8 Strategies to Keep Your 1stMillion: Need Business Funding?
Mismanaging money from the very start is the number-one mistake business owners make. What steps should you take to keep your first million? How can you get business funding without difficulty? This article will tell you what and how.
How to Keep Your First Million and Get Business Funding
Starting a business isn’t easy. Running a successful business requires the right strategies to use. Having access to the necessary working capital is one of the vital points you can’t leave in ignorance.
Obtaining affordable, secure and reliable business financing can never be an issue if you turn to a reputable payment expert in the field. A respectable alternative online lender can help you easily get the best business funding tailored to your own financial needs.
Now, let’s see what you should focus on so to be able to keep your first million you make in your new business:
- Your Business Should Have a Solid Financial Model
Know your cash flow and determine your expenses well. Estimate the amount of time you’ll need to create enough profit and free cash flow for self-supporting. If your business already generatesenough cash to operate on its own, start cutting your personal exposure.
- Know the Amount of Money You Can Put at Risk
Every business venture is associated with risks. What if you’re risking to lose some money? Be prepared for everything. Know how much you can risk.
- Keep Your Personal and Business Finances Separate
Open a different account for your business finances. By keeping your business finances separate, you’ll be able to keep control over your spending and not accidentally run through your personal finances.
- Use Different Credit Cards for Personal and Business Purposes
Don’t use the same card for personal and business expenses. Otherwise, you won’t be able to track and leverage your expenses for tax purposes.
- Don’t Postpone Hiring a Bookkeeper
A bookkeeper will help you with tracking income, expenses, assets, and liabilities. He/she will help you professionally set up your “chart of accounts,” reviewing your numbers periodically, and preparingthe necessary federal, state and local tax returns.
- Turn to a Reputable Business Attorney
A true professional will help you in almost every aspect of your business. This refers to basic zoning compliance, copyright, trademark, as well as formal business incorporation, lawsuits, and liability, etc.
- Focus on Marketing and Acquisition
Know and understand your target audience well. See how you can get in front of them. Use a targeted and streamlined approach for building your business in a scalable way.
- Track Your Progress Constantly
Don’t fail to track your progress at least once a week. Measure the number of customers you’ve served and work on serving more customers. Evaluate the key steps on your journey that can help you become the number one.
It’s not easy to make and keep your first million dollars. Each business is unique, and there isn’t a set recipe to get to a million dollars. However, there’re several important strategies that can enhance and streamline your process so that you can achieve your goals.
Author Bio: As an account executive, Michael Hollis has funded millions by using alternative funding (or business funding) solutions. His experience and extensive knowledge of the industry has made him a finance expert at First American Merchant.