The Small Business Administration (SBA) should be commended for their help in sustaining the small business sector with their microloans. However, a recent report by the Government Accountability Office (GAO) shows that the funds which should be distributed to businesses that need it, actually go to ineligible ones. The HUBZone certification which businesses need to qualify for a loan is a program which spans 13 years and is meant to help small business owners build companies in economically distressed areas. When investigators submitted applications which should be denied or disapproved because of obvious reasons; those applications got the federal contracts instead.…Continue reading
Bank of America (BOA), one of the world’s largest financial institutions, has announced it will provide $10 million in grants to nonprofit lenders, such as Community Development Financial Institutions (CDFIs), to leverage funds from the U.S. Small Business Administration (SBA) and the U.S. Department of Agriculture (USDA) for lending to small and rural businesses.
The grants to nonprofits will help up to 8,000 businesses obtain new loans over the next 12 Months.
The CDFI’s will use the grant money as loan loss reserves, which BOA hopes will unlock millions in low-cost capital for small business microloans program nationwide.
SBA and USDA microloans are made through local nonprofit lenders, which also provide business training and technical assistance.…Continue reading
When it comes to online marketing, small businesses are staring at a dilemma. Free online marketing tools like social networks have great potential for reaching new customers, but their actual impact on the bottom line is hard to measure. Meanwhile, established tools like email marketing provide valuable metrics on subscribers, and are more suited for retaining and engaging existing customers than acquiring new ones.
Thankfully, online marketing isn’t a zero-sum game – it’s an aggregate one! Positioning email marketing against social media leaves marketers at a loss because they fail to capitalize on the individual strengths of both these channels. Email marketing gives businesses the ability to build a deeper relationship with customers, while social media helps to reach a broader audience.…Continue reading
One of the most important aspects of small business management is the manpower. This is where the business operation and the business success relies. If the manpower is weak, it is not possible to achieve the goals and plans of the company. Entrepreneurs are already aware that in order for their business to succeed, they must select and hire the right people.
But most often than not, employees are raw in terms of the knowledge regarding your business. That is why staff training should be implemented so that your employees will get the chance to update their skills and learn more about your business.…Continue reading
Small businesses tend to overlook the importance of hiring a management consultant; they don’t realize that big businesses are into this kind of stuff because they know that this can greatly affect the return of investment.
Yes, you heard it right, management consulting can play an important role in increasing the rate of return on your investment. This is something that small businesses do not typically understand.
For your information, big businesses are hiring management consultants at every level of their operation everyday. It might be a liability at first glance because you need to shell out cash for this, but third party help is needed to increase the profitability of the business.…Continue reading
It can be overwhelming sometimes to see a lot of tasks that need to be done for your business. Sometimes you can manually do the tasks but they often lead to added pressure and stress. The solution for this is to find software specifically designed to do some of these tasks and help eliminate the burden. Many business managers are on the lookout for software that can help them do the tasks while improving their business.
There are several web based applications where you can be able to work remotely for your business. You can do your tasks even when you are away from your office.…Continue reading
If you think you have achieved success when you saw your business up and running, you are wrong. You are actually just starting. You are not really considered successful yet if you have just started your business. Your greatest challenge comes when you have to make your business available to the public. You still have to find who is going to buy your products.
This challenge could never be boring. You can be creative and organize fun stuff to promote your business to the public. Well that sounds easy and fun, but the truth is, you have to know something more about promotional campaigns before you can be successful on that end.…Continue reading
Gone are the days where marketing can be done by just buying a small ad. Business cards are no longer attracting customers and sending mail or postcards may not get you new clients. These are traditional marketing strategies. We used to witness how these strategies helped entrepreneurs to manage their business. But this is no longer the case.
We may say that all these traditional models of marketing are obsolete. If you are aspiring to get high profits, more clients, or to establish more sales, or generate a lot of money; then it’s time for you to move on to higher levels of marketing.…Continue reading
Despite a modest-to-invisible economic rebound in the U.S., conditions remain precarious for millions of small business owners in all areas and industries. With economic headlines shouting one big problem after another, we’re conditioned to think about economic dangers in grandiose terms – the calamity that cripples and possibly sinks a business, whether it’s a giant oil company, or a local restaurant.
But the path to ruin is more often paved with small missteps, rather than a single cataclysmic event. Here are 13 mistakes that individually might not be life threatening to your business, but together can be terminal:
1. Hoarding Information.…Continue reading
Expenses can be a burden for any particular company. This is something that a business owner cannot avoid. Of course, the prerequisite for a business to operate is start up capital. You can’t manage and operate a business from an empty pocket. You need to shell out money in order to start your business operation.
Since expenses cannot be eliminated, entrepreneurs must find a way to at least lessen the cost required for business operation. A successful business knows how to control the costs. Manage your business in such a way that every small detail of your expenses will be recorded and you’re spending at the smallest possible cost.…Continue reading