Crestmont Capital Blog

Venture capital (VC) funds have a gender and ethnic gap because venture capitalists are not making investments on women and multicultural entrepreneurs. Women who own a business receive less than 4 percent of venture capital money. Entrepreneurs of ethnic or racial minorities are also less likely to receive an investment. By leaving out women and minorities, firms are missing out on millions and profitable business opportunities. Most venture capitalists are men and angel investors are too. Fortunately, there are options out there that entrepreneurs can seek that will help them get access to funding.

There will most likely come a time where you want to take advantage of a new growth opportunity for your business or you just need some extra capital at some point. However, there are some challenges that many business owners face when trying to apply for funding. Fortunately, there are a few tips that will help you get funded when you are seeking your first business loan.

If your business sells a physical product, you need to know what the term cost of goods sold is (also known as COGS). Knowing how to calculate your cost of goods sold can help you deduct any business expenses you incurred while getting inventory you sold. COGS can help you track your profitability and guide decision making for your business.

When you are looking for getting financing for your business, there are many financial factors that lenders consider when determining to approve or deny your application. These include your personal credit and debt coverage, personal debt and business debt usage, business revenue trend, and more. Another important factor they look at is your debt-to-equity ratio. Today we will discuss what your debt-to-equity ratio is and how to calculate it so you can ensure you get the best rate and terms when applying for a business loan.

Due to COVID-19, many small business owners have been financially struggling leaving many people needing to rebuild their business. It is important to consider what you need to do to recover your business once the economy returns to normalcy. Having a strategy will prepare you to rebuild and get your business back on track. In this article we will discuss some tips to start rebuilding with the financing options available as well as other factors to consider when rebuilding.

New equipment, machinery, and upgrades are an essential part of running a business. It is essential for company growth and productivity. However, equipment can be expensive and put a strain on business owners who own a small to medium sized business. Sometimes equipment requires a huge investment up front and the return on investment can take months or years to materialize.

Every business needs capital and when there is not enough it can harm your company or even run out of business. There are two main ways businesses can borrow the needed cash which is a business loan or a line of credit. A business loan and line of credit offer businesses the opportunity to leverage assets in exchange for capital and that capital can be spent on the operational needs of the business. There are some differences between business loans and lines of credit as well and it is important to understand them, so you know which decision is right for your business.

The word “debt” typically has a negative connotation and is seen as bad and even evil at times, especially in the business world. It can mean that you lack sufficient cash flow and are not able to fulfill your funding requirements. However, there are instances when it can be good. Good debt leaves your business better off in the long term without having a negative impact on your financial position. Many large corporations have debt, it is a great way for people to earn a return on investment and can provide benefits for small business owners too.

When looking to pursue financing for your small business, you may come across two popular options which are term loans and lines of credit. Both are used to borrow money to pay for purchases and expenses, however they both serve different uses and fit different financing needs, so it is important to know how both of these financing options work.

If you are looking for funding for your business, you might have come across the terms secured and unsecured business loans. Understanding the differences between the two is an important step to having good financial health. Both have their advantages and disadvantages so it is important to know what they are so you can determine which one is right for your business. In this article we are going to break down what they both are and discuss the differences as well.

When doing research for getting a business loan, you may come across statements that say you need to have good credit to get the best rates possible with low monthly payments. However, what do you do if you do not have good credit? Having bad credit can occur because maybe you do not have enough credit history and do not use credit cards regularly or you could have a high debt to credit ratio.  Whatever the reason is why you have bad credit, there are still some financing options available to you.

Regardless of the size of your business, having unpaid invoices can be frustrating. Unpaid invoices can pose a problem for the cash flow of your business and make it difficult to meet your business needs or take advantages of new opportunities.