Tag Archives: Jamaica

Small Business Financing: Is it impossible to get it without collateral?

Business Success, , , ,

“After reading your column last week, I must agree with a lot of things you said. I am a small business operator for the past ten years and I have found that a loan is one of the hardest things to access. A small business like mine aspires to become a big business one day but when no one wants to lend you the amount of money that you want, you will never reach that goal.

“If every time I need a loan I can only get J$30,000 then I will remain a small business owner for life. Are the banks really interested in helping small business or are they just interested in making their interest? Let’s face it- a lot of small business operators don’t own land or houses so telling us we need a registered title or car title to access funds only drives us up the wall and give us no hope.

“As the saying goes BANKS ONLY LEND MONEY TO PEOPLE WHO DONT NEED IT.”

These are the words of a clearly frustrated business owner who emailed me last week. I have reprinted this passionate plea almost in its entirety because his views seem to reflect many of the concerns and complaints I receive constantly from entrepreneurs. Finding money to turn a business dream into a reality can sometimes be a nightmare. Continue reading Small Business Financing: Is it impossible to get it without collateral? →

Small Business Financing: What you need to do to get it

Business Success, , , ,

The entrepreneurial spirit is alive and well in Jamaica, as statistics show that more and more people are opting to start their own small businesses. However, idealistic business owners are often hit with the harsh reality that most enterprises need financing in excess of what their pockets can provide.

Last week we looked at some funding options as outlined in the Small Business Financing seminar organized by the Jamaica Trade and Invest (JAMPRO) recently. These included the traditional forms of equity financing and short and long term loans, as well as alternative sources that involve making arrangements with suppliers or customers to improve the cash flow of the business.

Although there are varied options available for financing, small business owners sometimes find it difficult to access these funds. Continue reading Small Business Financing: What you need to do to get it →

Getting Financing For Your Small Business

Business Success, , ,

While many people who are stuck in a nine-to-five job may dream about chucking it all in and starting their own business, the reality is that an entrepreneur’s life is not an easy one.

When a person takes the big step to become his or her own boss, many daunting questions come to mind, such as; “Do I have what it takes to run my own show?” “What if my idea is not viable?” What will happen to me if I fail?” “Where will I get the money I need to carry out the business?”

One of the major challenges that business persons face is the need for financing. With many start-up businesses, the entrepreneurs have little more that a germ of an idea and a big vision to present to a prospective lender.

With the high failure rate among new enterprises, it is no surprise that many businesses find it difficult to raise the financing they need to succeed.

Continue reading Getting Financing For Your Small Business →

Raising Money-Smart Children Pt 2

Kids & Money, , , ,

In these challenging economic times, when the spending power of a dollar is declining but expenses keep increasing, it’s important for parents to equip their children with the necessary skills to become good money managers.

Last week we learned how Andrea Reid-Davis, a realtor and shrewd investor, has successfully taught her daughters Gabrielle, 18 and Gayan, 14 to save and earn money. Their wisdom with money belies their years, and this week we’ll look at some of the strategies they have used to enrich themselves.

The Value Of Work

One of the key principles that Reid-Davis has passed on to her daughters is the value of honest labour. She insists that children should be very aware of the work that their parents do to get money to take care of them. This is even more important when the adults have a family business, she confirmed, as children should be encouraged to participate by working in the enterprise. Continue reading Raising Money-Smart Children Pt 2 →

Raising Money-Smart Children

Kids & Money, , , ,

“I just negotiated to reduce my bill by US$20!” shouted Gayan excitedly.

Her smile shone brightly not just because of the rows of metal on her teeth, but also from her pleasure in successfully making a deal to save money. I looked up in amusement, wondering what on earth a 14-year-old kid knew about the art of negotiation.

I turned to her mother, Andrea Reid-Davis and asked her what kind of negotiations her daughter was involved in. She noted that Gayan had just bargained with the orthodontist’s assistant to cut her bill for fixing her damaged braces.

Reid-Davis explained that because Gayan kept eating the wrong foods, she would regularly break the bands on her braces. To ensure that Gayan realized the consequences and costs of her actions, the smart mother decided to have Gayan pay the bills from her savings. Continue reading Raising Money-Smart Children →

Managing Money for College Students

Budgeting, Spending, , , ,

I’m heading off to university for the first time this September, and I’ll be living on campus. I’ve never left home before and I’ve been accustomed to having my parents buy everything I need. I would like some advice on how to spend my money carefully and stay within my budget.”

College life can bring new-found freedom for most young adults. For perhaps the first time, they can make their own decisions: how long to stay out at night, what type of food they want to eat, what to spend their money on. The problem is- most students have had little experience in managing money, and end up making poor choices when it comes to their finances.

Here are some tips to help you to successfully navigate the tricky financial waters throughout your college years: Continue reading Managing Money for College Students →

Don’t Give Up!

Money & Your Mind, , ,

“I don’t know where to turn financially- I was made redundant and was without a job for two years. Then I started a little shop and a hurricane destroyed everything I had. I tried to make some money in a network marketing business, but the profits were too small to make a difference. To add to it all, my girlfriend is expecting our first baby in three months. I really feel hopeless right now.”

As a financial coach, I hear a lot of stories of financial despair. Sometimes it’s the quiet desperation of persons who are outwardly successful with all the trappings of wealth, but are inwardly terrified because the bank owns it all, and they know that a missed pay cheque can lead to financial ruin.

Then there are the plaintive cries from those who have no income- tales of job unavailability, impending foreclosures, and bailiffs at the door abound. Then somewhere in between are the masses of people mired in credit card crises, spending addictions, pension-less retirements, failed businesses, and payroll loans spiraling out of control. Continue reading Don’t Give Up! →

Are you too generous with your money?

Money & Your Mind, , ,

“I’m trying to turn around my financial life – I’ve paid off my credit cards, and I’ve stopped overspending. However, there’s still one problem that’s preventing me from building up my savings.

“Every time I have a little extra cash, someone turns up with a hard luck story and I end up lending them the money. Although I don’t usually get paid back, I can’t seem to stop giving away my money. Help!

There are universal and biblical laws that point to the benefits of charitable giving. Those who believe that money is abundant and donate freely to worthy causes usually find that their own personal fortunes increase as their giving grows.

Many of the world’s wealthiest people like Andrew Carnegie, Bill Gates, and Jamaica’s own Ferdinand Mahfood, have established foundations that have helped millions.

Although we are told that “It is more blessed to give than to receive,” or “In charity there is no excess,” is it possible that you can be too generous with your money?

Continue reading Are you too generous with your money? →

Making Money in the Forex Market

Investing, , ,

“Many of my friends are talking about making lots of money in currency trading. However, I feel a little nervous about it, because I have seen all the advertisements telling us to be careful how we invest our money. Is investing in foreign exchange trading really legal, and why has it become so popular recently?”

Jamaicans are usually never far behind in following the international trends, whether it is the latest car, clothing line or hit music. It was only a matter of time before we discovered that there was money to be made in the financial world’s largest and fastest growing market – trading in foreign currencies.

Foreign currency trading, also called forex, currency market, foreign-exchange market, or just simply FX, has until recent years been carried out only by big financial institutions, large conglomerates and central banks.

However, the growth of the internet and the increase in investors’ knowledge and appetite for risk, has allowed many average people to take advantage of this investment opportunity. Continue reading Making Money in the Forex Market →