Thursday, January 12, 2012

How to Finance a Start-Up Company

OK. So you have a great idea for a company and you decide to start looking for a way to finance your start-up.  What now? Well you have to begin by asking yourself some very crucial questions first.  

1. What will the valuation of the company be once you start operating?  It all depends on many things, but generally you divide your initial start-up and operating costs between all or some of your co-founders.  Say you have a company that will have an initial valuation of $100,000 then you would divide that in 6 equal parts or any agreed combination of percentages which usually go for $1,000 per percent.  If I would want a 10% stake in your company, I would need to dish out $10,000.

2.  How much money do you need to start and continue operating for, at least, two years even if your not generating profit from your company?  Normally, this is where you begin searching for a Bank that can give you a Small Business Loan.  For this you will probably need financial statements from all your Co-Founders, so choose your partners wisely and make sure that you are effectively partnering and not just accepting partners because they have cash.  Check out Steven K. Scott's story on how he effectively partnered to create one of the fastest growing companies today!

3.  To be continued... 

Friday, December 31, 2010

Network Marketing Made Easy

Network marketing has proven to be one of the most effective ways for ordinary people to generate extraordinary wealth. The failure rate in this industry, however, remains dismally very high--up to 95%. Nonetheless, Network Marketing has become a very popular form of starting a home based business. But the choice of the correct Network Marketing company for you can be a challenging task.

Most people do not even know how to determine whether a potential Network Marketing business is legal or not. But by asking a few simple questions, you can confirm that the business you are interested in meets the requirements of the laws of your state. To not do this is simply unwise and not doing your "due diligence". You will be setting yourself up for a major disappointment.

First of all, ask if "The Company" is legally permitted to operate in your State or Country. This is extremely important and it is the cause for the majority of failures in MLM. Even if they tell you that you will be a "pioneer", "one of the first", etc., you really have to do some research as to who is behind the company (who are the Co-Founders), the product or products that will be marketed, the quality of the product, and if there is a decent customer service model in place.

Network marketing should be considered as an independent business, and not something people do as a hobby. Network marketing offers opportunities for people to live their dreams. However you must have the right systems and tools in place to be successful. It is crucial to use proven duplicable systems that others have used to be successful. Otherwise you will find yourself re-inventing wheels that will ultimately lead to frustrations and failure.

Some of the most well known network marketing companies worldwide are Amway, Shaklee, Mary Kay, Tupperware and Avon. But there are a few lesser known Network Marketing companies that have everything in place to become major players in the Industry. Among those few, ONE stands out as the "Next Big Thing" in Direct Sales. That ONE is Max International. After weeks of researching this company, I had no choice but to try their products and I was absolutely blown away.

Now I've got to tell you, I had absolutely NO intentions to join another MLM, or any other business for that matter, because of all the past disappointments. But after a few weeks of research and trying the products, I had no choice but to join. THIS is the opportunity I had been looking for all along.

Now it's YOUR turn. Do the research, do the math, THIS IS IT!!! http://sanz.max4u.com/

Saturday, July 17, 2010

The Need for a Revolution in Network Marketing

Network marketing as a business structure has been revolutionary in its own right. It has given millions of people unequaled opportunity. It has been instrumental in eliminating bureaucracy and instilling a corporate culture of merit and equality.

However, it has also developed a bad name. Like any industry, the problem isn’t with the structure; it’s how it has been applied by specific individuals and companies. Every industry and company will experience difficulties when corporate leaders exploit and manipulate, and associates are self-seeking. The loss of principles in the name of expediency always produces negative consequences.

Unfortunately, many have forgotten the lesson of the Golden Goose. Through exploitation and expediency, and urged by the desire to get rich quickly, companies have cut open their assets and killed them in the process. Principles and people combine to form the true asset—or the “Golden Goose”—of “A” companies. When greed sets in, these are neglected, people are hurt, and ruin ensues.

Many traditional companies care little about building for the future or making lasting impact. They’re in it solely for the money. Likewise, many hard-core network marketers don’t care about the product or the purpose—they are just trying to make money. They want to get all of the eggs as fast as they can, however they can. Their methods become exploitive.

They strive to get in at the right time, jockey for position, and manipulate others, versus believing in a product and purpose and building something that will last and make a difference in the lives of everyone involved for years to come.

“A” companies understand that there are a lot of eggs to go around and that everyone can be blessed and uplifted when the “goose” is properly cultivated. This principle-based, abundance mentality leads them to believe in the mantra, “Together we are better.” These are the companies that last and that improve the world. An “A” company has a credo culture that is designed to protect the goose.*

*Excerpt from THE MAX CODE - For more information Click Here

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