There are a number of things to take into consideration before taking out a business loan.
While business loans are a great way to grow your business, they should not be taken lightly.
To avoid damaging your finances or taking out a loan you cannot pay back, practise the following when shopping for a loan:
- Pay attention to loan terms, as longer repayment periods often translate into higher overall borrowing costs.
- Consider the percentage of your project that your lender will finance. This number will help you determine how much of your personal assets you will need to invest or if you will need a second loan.
- Take into account administration and application fees when considering the cost of a business loan.
- Plan ahead and determine what actions would be taken if your business has a down period and you have trouble paying back your loan.
To help you more accurately calculate monthly payments associated with business loans, consider using a business loan calculator. This can help you better plan and budget for an upcoming loan, ensuring that your project is funded without harming your business.
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According to predictions in their Mobile Wallet Survey, Moneris Solutions—Canada’s largest credit card processor and acquirer—estimates that cash purchases will make up just 10 per cent of all transactions by 2030. The implication is that Canada, like many other countries, is moving toward digital payment technologies.
This trend is especially apparent among younger Canadians looking for fast, convenient and contactless payment solutions—tap cards, debit cards, key fobs, smartcards and other devices that allow consumers to wave their cards or fobs over readers at the point of sale in lieu of using traditional payment processing solutions—cash registers, pin and chip readers, Square readers, etc.
The survey found that 67 per cent of those between the ages of 18 and 34 preferred using a contactless-enabled (tap) card to make purchases. This is essentially the same method found in mobile wallets like Apple Pay, SoftCard and Google Wallet.
According to the survey, the following criteria would have to be met in order for Canadians to switch to mobile wallets altogether:
- The mobile wallet system would have to be secure.
- The mobile wallet system would have to be accepted at most stores.
- The mobile wallet system would have to be offered through the consumer’s bank of choice.
- The mobile wallet system would have to be available on all phones, including iOS, Windows and Android.
- The mobile wallet system would have to be adopted by the general public.
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Moving an aspect of your business—like email, payment processing, data storage, etc.—to the cloud can help you save money and streamline processes. As an added bonus, cloud service vendors can handle administrative tasks like security, maintenance, backup and support, allowing you to focus on the day-to-day operations.
However, with so many cloud computing solutions and vendors to choose from, it’s hard to know what to look for.
To ensure the process goes smoothly and that you choose the right provider, it’s important to ask yourself the following questions:
- What’s the vendor’s track record? Before landing on a cloud solution, it’s important to consider the vendor’s reputation. In general, it’s best to find a company that has been in business for a fair amount of time and has a good history of service.
- What are the vendor’s capabilities? After understanding what you are looking for in a cloud computing solution, it’s critical that your vendor can meet your needs. Your provider should be able to implement your desired solution on day one and have the expertise to continually offer new ways to adapt to changing markets.
- What’s their pricing? A vendor may have everything you need, but could end up being out of budget. Determine a realistic amount you’re willing to pay for cloud services and compare that number to your options. It’s also important to only pay for what you use. Don’t be afraid to renegotiate if a company wants you to pay for extra bells and whistles you don’t need.
- Is my data safe? In an age where cyber crime is common and proprietary data can be lost with the click of the mouse, security is key. When researching vendors, ensure that you know the location of their data centres and what precautionary measures they have in place to prevent a hack. If possible, consult an expert to see if a prospective vendor is compliant with all applicable industry security standards.
Keeping in mind the above tips will ensure that, when the time is right to migrate your company’s data or processes to the cloud, you are prepared to choose a vendor that will help achieve your goals.
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