There are many different reasons for rebranding one’s business and the entire practice is often very beneficial for the brand’s success later on. If there’s a need for rebranding it’s already clear that the company has to turn things around for the better.

However, the process of rebranding is not a simple one as it requires you to include your existing and potential customers in the planning. After all, you don’t want to lose your audience once you complete the rebrand.

Why Do You Need a Rebrand?

It’s extremely important that you, as a business owner, know precisely why you need to rebrand your business. This is a significant change that will transform everything about your company and you can’t take up this task on a whim. Essentially, if there has been a considerable shift in your business model and services or even a name change, it’s time to consider a rebrand. Anything less significant could only result in a revenue drop.

Keep in mind that you have to stay on top of the entire change through different departments within your company in order to ensure thorough work and complete transition.

Create a Rebranding Strategy

Before you start throwing ideas around, make sure to sit down with your creative teams so that you can devise a comprehensive rebranding plan. After all, changing up your branding doesn’t only involve a new name and adding new products/services to your website; it requires work on a much bigger scale as you’ll have to work on website design, logo, the colors you wish to use, the message you want your brand to send, the image of your brand, your online presence, the new content that matches the rebrand, and so on. Go over these aspects step by step with everyone involved in the process.

Publicize Your Rebrand

Once you’re done with coming up with the details and practices involving the rebrand specifically, it’s time to bring the change to your target audience. Of course, your goal is to inform your existing customers about the rebrand, but also attract new prospects. That said, social media is the best possible outlet for you to market the rebrand. Essentially, you want to shout about this from the rooftops! Don’t forget to utilize email marketing with the lead list you already have so you can contact them directly.

With the power of digital ads, it’s possible to customize your demographic and place the news about the rebrand and your offers right in front of your target market. Aside from digital strategies, this might also be a good time to consider some forms of traditional marketing as well, such as print ads and press releases.

Reward Your Loyal Customers

As mentioned, your business rebrand will hopefully bring in a lot of new leads but you should never forget about your existing customers. In order to engage them in the whole event of the rebranding so that they go out of their way to inform themselves about the change, it would be a good idea to offer them some incentives.

Regardless of whether you’re offering pool cleaning services or others, make sure that your existing clientele knows they’re still very much appreciated by presenting them with effective deals and discounts. This is how you can turn attention to your business once again and make your spruced up brand memorable and recognizable.

Prepare for Transparent Communication

Now that you’ve gone out in the open with your rebrand, it’s important that you’re ready to take up customer queries and questions. If they value your products/services, your customers will have plenty of concerns and worries. This is precisely why it’s so crucial you’re very transparent and public about the change and the reason for your rebrand in the first place. That said, make it a point to boost your communication efforts and customer care via phone calls, chats, social media, and email. If you want to retain your audience even after you rebrand your business, it’s your responsibility to provide them with the necessary information in a comprehensive and timely manner.

Rebranding is undoubtedly a very serious and significant step for your business, but the way you handle this transition will prove whether the step was in the right direction or not. Make sure that your employees and creative teams know the ins and outs of the rebrand so that you can count on a thorough and smooth process. Also, don’t hesitate to make the change public and turn it into an integral part of your marketing strategies until you can be 100% sure the rebrand is fully completed.

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Why Businessmen Need to Know about Supply Chain Financing? SCF or supply chain finance plays an essential role in helping businesses meet the financial gap between the distribution of completed products or services and revenue generated back from them.

Enterprises usually avail this finance to offset any impacts brought by delay in payments. With MSMEs driving the Indian economy’s growth, the financing has a significant contribution in maintaining a smooth flow of operations to these enterprises.

As Micro, Small and Medium Enterprises in India shifts towards growth; a remarkable potential remains un-utilized.

Here’s a look

• • 45% – Total industrial output of MSMEs in the Indian economy as of July 2019.
  • 1.3 million – Number of jobs generated by MSMEs for every year.

While the growth prospects remain high, utilization of this sector faces challenges through factors like technology integration, international competition, infrastructural constraint, etc.

SCF thus seeks to minimize these hurdles via necessary funding for businesses to introduce technological, managerial as well as other simplifications.

Businesspersons need to have a proper understanding of financing for the supply chain process to streamline and optimize its management.

What is supply chain financing?

Supply chain financing comprises technology-based funding solutions that provide a short-term advance for an efficient transaction between a company and its associated chain of supply.

The financing tools involved ensuring sufficient availability of working capital for a smooth flow of goods or services from a manufacturer/producer to the end-user.

For example, a business requires stocking up inventory for an anticipated high demand but faces a funding shortage. It can thus meet this gap by availing one of the supply chain financing tools like invoice factoring.

Similarly, these financing solutions provide necessary funds for all parties in the chain to ensure efficient and timely completion of a transaction from the producer to the consumer.

Importance of supply chain finance

I. Bridging the gap between current assets and current liabilities

Sufficient availability of finance for supply chain management allows companies to effectively fill up the gap between current assets and liabilities as they move towards growth.

• 16% – Rate at which the current assets and liabilities gap are increasing since 2015 for MSMEs operating in the service sector.

The gap for manufacturing companies is increasing at a rate of 13%. With this widening gap, the requirement of working capital increases too. It, in turn, creates hurdles in the smooth functioning of the business supply chain across both these sectors.

II. Supports innovation and growth

Suppliers operating in this chain need to meet the increasing demand for goods and services from purchasing companies.

To effectively meet this demand in time as well as provide innovative solutions that offer competitive edge requires them to have an improved flow of working capital.

Finances available as SCF thus help them meet the funding requirements to implement these changes, and in turn, improve the supply chain process.

III. Mitigates the risk of delayed payments

Companies often come across circumstances where they have to miss the invoice due date of payments from debtors.

A stretched period can, however, result in them losing out on available opportunities due to lack of funds.

Immediate availability of supply chain finance thus makes up for this gap and allows them to take advantage of available opportunities. The risks associated with delayed payments are thus successfully mitigated.

Advances like business loans can also help meet this gap and come with flexible repayment options for the convenience of borrowers.

IV. Provides sufficient liquidity to incorporate changes as per seasonal demands

Liquidity constraint results in a business’s inability to make necessary changes to the supply chain to take advantage of seasonal demands.

For instance, a trading business dealing with textiles needs to adapt to supplying woolen clothes during winter.

In the absence of proper working capital management for the trading business and sufficient liquidity, it may not be able to maintain the necessary inventory for woolen clothes to meet the rising demands. In such instances, supply chain finance can come to the rescue big time.

V. Lower cost of financing

Today, increasing competition among financial institutions to provide the necessary finance for a smooth flow in the supply chain has brought advantages for borrowers. Companies thus need to incur a lower cost to avail the loan and its repayment.

Like, NBFCs offer supply chain finance in the form of business loans at competitive rates of interest along with several other advantages.

Plus, they also bring pre-approved offers that make the process of financing hassle-free while saving valuable time.

These offers are available on business loans, personal loans, and home loans as well as on several other financial products.

When availing supply chain finance, make sure to have a proper funding plan, including the amount required and fund allocation for timely repayment. Also, meet all eligibility requirements and keep all necessary documents handy.

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Just starting a business is not enough but managing its day to day activities and expenses is an essence of true entrepreneurship. Looking after the day to day financial needs of the company is a real task. Businesses always face the problem of scarcity of funds. As a result, it leads to instability and at the end, liquidation of the firms. Are you facing a similar problem of managing funds for day to day business activity? Looking for an effective and reliable way of getting enough finance for the business that can help in day to day activities. Hands down! Remedy your snag is here.

What’s this working capital loan?

Running a business doesn’t mean earning profit but also means carrying day to day financial needs effectively. Avoid these expenses is inevitable. Nowadays, almost every company faces this problem of managing funds for daily activities. As a result, they run out of funds at the end of the day.  But with the help of the working capital loan provided by most of the financial companies, you can solve this problem of scarcity of funds.

Working capital loan means a loan taken to finance the day to day financial activities of the business-like rents, payrolls, and debt payments. The working capital loan is simply a corporate debt borrowing which is used to meet the temporary financial requirement of the firm.

Role of the working capital loan in the business

The working capital loan is popular among business-people nowadays. It helps to manage its economic activities smoothly and effectively. Every company faces a business cycle, during recessions need funds, and it is when the working capital loan comes to rescue. With the help of working capital loans, they can quickly deal with the recession phase. So, it won’t be wrong to say that working capital does play a significant role in any form of business as no business can survive without effective management of daily needs.

Let’s see some merits of working capital loan

1. Easy to obtain

The procedure to receive such a loan is very simple and quick. Not much documentation is required. But the credit score of the company should be good to quicken the process.

2. Helps to deal with cash flow problems

It’s an excellent way to meet the need for funds by the business. Due to this, there is less fluctuation in the activity of the company. Business can run smoothly.

3. No need to set budget to repay the loan

You don’t have set any budget and set aside a portion of profit to repay the loan. It’s needed only for managing the temporary need of money, and once business turns normal, the loan can be paid after that.

4. Debt financing

A working capital loan is a form of debt financing. It doesn’t require an equity transaction which means that the company exercises full control, even if the financial need is drastic.

Now its time to look for cons of working capital loan

1. Effect your credit score

Yes, it’s true that every time you take a loan, it will be added in the credit history of the company. So next time you apply for other types of loans, then this may affect.

2. Not suitable for long term business goals

This time of loan won’t help the business in the long run as it only meant to meet the temporary need of funds. ROI is low in this type of loan.

3. The rate of interest is high

The rate of interest is relatively high as compared to secured loans, and the period of repayment is short. Sometimes it acts as a liability for the firm.

4. Collateral security may be used

Sometimes when the credit history of business is not good enough then in that case collateral security need to be attached to get loan sanctioned.

A Final Word of Conclusion

The working capital loan is an excellent way for any business to meet its financial crisis. Yes, we all will agree that working capital loans gives energy shot to your company and helps it to function smoothly. It’s an instant way of getting finance on a rainy day. Today demand for working capital loan is significantly increasing as every business faces scarcity of money some or the other way.

While we talk about the pros of the working capital, but we can’t ignore the significant cons of the same. Before applying for this type of loan, one should consider both pros and cons and should understand the economic condition of the business as credits have to be paid back with interest. So, ponder thoroughly before signing anything such and do a bit of more research for effective decision making.

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There is a very famous proverb, which states that it is never recommendable to put all the eggs in a single basket when you are dealing with the business strategy. It has been noticed that the statement is entirely true when the point of financing a business. One thing that you must be aware that the banks are not the only source of getting finance, there are some other ways too. Listed below are some of the sources of finance for a business. They are-

1. Personal Investment

The first and the foremost thing that you must keep in your mind that staring a new business means that you must have a bit of cash or asset of your own. This gives an indication to the investors that you are planning for the long-term commitment of your own project.

2. Love money

This is the money, which is generally loaned by the parents, family, friends, and spouse. In terms of bankers and investors, this amount is referred to as patient capital. In this case, the money needs to be paid later when the business profit increases.

3. Venture capital

This source of finance is only applicable for the businesses, which are technology driven and also the one which has higher growth potential. Generally, these sources of finance are given to the business in the field of information technology, biotechnology, and communications. When you opt for the venture capital than in that scenario, they expect a healthy return on their investment.

4. Angel Investment

You will be amazed to know that they are the retired company executives or the wealthy individuals who make sure that their money is invested directly in the business that is owned by others. The only limitation of the angel source of finance is that they provide money only during the early stage of any business.

5. Business incubators

In the case of the business incubators source of finance, they focus mainly on the high-tech sector. They stretch their hand to provide support for the business in their several stages of development. Usually, the incubation period does not last for more than a couple of years. It has been noticed that business, which gets this type of support often, operates within the state of the art sector.

6. Government grants and subsidies

One of the important sources of finance for your business can be government grants and subsidies. But getting grants from the government can be really tough as there are strong competition and criteria that you need to follow. It has also been observed that you need to match the funds for which you are given. Moreover, the amount also varies based on the granter.

7. Bank loan

You must be aware of the fact that bank loans are one of the most common sources of funding for different businesses. But one point that you must not forget that all the banks have their own merits as well as a demerit. Hence, it always better to go around and look for the one, which best matches, your demand.

Personal Loans-For those having a low credit score, obtaining urgent financing for them is almost impossible. The abundant obstacles and denials on the part of financial groups are a difficult obstacle to overcome. For this reason, the personal loans represent the solution to this problem; processed in minutes, from anywhere in the country and without reviewing the credit history, these loans are helping thousands of people to solve their liquidity problems in a very short time.

Personal loans without a bank can be handled from any PC with an internet connection, so it is not important to go to any financial agency to begin them. In such a way, the approval can be easily given in minutes and the processing of money is possible the same day the application is submitted. A very easy procedure that makes possible; If you want to process it, you can do it as soon as possible from the same web page.

Why you should apply for personal loan?

There are many reasons why this type of loans can be a great help at all times: from making a late payment or cover an expired installment, to finance a party or to pay for an anniversary celebration; Whatever the reason, they are there to help you, granting personal loans without a credit bureau and without advances for those who require to face any kind of emergency that comes their way.

Advantages and Disadvantages of Personal Loans

Just as they are different products, each of them also offers very particular advantages and disadvantages.

These are the main advantages of each one

• • Loans: Their interest rates are lower, the amount can be high, and you do not need to specify the destination of the money and since signing the contract you know how much will be paid at the end of the term.
  • Credits: The credit can be extended and renewed once the amount available has been paid; they are useful to face emergencies and can be used for any purpose.

The disadvantages of each financial product are

• • Loans: They cannot be renewed, their administration costs are usually high, interest rates can be variable and sometimes a penalty for early payment is charged.
  • Credits: Their interest rates are high and subject to market variations, payment terms are short, interest arrears are charged if a payment is breached and poor management can affect the credit history of the contracting party.

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