Pftown- Articles and Information about Business and Finance.

What is a Webinar?

A webinar is a seminar which is conducted using the internet, instead of the typical seminar setup at a conference hall. etc. Conducting a webinar involves using a form of web conferencing software. A webinar will facilitate back and forth communication between the presenter and audience. This contrasts from a Webcast, which broadcasts information in one direction only. Webinars are a ‘live’ event, in the sense that information is presented according to an agenda, with a starting and ending time.

What are the benefits of conducting a Webinar?

A Webinar can help businesses-large and small reach customers, prospects, or employees more effectively than inperson seminars because there is no need to plan travel or reserve a conference venue. Webinars provide a cost effective method to help businesses reduce travel costs, qualify leads quicker, motivate employees, and improve customer relations.

Unlike traditional meetings, webinars can feature participation by attendees world-wide.

What factors are important when choosing webinar software?

A good webinar system, should:
*Be easy to use
*Have the features you require and support the software that you use to share documents.
*Charge a flat rate (this avoids extra charges when doing a ‘trial run’ or scheduling ‘follow up’ webinars.)
*Offer a free trial period, so you can determine if the webinar software suits your needs.

Setting up a Webinar

When planning a webinar for the first time it’s important to conduct a trial run a few days before the actual event. This helps you become more comfortable with the software and work out any bugs you may encounter in the process.

Finding the Best Webinar Provider

Start by choosing a quality webinar provider. GoToWebinar has a do it yourself interface which lets you present, plan, record and analyze unlimited Webinars with an audience of up to 1,000 attendees each – all for 1 flat fee. GoToWebinar – is a new, affordable, diy Web event service that doesn’t require a consultant. Setup for GoToWebinar only takes about 2 minutes. They have a Free Trial offer.

edit: In this time of economic uncertainty, conference cost-cutting with the use of webinars is becoming more important than ever.

Factoring is also an interesting opportunity for businesses that have many accounts receivable, but are in urgent need of quick cash.  Sometime it happens that your customers need Net 30 or Net 60 in order to pay their bills, but you are in urgent need of cash.  This is where factoring can come in handy.  There are some businesses that will agree to buy your accounts receivable, and provide you with a percentage of the account upfront.  Obviously, when the invoice is paid they will keep the full amount.  In fact, the percentage of the account that you will receive will depend on the risk and the credit histories of your customers.

Other Funding Resources
The following is a list of resources that can help you to find the best funding possibilities for your business:
Minority Business Development Agency of the US Department of Commerce (mbda.gov) – This is a resource specially dedicated to minority business owners in order to help them start their businesses.  There are several support systems that are available, such as benefits in securing business from government agencies.  They will also direct you to appropriate resources where you can obtain grants to develop your business infrastructure.
Prosper.com – This is a great resource for those who are seeking new investors to input funds in their business.  Basically, you need only create a profile based on the amount of money you need, and on your financial requirements.  If an investor agrees to fund your business, you then provide your bank information, and agree to repay the loan over three years.
Nvst.com – This is the site for all those seeking information on venture capitalists.
MicroEnterpriseWorks.org – This is the place if you are looking for micro-loan programs.  The site proposes numerous resources and information pertaining to this matter.
CircleLending.com – This is a great resource for a company that prepares documents between relatives and friends.
Myspace.com – Many people do not realize it, but Myspace provides a classified section where you can market your products and services.

If your business has a healthy cash flow, you can negotiate with your suppliers to keep the cash in your hands a bit longer.  For instance, instead of opting for a net-30 days account, you can negotiate with your suppliers for a net-60, which will allow you to keep your cash for an extra month.  Normally, this arrangement is available without interest and this can provide valuable cash flow for your business.

The more cash that you have on hand, the less reliance you will have on credit facilities.  This will allow you to avoid expensive interest rates, and will also put you in an overall stronger financial position.  When paying your bills, for instance, be sure not to pay too early.  This will prevent you from getting into a “crunch” — especially at the end of the month where you will need money to pay most of your bills.  Be careful, because this is when you may be tempted to use your credit cards if cash flow is slow.

Next Up:  Convert Your Assets into Cash: Factoring

Your warm markets consist of all those that are close to you.  This includes people such as your friends and relatives that may be prepared to invest money in your business.  It may be interesting for you to show these people your business plan or offer a presentation on how you will market your products and services.  If it is possible, you can also show projected revenues so that your warm market can have an idea of what to expect.

Be sure that you put all your agreements (even with close relatives) in writing.  You can even seek the help of a third party such as a lawyer to prepare all the documents based on your agreed terms and conditions.

Even if you are turned down, you should not feel discouraged.  Instead ask for feedback so that you know where you may have gone wrong in your presentation.  It’s also possible that your target is not interested in your type of business  — but they could still refer you to someone else.  In fact, your family and friends are the most reliable sources of information that you will ever have.  Always ask for their honest feedback to know whether your business idea is viable or whether you need to make some changes.

Next Up: A Source of Funding: Your Suppliers

There are various types of investors – namely, venture capitalist and angel investors.  Venture capitalists normally seek to invest in innovative firms, and often are prepared to lay out millions of dollars at a time.  Angel investors are normally wealthy individuals looking for a return on investment, and will often form a closer relationship with the concerned business.  Both venture capitalists and angel investors will require the entrepreneur to come up with a business plan and projected revenue table before an approach is made.  Investors will normally require that they have some influence over the business — usually in the form of a decision-making ability.  Most of the time, the principal funds invested do not need to be repaid unless the business is sold.

Nowadays, with current information technology there are various ways to connect with investors.  An example of one of these is prosper.com, where you can network with investors that may be interested to work for you based on your business vision and reputation.

Next Up: Locate Warm Markets

There are many people who seek grants in order to start their small businesses.  However, most of them are looking in the wrong place.  Actually, the government does not offer grants to businesses, but rather to non-profit organizations that are responsible to in turn offer this money to new entrepreneurs.  When looking for financing to start a new business or expand your current one, you will be better off going directly to these non-profit organizations.

Some agencies will even offer grants to help entrepreneurs write up their business plans.  These grants can cover attorney’s fees or CPA costs to produce the documents in order to facilitate your search for financing.  In truth, if you are thinking of applying for a Small Business Administration federal funding grant or any other loan (even from some banks), you will need a comprehensive business plan.  There are many programs that are offered by state or local governments in order to assist small businesses in the writing of a business plan.

Grants are available at several places, but it may be a daunting task to find one if you are a beginner.  However, you should never pay to get this type of information.  Do not be fooled by some resources on the Internet that will ask you to pay a fee to obtain a list of agencies that offer loans.  Most of the time, this information is not accurate and you will only lose your money.  The best place to begin your search is the library, where you can consult reference documents that contain timely and reliable information.  If you are not familiar with the library setting, you can always seek the help of the librarian.

Next Up: Where To Find Investors?

The Small Business Administration can be quite helpful with all the resources that they offer.  There is a special service that includes experienced business owners and managers who provide counseling and consultancy services to new business owners.  This will allow you to learn from real-life entrepreneurs; and most of the time, such knowledge cannot be found in books or classes.

It has been said that “no man is an island,” and similarly, nobody can know everything in business; nor will you be expected to know everything.  However, advice from experienced entrepreneurs is likely to channel you to the appropriate resource to learn what you need to know.  This will allow you to improve your business skills and to bring your business to new heights.  It is always a good idea to seek feedback from outsiders in order to learn how you may need to improve or change your business model.

There are also many loan programs that are offered by the Small Business Administration, such as the Patriot Express program that is geared towards veterans, military members and their spouses.  Another important facility is the 7(a) Loan Guarantee program, which assists small business in obtaining a loan.  The Small Business Administration can direct you to participating banks that will be more open towards small businesses since these loans are guaranteed by the federal government.

This is done in order to promote the development of small businesses.  There is also the micro-loan program that is operated by non-profits and can fund start-ups for amounts less than $35,000.  The Small Business Administration can refer you to the appropriate service depending on your needs.  However, the most important service that you can get from the Small Business Administration comes in terms of support, rather than from actual financing facilities.

Next Up:  Government and Grants: The Myths

Some people may find themselves tempted to use credit cards in order to fund a business — especially with the attractive offers from some credit card companies today.  However, you must be aware that the potentially high interest rates applicable on these cards can affect the profitability of your business.  In the even that you miss a payment, you will be vulnerable to higher rates and to extra charges.  After having put all that effort into creating your business and bringing it up to where it is now, you do not want to run the risk of losing your business.

Credit cards should be used only in urgent situations, and not as a regular source of financing.  You will be better off looking for more reasonable interest rates that will allow you to develop your business on your own terms.  Indeed, this may be the difference between success and failure.

There are some credit card companies that also offer cash advances, and this can be quite tempting for some entrepreneurs.  It is important, however, that you consider the high interest rates that accompany these offers.  Most of the time there are other resources that are available and may turn out to be less expensive in the long term.  If usage of credit cards is inevitable, make sure to use the ones that offer rewards programs.  If you must, you can use them for your common cash purchases and make the payments as soon as possible in order to reduce the interest.  In the event you do use credit cards for your business, be sure to collect the reward benefits.
There are some credit cards that offer check facilities that you can use to make payments or deposits in your checking account.  The amount of the check is reflected either as a charge on your card or as a separate bill.  You should carefully analyze the amount of interest and other charges that you may pay in order to determine how you can best use these facilities to the advantage of your business.

If you often find yourself short on cash and need your credit card to keep you afloat, then you should urgently analyze your budget in order to determine where you may have a “hole in your pocket.”  This will help you to make the adjustments needed to reduce your spending and to have a more balanced budget. You should always carry an idea in your head of how much income you have and how much you spend.  Indeed, cash flow is the heart of any business, and maintaining it is very important for success.

Next: The SBA Can Be Helpful