Business Solutions

If you want to venture in any business, you need to have enough capital. A franchise business is an excellent opportunity for you to become an entrepreneur. It’s a flexible business suitable for a newbie. By educating yourself about franchising through online resources, such as franchiseknowhow.com best opportunities, you’ll gain awareness and understanding of the best franchising strategies you can apply as a first-time franchise owner. But, what are the financing options available to start and sustain the first few months of your business? How can you pay the hefty franchise fee, advertising costs, and ongoing royalties? In this post, you’ll learn the different options available to finance your first franchise business. Let’s get started!

1. Franchisor Financing

The franchising industry is more flexible than ever. You’ll get the infrastructure and support you need from a well-established corporation. Because of tight competition, many corporations are offering great franchise business deals, including offering tailored financing solutions. Franchising options are now available depending on the capability of the franchise owners to capitalize in their small business. There are even programs offered to finance franchise fees and purchase of equipment. Some franchisors have partnerships with lending institutions and others provide a capital in the form of a loan or installment payment, directly from the corporation. It’s good to work with a franchisor who is also offering a good financing program.

The financing agreement differs, wherein some would shoulder as much as 75% of the required capital.  Deferred payment and structure repayment are two examples of the financing agreement. It’s advisable to talk to your accountant or lawyer to review the terms of the franchise and financing agreement so you can fully understand the terms and conditions before signing anything.

2. Traditional or Commercial Bank Loans

You can also borrow money from the bank through a commercial bank loan. How does it work? With a commercial bank loan, you’ll need to present documentation of your business plan to the lender for review. Your personal credit history will be checked. The bank will determine your capability to pay the loan amount you’re requesting. You’ll get a better rate and payment terms if you have a higher credit score and a stronger financial history.

3. Small Business Administration or SBA Loans

An SBA loan is considered one of the most desirable financing options for aspiring franchisees. It’s funded by the intermediary lending partners of the United States Small Business Administration. SBA loans follow the same model of a traditional bank’s term loans and alternative lenders. Lending companies offering SBA loans offer longer repayment terms and lower interest rates because they’re given an incentive, and a portion of the loan amount is guaranteed. There’s a strict qualification standard for SBA loans, but it’s a good idea checking your chances of getting approved with this type of loan before looking for other financing options.

You can also consider other business funding solutions from third party lenders to create more cash flow for your business.

4. Alternative Lenders

For quick money or to supplement your SBA or commercial loan, some alternative lenders don’t impose strict requirements with a shorter turnaround as compared to traditional methods. Alternative lenders offer term loans, business credit lines, and equipment financing. However, expect more expensive loan products from alternative lenders. This financing option is recommended for those who aren’t eligible to get an SBA or bank loan. This finance option is also useful if you need fast cash to start a life-changing opportunity.  It’s nice to enter into a franchising business if you plan on resigning or retiring early as a good source of income.

5. Crowdfunding

Crowdfunding is a new and creative method of financing your franchise business. This financing option is also applicable if SBA, bank, or alternative loans aren’t possible due to blemish in your financial history or too high-interest rates. There are organizations you can approach to crowdfund your franchise business, or you can create and promote your crowdfunding website or fan page to gain investors.

6. Friends and Family Loan

Your friends and family are the closest people who can help you capitalize on your business. It’s a common way to finance a franchise business. However, the problem when you borrow money from your loved ones is the risk of family disagreements and lost friendships when the payment terms aren’t met. You’ve probably heard of some family businesses that fell apart because of money issues, and that’s the last thing you want to happen.

If you have willing family and friends to finance your business, it’s important to put everything in writing, similar to a formal contract, showing clear expectations and repayment terms. By doing so, everyone has a clear understanding of the terms and conditions which will prevent any disagreements and breakups in the future.

Conclusion

Becoming a franchise business owner is an excellent opportunity to test your entrepreneurial skills. You’ll get the support you need from a large corporation, even when it comes to financing your business. The other financing options like commercial and SBA loans are also available for those who have a good credit score or financial history. Crowdfunding, alternative lenders, and borrowing from family and friends are also flexible financing options you can try. The best financing option for you highly depends on your capability to pay and your compliance with the loan requirements. Happy franchising!

 

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Some days you wake up feeling groggy and tired. A scene from a disturbing nightmare last night plays out repeatedly in your mind. You keep wondering what it meant so you sit down with a friend and discuss it. It might seem silly, but it felt so real. It must mean something.

Nightmares are more common in adults than you might think and even more so in children. However, concrete information available in this area is quite limited as no one has been able to capture nightmares for a study. Nightmares are terrifying dreams that occur in Rapid Eye Movement or REM cycle. REM Sleep is called so as it is during this time that your eye moves rapidly behind closed eyelids. These dreams are so realistic that it causes the sleeper to wake up with a clear memory of the events in the nightmare.

REM sleep begins ninety minutes after you have fallen asleep and constitutes 25% of your sleep cycle where your brain is active and functioning. This means that the brain sends out signals to different parts of your body, collecting information as usual. Signals to the spinal cord keeps the body in a temporary state of paralysis, hence inhibiting you from acting out your dreams.

Behind closed eyes: Why Nightmares Occur

Nightmares are usually a medium for the brain to act out emotions that one feels during the day. Excess stress, traumatic events, relationship issues, change in medication, anxiety, depression, insomnia and other troubles in one’s lives can manifest into nightmares during the night. The mental state of a person is an indicator of their nightmares, its frequency and its conscious minimization.

Though scenes from our dreams may or may not have meaning, it tells us something we need to know about our mind. Once we realize that it is more than a scary movie played out in our heads, that its purpose is to help us solve problems and put our anxious mind at rest, we might learn to not fear it as much.

Behind closed eyes: Sleepwalking and why it occurs

Sleepwalking is when the body reacts to the signals of the brain and performs a set of complex behaviours while sleeping. These behaviours would include walking, driving, talking, screaming, snacking without any recollection of doing so. The behaviour can be dangerous with recorded sleep related violent behaviours and resulting injury to self and others.

In cases of sleepwalking, it is common to observe that waking the individual from the deep state of slumber is quite hard. Sleepwalking is directly related to not getting enough sleep due to disorders like sleep apnea, restless leg syndrome, migraines and head injury.

How to sleep better and minimize episodes

Improving Sleep Hygiene: Both nightmares and sleepwalking can be overpowered by practicing good sleep hygiene. Sleep hygiene is a series of exercises that is geared towards ensuring a good night’s rest. These practices include setting an environment that fosters deep sleep.

1. External environment- The bedroom should be a cool and quiet haven that beckons sleep. White noise machines can drown out excessive noise from the street. Investing in a good humidifier and sleep masks can go a long way. It is better to keep away screens and cell phones that is a common cause of insomnia. It might also do well to invest in a good mattress that has the right amount of firmness to keep your body comfortable. You can ensure your legs aren’t sticking out by measuring the dimensions of a full-size bed before the purchase.
2. Lifestyle Changes- Caffeinated drinks and sugary snacks before bed time can keep you up longer than desired. A good routine before bed like a warm shower or a good book can help you drift away peacefully. It is better to keep the body active during the day rather than rigorous exercises at night. Nicotine and alcohol are also known to adversely affect sleep. Instead, sleep inducing teas like chamomile, passion flower and lavender can help you doze off faster. *

Digging deep through emotional issues: The fact that nightmares and sleepwalking are a manifestation of our emotional state is an opportunity to pull apart our lives and identify the toxic components in it. It could be an unhealthy relationship or trauma, but this allows us to face our issues head on rather than wallow in a state of denial. An ideal way to do this can be to take a step back and look at the situation as an outsider. An outsider can have better perspective in the matter, given the lack of emotional attachments to the problem areas. If this is too hard, consider a therapist or a counsellor who can give you an unbiased opinion to help you rise above the emotional distress in your life. **

Create a sleep journal: Many people suffering from nightmares or chronic sleep deprivation have found it beneficial to maintain a sleep journal. The journal is a way to record events leading up to incidents, thereby discovering triggers. Maintaining a journal is a wonderful way to map out patterns in your life causing the incidents and bestows upon you the power to make conscious changes.

Medical Intervention: In cases of persisting issues with sleep despite incorporating changes, it is better to talk to your health care provider about your experiences. Certain medication is known to cause disruptions in sleep patterns and can be reversed easily by an expert identifying the source. Head injuries or serious medical conditions can also cause chronic sleep deprivation and it is essential to detect ailments before it is too late. Hypnosis is a recommendation by many doctors to find out deep-rooted emotional problems. There are no tests for nightmares and sleepwalking, but tests can be conducted to find the root cause.

The human body is capable of many adventures and achievements. However, plenty of rest is important for it to function in optimal capacity. If left unchecked, sleep disorders only get worse with time, taking a heavy toll on the mind and body. The above changes are simple amendments to daily life so incorporating them can help solve these problems without prescriptive medication.

Reference:

*Sleep Hygiene – An article by the National Sleep Foundation

**Nightmares: How To Make Sense Of Your Darkest Dreams by By Alex Lukeman

 

 

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Cars are something that catch the fancy of one and all. Don’t we all stop to admire the beauty of an exotic luxury car on the road?

One of Hong Kong’s richest men and CEO of life insurance broker giant R.E. Lee International, Calvin Lo, has a big collection of some of the best machines ever made.  From the Rolls Royce Phantom to Lamborghini Aventador to Mercedes G65 AMG, he has it all.  The Pagani Huayra BC, however, is the jewel on the crown in his car collection. This iconic model is usually in any billionaire’s car collections. With a wonderful design, the Italian made car is valued at $2.5 million and only 20 have been made. The two-seater sports vehicle is powered by a V12 6L engine producing 750hp.

Lo, has one of the most exotic car collections in Hong Kong, including this Pagani Huayra BC.

Even though Lo’s personal net-worth is estimated to be $1.7 billion and has a fleet of exotic cars to choose from, this camera-shy billionaire goes around town in his chauffeured-driven Mercedes Maybach.

The supremely media-shy billionaire, Lo, captured here by reporters in his Rolls-Royce Phantom Drophead Coupé.

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