Free Business and Financing Articles

According to statistics, women entrepreneurs are starting businesses at a rate two times that of men. Though more businesses are being started by women, they generally have a harder time growing their businesses and accessing the financing they need.

Recently, in response to the current economic downturn, banks and other lending institutions have begun to increase the restrictions and requirements needed to secure a business loan. This means that getting a business loan has become harder these days. For those women who are not inclined to woo angel investors or venture capitalists, securing the capital necessary to grow their businesses can be a challenge.

What many women may not know is that financing goes beyond traditional bank loans, angel investors, or venture capitalists.

If you are a woman small business owner, and you are looking for capital to expand your business, here are a few financing alternatives to consider:

Grants for women entrepreneurs. There are many grants available through the local and federal government as well as women’s organizations that are set up specifically for women entrepreneurs. Since grants do not have to be repaid, they are a more attractive option to a loan. This money is given to entrepreneurs who fit certain criteria in order to help them achieve their financial goals

Business line of credit. Business credit can come in the form of an overdraft at the bank or a business credit card. Though both options can lead to a quick source of capital, they should be used with caution. Both methods of finance come with high interest rates, and debts can easily spiral out of control, leaving you with a bad credit history.

Tap into personal assets. Home equity lines of credit or the value of your life insurance policy can be used to secure financing for your business. Though these are popular financing methods, you should also use thse with caution since you stand to lose tremendously if your business is not profitable.

Ask family or friends. Use your connections. If you personally know people who have the funds to help your business, then ask them. But, you should be careful who you ask and only request loans for the short-term. In genral, money tends to put a strain on relationships.

Equipment leasing. This is an attractive option for women business owners who do not have enough capital to pay for the expenses of operating and expanding their company. By leasing their equipment, instead of purchasing it, women business owners can free up their working capital and thereby take advantage of opportunities to expand or improve operations.

Taking on a partner. You can alternatively acquire funds by having someone invest in your company and become a partner. The investor can be either an active parter or a “silent” one who is not involved in the business’ daily operations.

Invoice factoring. If you are looking for a way to free up capital that is tied to customer invoices, then invoice factoring is a viable option. In this case, a business sells its accounts receivable at a discount to another company. This company then provides instant payment.

Merchant or business cash advances. A cash advance is a good finance option for those businesses that process credit card sales. The cash advance company purchases your future credit card sales at a discount and provides your business with an instant cash advance. Repayment is then based on sales volume. This means, when sales are slow, a smaller payment is made during that period.

Women seeking to work from home often choose to start their own home-based businesses. Though the benefits of running a home business are numerous, many women soon realize that finding a balance between work and family can be difficult. Solving this dilemma depends to a large extent on the physical space in which the business operates.

A woman who wants to run a successful home-based business should try designate a specific space in her house that is solely for business purposes. Not only will this help her to be organized and professional, but it will also help to create a vital balance between her personal and professional life.

If you are a work-at-home mother who owns a new or growing home-based business, and you are looking to create a home office, then it is important to clarify your needs and resources before you start designing your space. The following are a few things to consider:

Where will the office be? Ideally, you will want a space that is either completely separate from your general living area, like a detached garage, or at the very least a room with a door that can be closed.

Obviously, a lot is going to depend on the nature of your business and your available space.

If only a common area is available for your business, a den, then at least try to design a set up that allows you to “lock up” the space once you have finished working.

If you are renovating a space, then choose a design that provides for adequate lighting, ventilation, heat and air conditioning. Make sure to also include phone jacks and electrical outlets.

What equipment and furniture do you need? Another important aspect of getting the right space for your home-office is acquiring the right equipment and furniture. Equipment includes a computer system as well as standard office equipment, such as a printer, scanner, or fax. Furnishing includes any tables, chairs, and file cabinets as well as lighting fixtures.

Who will use the space? If other people will be coming to your office, such as employees, customers, or vendors, then having a space that is separate, functional, and ascetically pleasing is extremely important.

When other people are involved with your business to the extent that you need to physically meet with them in your office, then the need for privacy is that much greater. Imagine trying to have a meeting while your four year old puts on a “performance” for the “interesting guest”.

What is your budget? If you need to acquire any equipment or furniture, or if you are planning renovations, then you will need a significant amount of capital. Make sure that you have the necessary funds to cover any costs associated with your home office.

If you are having difficulty securing traditional financing, then know that there are several alternative financing options available, such as equipment leasing, invoice factoring, and a business cash advance based on future credit card sales. Each one can help you to create the office you need to run your home business successfully.

Mothers looking to work from home have never before had so many options. Credit this to a growing demand for freelance workers. Freelance opportunities for working mothers are at an all time high, and all indications suggest that it will only get higher in the coming years.

Many small and mid-sized businesses across several industries have been seeking ways to cut costs, maximize efficiency, and remain competitive in markets where big businesses have the advantage. One popular tactic has been to outsource some of its functions.

Enter a wide assortment of professional mothers who are seeking flexible jobs that they can do from home. According to the US Census Bureau, over 5.4 million mothers put their careers on hold to stay home with their children.

It seems like a match made in heaven.

It is a win-win situation for the mothers seeking work and the businesses looking for temporary help. Mothers benefit because they are able to earn money, usually by tapping into their own professional skills, experience, and training, and they are still able to be at-home mothers. Businesses benefit from hiring experienced, professional workers.

There are a growing number of freelance websites online, such as the popular Elance and Guru, where employers looking for the completion specific projects and potential hirees meet up. There is even a freelance site dedicated to working mothers.

Freelance jobs can vary exceedingly. Some examples of typical freelance positions include: virtual office assistance, sales, transcription, writing and editing, web and graphic design, and consulting.

Many jobs require that you have a computer with a high speed Internet connection as well as an available phone line.

One of the biggest issues facing mothers working from home is how to balance work-life with family-life. There are plenty of women who succeed in their businesses, yet struggle when it comes to their families. And there are plenty of women who watch their businesses flounder, but they receive gold stars in the mommy department. Few women can do the two together and be successful in both.

This balance is all the more challenging for mothers working from home as opposed to an out-of-the-house job. At home, a mother’s two worlds are inextricably connected, and it is easy to be pulled in both directions- often at the same time.

Being successful as a mother and as a business owner does not mean that you have to belong to an elite group of super mommies. The following tips will help to give you some clarity on how to achieve a successful, healthy balance between work and family:

Get in touch with yourself. The first step towards a healthy balance between work and family is to get in touch with your personal goals and how you currently feel next to them.

Why did you start your business? Were you primarily looking to earn an extra income? Do you enjoy what you are doing? Ideally, how many hours a week do you want to work? Staying in touch with your personal goals will keep you focused on what you really want.

You should also periodically check-in with yourself. Are you happy with the amount of time and attention you are giving to your family and to your business? Are you giving enough to yourself?

Establish priorities The next thing that you need to do is to clearly spell out what is important to you. For example, “it is a priority to be available to put my kids to bed or to be there for meal times”… “I need to be working at least 30 hours a week.”

Like the above, this will help you to stay focused, even though there will be times when circumstances dictate that your priorities temporarily shift.

Know your limits… and stick to them! In an recent survey by American Express, which polled more than 1,100 women entrepreneurs who are trying to grow their companies to the multi-million dollar level, 1 in 3 women said that they started their own businesses to achieve a better work-life balance. Yet, over half of these same women said they were currently working over 40 hours a week!

Though there will be times when you may have to put an unusual amount of time into your business (or conversely into your family), if it is prolonged then something will have to give. Therefore, it is a good idea to initially set limits on the amount of hours you work per week versus the time you spend doing things for your family. You also need to make sure that you budget time for yourself.

Delegate and outsource. When time and responsibilities are getting too much, then try to delegate and outsource anything which you do not have to specifically do. Anyone can wash your dishes or clean your floor. When it comes to your business, you can outsource tasks, such as billing, accounting, or setting appointments.

Plan out your week. Over the weekend sit down and think about what needs to be completed the following week. Make a list, and then decide when and how you want each thing to get accomplished. Do not forget to include on your list cooking, cleaning, shopping, and any family related events.

Obviously, life can be unpredictable causing havoc to the most well thought out plans. But it will give you piece of mind to know clearly what you need to accomplish.

Get childcare. Do not make the mistake of not sending your little ones to someone else so you can focus on your work. The more productive you will feel without the distractions, the happier you will be. This will also effect you as a mother, since you will be able to give of yourself more freely.

Create a separate space. Make sure that your work area is somehow separate from the rest of the house. Even if you must work in a common area within your home, you need to be able to close off the area somehow when you are not working. It will send you (and your family) a strong message: “I work when I am at work, and when I am home I am here for my family.”