In part 1 and Part 2 of my blog on “Own Your Financial Future,” I discussed why it is important for women to take control of their financial future and how to do it. This blog continues the discussion on the importance of “Emergency Funds” and “Income Protection” in your financial plan.

Your loan application has been denied – now what? Should you give up on your entrepreneurial dream or re-assess your strategy?

As a Business Advisor, I’ve seen hundreds of loan applications. They can be denied for a variety of reasons, but there are some common mistakes applicants make. So if you’ve been denied a business loan, ask yourself these 5 questions:

Depending on the stage your business is in, different types of financing are available. As your business moves along the lifecycle from start-up to a mature business, your risk to a lender or investor generally decreases and you have more options for financing. If you’re considering different sources of financing for your business, make sure you match your stage of business with the right colour of money.

Green Money

At the Concept/Seed stage and the Start-up stage, you are considered high risk to lenders, and chances are you’re not eligible for bank financing. Green money, or ‘patient’ money, is likely your best bet at this stage and may come from sources such as:

Love them or hate them…..KPI or Key Performance Indicators are a great way of assessing your business performance and creating a strong roadmap for your business growth.

KPI’s are very important for analysing your business finances. Financial statements with KPI provide management with relevant, reliable and comparable information so owners-managers make informed decisions.

I work with entrepreneurs helping them understand their financial statements so they can plan for the future. Below are a few of my suggestions to help you use KPI effectively in your business.

As a business owner you should look for the following four qualities when hiring an accountant:

Business owners should ask the following questions when choosing accounting program:

Financial statements are an integral part of business performance indicators. As owners are busy with the day to day operations; financial record keeping and performance reports are left for year-end with tax reporting.

Financial statements provide management relevant, reliable and comparable information that will help owners/managers make informed economic decisions.

Let’s begin with balance sheet; it’s a snap shot of a business at a specific interval and conveys the following:

Cash flow planning is an integral part of business sustainability. Much like the heart in our body, we can’t live without it. Cash flow is the heart of a business; we can’t stay in business without cash flow coming in regularly.

What is cash flow planning? Let me begin by providing you with few helpful tips and some important questions that need to be answered:

I often get asked the question, “What are Lenders looking for when they lend you money?”

The simple answer: “The key to every lending decision rests on the RISK involved.”

As the risk increases, so will the terms and conditions of the loan. As the risk decreases, the lender can be more flexible.

Each lender or supplier of finance has a different appetite for lending and a different way to assess loan requests. The foundation for every loan decision will always start with the “5 C’s of Credit “: