Nicholas Kristof wrote about an executive with Lehman Brothers in an editorial in the NY Times on September 18, Last year, a person about $45 million; according to the calculations an executive pay Research Company that roughly amounts to $17,000 an hour to wipe out a firm. When this person was an executive with Tyco billed the company $6000 for a shower curtain!
The Bible states that the love of money is a root of all kinds of evil. We see the destructiveness that comes when people become greedy to gain money at all costs or make it one of the highest priorities of their life. A survey of college freshmen revealed that 75% of those surveyed felt that making a lot of money was a high priority. Having a large amount of money is appealing to them because it represents the ability to do whatever they want to do.
The recent hurricane that swept through Texas gives evidence to what really matters in life. Those who placed their relationship and finance with happiness in their possessions were greatly saddened when it was all stripped away while those who valued life and relationships saw beyond the set back and expressed gratitude for the families and friends that surrounded them.
The opposite value of greed is contentment. The venture capital firms & angel investors are all interested in the business proposition, and decisions that you have made along a way. More smart & successful risks that you have taken getting to venture capital firm, the angel investor and bank, more that they may take the business seriously.
However, this is not to say that money itself is inherently evil, nor are people who have money. Indeed, money can be used as a force for good and there is absolutely nothing wrong with striving to be successful and to be wealthy.
The second mortgage & credit cards show you have much on line in case the business fails. It ensures you will do everything in power to not just keep business afloat, however make that successful. On other hand, you need to be very careful not putting yourself in personally disastrous situation as this may raise the red flags regarding the financial management abilities.
According to Small Business Administration, around 66.6% of the small businesses survive 2 years & 44% pass 4 year mark. All these odds are not to discourage you and they are there making you think very long & hard about financing the business. You have to understand risks of the Endeavour prior to taking plunge. In addition, in business environment startups have more difficult challenge. However there are the opportunities born from the crisis.
Make use of the market to advantage as well as be part of 44%. US Small Business Administration: It is most prominent source for the debt financing. SBA does not lend you money straight but organizes & guarantees the loans through different lenders & sources under the umbrella. The banks, local governments, private lenders, and so on. Disburse the loans instantly to businesses that are approved by SBA. SBA loans are accessible for different business purposes & at lowest interest rates that are available.