How Canadians Can Start A Business In The USA

The American economy is booming these days, which is ideal not only for Yankees but for their friends in the Great White North as well. Canadians are facing an unprecedented number of business opportunities in the United States, though many of them are refraining from acting on these opportunities because they think they lack the knowhow needed to successfully compete in the American marketplace. The truth of the matter is that Canadians have a greater chance of success when it comes to succeeding in the USA than nearly any other foreigners.

Here’s how Canadians can start a business in the USA, and what you’ll need to look out for.

There are many options at your disposal

There’s a diverse number of ways that Canadians can do business in the United States, but for now we’ll mostly focus on the E-2 treaty investor category, as it’s by far and away the most popular and likely easiest option for most Canadians looking to venture into the Yankee market. E-2 investors do not receive lawful permanent residence, so you won’t become a full American citizen with the right to stay for as long as you want, but you will be capable of conducting business in the country for some time.

E-2 investors are permitted to stay in the USA to manage their burgeoning businesses for up to five years at a time, which is plenty of time to see if the American marketplace is where you want to make your fortune. You’ll want to review the American federal government’s formal webpage on E-2 treaty investors before you proceed, as you’ll need to determine your eligibility before anything else. As long as you come from a country that maintains a treaty of commerce and navigation with the USA (that’s you, Canadians!) you can become an E-2 treaty investor by investing a sizable amount of capital into the American economy in the form of your business.

You need to understand that the E-2 process is only reliable if you’re solely seeking to enter the U.S. to manager your business; if you’re trying to use it for other purposes, it can be revoked from you and your commercial dreams can be shattered, so stick to the rules at all times. Besides the E-2 treaty investor option, you can also become an EB-5 investor who holds a green card. This, however, requires a sizable amount of capital to work with as well as an extensive business plan that will prove your capacity to generate jobs in America.

Rural versus non-rural areas

When trying to come to the U.S. to start a business, you may need to spend more money if you don’t intend to come to a rural area. EB-5 visa investors are encouraged to invest their money in “target employment areas” (TEAs), which are rural areas lacking in investment that have a special need for new jobs. If you focus on a rural TEA, you’ll need to invest only $500,000 and create 10 indirect jobs for U.S. workers, whereas non-rural non-TEA investments will demand $1 million and the creation of 10 new direct jobs for American workers. This is so that the American government can encourage foreign spending in domestic areas that need it the most.

Take some time to read up on the EB-5 visa program if you’re an investor with large sums of capital waiting to be invested in the United States. To start a company in the USA, you may also want to review the various types of American companies and the tax and liability advantages offered by some of them, such as LLCs.

You must oversee and direct day-to-day operations in order to attain a E-2 treaty visa, and EB-5 visas are highly competitive as they’re very sought after all over the world. In time and with perseverance, however, you can quickly turn the American marketplace into your own thriving hub of prosperity. Always ensure your legal documents are up to date, and consider hiring the help of a legal professional if you have specific inquires about certain industries, some of which are regulated more stringently than others. Soon, you’ll be bridging the national divide in North America by bringing the American and Canadian economies ever-closer through you business.

The Social Cloud Enhances Productivity While Reducing Your Bottom-Line

Today, most businesses, regardless of their location or purpose, have integrated the cloud into their master plan.  Inasmuch, the cloud has transitioned how we store information from a localized data pool to a centralized one. It has also changed the way we communicate with each other. It’s as natural to us as brushing our teeth or driving to work.  With the cloud, we are assured of the management, accessibility, and tracking of our digital assets. In fact, utilizing the cloud is a preeminent strategy for most IT organizations; however, it is truly a lifeline for smaller and mid-size organizations.  To those that don’t know it, the cloud is completely flexible, and enables the user to do everything from storing local data and assets to accessing them remotely “on the fly” as needed. It is a tool that has become the backbone of business and will only, as analysts predict, continue to grow.

When used properly, the cloud enables the better use of data on demand.  In fact, if you’re using a Microsoft product, you probably use Office. If so, it’s likely your work is happening in the cloud.   The cloud is also experiential. Each user experiences it differently which is a fantastic compliment to it. Just having access means tapping into the tip of the iceberg but not the whole thing.  To really make a difference in business means using it throughout what you do, accessing it remotely, and organizing your information and data strategically. The cloud can save the life of any size business when organized properly.

Another bonus with the cloud: business risk is significantly reduced.  CIO.com and other publications regularly report that, “20% of cloud storage users recover from a site disaster in four hours or less. For those outside the cloud, a mere 9% of storage users can typically restore their information. For those that don’t use the cloud, this can be disastrous.”

Do you know the origin of the cloud?  The majority of media have reported, over time, that the cloud began with the goal of protecting, centralizing, and managing your data.  Obviously, the cloud has grown up a lot since it was conceived. Before, the cloud was simply a data repository. Today, there is social cloud storage.  The use case is also different today. Nowadays, it is used for both personal and professional reasons, with high level data management and organization.  The greatest impact has come with social cloud storage. Here, information is stored in one fully searchable central area controlled by the user. Organization, access, control, and customization are the four keys to social cloud storage.

Understanding all of this is important, but in reality, the bottom-line questions are always the same: security and cost.  Analysts have reported time and time again that far too many companies fail to realize the true impact of productivity on the bottom-line. The real impact of productivity on the bottom-line, when analyzed, must include everything from time saturation to time loss to time gain to the ability to access and use your data efficiently.  Otherwise, you clearly aren’t seeing the whole picture. Reduced productivity means not finding a critical file or information to close a deal. This is one type of measurable bottom-line impact. While many organizations look at IT spending as a bottom-line expense it is also true that a savvy business person realizes that enhancing your cloud usage is a foolproof way to make your IT dollars go further. In multiple analyst reports, cloud storage has been proven to reduce IT costs by up to 75% on an ongoing basis, while offering additional productivity and security benefits at no additional cost.

Enhancements to the Cloud are here with others in progress.  Arvind Raichur, CEO and Co-Founder of, MrOwl, a platform that utilizes the cloud’s flexibility and scalability in multiple ways, believes “this is because both companies and consumers want real time access to their data in a sharable, personally organized manner. “In response, Raichur and his team literally invented a new category for cloud-based technology applications called Social Cloud Storage™. 

Social Cloud Storage “enables the sharing of content directly out of your cloud storage to a community beyond your contacts.” Here, users can share information, while creating communities of curated information through their own personal cloud storage.  All of the information is secure, flexible, and accessible from anywhere you have an internet connection.

Raichur notes, “it’s all about enhancing communications and building a wider community where individuals feel heard, understood, and above all, connected.  And, it’s never been easier to share knowledge and resources because MrOwl offers unlimited storage for public content as well as 10GB’s of free private storage.”  MrOwl offers the storing of free unlimited files in public branches up to 20MB per file. Once your files increase, it’s time to move to their cost-effective, private storage option.

4 Things You’ll Need To Do Before Starting a Business

If you’re thinking about starting your own business, you’re probably an ambitious person.  It’s admirable to want to create something of your own. However, if you’ve never been an entrepreneur before, then you have a lot to learn before getting started. It’s essential to know all the ins and outs of how things work so that you can be prepared as possible ahead of time.

Since most businesses fail within the first two years, you need all the luck you can get.  So take a look at some of the things that you’ll need to do before starting your own business.

Determine Whether It’s a Profitable Industry

Many people have great ideas.  However, great ideas don’t always equal a fantastic profit.  It’s essential to determine whether you anticipate your business idea has real money-making potential.

You can do this by looking at your competitors and studying the market.  How many businesses fail vs. succeed? How much competition do you have in your area?  Can you offer superior distribution and delivery times?  Do you have the resources to ensure your product exceeds the quality of theirs? By measuring the potential money-making success that you’re looking at, you’ll be able to know whether it’s worth your time and energy.

Find Investors

Unless you have a considerable amount of money lying around, chances are you’re going to need to find an investor. You’ll have all sorts of course that you’ll be looking out if you hope to grow a successful business.

herefore, you need to either ask the bank for a loan or find a private investor.   Your investor is going to want to see a detailed business plan about how you plan on using the money wisely to turn a profit. Your chances of being approved for a loan will be much higher the more prepared that you are.  So gather all the possible information you can and then some.

Create a Marketing Plan

Even with the best product or service in the world, customers aren’t going to find you on their own. You’ll need to create a successful marketing strategy which will attract and retain customers.

If you have no experience in marketing, then you may want to outsource this to someone else.   Your marketing should be professional and effective; otherwise, your chances of succeeding are likely very low.

Create a Name

One of the most critical aspects of your business is how you present yourself.  What do you stand for as a company? Your name will play a crucial role in how potential customers perceive you as a company.

If the goal is to become a household name, then be sure to choose one that you think we’ll stick and people will identify with.  Once you choose your name, it’s best not to change it again. You may confuse your customers and lose your following.

Leonard Daniel Wong

Leonard Wong Toronto – Raptors Throw Offers to Kawhi Leonard

Leonard – Wong – Toronto Raptors – Kawhi Offered Penthouse and Food for Life to Stay in Toronto

Leonard Daniel Wong

On May 29th Natalie Wong of Bloomberg reported that Leonard Kawhi of the Toronto Raptors was offered a penthouse condominium and food for life as an incentive to stay in Toronto.

Rumors of the super star basketball player are floating all around North America as the 2019 NBA finals come to an end. The quiet and humble basketball player has drawn comparisons to Michael Jordan and LeBron James as perhaps the best or one of the best basketball players in history.

It’s not over yet but with a leg up in the best of seven series with Toronto having home court advantage and already protecting game one for home court advantage means well; but it isn’t over till its over. To put down the Golden State Warriors 4 -time reigning championship team who have also been to the finals one other time in the last 6 years it will take a lot of hard work.

It is not just one single player that makes a champion but rather a team of well seasoned group members that will make a difference. Someone must step up and eventually dethrone a mainstay and consistent winner eventually. Americans, fans and pundits alike have mixed feelings. Does the U.S. support a perennial champion or do the go for the under dog? It seems like no one, but the Americans can be a dream team and win the NBA finals championship especially not an international team from foreign soil. After all its not a past time but a beloved game that was invented in the U.S. of A. They may or may not know it was created by Canadian James Naismith.

History repeats itself and times change. The Raptors are Canada’s team and not just that of Toronto. Everyone in Canada including the haters of the mega city are jumping on the band wagon by now and they will be endeared even more with one more win at home.  And finally, if Leonard and playmaker Kyle Lowry have their way, they will want to finish the job and cement their place in history as a team against all odds and a nation of new lovers and old-fashioned haters.

It’s the best of seven and as Canadian hockey fans know and understand this type of series. And will not make bold predictions for the outcome of its full and final finish they would love to see and be part of history in the making.

Canadians are quiet and humble just like Kawhi. But we carry a big stick made of Canadian hardwood lumber. And when its time to fight we will not shy away or back down from what is right. In game 2 and in the rest of the NBA Championship series at home or abroad the gloves are off, and we will dance with one that brought us. Even a near championship is an amazing feat of heroics most gamblers, bettors and basketball fans could not imagine. It’s a team game and we are thankful and grateful to see some of the best basketball played ever in the country. Mr. Naismith the father of the sport is on our side win or lose.

 

MONEY.CA

Toronto

416-360-0000

Passion – A Key Ingredient to Successful Entrepreneurship

When entrepreneurs come to me and ask, “What is more important – drive or passion?” I answer and explain that the latter is more important. After all, passion is in many ways what makes an entrepreneur tick. Successful start-ups are not “driven” by a desire to make money — they are driven by a need to change the world and that, in turn, is driven by passion.

The same can be said of venture capitalists, they support and fund the companies about which they are truly passionate. Building strong business relationships doesn’t happen overnight, but a shared desire to create something important will only work to intensify the entrepreneur’s and VC’s passion toward a common goal.

When it comes to my own decision-making process with respect to potential investment opportunities, there are a number of factors that go into the process, one of those being how much passion does the particular entrepreneur or company have. When introduced to a particular company for the first time, among the things I’m looking to see is a sense of excitement about the company and the team as well as what problem it is they are aiming to solve.

That first meeting with a potential investor isn’t about convincing us to invest, rather, it’s about getting the investor excited about what you are trying to achieve. It’s demonstrating exactly how you plan to fill a void in the market and how that idea could potentially become a game-changer.

If I’m passionate enough about your idea, it is more likely that I’ll be advocating an investment in your company. This is the reason why I consider myself extremely lucky to work in this industry — because it allows me to feed off the energy and drive of extremely motivated entrepreneurs.

The dictionary defines passion as “an intense, driving or overmastering feeling of conviction” or “a strong desire for or devotion to some activity or concept”. I couldn’t agree more. Passion is one of the must-haves for any startup or entrepreneur.

Top 5 Reasons to Invest in the Right Booking App

Keeping track of member activity at any type of fitness centre is key. You need to know how people are using the facility and what seems to be working. Choosing to invest in software that provides the ideal appointment booking solution for your member is great. Just remember the data collected from those bookings will help you and your staff too. Here are a few reasons to choose your booking app with care.

Clients Can Sign Up For New Classes Easily

You do want clients to have an easy time signing up for classes. The right app will take care of that for you. Clients can easily identify the class they want, choose a session, and you’ll have the information in real time. Along with making the signup easy, that same app for yoga class can provide some advance information for the member to go over before the first session. That will save your instructor a great deal of time.

They Receive Instant Confirmations Too

The right appointment booking solution does more than receive registrations for upcoming classes. the ideal app for yoga class or any other class you offer will also send a confirmation to your client in real time. The confirmation may be received by text or by email. The point is the client knows the registration was successful and there is a spot locked in for that class.

Determine If There’s Enough Demand For More Classes

On your end, that appointment booking solution makes it a lot easier to track the demand for any given class. That’s important, since it could indicate you need to schedule more classes. This is especially true if you schedule a new yoga class and it take no time for members to register. That may indicate that you should schedule a second yoga class for that morning under the care of a different instructor. Assuming you have enough space in the fitness centre, that app for yoga class could help you make better use of the square footage and serve your members more efficiently.

Monitor the Frequency of Private Sessions With Trainers

Your appointment booking solution should also allow members to schedule private sessions with members of the staff. Perhaps someone is having a little trouble with one or more of the routines taught in the class. Some one-on-one time with an instructor may be all it takes to resolve the issue and help the client feel more comfortable in the class.

You get to see how often clients are requesting private sessions. That’s helpful in terms of knowing if you have enough staff to handle the demand or if you need to think about hiring another trainer or instructor. In this sense, the app for yoga class is helping you know what it will take to keep your clients happy and position you to accommodate more clients if necessary.

See Which Types of Classes are Popular

You tried a new fitness class and wonder how it’s going over with your clients. The data from the appointment booking solution will help you get an idea. Perhaps the class is proving to be quite popular. That means you will likely want to schedule more introductory classes as well as think about adding an advanced class.

There are many different ways to make the most of the information collected by an app for yoga class and scheduling software in general. By putting it to good use, you make things easier for yourself, the staff, and your clients. Choose wisely and you will be able to use the same software for a number of years.

WellnessLiving
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The major differences between iOS and Android – guide for developers

One of the most common questions app developers ask themselves is what platform should they choose for their mobile application, whether iOS, Android, or perhaps both. Because you need to make a choice that meets your future demands in regards to app utility and popularity, being aware of the differences between these two operating systems is a must. The first version of iOS was released by Apple in 2007, and Android’s official first version was introduced by Google the same year. Both platforms have benefited from numerous updates along the year, and today’s available versions are more advanced than ever, and it seems like things won’t stop reaching new heights in the near future, new additions being developed as we speak. If you are relatively new to the entire scene of app development, comprehending the primary differences between iOS and Android is essential, and the following details will help you on the matter, so keep reading:

Programming languages

Let’s start with one of the details that might be most relevant for you and that is the programming languages used in the entire process of app development, this being what will enable you to reach the end product results you desire. The most common language used for Android is Java, despite the fact that Java for this particular operating system is a bit different than you might know it. C++ is also one of the alternatives often adopted by programmers, and most recently, Kotlin was introduced as one of Android’s official programming languages. So you have quite a few options to choose from, depending on your expertise and preferences. As for iOS, Objective – C was the option used in the past, but since 2014, Swift has been presented as the official programming language, being appealing due to how easy it is to learn and use.

Current popularity and target audience

Because users will be the ones to download and use your application, you depend on them for future product success, and this is why you should also have a general idea on which operating system is preferred on a global scale. According to statistics, it seems like the mobile market share is mostly dominated by Android, which takes up somewhere between 80 and 90 percent, while iOS is dominating the other 10 to 20 percent. Even in the US, Android seems to have a leaping advantage, with a usage percentage that surpasses 50%. However, despite the fact that Android seems to hold such a wider market share, the income level seems to be higher among iOS users, aspect that may be relevant for your future app development profitability.

Design

While for some developers purpose and practicality might be the aspects that matter most, you might be interested in benefiting from a specific design. While there are a lot of things that need to be considered in this department, so if design interests you in particular, you should continue your research further and read in the blog more specific details, there are a few basic details that could help you get familiarized with the two concepts better. Apple’s approach towards general style is minimalist, with plain buttons, icons and so on, while Android’s new design direction named Material design focuses on naturalness and delicacy. App titles are centered with iOS and found at the top left side of an Android screen. The navigation pattern for iOS is a tab bar and for the other operating system, a drawer menu.

Fragmentation

Considering the fact that Google’s operating system can be used on such a wide range of devices, as mobile app developers, you will need to consider this aspect when creating your mobile application, which can be quite a challenging factor. Mobile apps for iOS are precise, and obviously suitable of the in-house iPad and iPhone, which might mean a bit less hassle for you. So in terms of fragmentation concerns, you might find the iOS operating system a better choice.

Having your product accepted in the app store

One of the main concerns of first-time app developers is whether their product will actually be accepted for presentation among users, or declined. So, regardless of what type of concept you are thinking about bringing to the table, you should think about app store acceptance. It has already become common knowledge that having your product validated and published on Apple store implies a lengthier process than getting on an Android Play Store. Apple experts are in charge of analyzing the app themselves, verifying the concept and accepting or declining it, while with Android, the validation process is carried out through automated tests. So if you want to get your app on the market as quickly as possible, Android will be the faster option available, having appealing development policies.

Revenue and costs

Because money is always a factor that needs to be addressed when it comes to application development, you should be aware of the costs both operating systems demands, as well as the revenue generated over time. Upon research, you will quickly discover that App store and Play Store seem to provide the same advantages in terms of revenue generations, but it seems like iOS users are more willing to spend money on app purchases, giving this operating system a slight leaping advantage. Also, considering it’s a bit less complicated to create an app on iOS platform, the costs involved might also end up being more affordable.

Considering the popularity revolving around both operating systems, it’s understandable why, as a mobile application developer, you should be aware of the primary differences, in order to access the option most suitable for your needs and requirements, or go for a combination of the two if the situation demands it. Now that you know a bit more information on the topic, you will be able to pursue the right choice and proceed with your app concept on the operating system that provides you with the most suitable advantages.

Management Suggestions for Young Entrepreneurs

I used to think that success as an entrepreneur took an idea, seed money and of course, a “wing and a prayer”.

Until I came across a quote that read, “there is no finish line; there are only mile markers”. I can honestly say that leading and managing a business (your own or someone else’s), is an evolving process, and not one that has a specific manual to help young leaders pave the way to success.

In 1995, I launched MBM Investments Corp. out of Toronto to join the design aspect of construction with the understanding of commercial and residential trends throughout the industry.

When starting your own (or managing someone’s) business, it’s crucial to know your market and where you fit within the scope of your industry. That number one person? Be better than them. Find what they are doing and find a way to do it better. A way to do it cheaper. And a way to do it first. Staying “hungry,” as they say, will move – and keep you – at number one.

Something I still work on is understanding the labor market. For example, in the construction industry, unionized environments are not only something that need to be understood, but they also need to be effectively managed. Labor markets are something that aren’t taught, but learned, and they are so incredibly important – labor costs and markets being mismanaged often lead to companies spiraling out of control.

Speaking of control, cost management is vital to a thriving business. Always gather three quotes for any work that needs to be done. It keeps everyone honest and keeps you in check and responsible for what you’re doing. If young entrepreneurs can’t control costs, they can’t control other aspects of their business.

Another obstacle for any manager to overcome is micromanagement. It’s something every good leader is guilty of at some point in time, but a line that can be easily crossed when sharing your vision and goals for the business. Communication is key in effective management, and a trait that transpires through the test of time when referring to successful leadership. Provide your employees the training, resources and education they need to do their jobs to the best of their ability.

Finally, find a way to incorporate your passion and interests into your business. Whether its problem solving or communicating (or both) keeping everyone on the same page eliminates friction and keeps things transparent. Which, in turn, increases productivity. Love what you do, become good and it – and you’ll never “work” a day in your life.

4 Money-Saving Tips for Digital Nomads

Traveling is a major expense, and when you look at the United States, people often forgo saving for retirement and save for traveling instead. Over 50% of Americans don’t have a retirement plan – scary.

Vacation doesn’t have to be expensive.

A lot of people are living the dream: traveling, working and living a nomad lifestyle. It’s an attractive way to live, and these individuals have tips on how anyone can start socking more money away for retirement and traveling more often.

1. Plan to Cook Your Own Food

Food is a major expense, and the average person will spend $378 on food along during an international trip. Add in kids and a spouse, and that bill swells much higher. Save the money and plan to cook on your own.

Preparing your own food over a 12-day trip costs just $42 versus $378 spent on eating out. That equates to more than 75% savings on food. Of course, you may want to indulge in pizza while in Rome or drink wine in France, and you should. But, be cautious about eating out for every meal if you want to save money.

You could even extend your trip by a day or two if you chose to cook for yourself.

EatWith is another great option that allows you to eat with others and save money. It’s a neat way to see how others live and experience some great food along the way. Some of the site’s users are professional chefs, so you’ll be able to enjoy delicious food, too.

2. Share Your Experience with Others

There are people all over the world who are willing to help make your travels more fun, less expensive and authentic. Hotels, especially in high tourist areas, are overpriced. Airbnb and Couchsurfing are two great options that allow you to stay in inner cities and not in a traditional hotel or bed and breakfast.

If you choose this route, you’ll want to find verified profiles and hosts that have good reviews.

3. Be Cautious with Excursions

Cruises always find a way to pull passengers into excursions. Travelers often want to fill every minute of their travels doing something. The problem is that a $90 excursion doesn’t allow you to view some of the best activities a city has to offer.

Be cautious when booking excursions.

It’s fine to go on a safari or do another fun activity, but don’t book excursions back-to-back. They’re often overpriced and will take up too much of your valuable time.

4. Seek Out a Travel Advisor

Travel advisors are often disregarded. A lot of times, people take the DIY route, choosing to use Expedia or a similar site to book their vacation. But travel advisors are very helpful, and these professionals can help travelers:

  • Receive free upgrades
  • Save money on accommodations
  • Receive special promotions and credits

Booking online doesn’t provide you with all of the benefits that a travel agent has to offer. American Express claims that the average vacation costs over $1,100 per person or $4,400+ for a family of four, or C$1,425+ – C$5,700+.

Cutting these expenses down and paying off debt or putting away money for retirement is a smart financial decision.

4 Alternative Financing Options for Small Businesses

Traditional financing is hard to come by when you run a small business. Banks often require an excellent credit history and at least two years in business. According to a report from Biz2Credit, less than 25% of small business loan requests were approved by big banks in March 2016.

Alternative forms of financing can help small businesses obtain the funds they need to grow and thrive. Here are four alternative financing options for small businesses.

1. P2P Loans

Peer-to-peer lending allows businesses to borrow money from their peers rather than a single lender. A banking platform may approve the loan to go live for bidding, but the funds will come from ordinary people who want to make an investment in your business.

To start the process, businesses must fill out an application. The platform then assesses the business’ credit risk and applies an interest rate to the profile. Investors can then view the profile of the borrower and determine whether they want to invest. Businesses with good credit generally have better luck with P2P loans.

P2P lending rules vary from state to state. The practice is legal in all U.S. states aside from Ohio.

2. Crowdfunding

Similar to P2P lending, crowdfunding allows businesses to raise money from their peers. There are four types of crowdfunding: rewards, debt, charity and equity. Platforms like Kickstarter and Indiegogo generally use rewards crowdfunding, while GoFundMe is more focused on charity.

With rewards crowdfunding, the business doesn’t have to pay the money back. Backers are sent something in return for their donation. With equity crowdfunding, those who invest in the business receive a share of the business or product.

Crowdfunding is often used by startups looking to launch a new product or service, small businesses looking to expand and creative professionals looking for funding for a project.

There may be fees associated with the crowdfunding platform.

3. Lines of Credit

A business line of credit can be obtained from a bank or an online lender. Unlike a conventional loan, a line of credit gives you access to a sum of money that you can draw from at any time. Businesses are only charged interest on the amount of money that is withdrawn.

Lines of credit work similarly to a credit card.

If your business is in need of working capital or extra funding to cover expenses during a slow season, a line of credit may be a good option.

4. Invoice Factoring

Invoice factoring is different from other forms of lending. Invoice factoring companies purchase your business’ unpaid invoices at a discount and you receive the majority of the money upfront. The client pays the invoice, and the factoring company sends you a second installment (less the factoring fee).

The factoring fee is a percentage of the total amount of invoices that are being factored. Typically, the factoring fee for 30 days ranges from 1.5% to 4.5%.

Invoice factoring is appropriate for businesses that have unpaid invoices. Bad credit isn’t normally an issue with this form of lending, as the factoring company is more concerned with the client’s ability to pay – not yours.