MoneyDigest - Personal Finance, Lifestyle, Money Saving Tips

Know These 4 Usual Start-up Mistakes To Save More Money

Although you are eager to venture on the business scene in Singapore, you must first be aware of your chances. In 2012, a research showed that 3 out of 4 start-up businesses fail.This is why it helps to know and learn from the usual mistakes that previous business owners have made.

These are just four of them:

1. GETTING OFF ON THE WRONG FOOT

It is paramount to choose the right partners, team, co-founders, or investors to start the company with. Not only does your skills have to balance but also your values must be aligned too. What is even more difficult than having unsuitable partners is having a lone founder. Well, your chance of succeeding is slimmer when you do it alone because of limited access to resources and funding.

2. HAVING TOO MUCH OR TOO LITTLE MONEY

Raising bountiful amounts of money can make you appear more successful but it shifts away the real focus of the business – the clients. You must give more time and energy into making your product appear impressive for all the consumers to patronize.

On the other hand, having scarce funding because of underestimating the start-up costs can lead you to using your own savings just to meet the business’ monetary needs. You can either use your retirement savings or borrow money from friends and family. This is not always a good idea! Furthermore, you will not be able to optimize your product to its full potential.

3. MISTAKE IN TIME

Jonathan Wegener, the founder of ExitStrategy and Timehop, told Mashable that a common mistake that companies make is wasting one of the most valuable currency on Earth – time.

He then said this: “The biggest mistake I see is companies waiting too long to release the product. It’s easy to let the scope of what you’re building get out of hand. But equally importantly most startups build much more than they truly need to, but this is often only realized in hindsight”.

4. PAYING NO ATTENTION TO THE PRESENT OR FUTURE CONSUMERS

Engaging in activities that enable you to reach out to your potential clients earlier on can help you reach success. Get feedback from the present consumers to examine the demand for your product and the uniqueness of your brand. Then, target your future consumers by using social media.

Image Credits: Clément Petit via Flickr with Creative Commons

Sources: 1 & 2

Does my child need tuition?

Increasing educational levels is a mark of progress for humankind. In the past, education was considered a luxury enjoyed by a privileged few. Today, higher living standards have empowered the masses to invest in the future of the next generation, leading to the betterment of mankind of epic proportions.

However, this does not necessarily mean that tuition is the only way to gain extra knowledge outside of school. Education can come in different forms, ranging from self-directed learning to facilitated learning. Shown below is an elementary guide for parents who are considering various educational options to improve the competency of their children.

As with purchasing any goods or services, quality should often be emphasized over quantity. Finding a well-suited tutor that caters to the precise needs of your child is of utmost importance.

*For convenience, this article uses “his” and “he” to refer to the child.

5 Ways To Budget Your Start-Up Business Like A Boss

There comes a time when your lack of skills on accounting and budgeting will be a dilemma once you opened your small business. You may be knowledgeable in sales and trading but budgeting is important too. Budgeting helps the business owner to determine whether hey have sufficient money to fund the operations, expand the small business, and generate profit for oneself. Without this, you may spend more than what you earn.

The good news is that, there are modern alternatives to make your budgeting feast quicker and easier such as using Smartphone Apps that highlight your business’ expenses. And, on that note, here are the 5 Ways To Budget Your Start-Up Business Like A Boss…

1. DO TONS OF RESEARCH

Businesses may not be diverse but there are similarities. So, do tons of research on the local library, online forums, and start-up business owners about their company’s budget and financial plan. Use a platform like Quora or Yahoo Answers to enable you to ask the users on certain prices of the materials you must use or where to buy them. This will ensure that you get the best deal without spending too much.

2. ORGANIZE THE NUMBERS

After doing your research, organize the numbers by putting it inside an Excel spreadsheet. Analyze and estimate the total amount of money you must allocate on different categories such as raw materials, rent, insurance, and taxes. You may also put the estimated percentage of revenue for each category.

3. USE A SOFTWARE

Aside from using an Excel spreadsheet, you may budget like a pro by using accounting software called inDinero. inDinero helps you run the small business better as it safeguards your transactions, your cash flow, and your expenses. It connects the bank accounts so you can visualize where your money goes. Furthermore, it helps you with your payrolls and taxes. You can also outsource your accounting tasks with company that is willing to provide cloud accounting service such as Quickbooks or Xero for a fraction of the cost.

4. REMOVE THE UNNECESSARY

Upon analyzing your cash flow and expenses, consider cutting the costs of the things that are unnecessary. Save more by taking advantage of the payment terms offered by the supplier or by purchasing on the start of a new billing cycle.

5. BE READY FOR THE WORST

Most of the expenses, such as office supplies and salary costs, are predictable. But some unforeseen things such as higher petrol prices may happen that will spike up your expenses for that month. This is why it is important to be ready for the worst. Do not let these unfortunate events stress you or put you in debt.

Image Credits: John O’Nolan via Flickr with Creative Commons License

Sources: 1 & 2

5 Insider Tricks for Scoring Online Discounts

Katie Paterson from Flipit.com gives the inside scoop on how to get creative in ensuring you pay the lowest price online. Flipit.com is Singapore’s number one promo code portal and all round money-saving platform.

We all love the fun, flexibility and convenience of shopping online, but the biggest perk has got to be the fact you can pretty much guarantee you’ll always be paying the lowest price possible – that is, if you know how to shop online like a pro! Here are a few sneaky insider tips and tricks to help you score a discount each and every time you spend money online.

Bookmark a good coupon code provider – Discount codes almost always have a limited time span (which makes it all the more rewarding when you catch it in time!). The best way to ensure you keep up to date with all the best codes as soon as they’re available is by bookmarking the homepage of a reputable coupon code provider such as Flipit.com. Homepages are updated daily, so checking this page out regularly will ensure you never miss a beat!

Tease webstores by pretending to abandon your cart – Brands who notice and take offence to this kind of move are likely to get in touch and ask why you didn’t see your purchase through, offering a discount (usually around 10%) to encourage you back and make the final payment. Similarly, brands who are being particularly innovative with understanding customer behaviour have been known to install cursor movement detectors which are triggered when you swipe upwards to close the window, revealing a ‘leaving so soon?’ pop-up window. Give it a try!

Sign up to webstore newsletters – Signing up to newsletters can be really useful for online stores. Of course, some can end up bombarding you with emails on a daily basis, but unsubscribing in these situations is simply a matter of clicking a button. It’s worth signing up to newsletters of brands that you love, as those on the mail list are considered a priority, and are always first to be notified of sales, special events or exclusive discounts.

Use a price comparison site – Price comparison sites are the epitome of everything that’s great about shopping online. Shopping around various stores in person to find the cheapest price is an exhausting and time-consuming task, but with price comparison sites such as Priceme.com.sg you can guarantee you’re always paying the lowest possible price available.

Never pay shipping – Shipping costs are a nuisance. Hopefully soon enough they will become a thing of the past, as more brands begin to realise that making the sale and gaining loyal customers is way more important than covering a few dollars postage cost. Unless you’re seeking certain shipping privileges such as same- or next-day delivery, there are a number of ways that you can avoid paying for the delivery of your purchase. For example, some stores offer free shipping if you reach beyond a certain purchase total, so it might be worth buying more (perhaps two of the same item but in different sizes to ensure a perfect fit) and returning whatever isn’t suitable, free of charge. Alternatively, many stores offer shipping voucher codes, and you can always try chancing your luck and reaching out to the brand to ask for free shipping – sometimes being bold pays off, and what have you got to lose?

(This article is brought to you by Flipit.com)

4 Saving Tips You Must Know Before Buying Your Dream Designer Bag

Aside from your wedding or your house, a designer bag is one of the biggest investments most women make in their entire life. It is so common that you can sometimes make assumptions about one’s level in the company just by perceiving their bags. This is why it is paramount that you save and purchase righteously.

Tweaking your lifestyle here and there and following your budget religiously will help you reach your dream in no time!

1. RESEARCH TO BE ENLIGHTENED

Determine how much you want to spend and whether you want to buy a brand new or secondhand (pre-loved) bag. This will give you a view of how long you have to save up. Research online on the real value of your designer bag to see if you are getting a great deal.

2. SAVE AS MUCH AS YOU CAN

Save to the fullest by removing the unnecessary expenses such as regular trips to the nail salon or to the luxurious cafe. Instead of sipping a S$5 cup of cafe beverage that would cost you up to S$1,825 a year, make your own coffee or tea at home. With S$1,825, you can already afford a new designer bag. Save even more cash by packing your own lunch to school or work.

3. GO FOR THE CLASSICS

Yves Saint Laurent once said: “fashion fades but style is eternal”. When selecting the best designer bag for you, go for the classic designs over the fashion fads. The fringes or embellishments may be trendy now but it will be gone tomorrow. Buy something that you are going to enjoy for a long period of time. It has to be simple, timeless, and undeniably you.

A few examples of timeless designs are Prada Tote (US$1,660/S$2,244) and Fendi 2Jours Shopper (US$1,900/S$2568).

4. GIVE THE ONLINE SCENE A SHOT

Online shops in Singapore not only sell brand new but pre-loved designer bags as well. With prices that are over 80% lower than the retail price, how can you resist an online bargain deal? Here are some of the trusted retail websites in Singapore:

a. www.reebonz.com.sg

Reebonz, a popular online destination, offers the widest range for both new and pre-loved designer bags, wallets, and watches. From Chanel, YSL, to Louis Vuitton bags…they have it all!

b. www.brandsfever.com

Getting a great bag deal at the Brands Fever’s flash sale is like hitting the jackpot. For example, you can purchase a new Bottega bag for as low as S$1,800. But you have to be a site member to indulge on the benefits of over 80% the retail prices.

c. www.madammilan.com.sg

Madam Milan not only has an online shop but also physical boutiques in Far East Plaza, Raffles Place, and Holland Village. They offer prime selections of designer labels islandwide.

Image Credits: fervent-adepte-de-la-mode (Raymond Meier) via Flickr with Creative Commons License

Image Credits: fervent-adepte-de-la-mode (Vogue, Raymond Meier) via Flickr with Creative Commons License

Sources: 1, 2, & 3

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