Are You Allowing Fear To Hold You Back?

During the course of my business, I can recall the times when I was at a standstill. It was the times when I would come to a complete standstill due to fear. Not only was I afraid to fail, I was also afraid to succeed. What comes after the desired result is achieved? Where do you go from there?

For a long time I kept myself busy with lots of research and studying. I wanted to make sure I understood every facet of the business before I began. I had lots of contracts created, I spent lots of money on the latest and greatest program that promised results. I hired a VA to post wholesale listings for me. What I didn’t realize was that I still had an underlying fear that prevented me from performing more effectively and hands-on. I was taking action, so I felt like I was doing all the right things to make my business work. It wasn’t until I realized that I needed to take the plunge and face my business head-on. I needed to set fear aside and take control instead of prematurely assigning tasks to someone else. I am now able to be honest with myself about what actions I need to take for my business to succeed.

If you had to be honest with yourself, what would the reason be that you’re not taking your business to the next level? It is fear of the unknown, fear of failure, fear that the changes you make still won’t affect your business the way you want it to? The question is, will inaction in the hopes that your business will turn around on its own a chance you are willing to take?

I wish you nothing but the best in your business ventures, and I hope you can learn from my mistake. Be bold, your business deserves it!

 

Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness that most frightens us. We ask ourselves, Who am I to be brilliant, gorgeous, talented, fabulous? Actually, who are you not to be? You are a child of God. Your playing small does not serve the world. There is nothing enlightened about shrinking so that other people won’t feel insecure around you. We are all meant to shine, as children do. We were born to make manifest the glory of God that is within us. It’s not just in some of us; it’s in everyone. And as we let our own light shine, we unconsciously give other people permission to do the same. As we are liberated from our own fear, our presence automatically liberates others.- Marianne Williamson

 

Until next time,

Tony

 

Hesitant About Using Alternative Funding?

In today’s economic times, business owners are in need of a financial boost.  Yet when they turn to the big banks for some help, they find themselves coming up short.  Lending criteria has become so strict, the average business owner will not meet the qualifications.  So why aren’t more turning to Alternative Financing?

Discouragement

When you’ve been turned down by the big guys, chances are a business owner does not want to subject themselves to another rejection.  But businesses deserve a fighting chance, and all avenues should be explored before throwing in the towel.  Since alternative financing is more lenient than conventional lending, another rejection is not likely.

Sounds too good to be true

“So I can get financing for my business with D credit? Yeah right!” Although it sounds like a gimmick, there are programs that support all types of credit and financial situations, with great LTV rates.

It takes too long to get approved

It can take five days to close and receive funding.  That’s less than a week’s time, how long is that in the grand scheme of things?

 

Here are some examples of what you can expect with alternative funding:

• Up to 65% Loan-to-Value Ratio
• Commercial Property Acquisitions & Refinancing
• Development and Construction
• Hard Money and Bridge Loans
• Bankruptcies, Foreclosures, and A-D Credit accepted

Contact us with any questions you may have, it’s easier than you think!

 

 

Infinity Financial Resources has a Variety of Funding Programs

If your business is in need of funding, we may have the program that is right for you!  We have access to funding whether you have full or low docs, from A to D credit.  If you need money to refinance, or acquire commercial properties, we can handle that and more. Take a look at some of the criteria for these programs.

Full Doc Program

Conventional funding requires a 650/680+ credit score.  Loan terms range from 15 – 30 years amortized, $250K – $20MM + and Competitive Rate/Terms. SBA & USDA programs available.
Property types considered are:

Apartments

Shopping Centers

Office Buildings

Warehouses

Owner Occupied Buildings

Medical Buildings

Mixed Use Properties

etc.

Low Doc Program
The Low Doc Program is for A – D credit scores and income producing properties – either business owner occupied or for investment purposes.
Property types considered are:

Multifamily (5+ Units)

Office Building

Retail Locations

Office Condos

Light Industrial

RV/Mobile Home Parks

Special Purpose
Etc.

Prefer 500+ Scores but may consider lower on a case by case basis.

Minimum is $50k & max is $5m depending on the overall situation.  Terms are 6 months to 10 years.

LTV’s range based on scores, property types and location from 45% – 65%.

Rate Term Refinances
Cash-Out Refinances
Acquisitions

Hard Money Program

Hard, or private money, is best used when there is a short timeline, when the property involved does not meet conventional lending criteria, or there is a bad credit history.

Commercial -LTV from 55%-65% (special circumstances up to 75%).

Multi-Family – LTV  from 55%-65% (special circumstances up to 75%).

Interest Rates – Generally 12% +

Points – 3 to 8 points (including investor & brokers).

Closing Costs – Paid by the Borrower(s) and/or out of the proceeds of financing.

Third Party Reports – Paid by the Borrower ( appraisals, environmentals, surveys etc.)

Another example of  private money lending criteria:

Loan size from $1 million to $100+ million

Flexible loan term from 1 to 3 years

Rates vary from 12-21% annually, interest only, depending on collateral and loan structure

Fees of 3-10% of the loan amount may be included

Real estate and other fixed or liquid assets used as collateral.

 

If any of these pique your interest, let us know what we can do for you!

Tony

 

 

Purchase Order Funding??? Yes, Please!

Yes, Infinity Financial Resources has yet another way to supply your business with additional cash flow opportunities.  This time we are offering the opportunity to “cash in” on Purchase Order Funding.

Why is Purchase Order Funding needed?

A purchase order is simply an agreement stating that a product will be bought at a specific price.  When a business receives a purchase order for goods or services, the business will often need money in advance to buy the service that has been ordered. In some cases, cash can be advanced on a purchase order, allowing the business to receive money to fulfill the order.The terms are agreed upon between the business and the funding company.

Is this the same as Factoring?

Purchase Order Funding is a little more risky than Factoring because it is a promise to purchase goods rather than an invoice for goods that have already been purchased.  Because of the additional risk, funding sources will charge higher fees, advance a lower dollar amount, and have a Factor buy out their interest once the products have been delivered and invoices have been sent. As an additional safeguard, the cash advance is not sent to the business owner, but it is sent directly to the business owner’s supplier to ensure that the funds are being used correctly.

How are Purchase Orders funded?

A customer that already has a factoring situation in place can have their Factor fund them.  Or, a funding source that specializes in PO’s will fund them and have a factor step in and give the funding source the advanced amount plus their fee after goods and services have been delivered.

For example, John Smith owns a company that buys vases from a local supplier and distributes them all over the US. His company uses factoring as an additional cash flow.  He received a $50,000 purchase order from a flower delivery company. He wants to fill the order and figures his cost to be $30,000, but he only has $15,000 available.

The cash flow broker that arranged Mr. Smith’s factoring arrangement contacts the Factor’s funding company, who agrees to fund the purchase order. The $15,000 that is needed is sent directly to Mr. Smith’s local supplier of the vases.

Purchase Order Funding can be a great way to meet your business needs for additional cash flow. Contact us for more information.

 

An Affordable Way to Get Equipment and Supplies for Your Business

Laptops, copiers, desks, oh my! Furnishing your office and buying everything it takes to run your business can be overwhelming– and costly!  Many companies have discovered how to get the equipment you need without breaking the bank– Equipment Leasing Funding.

What type of business can benefit from Equipment Leasing?

• Construction companies
• Doctors offices
• Real Estate businesses
• Companies that use production line equipment
• and many more!

Why should you lease equipment?

• The value of equipment rapidly decreases, and technology becomes obsolete at an alarming rate. Spending money to constantly replace equipment is a waste of resources.
• The money saved on leasing can be used to build up cash reserves for emergency use– unexpected expenses, low sales, etc.
• You can take advantage of tax incentives where leasing is concerned (review Section 179 on Qualified Financing).
• Qualification is asset-based in some cases, and in other cases where credit is a factor, slow pays, tax liens, and bankruptcies will not disqualify you.

Over one-third of US businesses take advantage of leasing. You will find that the majority of businesses, large and small, lease some or all of their equipment.  They are smart enough to realize that their capital is better utilized in other areas.  Find out today what a lifesaver equipment leasing can be.  Contact us today!

 

Real Estate, Cash Flow Solutions, and Now…

…I provide Life Insurance as well! I recently obtained my license and I am adding that to my “repertoire” of doing business to help other people.  Being in this business, over the past few moths, I’ve had the misfortune of seeing what can happen when you are uninsured or underinsured. A couple of weeks ago there was a story on the news where a family held a fundraiser for their 19-year-old family member’s funeral.  He was so young that it wasn’t even a consideration to insure him.

There is nothing worse than seeing a family grieve over the loss of a loved one, and at the same time, try to collect enough money for funeral expenses.  Insurance is one of those things that no one wants to talk about until it’s too late.  But the old saying rings true, ‘it’s better to have it and not need it than to need it and not have it.”

Another thing I have realized while talking to lots of different people, is there is a fear of speaking about death and insurance in general. People feel you are “putting a price” on someone’s death, or you are “speaking death into existence.”  Let’s be perfectly honest for a moment.  Everyone will have a time when death is going to become very real.  The real question we all need to ask ourselves is, do we want to leave the burden on our families to take care of our expenses? Life Insurance is the last act of love you can demonstrate to your family members.  It is the last effort your family sees from you that you cared enough about them to be responsible and selfless.

Not only is there a benefit to them, there are policies available that accumulate cash value over time that may come in very handy if you need to borrow from it.  The earlier you start, the lower your premium, and you get the greatest advantage of the various types of coverage available.

Being proactive brings peace of mind, added protection, and personal satisfaction because you have made arrangements to ease the burden on someone else, whether it be your spouse, children, etc.  If you are in Texas and want to learn more about what we offer, contact me and let’s see what we can do!

Until next time,

Tony

 

If You’re Considering Selling Your Note…

…What are you waiting for?!  Selling your note may be the best way to lighten the proverbial load that is weighing you down in your business.  If unforeseen financial hardship has changed the direction of your business, or if you have become a reluctant lender just to get your business or property sold, selling your note may be the start to putting things back on track.

There are numerous advantages:

• Use your capital for new investments or in any way that you choose.
• The stress of potentially delinquent payments is eliminated.
• Your reluctant role as a lender can now be vacated.
• Pay off debt, save for a rainy day, or earn interest at a greater rate than you are currently receiving in your payments.
• The time value of money; the money you receive in future payments will be worth less than the money you can receive now in a lump sum.

Some of our most asked questions:

What is the note selling process?

• Once provided with basic facts about the note and property, we will assess the information you’ve given and provide you with a quote. If you approve the quote, we will request copies of all pertinent documentation to complete the due diligence process to buy your note.

What makes a note attractive to buy?

• The quality is generally determined by the payment history, the seasoning (or age) of the note, and the value and condition of the property. The payor’s credit history and size of the note are also factors in determining if a note is sellable.

Am I able to sell a portion of the note?

• Yes, you can sell some of your payments or even a portion of each payment you receive each month.

When will I receive my payment?

• Each situation is different. Payment(s) are received anywhere from 10 to 30 business days after the quote is approved and all documents are received.

Selling your note gives you the freedom to use your money however you choose.  It is one way to increase your cash flow without incurring more debt. We buy various notes of all sizes, including but not limited to: 

Residential & Commercial Notes (Seller Financed)

Portfolios (Performing and Non-Performing)

Mobile Home Notes and Leases

Business Notes

Automobile Notes

Marine Notes and Leases

Infinity Financial Resources specializes in providing cash now solutions for your business, commercial, and seller-financed notes. Allow us to assist you with putting cash in your pocket to meet your current financial needs. Email us today!

 

Is Factoring Right For Your Business?

Would your business benefit from an additional cash flow without adding more debt?  If the answer is yes, factoring may be right for you.  Many times large amounts of capital are tied up in our business, essentially tying our hands from being able to reinvest or meet basic business needs. Factoring, also known as Accounts Receivable funding, can be the lifeline to any business.

What is Factoring?

Factoring, also known as Accounts Receivable funding, involves the purchase of the accounts receivables of a business by a funding source (known as “the Factor”). The Factor buys the invoices at a discount, which supplies the business with cash to be used to increase sales, meet payroll, or whatever the business owner chooses to do with the money.  The Factor gives the business a percentage of the invoice amount, and holds a percentage of the invoice amount as a bad debt reserve.  The business’s customer submits the payment of the invoice to the Factor, who rebates the business the reserved amount minus the factor’s fee.

Factoring Example

Shirts, Inc. receives an order for 500 shirts from T-Shirt World. They send the shirts and a $5000 invoice with 30–day terms.

Shirts, Inc. gets another order from another company, but they do not have the capital to purchase the materials. However, they can factor the invoice from T-Shirt World to receive the capital to complete the new order.

The Factor gives Shirts, Inc. a cash advance of $4000 for the $5000 invoice and holds $1000 as a bad debt reserve. When T-Shirt World pays the invoice in 30 days, the factor sends Shirts, Inc. the remaining $1000 minus a $250 fee. So Shirts, Inc. receives $4750 for a $5000 invoice.

There are numerous benefits to factoring:

1. Your business sees an increase in capital without having to create a loan.

2. The quality of the business qualifies you, not the quality of your credit.

3. It closes the gap between the time a business invoices the customer and the time the money is received from that invoice.

Contact us if you are interested in learning more about what factoring can do for you!

Until next time,

Tony

 

Infinity Financial Resources, at your service!

At IFR, we strive to be one of the best cash flow sources for those who need financing.  Whether you need to sell your note, obtain financing for your construction project, or create a cash flow from your accounts receivables, we have the answer for you. In future posts we will show the various financing options we offer. Stay tuned!