Simple Tips to Secure Your Future Wealth Your Way to Success by Mark R. Graham Introduction: A second source of income through our own enterprise is a dream which is in the hearts of all of us. Some of us are fortunate to get started on changing this dream into reality. A key factor behind the success of our own venture depends on how we handle finances. Because of what we strive behind this venture, it happens from the residual time of our primary job, it can be difficult to manage all aspects of a secondary business. While most of us focus on the main aspect of the enterprise, it is important to understand that while the main business brings in money, if our finance is not adequately managed, we will lose it before we realize it can walk. The most common mistake among novice entrepreneurs is how they handle their credit. In most business enterprises, credit is an indispensable component. We need credit for initial start-up investment, or to keep a list of the goods we sell, or to pay to the professionals we keep. Generally these investments are received in the form of loans - either from government, financial institutions or from our friends and family.
Regardless of where and how the loan was received, one should follow some simple tips to ensure that they are not trapped in the debt trap and secure the future money which they through the medium of enterprise. Trying to create the first lesson is that they borrow or lend money, keep a written and official record of them. Before borrowing, we must prepare a complete and full-proof repayment plan with necessary backup strategies. Similarly, when we lend money, it is important to make sure that you have the appropriate channels to withdraw your money at the proper interval.
According to Mark R. Graham while borrowing from financial institutions and other agencies, it should be ensured that repayment is determined in the most appropriate manner. The default on repayment should be avoided at any cost. There are many credit unions that monitor every borrower, and a credit score is calculated on the basis of how well you repay the credit collected from the market. Your personal and business credit card transaction is part of the credit score calculation, which is why we need to be extra careful while dealing with our business finance. A good credit score is necessary for any future loan you want to take as it determines the amount of loan approved against your name, and if you have a good score, the interest rate is favorable. Maintaining a transparent and simple credit history is the best bet to achieve your future wealth.