Guide to Making Money Online for Beginners: Don’t Let the Internet Overwhelm You!

Finding the right “guide to making money online”…Trying to find the right “guide to making money online” for beginners can be a newbie’s nightmare if you listen to all the “buy now” crap that bursts across your face when you’re scanning the internet just to learn. The trick is to learn step by step how to earn money online, and follow that guide to a tee without getting sidetracked down a different avenue.Why? Because the internet is full of different ways to make money online, and every one of them requires persistence! So if you find yourself drifting from one method to another, you’re really just wasting your time and not getting anything done.Your guide to making money online must first be aligned with the way you like to market…There are several ways to market online, from practically free to extremely expensive. The thing you must remember is that the less money you spend, the more time you must prepare to devote to marketing.Now, this isn’t such a bad idea when you’re looking first for a step by step how to earn money online guide, because, no matter how you cut it, you are in for a learning curve!So my recommendation is to start learning without spending a fortune, because that way you can learn as you go and have fun with it.Fun? How is learning how to earn money online for beginners fun?Think of it as a video game. When you’re first learning, you’re just taking in a lot of information and finding the right strategy for you. And, once you’ve nailed it, you can sit back and let the jackpot deliver your success!So what’s the first step in my guide to making money online?If you begin with a blog, your immediate cash outlay is very minimal. This way, you can practice your writing and video skills little by little. Don’t wait until you “know everything” before you start.Nobody knows everything, and marketing online is always a learning experience for all of us. The internet is just a means to exchange information for all of us, once you learn something, when you share it, you immediately are viewed as “the expert” in anyone’s eyes who simply does not happen to know that one thing that you know!And, you might have just learned it today and started blogging about it… and whala! You have just made a sale because somebody sees you as the expert!What’s the best guide to making money online for beginners? Blogging is a fun way to learn how to earn money online!Once you get the hang of blogging, you can branch out from there. YouTube marketing is another “free marketing” strategy, and linking your blog posts to your YouTube videos is a great way to get more exposure and bring up the authority of your blog.Just take it step by step towards successful online marketing. As Marin Luther King Jr. said, “You don’t have to see the whole staircase, just take the first step in faith”.Before you know it, you’ll be knowledgeable on how to earn money on autopilot, and the best part is when you can help others achieve their success as well; that’s truly rewarding!

The Feds Aim to Expand Credit

A new program by the Federal Reserve is aimed at making it easier for consumers to get credit cards and auto-loans. These loans might not necessarily be at lower interest rates but should be easier to obtain. The goal of the Fed is obviously to loosen credit markets and once again spark consumer spending. Next month the U.S. central bank will begin offering up to $200 billion in loans to investors that have triple a rated securities backed by new consumer loans and small business loans as well. The lack of credit available for both consumers and businesses has devastated our economy. In order for our country to come out of this recession we will need to make credit available again for consumers.Credit card companies have been cutting back on the number of new customers as investors have fled the purchase of credit card bonds. The amount of new credit card solicitations has almost completely gone non-existent. Card issuers are now pulling out of many affiliate-marketing programs as well. Credit card affiliates direct new customers to card issuers who in turn pay a commission to the website should the application is approved. However, since November of 2008 many card issuers have been removing certain card offers from the affiliate marketing channel. However, as market conditions worsen, some card issuers have completely pulled out of the affiliate channel. Bank of America, Chase, American Express, Citigroup and new Capital One has either pulled out completely or partially from affiliate marketing channels.In addition to acquiring fewer customers, card issuers have also cut back lines of credit for existing customers. The lack of credit availability has created a domino effect across every sector of the economy. Consumers have been spending less due to the lack of credit. The lack of consumer spending then causes retailers to cut back on employees, thus continuing the loss of jobs.The flow of credit back to consumers will spur spending once again. This new program by the Federal Reserve is supposed to address the lack of consumer liquidity directly. Credit card issuers rely on the purchase of credit card backed bonds in order to continue lending. Credit card companies do not keep loans on their books. They sell the loans on Wall Street as bonds. The idea behind the Federal Reserves new consumer lending program is to get investors purchasing consumer loan type bonds. This includes car loans as well.Our country needs credit to help sell products. The auto industry has also been devastated by the credit crisis. Every automaker from General Motors to Toyota has experienced losses never seen before. Car dealers do not blame the lack of traffic into their dealerships for the lack of sales. They are unable to obtain financing for a large percentage of new customers. Carmakers have been forced to shut down production in order for dealerships to sell off excessive inventory. The plant shut downs have affected the entire automotive supply chain. Point Logistics, a dedicated trucking company for General Motors has seen a 50% decrease in its business. This has forced the company to cut back on employees and reduce hours as well.As I have said many times before, the Obama administration has a very difficult job ahead of them. The new government spending initiatives are aimed at creating new jobs. Consumers without employment can not pay debt, nor can they make major purchases, such as automobiles and other higher dollar goods. I am hopeful that the new administration will succeed at restoring our economy back to normal.

Factoring Vs A-R Financing – What’s the Difference?

In today’s tight credit environment, more and more businesses are having to turn to alternative and non-bank financing options to access the capital they need to keep the gears of their business running smoothly.There are a number of different tools available to owners of cash-strapped businesses in search of financing, but two of the main ones are factoring and accounts receivable (A/R) financing. Sometimes, business owners lump these two options together in their minds, but in reality, there are a few slight differences that result in these being different financing products.Factoring vs. A/R Financing: A ComparisonFactoring is the outright purchase of a business’ outstanding accounts receivable by a commercial finance company, or “factor.” Typically, the factor will advance the business between 70 and 90 percent of the value of the receivable at the time of purchase; the balance, less the factoring fee, is released when the invoice is collected. The factoring fee-which is based on the total face value of the invoice, not the percentage advanced-typically ranges from 1.5-5.5 percent, depending on such factors as the collection risk and how many days the funds are in use.Under a factoring contract, the business can usually pick and choose which invoices to sell to the factor-it’s not usually an all-or-nothing scenario. Once it purchases an invoice, the factor manages the receivable until it is paid. The factor will essentially become the business’ defacto credit manager and A/R department, performing credit checks, analyzing credit reports, and mailing and documenting invoices and payments.A/R financing, meanwhile, is more like a traditional bank loan, but with some key differences. While bank loans may be secured by different kinds of collateral including plant and equipment, real estate and/or the personal assets of the business owner, A/R financing is backed strictly by a pledge of the business’ assets associated with the accounts receivable to the finance company.Under an A/R financing arrangement, a borrowing base of 70 to 90 percent of the qualified receivables is established at each draw against which the business can borrow money. A collateral management fee (typically 1-2 percent) is charged against the outstanding amount and when money is advanced, interest is assessed only on the amount of money actually borrowed. Typically, in order to count toward the borrowing base, an invoice must be less than 90 days old and the underlying business must be deemed creditworthy by the finance company. Other conditions may also apply.Features and BenefitsAs you can see, comparing factoring and A/R financing is kind of tricky. One is actually a loan, while the other is the sale of an asset (invoices or receivables) to a third party. However, they act very similarly. Here are the main features of each to consider before you decide which one is the best fit for your company:Factoring:· Offers more flexibility than A/R financing because businesses can pick and choose which invoices to sell to the factor.· Is fairly easy to qualify for. Ideal for newer and financially challenged companies.· Simple fee structure helps the company track total costs on an invoice-by-invoice basis.A/R financing:· Is usually less expensive than factoring.· Tends to be easier to transition from A/R financing to a traditional bank line of credit when the company becomes bankable again.· Offers less flexibility than factoring because the business must submit all of its accounts receivable to the finance company as collateral.· Businesses will typically need a minimum of $75,000 a month in sales to qualify for A/R financing, so it may not be available for very small companies.Transitional Sources of FinancingBoth factoring and A/R financing are usually considered to be transitional sources of financing that can carry a business through a time when it does not qualify for traditional bank financing.After a period typically ranging from 12-24 months, companies are often able to repair their financial statements and become bankable once again. In some industries, however, companies continue to factor their invoices indefinitely-trucking is an example of an industry that relies heavily on factoring to keep its cash flowing.