Budgeting Archives - Page 3 of 4

Cash flow management is necessary for startups and small businesses because it is the foundation of a business’s ability to operate. It’s managing cash resources to ensure that cash is always available for business operations.

cashflow

We will explore why cash flow management matters, and how startups can make it easier to manage their cash flows.

What Are the Key Factors that Impact Your Cash Flow?

The key factors that impact your cash flow are the management team, venture capital investors, and revenue projections.

In growing your business, you need to ensure you have a strong management team. Your team should provide a clear vision for the company and be able to execute it. They should also have experience managing and running a business, helping them manage finances more efficiently.

Revenue projections are also important, as they can help you plan what you need for growth. It can also help you decide whether you should take on additional investment from venture capitalists.

Creating a Cash Flow Plan that Works for Your Business

Cash flow is a term that most businesses know but few understand. It’s turning revenue into cash, and then back into assets or investments. To create a successful cash flow plan for your business, you need to fully understand your expenses and how much money is required to succeed.

A cash flow plan helps track your money and identify growth opportunities. The first step is to reflect on the strengths and weaknesses of your approach so far. What has been successful and what hasn’t? This will help you map out the next steps in your process.

Here are a few steps to creating a cash flow plan:

Establish your business objectives. What are you trying to accomplish? Review the company’s goals and identify the milestones.
Plan for growth: How will you get more clients or customers and increase revenue?
Evaluate your momentum: How can you keep the momentum going and build on it?
Plan for sustainability: How do you plan to continually expand what you’re doing?
Create your budget: Break down expenses into categories. Create a budget based on projected cash inflows and outflows.
Consider contingencies: What will happen in an emergency or if revenues don’t meet projections? What steps will you take to stay in business and get results?

Finance Tips to Enhance the Growth of Your Business

Having a financial strategy in place is critical, especially when you start with low capital. You need to be aware of your financial goals and how you can get there.

To start, understand the difference between your fixed and variable costs. Fixed costs don’t change, whereas variable costs fluctuate based on revenue. A business should carefully analyze its fixed and variable costs before deciding on which type of financing it needs if any.

There are different financing options available for businesses, such as invoice factoring, loans, venture capital investments, and equity investments. For small businesses with little capital, invoice factoring might be the best option for funding business growth.

Consider crowdfunding. If you have a product in the pipeline and need funding, crowdfunding is a great way to raise capital, especially for startups that don’t yet have strong cash flow.
Negotiate with suppliers. Suppliers may be open to more favorable payment terms. This will give you more time to pay without getting deep in debt.
Don’t try to grow too fast. Additional employees are an important asset, but investment and return must be evaluated. Consider salaries, employee benefits, supplies such as computers, and desk space. Outsourcing might be a better choice.
Explore invoice factoring. You can sell your outstanding accounts receivable to an invoice factoring company in exchange for cash. A factoring company is a quick way to get financing and free up working capital.
Run a lean operation. Find ways to do more with what you already have. This can be challenging due to a lack of time and resources, but small changes can lead to big results.
Use good tasking software. Task management software is a digital tool that helps organize, prioritize, and delegate your work and stay on track. Task management software is a must-have for any company focusing on productivity and saving money.
Plan for and invest in growth. Identify areas for growth, and reinvest in the company to compete at a higher level for greater success down the line.

Conclusion

Cash flow management is vital to all businesses, particularly for start-ups on a tight budget. Approaches vary depending on the company’s needs, but planning is essential. Startups can generate money in several ways, including invoice factoring with a reputable factoring company, equity crowdfunding, and planning for growth. By effectively managing their cash flow, startups can generate more revenue and become more successful.

Budgeting

Creating a Budget for Beginners: The Ultimate Guide

ByCFI.co

Did you know that more than 63% of people in the United Kingdom are in debt? When it comes to finances, it can be hard to take control of your own money. It might sound easy in theory, but when it comes down to it, many people end up spending more than they should.

Fortunately, this isn’t an inevitable problem as long as you have a budget plan. But how should you go about creating a budget in the first place, especially if you’ve never tried doing it before? Keep reading and learn more about how to budget your money so you can leave your debt behind you.

Try the 50/30/20 Budget Plan

At some point, you may have heard of the 50/30/20 budget plan, but what is it exactly? It is actually one of the most efficient ways to budget your money and it involves splitting up your income into three sections. First, you will need to spend around 50% of your income on necessities.

Be sure to calculate this after you factor out your taxes. Your necessities, as the name suggests, should only include things that you can’t live without. So, your necessities would include your rent, car, and other things such as food.

The majority of your income will go to these things because they are the most important. When you create a budget like this, you won’t have to worry so much about having to pay for your necessities because they will be the first thing that you pay for in the first place. But what should you prioritize next after you’re done spending money on your necessities?

Next, you will want to divide around 30% of your income for your wants.

What You Need to Know

Your wants, as the name suggests, involve things that you want to enjoy and splurge on. For example, you can spend money on going to a movie, buying a nice new pair of shoes, or anything else that you might feel like doing.

Spending money on your wants, of course, is one of the more enjoyable parts of starting a budget. However, you will want to be careful not to go overboard with your wants. Many people enjoy spending money on fun things that they end up forgetting all about the 50/30/20 rule.

As long as you keep in mind that you should only spend 30% or less of your income on wants, you won’t have to worry about running out of money and ending up in debt. Finally, there is the 20% of your income that you will need to focus on debt repayment and savings.

This 20% is very important because it can help you dig yourself out of your financial hole so you can leave all of your debts behind you. It might seem difficult to do at first, especially if you have a mountain of debt, but as long as you’re persistent and follow the rest of the 50/30/20 financial budget, you will eventually reach your financial goals and be free of debt.

Keep a Close Eye on Your Money

The 50/30/20 budgeting plan will only be able to take you so far when it comes to saving money and getting out of debt. It won’t be able to help you plan out the details of your budget. Instead, you’ll have to do that for yourself.

The problem that many people have when it comes to budgeting is that they forget about the little details of their finances. Many people end up getting so distracted with large costs such as medical bills, rent, and other things that they end up forgetting about the smaller costs and making the mistake of thinking that they don’t matter.

However, you will find that small costs are just as important as large costs. This is because small, unaccounted costs can easily start to pile up if you’re not careful.

The Details

For example, suppose you buy a charger for your phone, some snacks for the car, and a few other small things.

All of these items are quite cheap on their own, so you might not even bother factoring them into your budget. However, after a few weeks or months of ignoring these small costs, you will start to wonder why you aren’t saving as much money as you were hoping. The reason will be that these small costs have been slowly siphoning your savings without you even realizing it.

This, of course, can put your budgeting plans quite far back. To avoid this, you will need to stay on top of everything you’re spending, even if you’re only spending very little. This can be tedious at first, especially when spending money on very small items, but eventually, it will become a sort of habit, and it will be like second nature to you.

Once you get the hang of keeping an eye on your money in this way, you will find that it will be easier than ever to save your money and stay dedicated to your budgeting plan. Once you accomplish that, it will be quite easy to leave your debt in the dust and start saving money.

What You Need to Know About Creating a Budget

Creating a budget can be hard at first, but it isn’t impossible. The 50/30/20 rule can be especially helpful for those who have never tried budgeting before. It involves splitting up your income into needs, wants, and savings.

That way, you won’t be confused about what to do with your money. More than that, keeping an eye on everything you’re spending can be very helpful. To learn more, contact us here.

Budgeting

The Impact of Covid-19 on the World Economy

ByCFI.co Blogger

While we have been sitting at home playing casino real money online for the past two years, the global economy has been hit pretty hard by the Corona pandemic. Supply chains were disrupted. Inflation soared. And in less developed countries, many people lost their jobs. There, it was not so easy to shift work and education to the online system. The infrastructure simply was not able to provide the necessary elements for this transition.

The Impact of Covid-19 on the World Economy

The news was full of bad news and how people were suffering from the negative impact of Covid on the economy. Once again, it became clear how interconnected countries are. Globalization was now experienced in a bad way.

Several studies are showing the impact of Covid on countries. The results are yet to be seen as the aftermath of the pandemic is still ongoing.

Most major economies will lose at least 2.9% of their gross domestic product (GDP), as experts have noted as early as 2020. In the meantime, the pandemic situation has worsened since 2020, so this forecast has already been raised to a GDP loss of 3.4%. To put this figure in perspective, global GDP in 2020 has been estimated at around $84.54 trillion – meaning that a 4.5 percent decline in economic growth would result in a loss of nearly $2.96 trillion in economic output.

The Winners and Losers of the Pandemic

Some sectors of the economy have suffered more than others. For example, tourism and the travel industry. Others, however, managed to benefit from the new circumstances. In particular, delivery services and online conferencing platforms such as Zoom, Skype, and Webex. The IT sector faced large investments from governments or international organizations. This is also true for the healthcare sector. Pharmacies were always allowed to stay open, as were supermarkets. One of the biggest winners in the e-commerce sector. As all physical stores were closed, people shopped online. This is one of the trends that will most likely continue. Even after the pandemic.

Cultural and social institutions such as museums and galleries also suffered and could not have survived without government assistance. Again, developed countries such as Europe and North America can afford such aid. For less developed countries, however, it remains to be seen how they can recover from the crisis.

The fact is that we will be living with the new regime and also a greater awareness of the disease for a long time to come. Hygiene approaches have improved all over the world.

Although the number of Covid 19 patients has decreased, the world is still far from returning to normal. The new requirements are expected to be in place for at least the next few months. Even the industry, which has returned to its pre-Covid productivity, is still dealing with heavy losses.

People who have lost their jobs and perhaps even their homes are left relatively alone. Ultimately, there is now a universal blueprint or policy for getting the global economy back on track.

Accounting

Why Should You Automate Invoice Processing?

ByCFI.co Blogger

Businesses and organizations process more than a billion invoices annually, and studies show that this number could increase four times by 2035. Fortunately, the growing adoption of procurement technology can help chief procurement officers, suppliers, and accounts payable teams handle this number. Currently, 89% of U.S businesses have adopted digital-first strategies, which include automated invoice processing.

Electronic invoicing is part of AP automation that has proved to be a viable solution to the many challenges associated with invoicing. Outlined below are a few reasons why businesses should take advantage of artificial intelligence in their invoicing processes.

1. Time-saving

Before the inception of accounts payable automation, the typical invoicing procedure was as follows:

The supplier starts by generating the invoice
The supplier then sends the invoice to the buyer
The buyer prints the invoice
Buyer enters and reviews invoice data
The buyer approves the supplier’s invoice and writes a check
The buyer mails the check to the supplier

Along this process, expect some back and forth between the supplier and buyer if the invoice has discrepancies. That said, the entire accounts payable process may take between 30 and 90 days, including room for errors in the cycle.

Contrastingly, with automated invoicing solutions, approval takes minutes without human intervention. Automated invoices eliminate the lengthy process, reduce errors, and thus eliminate the possibility of late payments. A study by Atradius shows that 87.6% of Western European businesses and 90% of U.S businesses report regular late payments due to past-due invoices.

2. Saves on cost

The Institute of Finance and Management estimates that businesses spend between $1 and $21 for invoice processing. These estimations were done by dividing the cost of maintaining accounts payable staff by the number of invoices processed within a given period.

Similarly, an Ardent Partner study estimated the average cost of automated invoice processing to be $11.57. This includes overheads, labor costs, and technology. Switching to automated processes reduces printing costs, labor expenditures, mailing overhead, and possibly late fees.

3. Improve efficiency

Human error in business processes cannot be avoided. Interestingly, more than 16% and 15% of late payments in the U.S and Western Europe respectively stem from inaccurate invoices. Fortunately, automating invoice processing can improve invoice accuracy, consistency, reporting, transparency, and general accountability.

Improving efficiencies of your finance department frees your accounts payable teams to focus on other important tasks. The business also grows safely, with surety that the digitized system can handle the increasing amount of invoices accurately.

4. Improved compliance

Invoice is among the key documents used as evidence of tax compliance. It also helps validate tax audits, which may be conducted years after a business transaction. Initially, businesses relied on paper documentation, which is most likely to be misplaced. Businesses also had to hire storage facilities and warehouse boxes to store their paid invoices.

On the other hand, copies of invoices are submitted online with automated AP. Original documents can also be submitted to tax authorities with ease. Purchase orders are quickly converted into an invoice, eliminating the risks of manual discrepancies.

Endnote

Invoice management is an important part of financial planning. Members of the AP team can attest that invoice management can take a toll on people, time, and financial resources. Most businesses don’t achieve invoice efficiency for these reasons, affecting business cash flow and bottom line. Shifting to automated invoice processing, saves on cost, and boosts data visibility.

Budgeting

How to Manage Your Money While Studying

ByCFI.co Blogger

When you’re a student, money can feel like it doesn’t go a long way and is incredibly hard to come by. Managing your money well while studying isn’t always easy, and many students struggle to keep on top of their finances. Whether you’re thinking about studying or you’re partway through your degree, there are several things that can help you to manage your money effectively.

Decide Whether a Student Loan is Right for You

Deciding whether a student loan is right for you can help you to prioritise what you spend your money on. Many students in the UK are eligible for a student loan, which can help to pay for tuition fees as well as accommodation and other student necessities. Some students may also be eligible for certain bursaries, which do not need to be repaid. Taking out student loans if you are eligible can take away some of the stress of studying and help you to cover some of the major costs associated with going to university. Furthermore, you can also ask your university whether it offers bursaries for low-income students, you can apply for government loans or you can look for the best private loans based on your income level.

Look Out For Student Discounts

Many activities, from transport to dining out and shopping, often come with student discounts. This can help you to save a substantial amount of money over the course of your studies, particularly if you regularly travel home or eat out with friends and other students.

You will often need to show a student ID card in order to be eligible for a student discount. Make sure you are able to collect a card from your university to enable you to prove your student status and make the most of offers and deals. If you’re studying online, contact the university to ask how you can obtain your student ID card.

Study From Home

Studying from home can save you a lot of money in a variety of ways. For example, you could save money on commuting to and from university every day, or reduce the amount of money you might spend on food and drinks outside of the home. You can consider studying online for a degree, which can reduce tuition fees while giving you the flexibility to study from home. Studying an online MBA programme at Aston University, for example, can enable you to attain the degree you want while enjoying the perks of studying from home. It is an increasingly popular choice with first-time students, as well as postgraduate students and mature students returning to education after several years.

Avoid Getting Into Debt

Debt will mean that you have to make monthly payments to pay it off, creating additional costs that can start to interfere with your studies and put you under financial stress. If you already have debt before you begin studying, try to pay off some of the debt beforehand. If this isn’t possible, consider contacting a debt helpline to find out how you might be able to put your debt on hold while studying. You may be able to reduce payments or commit to paying off the debt after you graduate.

Avoid getting into debt while studying, and if you need money for an emergency, ask trusted friends and family or look for credit cards that are offered specifically for students. Student credit cards will often have a lower credit limit, which means you can’t get into huge amounts of debt. Many banks also offer a lower interest rate for student credit cards, helping you to keep monthly costs lower.

Find a Housemate

Living on your own while studying can be financially impossible and cause stress and anxiety when trying to manage your finances. If you’re moving away to study or your income is being reduced while you’re studying, find a housemate who can split the rent and household bills with you. Many students choose this option as it enables them to save a huge amount of money each month. Finding another student can also reduce other household bills such as council tax.

Track Your Spending

Keeping track of your spending can help you to understand more about your spending habits and see where you can make savings. It can help you to monitor your spending if you’re making large purchases, or help you to see where smaller purchases really start to add up over a few weeks. You can keep track of your spending either by using an online platform or app, or by keeping a note of it using a pen and paper.

Sign Up For Student Deals

Some websites and companies offer deals especially for students. You can sign up to receive notifications and alerts when new deals become available, which can help you to stay up-to-date with all the latest savings on the market. You may be able to save money on subscription services and streaming services, shopping for books and clothes, and buying new electrical devices. Look online and ask friends for their top tips on how to save money and make the most of student deals.

Don’t Buy More Than You Need

When it comes to clothing, kitchenware, food and more, many people have a tendency to buy more than they need. This can create a surplus in your home, and it can also mean that you’re spending money on things you don’t necessarily need. Rather than buying a large quantity of food each week, assess how much you really need to buy. Don’t buy enough food to cook every day of the week if you plan to dine out for two or three days. By being honest and accurate about what you do need, you can help to manage your funds better while studying and save money in the process.

Being a student can take a lot of money away from you and make it feel impossible to ever save any money. But certain habits can help you to manage your money and keep on top of your finances in a better way.

Budgeting

5 Essential Budgeting Tips for Young Adults

ByCFI.co

Did you know that the overall cost of goods and services has risen, on average, about 3.5% in recent times? In many cities, the percentage is far greater. This is putting young people at a supreme disadvantage. It’s crucial for young people to start managing finances early on if they want to set themselves up for financial stability in the future, but many don’t know how to start. We’re here to help. Read on for a few budgeting tips for young people.

1. Track Spending First

Before you start writing down your budget, you need to track your spending. You can do this week-by-week, but we recommend tracking for an entire month if you want an accurate look at your current spending. After you get a good idea of how much you spend, you can start making changes.

Track every purchase, no matter how small. Because you’re tracking all of your purchases, we recommend not tracking during the holiday season. After all, it’s likely that your spending will be more significant until after the holidays are over (and that’s okay).

Write down the costs of all of your bills, reoccurring subscriptions, and anything else that’s going to stay static (or almost static) every month. Track how much you spend at the grocery store and how much you spend on other necessities like clothing and toiletries.

Track all of your excess or “luxury” spending as well. It’s likely that this changes month-to-month, but it’s a good idea to have a baseline. Add up everything and see what number you land on.

2. Create a Written Budget

After you know how much you’re spending, it’s time to create a written budget.

First: how much money does your household make each month? Take note of your net income and write it down at the top of your document. Subtract the money that you’ve spent during the last month and see how they compare.

If you’re happy with the result, you may not have to move forward. If you know that you need to be saving more money, however, move on to the next step.

Separate your budget into categories. Most people recommend starting with the 50/20/30 rule, but you can make changes to this after you start getting the hang of maintaining a budget.

Under your “necessities” category, write out the amount that you have to spend on bills. This number isn’t going to change. Then, set a budget for food, clothing, and necessary items that is lower than your current spending.

Allocate 20% of your money to savings or paying off loans right away.

Keep your budget with you. At first, it’s helpful to continue tracking every purchase, so you’re more mindful about your spending. After a while, it will become second nature.

3. Spend Less on Food (Here’s How)

Many young people struggle to save money when it comes to food. Food costs are rising worldwide, but that doesn’t mean that you have to overspend.

Look for items that are “luxury” food items and remove them from your weekly spending. You can add them back later when you figure out how to budget. This includes things like name-brand foods and takeout.

Take advantage of loyalty programs at grocery stores. You can often get personalized coupons that allow you to save money on items that you need every week.

If they’re available, use bulk bins. You can often find simple necessities like pasta, rice, and dried beans for far cheaper than they would be if they were pre-packaged.

4. Cut Luxuries and “Extras”

Until you’ve gotten a handle on your finances, it will benefit you to cut out many of the extra things in your life that you don’t need. Your goal is to live within your means so you can reach financial security.

First: look at subscriptions. How many subscription services do you currently have? Between streaming services, game subscriptions, and subscription boxes, many people are spending far more money than they think because they aren’t tracking that money.

You don’t have to cut out all of them, but cut out the ones that you’re not using as often.

If you often go out for drinks or order takeout food, this is a good time to reevaluate that habit. There’s nothing wrong with having fun with friends, but don’t do it so often that you’re spending more than your 30% “extra” budget. Prioritize and consider spending that money on something that you want more in the future.

When it comes to clothing, don’t give in to the temptation to buy new clothing every season. Not only is this a bad financial decision, but it also contributes to the harm that comes from fast fashion.

5. Automatic Savings and Investment Deposits

You’re never too young to start saving and investing. Many young people struggle to save money because they don’t know how, or they aren’t good at remembering to set money aside. Set up automatic deposits so you can put that money away as soon as you get it.

You should have a basic savings account at a reliable bank so you can save money. A good bank can also help you with managing finances. That said, savings accounts don’t often offer great interest rates, so adding in some reliable investments is important as well.

Look for safe stock opportunities. Avoid volatile or “trendy” stocks. While they often have high yields in the short term, they’re “high risk, high reward,” and most young people aren’t able to risk that much money.

If you deposit this money automatically, you’ll start building wealth with no effort.

Start Using These Budgeting Tips Today

These budgeting tips can help you save money and hopefully reach financial security in the future. Saving money starts with creating a budget. Sticking with that budget is the hard part.

Are you always on the hunt for more information about business, banking, and finances? Subscribe to cfi.co today to get 4 issues of our print magazine sent right to your door every year.

Budgeting

A Quick Guide to Bitcoin Kiosks

ByCFI.co Blogger

Cryptocurrencies are on the rise. So many people are investing in cryptocurrency, as well as using it for spending regularly.

And of course, the most commonly purchased cryptocurrency is Bitcoin. There are many ways to buy Bitcoin. One of the most underrated, though, is by using Bitcoin kiosks.

These are essentially ATMs that allow you to deposit cash or use a debit card to purchase Bitcoin, along with other major cryptocurrencies.

They are fast, efficient, and secure. So should you try using that Bitcoin kiosk located outside your favorite restaurant? Probably!

Here’s everything you need to know about buying Bitcoin using a physical kiosk.

Why Buy Bitcoin

Did you know that in 2010, the first purchase using Bitcoin was for two pizzas? Do you know how much that person spent on those pizzas? 10,000 Bitcoin.

Back then, Bitcoin was brand new, and no one knew what it was worth. Over the course of a decade, it started to catch on as a new form of internet currency.

Demand for Bitcoin grew, and with it, the price per coin. So while you could’ve purchased a Bitcoin for a few cents back in the day, it would cost you around $40,000 as of late September 2021.

That’s a huge gain. Bitcoins’ price has constantly been rising. Especially lately as it’s become a mainstream investment class, people worldwide are investing in and using Bitcoin regularly.

Many experts agree that Bitcoin’s price is likely to move past $100,000 in the near future.

So why should you buy Bitcoin? Most people buy it in hopes of seeing some of these impressive gains. They would love to make a 100% profit. And doing so is likely, as long as you can hold onto your investment long enough and not panic sell when the price dips.

Bitcoin primarily acts as a hedge. It will protect your money from inflation, which is running rampant these days.

If you’d like to invest in a unique asset that has provided far greater returns than anything else in the last decade, you should buy Bitcoin today.

What Are Bitcoin Kiosks?

One way of buying Bitcoin is by using a Bitcoin kiosk or ATM. These function just like regular ATMs.

But unlike a normal ATM, which puts cash in your bank account, a Bitcoin ATM uses the money you deposit to purchase Bitcoin at the current market rate.

So if you put a $100 bill into a Bitcoin kiosk when the price is $40,000, you would receive 0.0025 Bitcoin.

You can also use a Bitcoin ATM to sell Bitcoin in exchange for cash. So if you want to sell your 0.0025 Bitcoin one month later, when the price is $45,000, you would receive about $112, minus any transaction fees.

When buying and selling Bitcoin, and any other cryptocurrencies, you’ll pay blockchain transaction fees. These aren’t charged by the ATM but are changed by the blockchain to record the transaction down, which proves ownership over your newly purchased Bitcoin.

Benefits of a Bitcoin ATM

So why should you use a Bitcoin ATM over an online exchange? Bitcoin ATMs are fast and secure. Plus, they are easy to find these days. You can check out www.bytefederal.com to see where any of their 900 ATMs are located.

When purchasing via an ATM, you’ll complete your transaction in a matter of moments. And once of the main benefits is that identity verification is instant.

When you sign up for an online exchange, identity verification is an in-depth process. While this is considered a good thing, it’s a sign of solid security; it’s definitely a hassle.

It can take users a few days before they can actually start buying and selling crypto on an online exchange. But with an ATM, the process is instant.

Plus, your information and your Bitcoin are never exposed on an online exchange. These exchanges are the main targets for hackers since there is so much valuable currency and user data.

Attacks have happened in the past on all major exchanges. But with an ATM, you can bypass all of that.

How to Buy and Sell Bitcoin Using a Bitcoin Kiosk

So what do you need to do to use a Bitcoin kiosk? First off, you need to have a cryptocurrency wallet. When you buy Bitcoin for the first time, you need a place to store it.

You don’t receive any physical Bitcoin, as cryptocurrencies are virtual currencies that live on the internet. So your wallet is a device that stores transaction files.

You can either download a software wallet, which is an app on your mobile device or computer. Or, you can purchase a hardware wallet, which is the most secure option since it’s never connected to the internet. These are basically USB drives for storing crypto.

Regardless of what type of wallet you use, you’ll need a QR code, which displays your wallet address. When you visit an ATM, you’ll insert your money or debit card to make a purchase.

You’ll need to show the QR code on your mobile device, or even a printed version, which the ATM scans. Then, it sends your newly purchased Bitcoin to the wallet.

Keep Your Details Safe

Because your Bitcoin is instantly sent to your private wallet, this type of transaction is considered very safe. The most important thing you can do, however, is keep your wallet details safe.

Each wallet address comes with a private key and a public key. The public key is what you use to receive crypto to your wallet. It’s what you show to your ATM.

If you purchase cryptocurrency online, you would input your public key to transfer it to your wallet. If a friend worldwide wants to send you some crypto for your birthday, you give them your public key.

Displaying your public key is safe, and no one can steal from your wallet using your public key.

Your private key, on the other hand, is what authorizes wallets to send and release funds. Never share this with anyone. Write it down and store it in a safe place because if you lose it, you may lose access to your crypto.

Make Your First Bitcoin Purchase

Now that you know how to use Bitcoin kiosks to buy and sell this valuable cryptocurrency, it’s time to invest in some for yourself. First, set up your personal wallet, which doesn’t take very long at all.

Then, find your nearest kiosk and make your first purchase today. In a year’s time, you’ll be very glad you did.

Looking for more tips like this? Head over to our blog to keep reading.

Budgeting

PayPal Accounts for Nearly Half of All Digital Wallet Complaints in the US, Almost 4,500 in the Last Four Years

ByCFI.co

Over the last four years, consumer complaints about digital wallets and mobile payment apps in the United States surged as more and more Americans choose cashless payments.

PayPal Accounts for Nearly Half of All Digital Wallet Complaints in the US, Almost 4,500 in the Last Four Years

Between April 2017 and April 2021, the US Consumer Financial Protection Bureau received nearly 9,300 complaints related to mobile or digital wallets, and the majority of them aimed at one platform.

According to data presented by StockApps.com, PayPal accounts for nearly half of all digital wallet complaints in the United States, almost 4,500 in the last four years.

PayPal Received 2x More Complaints than Square and Coinbase Combined

As one of the first and most significant players in the digital payments landscape, PayPal witnessed impressive growth since the pandemic struck. More than 67 million people started using its services in the last year alone, with the total number of users rising to nearly 400 million.

Unsurprisingly, given its wide user base, PayPal had the most complaints of all companies providing digital payment services in the United States. Between April 2017 and April 2021, PayPal received 4,431 digital wallet complaints, or two times more than Square and Coinbase combined, revealed the US Public Interest Research Group data. Furthermore, statistics showed most of them were related to managing, opening or closing a mobile wallet account.

Square came second with over 1,200 complaints in this period, with unauthorized transactions as the top issue.

The digital wallet service for buying cryptos, Coinbase, ranked third with a total of 755 complaints related to digital wallets or nearly six times less than PayPal. PNC and JPMorgan Chase &Co. round the top five list with 594 and 324 received complaints, respectively.

Total Number of Digital Wallet Complaints Surged by 5,200 in a Year

Although the number of digital wallet complaints has been constantly growing since 2017, the last year set a new record.

Statistics indicate that between April 2017 and April 2021, the US Consumer Financial Protection Bureau received a total of 9,277 complaints related to mobile or digital wallets. More than 1,000 complaints were received in the first year. However, in the year preceding April 2021, the number of complaints surged to 5,200 or nearly 60% of all complaints received in this period.

Statistics also revealed there were 970 complaints in April 2021 alone, nearly double the previous complaint peak in July 2020.

The global shift towards a cashless society and the surge in the use of mobile wallets are expected to continue driving the rising number of complaints. In 2021, mobile wallets are set to become a $2.5trn worth industry, growing by a massive 25% year-on-year. Nearly 20% of the total transaction value or $468.1bn will be generated in the United States.

The full story can be read here: https://stockapps.com/blog/2021/07/27/paypal-accounts-for-nearly-half-of-all-digital-wallet-complaints-in-the-us-almost-4500-in-the-last-four-years/

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5 Steps You Should Take to Repair Credit

ByCFI.co Blogger

Your credit status is more or less the same as your health. Unless you keep on monitoring and evaluating how you are doing, you may find yourself in the red zone. In the UK, Experian, one of the major credit reference agencies (CRAs) has mapped out using data the average credit scores for 391 areas. When you key in your age and then select your region, you’ll get to know what the average score is for that specific area.

5 Steps You Should Take to Repair Credit

Depending on the CRA you use to assess your scores, you will find yourself in any one of the following 5 categories- Excellent, Good, Fair, Poor, Very Poor. If you lie in the ‘Poor’ or ‘Very Poor’ categories, you need as a matter of urgency, to repair your credit. If you fall in the ‘Fair’ group, your score is average meaning you have some work to do to push yourself up the pyramid.

As long as your score is less than 999 on Experian, 710 on TransUnion and 700 on Equifax, there is something you need to do. With a good credit score, you stand a high chance of getting approved for almost every credit you apply for, and you’ll also get competitive rates. In this article, you will learn 5 steps you can implement right away to repair and boost your credit score.

Check Your Credit Score

It is not practical for you to begin repairing your credit unless you first know where you stand. Running credit checks with Experian, TransUnion, and Equifax will give you an accurate view of where to start.

Apart from getting to know your score, use the credit report to check the accuracy of the information entered by the CRA. For instance, there could be accounts fraudulently opened under your name or inaccurate personal information.

You can dispute any erroneous information in your credit report by filing for a Notice of Correction with the concerned CRA highlighting the specific information you are contesting.

Pay Up your Bills on Time

Late or missed payments can put na massive dent in your credit score. On the Experian scoring model, payment history has a weighting of 35%. This means more than a third of your score depends on how well you keep up with your bills including credit card payments.

If you have a problem keeping up with your bills schedule, try automating your payments so that bills are cleared as they fall due without your intervention. In case all your bills fall on the same date, consider rescheduling them so that you can get a reprieve in between.

Be upfront with your creditors. If there is an option for alternative payment plans that can lower the monthly amounts payable, explore them. For instance, if you are experiencing financial hardship, credit card companies can reduce your instalments until you get up on your feet.

Repay your Debt

After payment history, the second-largest component in terms of impact on your score is your credit utilisation rate. The amount you owe in credit card debt divided by the credit limit you have available gives you your credit utilisation ratio.

While it is understandably difficult paying up your debt, you are much better off paying it piece by piece until you get it paid in full. For instance, instead of making only the minimum payments on your credit card facility, consider whittling the card balances down to zero.

You can also consolidate your loans to help you manage them better. Get a loan that can help you pay off all other debts so that you can only remain with a single obligation to service. You can take a competitively priced non guarantor loan to help you clear your credit card balance.

The beauty with strategy is that these loans do not appear on your credit report hence won’t affecting your score. On the other hand, when you pay up your credit card debt, you will receive a boost in your score.

Avoid Making Multiple Loan Applications Successively

When repairing your credit, the last thing you would want is multiple hard enquiries on your credit file within a short span. This means lenders are checking your credit status to help them evaluate if you are fit for their products.

As one hard enquiry after another hits your credit report, lenders will increasingly see you as a credit risk trying to save your skin by borrowing from multiple sources. The impact this has on your credit score can be huge.

As an alternative to borrowing from different sources, try shopping for one credit facility say an auto loan and then consider offers from different lenders. The scoring model treats this differently from opening a lot of credit cards in one go.

Consider Getting Help Repairing Your Credit

Other than working yourself lame trying to rebuild your credit all by yourself, you may want to try other strategies to quickly move you up the scoring ladder. Here are some of the ways you may want to look at.

You can become an authorised user in an account that is always paid up and in good financial shape. Ensure the primary user has an excellent record that you can piggyback on to rebuild your credit score.

When applying for credit, consider getting a cosigner with good credit standing. The joint consideration by the lender may increase your chances of getting approved and boosting your score.

The third strategy you can use is that of opening a secured account. In this account, the lender requires that you put in an amount of money against which they advance credit. You can not be issued with credit card debt that exceeds the amount you have in the account. This ensures you are always secured, making you a responsible borrower.

Conclusion

While a bad credit score isn’t something to be proud of, it shouldn’t weigh you down either. With a solid stepwise credit repair plan, you can improve your credit score and take it as high as you want to. Starting by knowing where you are at and facing the situation as it is, will firm your steps and point you in the right direction.

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The Benefits to Renting Commercial Real Estate

ByCFI.co Blogger

It’s not a big surprise that the real estate market is hot right now, especially in key business areas like California. This applies to both residential and commercial real estate. As we’ve seen, rental trades adjust with the times, but until the bubble bursts, you should consider your options for commercial real estate in your area available for rent.

The Benefits to Renting Commercial Real Estate

There are many shared working spaces that can be home to your business for a while until you grow enough to be able to purchase your own commercial real estate property. Here are a few reasons as to why it could be the best option for you and your business until that time comes.

Flexibility

The world is uncertain, so it’s really important to be flexible, which is one of the major pros of leasing a commercial property. Renting office space allows you to be flexible without having to make any major commitments. If you need more space, you can seek it out, but if you need to scale back it’s easy to do that as well. If most of your staff is now working remotely, you can still have a space for them to go if they want to have a quiet place to work. Renting commercial office space can be flexible in a financial capacity as well, allowing you to pay based on space and duration.

Financially friendly

Buying office real estate can be quite expensive these days, so in real estate, “boring” is good, as is stability. The option to rent office space allows you to still have a location in a prime spot without footing a major bill for it. Renting also minimizes your financial burden, since you don’t have to pay for the other costs associated with running an office. You can then use the money you’ve saved from these costs to invest in growing other parts of your business, or creating a savings goal for eventually purchasing an office space.

Professionalism

Having a physical location for your business is huge in terms of your reliability and professional appearance. At first, you might think renting will reflect poorly on your business, but it’s a strategic plan that can help ensure a brighter future. No matter the arrangement, having office space looks more professional than meeting clients or employees in loud public places for meetings. Having a fully functioning office is the best way for your employees to focus and to show your clients and customers that you are serious about what you do, both now and in the future.

The world of real estate is difficult to navigate, and while it can be an extremely difficult task to find space that fits your exact needs, there are companies like Jeff Tabor Group that make it simple to find the right place for you and your employees. With prime, spacious locations and affordable options, there are many different opportunities for you to build your business for a successful future.