market decreases, your settled dollar sum will purchase more shares. After some time, the normal cost of your shares ought to be lower than the present market cost. By utilizing dollar cost averaging, your drawback risk will be alleviated after some time. 

What Is My Investment Goal? 

The most vital question to consider before making any invest is, "What Is My Investment Goal?" Your ventures will contrast boundlessly if, for instance, you are attempting to spare cash for retirement as opposed to attempting to spare cash for an up front installment on the house. Things being what they are, ask yourself, "Will this investment help me meet my overall objective?

What Is My Risk Tolerance?

There are speculations for each level of risk resilience. But if you are not a high-risk taker, investing in long-term investment is the key. 

What Happens if This Investment Goes to Zero? 

Among the 12 stocks in 1896 stock list, only General Electric is still in operation, the other 11 firms in the first record have either gone bankrupt or have been bought out by other companies. There is a genuine plausibility that any investment you make could go to zero. Ask yourself, "Will I be monetarily crushed if this speculation goes to zero?" If the answer is yes, consider if this is the best investment for you"

What Is My Investment Time Frame? 

As a rule, the more extended your investment timeline, the more risk you can take in your investment portfolio since you have more opportunity to recuperate from potential losses. Likewise, in case you're putting something aside for retirement, and you're decades from resigning, putting resources into something illiquid (like an investment property) may bode well. "Does this venture bode well from a planning perspective?" 

When and Why Will I Sell This Investment? 

If you know why you are putting resources into something, you ought to have an entirely smart thought of when to sell it. On the off chance that you purchased a stock since you were expecting 20 percent income development for each year, you ought to anticipate offering the stock if income development doesn't live up to your desires. On the off chance that you purchased a stock since you enjoyed the dividend yield, offer the stock if the profit yield falls. 

Who Am I Investing With? 

You ought to at any rate know with whom you are entrusting your money with. What is their past record? Things to hope for are long fruitful track records and good dividend and turnover. 

Do I Have Special Knowledge? 

Ask yourself, "Am I putting resources into something I know something about, or am I putting resources into something that some specialist know something about?" 

One of the greatest ways to investing, is adhering to your arrangement through the good and bad times. 

Even the best investment methodologies have enormous down periods that make you reconsider. Adhering to your arrangement in those extreme times requires a practically religious-like conviction that things will pivot. 

Why Do I Still Own That Investment?

It is a good idea to intermittently check your investment portfolio for progress. 

The greatest distinction amongst beginner and professional investors is that professional investors don't have emotional attachments with their investment.

Should I Be Managing My Own Investments? 

It is extremely difficult for beginner investor to perform well than a professional investment expert. If you don't have sufficient energy to deal with your investment, you ought to think about paying an expert and/or a Robo advisor to do it for you. Every investor wants to make profit, so there is no harm in trusting your investment is in good hands

Article Source: https://EzineArticles.com/expert/Emmy_Oye/2354109

Take Action If You Want Your Personal Finances to Improve

We all have our dreams. Everybody wants to succeed, at least in our minds but not everybody will. Below is a list of 25 actions you should take if you want to improve your personal finance situation. 

1. Review your financial position: 

Take a pen and paper, sit down and review your financial activities; from your income earnings to spending. Break everything down into small segments. It could be that your total expenditure outweighs your income. Simple Guide: Create a credit and debit list. Every part of your income, no matter how little, should come to the credit side while expenditures (outgoings) come to the debit. Sum each side up. If your debit is over 30% of your credit, do you still wonder why that financial dream of yours was out of reach? 

2. Create a financial checklist: 

The best way to create this checklist is to break each financial matter down into months (includes insurances, mortgage, rent etc) Many people have this false belief that they have everything sorted out in their heads. The more reason they fail because human beings are susceptible to memory loss. Sort them out in black and white instead, and a new level of motivation will come on you each time you look at the checklist. Alternatively, tools such as PocketGuard and Spendee can help you do this. 

3. Set specific financial goals: 

After creating the checklist, the next step is to set your financial goals complete with specific dates. That is only when your wishes become goals since the dates act as deadlines thereby putting you on delightful pressure to beat them. Any goal without a specific date of achievement is not a goal. You are merely wishing. Sadly, this is what many people do. By specific, for example- I will make $60k by 24 November 2021.Then it becomes a goal that you can wake up every morning and chase around. 

4. Have a savings plan (budget): 

The failing of many people is that they are never faithful with the plan. This shows indiscipline. Learn to set and work within your plan. That way, you can meet most of your financial obligations. Otherwise, will only put you in bad debt and make you miserable. If you cannot plan in black and white, there are wonderful digital tools and apps such as YNAB and Mint. One thing you must never do is to simply budget in your head. 

5. Spend what is left after you have saved: 

Learn to live by this rule today. For every dime you earn, save at least 10% of it. Now, this is the difficult part: many people aren't disciplined enough to do this. More so for Entrepreneurs as the key to achieving this is to separate your business income from your personal finance

 6. Leverage on good debts and avoid bad debts: 

Everybody should like debt. This is a principle of the wealthiest people in the world. Good debt brings you more cash flow and if well managed, sets you towards financial freedom. Bad debt on the other hand, brings you unneeded luxuries, put serious pressure on you and can make you miserable. Good debts are incurred towards fulfilling rewarding financial obligations like the purchase of businesses, investment and stocks or real estate; these are things that will compound your financial interests over time and make you independent. Bad debts are taken out to buy non-essential luxuries such as cars, holiday trips and expensive dinners. These luxuries don't compound wealth. Rather, they take what you already have. Decide which one you want. 

7. Pay off your smaller debts first: 

By now, you must be saying 'but I am in debt already. My debtors are breathing down my neck'. All well and good. Make it a point of focus to liquidate your bad debts. Start by making a list of your bad debts in order of their sizes. Then settle the smaller debts first. Any debt that is fully settled should be cancelled out before moving to the next. The logic behind this is simple. The smaller the debt, the easier it is to pay off. With each debt cancelled out, the more confident you will become of liquidating the bigger ones. This confidence brings with it desire not to keep going through the show of cancelling out debts every year. In other words, you'll become a better manager of your finances. 

8. Live your means: 

This must be a strange one. I have heard many people advocating that people should live below their means in order to have reasonable savings. Well, I actually believe people should live their means. If you can afford to conveniently buy out a business, why not? The key to living your means is convenience. In measuring your convenience level at taking on situations, you must be truthful to yourself about your financial situation. You might be on $10k per month salary and feel you can live in a two bedroom apartment in the city. You should calculated the other supervening expenses like monthly food, clothing, bills and transportation to know how much you are left with to contribute towards the means you want to live. 

9. Avoid having entitlement mentality: 

Nobody owes you anything in life. So quit that lazy mindset. You are solely responsible for the decisions you make; for your successes and failures. Once this is firmly ingrained in your mind, the zeal not to fail will become a greater motivation that pushes you towards making smart financial choices. You will learn the act of taking responsibility. The most successful entrepreneurs don't sit down and wait for goodwill from some family members or friends. They struggle their ways through web of failure until the elusive success is captured. Then they work harder to keep the success. You should also have that mindset. 

10. Avoid the lottery: 

This might not go down well with some lottery lovers but if you don't have firm control of your personal finance, then stay off the lottery. You spend money time and time again in the hope of becoming lucky and hitting the jackpot. But what if you don't? Let us even assume you win. Have you taken stock of how much you have contributed to the lottery over the months and years and if what you won is it up to your contribution? A few will be lucky to hit it big. However, a vast majority of people won't. 

11. Operate 3 designated bank accounts: 

I am advocating this because most times we tend to draw from a single bank account to solve our personal financial challenges. The danger in this is that such practice is an enemy of financial planning and often runs people dry. If you are serious about securing your financial future, then have 3 bank accounts where you save at different times. The first should be for savings and this could be your salary account. The second is for emergency while the third is for philanthropy. Since you're working on a budget, you know which account to go to on each occasion and discipline will stop you from touching the other accounts when you have no need to. Finance experts like Robert Kiyosaki advocate this strategy. I recommend it also. 

12. Track your net worth always: 

Do you really know how much you are worth? The problem is many people have a false sense of security. They believe selves to be worth more than they actually are. People who take control of their personal finances make it a habit to track their net worth always. Quit blushing over your assets. Try removing your liabilities from those assets to get an idea of how much you are really worth. Whatever remains after you have subtracted your liabilities from your assets is what you are truly worth. 

13. Diversify your investment holdings: 

Diversifying will help you to minimise your investment risks. Smart working entails you have your risks spread in different sectors. If your investments in a sector fail, your investments in other areas will help to mitigate the effect of your loss. There are many reasons why you should diversify: loss of business, inflation, taxation, government policies and political instability are a few of the reasons why you should never remain in a single sector as an investor

14. Create passive income: 

This is a key to financial freedom. To build passive wealth, you must be involved in activities or buying assets that generate you more income. To boost your personal finance this year, start engaging in activities that will generate you income even when you are not seriously working. Leverage on technology and get involved in online businesses, invest in viable businesses and watch your income compound

15. Learn the rules of investing: 

That you want to diversify and create passive income does not mean you should not follow the rules of investing. The first rule of investing is that you should never invest in what you don't understand. Get adequate knowledge before plunging your hard-earned money. The second rule is that you should never invest money you cannot afford to lose. Investment can be a risky venture, so have liquid cash you can fall back to if the investment fails. There are other rules you should learn such as the principle of compound interest, legal framework of what you are investing in, and so on. 

16. Engage in your passion and have fun: 

Some people are miserable because they are not doing what they love. Some are stuck in jobs they hate just for the salary. To do great things in life, you must be passionate and enthusiastic about what you do. I love providing business and financial solutions to people who need them. It gives me joy. Learn to be passionate about what you do. That is when you can have fun and enjoy life to the fullest. Not loving what you do can drive you to make poor financial choices. If you hate what you are presently doing, here is a tip: give yourself sufficient time to properly invest in what you are passionate about. Then move on. 

17. Exercise to keep both your body and mind in shape: 

Engaging in physical exercise keeps your mind at alert and your body in great shape to take on any physical activities. 

18. Take your health seriously: 

All your goals in life will go as far as your health permits. Your health is your number one wealth; therefore you shouldn't be careless with your health. 

19. Be flexible and always adjust: 

We all want to appear to be in charge, that we have planned ahead and are ready to take hold of our financial situations. However changes will occur along the way, some of them beyond our control. The people who take biggest control of their personal finances are people who adjust to favorable evolving trends. They are spontaneous in their approach towards life. The danger of being rigid is that you are not open to new ideas and opportunities. You are stuck with your viewpoint, with your personal understanding of doing things which may be what is limiting you. Surround yourself with intelligent people who support you as well as who can challenge your thinking.

20. Work smart: 

Have you noticed that while you are stuck in your 9-5 job for a few thousands every month, another person works few hours and earns far higher than you? The rule of the 21st century is working smart. While I loathe laziness and cannot encourage it, yet your hard work should be embedded in working smart. Think of disruptive ways you can engage the public that will generate you more income. Do you have large following on social media? You should leverage on that and promote your passion. Create reasonable awareness. The more awareness you create, the more people that need your services will seek you out. You don't have to wait for the big bucks to come to you so you can rent the best office space. Take advantage of technology and start with what you have. Today, you just need a mobile and a social media account.

21. Leverage on technology and automate savings:

This is the age of technology and everything is going digital. You cannot afford to keep living an analogue lifestyle. Get accustomed with the various available technologies that can help boost your personal finance this year. You can automate your savings and spending so that you don't exceed your savings plan

22. Get involved in Philanthropy: 

I believe that giving is an effective way of receiving. There is fulfillment that comes with helping people around you to be better than they were. It is about doing the little things to improve the circumstances of those around you. You can engage in serving your community. If you have enjoyed some excellent services from a startup, you can help that business survive by a little words of mouth marketing. Doing such little things go a long way to impact on your personal finance as you will be seen as a trustworthy person whose recommendation is genuine, and this is amazing for you mentally and your business if you have one 

23. Have a retirement plan in place: 

Some people think retirement is working for decades and retiring to a life of pension. Retirement is planning for a life of less stress at work, not that you stop work altogether (unless you want to). Even if you own a company, you should give way at some point for younger, more dynamic leadership while you take on the overseer's role. So what are your retirement plans? Do you have insurance in place? How about retirement savings account? Have you buried your finances in different investment portfolios that will generate you income in years to come? Do you have any shares or stock holding, and more especially, do you have any real estate investment? Have you taken time to study about some government policies in your country and even study some government introduced financial incentives to know if it's a risk worth taking? I have seen some people go broke after retirement because of lack of adequate planning.

24. Have a mentor: 

I believe so much in the power of imagery. You can only conceive an idea after you have built images in your mind. That is what mentorship does to you. Whatever financial race you are in today has been won in the past by another. So make a mentor out of that person. Use their struggles and triumphs as a guide so that you can arrive faster at your destination than they did. There is no point making some mistakes if they can be avoided.

 25. Start today, it's never too late: 

Finally, it is never too late to start planning towards your financial independence. You can start putting in the hard work now and realise the benefits later. The danger is in not starting at all. 

Article Source: https://EzineArticles.com/expert/Isioma_Isichei/2515969

Easy Ways to Protect Your Personal Finances From Further Economic Contraction

Increasing job losses, higher inflation rates, and the growing food and energy costs are making personal finance budgeting difficult for most families to achieve. The variable interest rate of recent mortgages makes critical, and the prospects for personal finance do not look bright for the next several years. 

However, an ounce of personal finance planning is certainly worth more than a pound of monetary cure. It is not too late to start preparing your personal finance budgeting efforts to brace yourself for further economic contraction - ensuring that when your Country does recover from its economic weakness, your personal finance will be intact and still healthy. 

Debt management strategy: watch your interest rates 

When economic uncertainty is on the horizon, interest rates are the first to react - making debt management critical. Powered by both the Government's reserve rate and each banking institution's tolerance, interest rates can either soar or plummet, depending upon several factors. 

Whereas our interest rates were at historical lows, Government Chairman's make adjustments to the rate in order to curb inflation, while attempting to simultaneously stimulate economic investment. What does this mean for your debt management? In essence, banks will now offer you great interest rates if you have good credit, making your debt management easy. If you have bad credit, then banks will increase your interest rates, as the risk of a default grows greater during an economic contraction. 

Therefore, for debt management that will prepare for further economic contraction, you want to lock in low interest rates, which will be easy for those who already have good credit. You can refinance your credit cards by consolidating your debts, or you can even renegotiate your interest rates with your existing credit card company. 

For those who have less than stellar credit, you want to carefully watch your mortgages, loans, and credit cards to ensure that they are not raising your interest rates. You may be particular susceptible to interest rate hikes in further economic contraction. 

Smart personal finance budgeting 

Keep in mind that regardless of how much income you earn, the key to maintaining financial stability is through intelligent debt management and personal finance budgeting. Even if you earn millions, your spending habits and debt are what determine your financial stability. In preparing for a further economic contraction, it is important that you take several personal finance budgeting steps:

• Tally all of your required expenses including your mortgage or rent payment, car payment, health insurance, and utilities. There are the bills you must pay each month, and therefore, are part of your mandatory personal finance budgeting process.

• Allocate a set amount each month for groceries. Keep in mind that you should try to purchase everything "on sale" for smart personal finance budgeting. Research shows that simply by purchasing the brand that is on sale, you can save approximately 20% each time you go to the supermarket. 

• Minimise your entertainment expenses. Smart personal finance budgeting means limiting how frequently you eat out, or spend money on entertainment. For example, if you have a four-person family and you typically watch a movie at the Cinema each week, cutting this expense out could save up nearly $200 each month. Or, make your own lunch instead of eating out. This small change in your personal finance budgeting can save you conservatively $150 per month. Just these two small changes alone in your entertainment expenses can give you an extra $350 per month for your personal finance budgeting. 

• Set money aside for your savings. In a further economic contraction, the greatest, yet most probably fear, is losing your job. Therefore, by taking conservative approaches with your personal finance budgeting now, you can still set aside emergency funds that will help your family if times are difficult. Saving 10% of your income each month is a healthy, yet reasonable, amount to save in your personal finance budgeting. 
  
  

The key to protecting your personal finance against any additional economic contraction is through smart debt management and intelligent personal finance budgeting. By taking several preventative measures now, you can ensure that your financial situation will remain healthy - regardless of what happens to the economy.

 Article Source: https://EzineArticles.com/expert/Richard_MacGrueber/252415

Top Quality Forex Education Is Essential to Success

The Foreign Exchange Market or Forex offers traders a unique opportunity as the most expansive financial market across the world. There is no need for a centralised location because trades are executed electronically, allowing the entire world to participate.

Forex trading has to do with making money by trading in different currencies. As with most investments, the idea is to buy low and sell high, which is easier said than done. Most traders wouldn't describe Forex as complicated. But there are some important things to know before you can expect to make profitable trades in this highly liquid financial market. 

The reality is that currency trading offers an opportunity to make huge profits. People trading in the currency exchange market have literally made millions before they even realised it. However, whenever there is huge earning potential, as there is with Forex, there are huge risks as well. In fact, many people have lost substantial amounts of money trading in foreign exchange market. 

Investment experts always advise people to get a good Forex education before going down this path. To do well, you need to be fully educated and this cannot be achieved with a crash course or by reading a few articles you find online.

Most colleges and universities with a good business school will offer courses that teach the ins and outs of trading in financial markets, including Forex. These courses provide students with the knowledge and training needed to be successful. Rather than going in blindly and risk losses it's important to be fully prepared with the right Forex education from a highly rated business school.

Ideally, your Forex education should teach you how to most effectively read charts so that you can spot the trends. Once you become skilled at reading currency exchange market charts you'll see where certain currencies are going. Learning this will be critical in helping you decide which ones to buy and sell and when. This is why it is so important that you know how to accurately read these charts before getting into the foreign exchange market. Honing this particular skill will definitely help you increase your odds of making money. Without knowing how to accurately read the charts, your risk of losing money is greatly increased. That's the reality. 

In looking for the right school, you will want to choose one that offers you real-time trading experience, which is typically done with dummy as well as real accounts. We all learn best through experience, so the best schools offering Forex education will require students to set up dummy investment accounts to practice with. They will also expect you to set up real funded accounts for actual currency trading. But since you're just learning, these real accounts should be quite small so that you're not at risk of losing a lot of money. 

The only way you'll gain the experience you need to feel confident as you enter the foreign exchange market is by doing practice trades in dummy and real accounts. Then, when you actually start trading in currencies, you'll have a good idea of how it all works. A top-quality business school will be equipped to teach you how to use various Forex trading systems. This will give you a chance to determine which one is easiest for you. All of this practice gives you first-hand knowledge on how these systems work, so you can avoid mistakes once you're doing this for real. 

Since currency trading is available to practically anyone with a computer connected up to the Internet, people are often under the impression that few skills are required. This is far from the truth because do well you do need skills, plus a considerable amount of money. This is not for amateurs because there is no guarantee that your investment(s) will be profitable. Forex is risky, which is why you need the skills to accurately read the charts before investing in the foreign exchange market. A good Forex education is essential if you want the best chance of success. 

It is extremely important that you understand the risks involved in currency trading. You need to realize that many investors have had severe financial losses because they entered the foreign exchange market without the knowledge and skills needed to succeed. The key to making money in the Forex market is to learn the fundamentals and get the necessary practice ahead of time. 

When you're equipped with a good Forex education, you greatly increase your chances of making good money trading currencies. Without that, you could put yourself at huge financial risk. 

There are a number of excellent business schools available with courses that teach the fundamentals of the foreign exchange market. When deciding which school to attend, make sure they offer you real-time experience in Forex trading with dummy and real accounts. The practice you get doing these trades will undoubtedly help you succeed at this in the real world. 

There is a FREE Forex course attached to this blog for anyone who is new to Forex trading. This course will help you understand the basics and practice in a demo environment to gain experience. We are not affiliated with this company. Paying it forwards!!

Article Source: https://EzineArticles.com/expert/Frank_Breinling/604596

Invest in Yourself to Get Others to Invest in Your Business

 I'm sure you've heard it before, "You have to believe in you, because if you don't who else will?" It's a very true statement. Not only must you believe in your dreams and aspirations, you have to be willing to see them through, and that means work. Because, as another well known saying goes,

 "Nothing worthwhile comes easy." 

It may look to you that others who have achieved desired levels of success have been extremely fortunate or lucky. But even the lucky ducks know how to capitalise on their good fortune. Good luck will only carry you for so long, then it takes work to continue to see you through. Yep, back to the notion of putting in work - again. Even if you have worked hard and reaped it's initial rewards, you'll need to continue those efforts to continue to see the benefits. Don't view these efforts as mere work tasks, consider it an investment, in yourself! To take your idea or business to the next level (whatever that may mean for you) it takes investment. Before you start running out to get others to invest in your business, take stock of what you have invested yourself. Did you take time to research and investigate your target market/customer avatar, identify your competitors, and determine your marketing strategy and revenue model? Have you documented this in a business plan, if not for outside investors, first and foremost for yourself? Sadly, too many entrepreneurs get emotional about their business idea and rush to find capital to bring their idea to market. Although its great to be passionate about your business, remember it is a business and that's how the majority of potential investors (and customers) will view it. They'll want to know how they can benefit from investing their time and/or hard eared money in you and your great idea. 

I've seen many entrepreneurs introduce their product as the next great thing because "there is no competition". I have never seen that statement to be true, at least not from an investor's standpoint. Although there may not currently be direct or exact product or service competition, there is almost always at least competition from a substitute product or service. For example, although there may not be another smoke-less cigarette, consumers have alternative products they can use to satisfy their nicotine or tobacco cravings. You would need to consider those products in your competitive review for a complete business analysis. Savvy investors know this and may immediately dismiss you and your idea when they are presented with the "Look, no competition!" claim. They simply view it as you didn't take the time to complete your due diligence - you didn't properly invest in yourself. 

Another area that business owners fall short is regarding personal injection in their business. Entrepreneurs looking for funding are unpleasantly surprised when they are asked "How much have you personally invested in this project?" Yes, you should be prepared to show how you are willing to invest 10-30% of any amount you are requesting from a lender or another funder. I can't tell you how many times business owners frown upon making 1 or 2 payments upfront or walk away from funding because they don't wish to list their homes as collateral. 

Contrary to popular belief, this just doesn't apply to new business owners. I had a friend who had been operating his business for over 10 years and now needed funding to purchase updated equipment to keep the business running. Unfortunately for him, his credit was not strong and he wouldn't qualify for traditional funding. He did however own property, his personal home and some existing equipment that would qualify him for the funds he requested. He declined to list his home as collateral and was not able to secure financing. When I inquired why he choose not to list the home, he stated because he didn't want to chance losing his home if he defaulted on the loan. 

Hmmmm. He was honest. But I ask you to look at this from an investor's point of view, this is what they see - business owner without strong belief that he can make this business work; business owner willing to risk my money, but not his own. Too risky. I couldn't continue to work with that business owner - how could you convince a lender to invest in this business when the owner wasn't willing to invest himself? 

Take the time and effort necessary to invest in yourself, whether its thoroughly investigating your market or how to set yourself apart from the competition. Come to the investor's table prepared to show that you believe in yourself by putting your money where you are asking other's to put theirs. Then the passion and excitement about your idea just may be contagious enough to get you the support you need.

Image:Courtesy of Forbes

Article Source: https://EzineArticles.com/expert/Marian_White/213256