wealthymatters

Sources of Start-Up Capital

April 13, 2011 8 Comments

As Adrian from 7million7years puts it:

Start-Up capital almost always comes from the Four F’s:

– Founders – What does your personal ‘balance sheet’ look like? Do you own a house, car, etc. Many a business has been started by refinancing existing assets, borrowing money on credit-cards, and so on. Desperate times call for desperate measures.

– Friends/Family – These two groups will invest small amounts – from $100 to $10,000 each. Pull a few together and you may get enough. Usually, they are investing in YOU, so financial results are less important to them. But, if you have a business plan that reads well, and you have a wide circle, you’re ready to start asking!

– Fools – These are seed-stage investors who MAY invest in an idea, but they are VERY hard to come by. You probably need more than one co-founder (one-man businesses are usually seen as too one-sided), and you will need to demonstrate a business with good upside

Filed under Entrepreneurship Tagged with co-founder, founders, friends and family, personal balance sheet, seed-stage investors, start up capital, upside

Notice

April 13, 2011 Leave a comment

I’m going to hospital tomorrow.I’m scheduled for surgery on the 15th.Hence I will be gone for a while.

Thankyou for your prayers and good wishes.

Filed under Tidbits Tagged with hospital, prayers, surgery

The Miscellaneous Head

April 13, 2011 4 Comments

The best laid budgets go wary.No matter how experienced the budgeter there are bound to be some minor unplanned for expenses.Mind you I am not talking of emergencies such as surgery or even infrequent expenses like say replacing a home appliance or unexpected expenses such as repairing a car.I’m speaking of small expenses such as an improptu evening out with friends or forking for a kid’s school project , toy or outing.These are the sort of expenses which call for a miscellaneous head in our budgets.Budgeting too tightly means there is no flexability to accomodate these small expenses and soon life is bound to become a drag.

The way to ensure there is always a little something for the extras is to decide on a figure and open a small savings account.If you withdraw from this account,top it up in the next budgetary cycle.This way you can be impulsive without upsetting the budget or going overboard with impulse spending.

Filed under Theory Tagged with Budget, budgetary cycle, emergency, flexibility, home accounts, Miscellaneous head, postaday2011, RandomBlog2011, savings account, unplanned expense

Dealing with Savers and Spenders

April 12, 2011 5 Comments

I found the following post here: http://www.misformoney.net/2009/04/opposites-attract-when-saver-marries.html . I found the advice pretty sage.It’s basically for couples to help them deal with different money habits but I don’t see why the tips can’t be used with the friends,colleagues and business associates we need to work with.

Opposites Attract – When a Saver Marries a Spender

Let’s be honest, it is common for couples to fight about money. It is also common to have two financial opposites in the relationship. This pairing provides special challenges, but there are many couples who make it work. It all starts with awareness, first about yourself and second about your partner. Read more of this post

Filed under Theory, Tool Kit Tagged with Budget, compulsive spender, fight about money, financial goals, money habits, saver, spender

Are you a Saver or Spender ?

April 12, 2011 5 Comments

Ever wondered if you were more of a saver or a spender ?I do.I know I’m a PAW by using the calculator here:https://wealthymatters.com/2011/01/17/am-i-wealthy-calculator/ .But I have a long wish-list of investments I’d love to own.And any cash that I get in hand I tend to use to buy one of them.But that dents the balance in my bank accounts and I start feeling a bit deprived.I crave the security of cash.Totally illogical,but true.My brain can grasp that the money has just moved from one head to another but my gut can’t.

If you too wonder whether you are a spender or saver why not take the short quiz here ?http://www.moneymatterstome.co.uk/7-Personal-life-choices/Sub1/Activity-AreYouASpenderOrASaver.htm and to double check you could click on the first link and use the calculator there to see if you qualify as a PAW.