By Gerri Detweiler
Covid relief loans, such as the Economic Injury Disaster Loans (EIDL) and Paycheck Protection Plan (PPP) loans, have provided millions of businesses with critical funding. But with hundreds of pages of ever-evolving guidance about these loans and grants, it’s no surprise that many business owners find themselves confused and unsure where to turn for help with their PPP and EIDL questions.
At Nav, we’ve written extensively about both the Paycheck Protection Program and EIDL, and as a result, we’ve responded to hundreds of questions about these programs. Some of these questions are easy to answer, for example: (more…)
By Susan Guillory –
If you run an e-commerce business, that is, you sell products online and ship them to customers, how do you ensure that you keep inventory stocked, even when funds are low? Here’s what you need to know about e-commerce financing
It’s a Catch-22: you sell your products to make money. But you need money to buy those products to sell. What if you don’t have the working capital on hand to do so?
That’s where e-commerce funding comes in. You can take out a loan to purchase what you need, then pay it back from your profits. (more…)
By Sharita Humphrey
Your business credit card is more than just a piece of plastic to buy supplies with! If you use it properly it will help you build a solid financial foundation for your business.
But in order to use it well, you’ll need to learn the lingo that goes with your new card. Like the rest of your business, getting to know your way around the terminology can come with a learning curve! The following list of terms will help you be an informed business owner. And you’ll be able to maximize the value of using your business credit card.
1. Annual Fee: Some credit cards charge a fee for every year that you keep the card. While annual fees are more common on credit cards that come with rewards, or for rebuilding bad credit, some cash-back rewards and small business credit cards also charge these fees. Also, depending on the credit card, you may not have to pay an annual fee for the first year that you own it. (more…)
By Sharita Humphrey –
Every year, thousands of people start up their own businesses. Although they venture into different industries, they have one thing in common. They need money and capital to fund their business. A business simply can’t survive without finances. Even if you have the best idea, service, or product, it is not enough to sustain a company.
Securing funding for your business is not the key to its success. However, financing plays a huge role in your entrepreneurial journey, especially at the beginning.
Let’s dive into eight truths about securing financing for your business:
1. Small business owners should focus on cash flow over profit
A major mistake that many small business owners make is focusing too much on profit. What you should be doing is focusing on your monthly cash flow. Cash flow measures the ability of your company to pay its expenses on an ongoing basis. (more…)
By Ken Boyd –
Tracking business expenses can be a lengthy process — and it can get out of hand quickly. It’s easy to lose track of your expenses or forget to record a transaction here and there. But inconsistent or incorrect expense tracking leads to inaccurate data that can result in stressful financial audits.
Here’s the good news: Expense tracking doesn’t have to be a thorn in your side. It’s possible to create an expense tracking system that doesn’t eat up your time or cause financial stress. The first step towards building this system is understanding how the accounting process works.
Understanding the accounting cycle
In a nutshell, the accounting cycle begins when you make a financial transaction. Record the transaction using a journal entry and post it to the general ledger. Once all transactions are posted, generate a trial balance. You can then use the trial balance to produce financial statements, including a balance sheet, income statement, and cash flow statement. These statements help you determine the financial status of your business.
Let’s take a closer look at each step of the accounting cycle. (more…)