APRIL 2009 Greetings & Salutations: Over the years, there have been literally thousands of reports, articles, monographs, books, booklets, and courses written on the subject of "business financing." - Some are tomes of great wisdom; offering the reader insights into the technical mechanics of capital utilization, equity determinations, unsecured borrowings, time sales contracts, public stock issues, and loan applications. Others are 90% hype; offering the reader false hope, based on misinterpretation of fundamental financing techniques and principles (like the non-existent 5 to 1 compensating balance on small, insignificant loans). Unfortunately, the number of written works in the "hype" category far exceeds the small number of well-written, factual works of knowledge. These "business fairy tales," due to their misinterpretations, misrepresentations, and easy-money proclamations, lead the uninformed small businessman (or opportunity seeker) into believing that "any & every" business proposition is financeable; if you can only locate the right source. All too often, the beginning Money Broker/ Financial Consultant, having read one (or more) of these "hype" reports, believe the only thing he needs are more and more sources. He erroneously believes that, if he has enough sources, he will be able to locate funding for anything that crosses his desk. - Nothing could be further from the truth. Statistically, less than 5% of the financing requirements offered to a Money Broker/Financial Consultant are even worthy of consideration. Yet, you will find that most beginning Money Brokers will accept, and attempt to place, "every" financing request they receive; regardless of their merits. - Is it any wonder that funding sources view Financial Consultants with cynicism? Yet, the question I get asked most often by beginning Money Brokers is, "Where can I find more legitimate sources of financing for my business projects (or client's projects)?" - In answering that question, I usually start off by telling the questioner a "true" story. Back in the days when I was doing some money brokering, I had a man come to me with a business project that was (in my eyes) out of this world. It had everything and my client had outdone himself in preparing all of the necessary paperwork. At first, I contacted all of the BIG lenders listed in the various directories. -- I got some interest but not much hope. -- Then, I had a person contact me needing a personal loan of a couple thousand dollars, so I went down to the local office of a nationwide personal finance company. The manager of that finance company readily approved the couple thousand dollar personal loan...then, I told him about the bigger business project I was working on. -- He asked to see it. -- In no time at all, he had his district manager looking over the project and it was funded in less than 30 days...to the tune of a few hundred thousand dollars. So, when anyone asks me about "where" they can find 'legitimate' financing sources, I ask them one question in return, "Have you looked in your local Telephone Book Yellow Pages?" - Believe it or don't (as you will), you can find an abundance of direct sources of financing in your local Yellow Pages, all you have to do is look - and - although the local offices of those finance companies don't usually advertise their bigger offerings, they will usually entertain them through their district or regional offices. -- When you're looking for more 'legitimate' financing sources, don't overlook the obvious ... Check Your Local Telephone Book Yellow Pages! Another gross-misunderstanding held by the vast majority of small business people, and (sadly) beginning Money Brokers, is that tangible property collateral will make a loan. - Collateral proffered without a sound plan for utilization of loan proceeds, or with a lack of skill and/or tenure by the borrower, has NO real value in the money market. On the other hand, a solid plan for utilization of capital, from a knowledgeable borrower, can generate its own collateral position. - I, personally, have seen a piece of real estate with a market value of less than $100,000 used to collateralize a loan of $250,000. The plan was solid, the borrower was knowledgeable and successful in his field, and the bank re-appraised the property itself; to reflect the higher loan value in its portfolio. To insure your success in the money market, or as a Money Broker/Financial Consultant, it would be wise to take to heart and utilize Straw's Law of Business Finance, when considering any requirement for business funding. STRAW'S LAW OF BUSINESS FINANCE Business financing is an expedient; not salvation. It is ONLY a way of spending tomorrow's earnings, today. If the project AND borrower, combined, cannot logically indicate future earnings; the lenders won't touch it with a 10-foot pole. And, always remember not to overlook the obvious in your search for a real, 'legitimate' funding source ... right in your own backyard ... listed in your Telephone Book Yellow Pages.
APRIL 2009
Greetings & Salutations:
Over the years, there have been literally thousands of reports, articles, monographs, books, booklets, and courses written on the subject of "business financing." - Some are tomes of great wisdom; offering the reader insights into the technical mechanics of capital utilization, equity determinations, unsecured borrowings, time sales contracts, public stock issues, and loan applications. Others are 90% hype; offering the reader false hope, based on misinterpretation of fundamental financing techniques and principles (like the non-existent 5 to 1 compensating balance on small, insignificant loans). Unfortunately, the number of written works in the "hype" category far exceeds the small number of well-written, factual works of knowledge. These "business fairy tales," due to their misinterpretations, misrepresentations, and easy-money proclamations, lead the uninformed small businessman (or opportunity seeker) into believing that "any & every" business proposition is financeable; if you can only locate the right source. All too often, the beginning Money Broker/ Financial Consultant, having read one (or more) of these "hype" reports, believe the only thing he needs are more and more sources. He erroneously believes that, if he has enough sources, he will be able to locate funding for anything that crosses his desk. - Nothing could be further from the truth. Statistically, less than 5% of the financing requirements offered to a Money Broker/Financial Consultant are even worthy of consideration. Yet, you will find that most beginning Money Brokers will accept, and attempt to place, "every" financing request they receive; regardless of their merits. - Is it any wonder that funding sources view Financial Consultants with cynicism? Yet, the question I get asked most often by beginning Money Brokers is, "Where can I find more legitimate sources of financing for my business projects (or client's projects)?" - In answering that question, I usually start off by telling the questioner a "true" story. Back in the days when I was doing some money brokering, I had a man come to me with a business project that was (in my eyes) out of this world. It had everything and my client had outdone himself in preparing all of the necessary paperwork. At first, I contacted all of the BIG lenders listed in the various directories. -- I got some interest but not much hope. -- Then, I had a person contact me needing a personal loan of a couple thousand dollars, so I went down to the local office of a nationwide personal finance company. The manager of that finance company readily approved the couple thousand dollar personal loan...then, I told him about the bigger business project I was working on. -- He asked to see it. -- In no time at all, he had his district manager looking over the project and it was funded in less than 30 days...to the tune of a few hundred thousand dollars. So, when anyone asks me about "where" they can find 'legitimate' financing sources, I ask them one question in return, "Have you looked in your local Telephone Book Yellow Pages?" - Believe it or don't (as you will), you can find an abundance of direct sources of financing in your local Yellow Pages, all you have to do is look - and - although the local offices of those finance companies don't usually advertise their bigger offerings, they will usually entertain them through their district or regional offices. -- When you're looking for more 'legitimate' financing sources, don't overlook the obvious ... Check Your Local Telephone Book Yellow Pages! Another gross-misunderstanding held by the vast majority of small business people, and (sadly) beginning Money Brokers, is that tangible property collateral will make a loan. - Collateral proffered without a sound plan for utilization of loan proceeds, or with a lack of skill and/or tenure by the borrower, has NO real value in the money market. On the other hand, a solid plan for utilization of capital, from a knowledgeable borrower, can generate its own collateral position. - I, personally, have seen a piece of real estate with a market value of less than $100,000 used to collateralize a loan of $250,000. The plan was solid, the borrower was knowledgeable and successful in his field, and the bank re-appraised the property itself; to reflect the higher loan value in its portfolio. To insure your success in the money market, or as a Money Broker/Financial Consultant, it would be wise to take to heart and utilize Straw's Law of Business Finance, when considering any requirement for business funding.
Business financing is an expedient; not salvation. It is ONLY a way of spending tomorrow's earnings, today. If the project AND borrower, combined, cannot logically indicate future earnings; the lenders won't touch it with a 10-foot pole.
And, always remember not to overlook the obvious in your search for a real, 'legitimate' funding source ... right in your own backyard ... listed in your Telephone Book Yellow Pages.
Back in the mid-1980s, during the Economic Crises of that period, one of my best selling reports was ... "How To Do Your Own DEBT CONSOLIDATION And ... Reduce Your Monthly Payments, too!" Using the system in this Special Report, you will also be able to REDUCE YOUR MONTHLY PAYMENTS while you re- structure your finances. Looks like that report is going to be a best seller again. Two other reports that also sold like hot cakes during the Economic Crises of the mid-1980s were ... "How To Get Your Own PERSONAL LOAN And ... Enhance Your Credit Report, too!" AND ... "How To Get Your Own CREDIT CARDS (Bank Cards, Department Store Cards, Gas Cards, etc.) And ...Get One Month Ahead On Your Bills, too!" During the current Financial Crises, don't turn your financial future over to those providing financial and/or credit services ... Do It Yourself! Over 100,000 of these reports were sold in the mid-1980s and they are even more relevant today.
Back in the mid-1980s, during the Economic Crises of that period, one of my best selling reports was ...
Using the system in this Special Report, you will also be able to REDUCE YOUR MONTHLY PAYMENTS while you re- structure your finances.
Looks like that report is going to be a best seller again.
Two other reports that also sold like hot cakes during the Economic Crises of the mid-1980s were ...
AND ...
During the current Financial Crises, don't turn your financial future over to those providing financial and/or credit services ... Do It Yourself!
Now, let's do some ... Questions & Answers, Comments & Other Good Stuff! Christopher Flores asks ... "Wanna Participate In My Study? -- The study introduces an inquiry into the aspects of money, and is designed to open up your thoughts about subjects many people won't ask in regards to money. In doing so, I can blog about the most important part of the relationship we have with money." This is a meritorious effort. Be sure to participate so you can gain some real insights into "money." http://www.merchantofnewyorkcity.com/2009/03/wanna-participate-in-my-study.html
Now, let's do some ...
Christopher Flores asks ...
"Wanna Participate In My Study? -- The study introduces an inquiry into the aspects of money, and is designed to open up your thoughts about subjects many people won't ask in regards to money. In doing so, I can blog about the most important part of the relationship we have with money."
This is a meritorious effort. Be sure to participate so you can gain some real insights into "money."
Wayne Carter wanted to know ... "Do you know anything about licensing and the makeup of how to put "deals" together ?" I have licensed some of my products and services but I have never written about it. I just did a search for "Licensing Agreement" and found over 30 Million hits. The first two give a sample license and explain the process.
Wayne Carter wanted to know ...
"Do you know anything about licensing and the makeup of how to put "deals" together ?"
I have licensed some of my products and services but I have never written about it. I just did a search for "Licensing Agreement" and found over 30 Million hits. The first two give a sample license and explain the process.
Dave Roman tells me ... "I have just started a new blog for my local students, but antone on the net can use it. It's an internet home business brainstorm site. Anyone can post a problem and anyone can suggest solutions. I hope to have fun with it." Check it out at: http://brainstorm37.blogspot.com
Dave Roman tells me ...
"I have just started a new blog for my local students, but antone on the net can use it. It's an internet home business brainstorm site. Anyone can post a problem and anyone can suggest solutions. I hope to have fun with it."
Check it out at: http://brainstorm37.blogspot.com
Attila Hevesy he has something very special for you ... "We have something VERY SPECIAL for your readers ... Hi-Tech Products directly from the factory at prices you wouldn't believe. Always New, never refurbished or refreshed. -- A new deal every 48 hours." Honestly, I can't believe some of the hi-tech stuff they offer - and - the prices are unbelievable. Check it out your own self at: http://www.Mission48.com
Attila Hevesy he has something very special for you ...
"We have something VERY SPECIAL for your readers ... Hi-Tech Products directly from the factory at prices you wouldn't believe. Always New, never refurbished or refreshed. -- A new deal every 48 hours."
Honestly, I can't believe some of the hi-tech stuff they offer - and - the prices are unbelievable. Check it out your own self at: http://www.Mission48.com
Ed Lewis thought you might like this ... "Collection Agency Secrets Exposed!: Information They Don't Want You To Know"
Ed Lewis thought you might like this ...
"Collection Agency Secrets Exposed!: Information They Don't Want You To Know"
Bob Johnson says ... "I believe this is something your readers would like to know about ... Start selling on eBay and make money in 7 days or less." Okay ... if eBay selling interests you, check it out at: http://www.OceansideEbayBusiness.com
Bob Johnson says ...
"I believe this is something your readers would like to know about ... Start selling on eBay and make money in 7 days or less."
Okay ... if eBay selling interests you, check it out at: http://www.OceansideEbayBusiness.com
Phyllis Breech can do it ... "I am the owner of a website development company. We offer affordable, professional Website designs. Our sites are built using a content management system. Each website owner will be able to add, edit and maintain their own website when site is completed. Our staff will train them every step of the way." If you are in the process of setting up your website ... or redesigning your current site, go take a look at some of the sample work at: http://www.sa-technology.com Then, email Phyllis to get a quote and proposal. Please give her the Special Code: JSBL0309 ... so she'll know you're one of my readers and give you the best deal possible.
Phyllis Breech can do it ...
"I am the owner of a website development company. We offer affordable, professional Website designs. Our sites are built using a content management system. Each website owner will be able to add, edit and maintain their own website when site is completed. Our staff will train them every step of the way."
If you are in the process of setting up your website ... or redesigning your current site, go take a look at some of the sample work at: http://www.sa-technology.com Then, email Phyllis to get a quote and proposal. Please give her the Special Code: JSBL0309 ... so she'll know you're one of my readers and give you the best deal possible.
Well ... that's it for this month. -- In order to make every issue responsive to YOUR needs, please send me your questions; or tell me what sources or resources you need to build your business; or give me any thoughts you want to share with your fellow members. Believe it or don't ... I ain t a mind-reader. -- If n you doesn't tell me what you need, I may never touch upon the information, sources or resources you need. This is your publication for you to use to your benefit ... I am just your moderator. Until next month, keep well ... J.F. (Jim) STRAW Grande Panjandrum
Well ... that's it for this month. -- In order to make every issue responsive to YOUR needs, please send me your questions; or tell me what sources or resources you need to build your business; or give me any thoughts you want to share with your fellow members.
Believe it or don't ... I ain t a mind-reader. -- If n you doesn't tell me what you need, I may never touch upon the information, sources or resources you need.
This is your publication for you to use to your benefit ... I am just your moderator.
Until next month, keep well ...
J.F. (Jim) STRAW Grande Panjandrum
Thoughts For The Month! "The problem in my life and other people's lives is not the absence of knowing what to do, but the absence of doing it." -- Peter Drucker
Can you stump the old master? -- Betcha can't! Over the past 50 years (man and boy), I have made bundles of money in direct selling, service contracting, wholesale merchandising, entertainment (I was a professional Trumpet player, vocalist & Radio Announcer), freight forwarding, import/export, retail merchandising, warehousing, real estate, electronics manufacturing, finder's fees, closeout merchandising, financial brokerage, business consulting, steel fabrication, gold and coal mining, offshore banking, mailorder, writing, and publishing. -- That being the case ... No matter what business you're in ... whether you're just starting, well on your way, or at the top of the heap ... I've probably been where you are, done what you are doing. -- So ... Anytime you have a question about 'how' to do something in your business - or - if you have any comments about anything I've said in issues of this e-Letter; or if you want to add your 2 cents worth ... just "ask" me or "tell" me. Send your Questions, Comments or 2 Cents Worth to ... with "Question" - "Comment" - or, "2 Cents Worth" in the SUBJECT. If I, personally, don't have an answer to any question you may ask, I will contact some of the professionals in your field of endeavor (I will probably know one or more personally) to get the real 'skinny' for you. Note: If you want to ask a question anonymously just tell me so when you send in the question. -- Nobody but you and I will know who asked the question.
Over the past 50 years (man and boy), I have made bundles of money in direct selling, service contracting, wholesale merchandising, entertainment (I was a professional Trumpet player, vocalist & Radio Announcer), freight forwarding, import/export, retail merchandising, warehousing, real estate, electronics manufacturing, finder's fees, closeout merchandising, financial brokerage, business consulting, steel fabrication, gold and coal mining, offshore banking, mailorder, writing, and publishing. -- That being the case ...
No matter what business you're in ... whether you're just starting, well on your way, or at the top of the heap ... I've probably been where you are, done what you are doing. -- So ...
Anytime you have a question about 'how' to do something in your business - or - if you have any comments about anything I've said in issues of this e-Letter; or if you want to add your 2 cents worth ... just "ask" me or "tell" me.
If I, personally, don't have an answer to any question you may ask, I will contact some of the professionals in your field of endeavor (I will probably know one or more personally) to get the real 'skinny' for you.
Note: If you want to ask a question anonymously just tell me so when you send in the question. -- Nobody but you and I will know who asked the question.
Return to the Archives
Home FREE Reports FREE Newsletter About Us
Copyright - 2009, J.F. (Jim) Straw. All rights reserved.