Category: Content

Taking a loan and living a life in debt is not ideal for people. But at a certain point in life, a person must decide whether to take a loan or not. People take loans to improve their living conditions.

Calculating the right amount to borrow is essential for a student loan, car loan, house loan, or business loan. A miscalculated loan can ruin lives if a person cannot pay it during their lifetime.

Different people require different amounts. For instance, if two individuals have applied for a house loan, one wants to own a big house while the other wishes to buy a small one. The amount of loan borrowed will depend on it. Therefore, the best approach for a borrower is to carry out the calculations and see how much they need.

Borrowers who need help calculating the amount they need to can go through all the factors that contribute to calculating the right amount to borrow.

Student loans:

For one who is thinking about whether student loans are worth borrowing, the vice president of wealth strategies at Ameriprise Financial, Suzanna de Baca, says that student loan is investing in oneself for a better future. Therefore, student loans are worth borrowing for students who wish to have a better shot at life. This brief guide is to help people in calculating the right amount to borrow for their education.

(i) Calculate the total college cost:

Everyone has a dream college they wish to study. The first thing to consider while calculating the loan is to work out the total cost of college. It is one of the most crucial steps involved in the calculations. The tuition fee is not the only expense; therefore, a thorough cost analysis must be made.

(ii) Consider requirements:

After analysis of the cost of the college, it is time to cut down facilities one does not need. Individuals calculating student loans must understand that they must repay them. Keeping the entertainment and accommodation costs lowest is the right way to calculate the needed amount.

(iii) Analyze the earning potential:

It may be difficult to analyze the earning potential, but proper research can help figure it out. By looking at the salaries of the past college graduates, one is opting for will give a rough idea about the payroll after graduation. After graduation, the first salary must be higher than the total amount a student owes.

(iv) Make a long-term plan:

A wise choice is to think long-term. Working out the total earnings and the monthly payments helps give direction to students. All the expenses that will have to be paid after graduation must be considered. The ideal payment amount is 10% of the total income. Therefore, draw up a plan highlighting all the expenses. Students can ask their elder siblings and parents for assistance. Also, many online portals can help students.

(v) Go through loan options:

There are two types of loans offered. One of these is the federal loan, and the other is private. In federal loans, when needed, payments can be delayed. Also, the amount can be lowered based on the income. Whereas, in a private loan, the fixed rates are unalterable and do not offer any flexibility in the repayment options.

House loans:

People who wish to borrow house loans also need to think wisely. Not correctly calculating the loan may drown a person in overwhelming debt. The factors that may affect the amount one borrows to purchase a house includes.

(i) Overall income:

The first contributing factor in calculating the amount of house loan required is the overall income. A person needs to work out the monthly payments that they can afford.

(ii) Type and location of the property:

The kind of property you wish to purchase and the location are significant contributors. Based on these factors, a lender decides whether to give the amount of loan to a borrower or not. The amount depends on the location, as different locations offer differently priced houses.

(iii) Value of property:

The amount a bank lends to a borrower is based on the bank’s valuation of the property rather than the asking price. Therefore, people need to evaluate the real value when looking for properties.  

(iv) Financial commitments:

There may be some other financial commitments, any other previously borrowed loans. Considering these commitments while calculating the loan amount is critical.

Borrowing loans is a risky play, but sometimes it becomes necessary to opt for one. Taking a loan is not wrong; almost everyone has opted for a loan. Who does not want a better shot at living? Loans help in achieving life goals. It is best to calculate the right amount before applying for a loan. Nobody wants to get drowned in debt that they cannot repay. The smart approach is to minimize the borrowing amount. And calculating the right amount to borrow by considering all the factors.

Customer care in any industry is, beyond any doubt, one of the most valuable aspects. And one of the hardest things about your business is to provide outstanding service to your customers. It is essential.

And if you have an outstanding product, the detrimental effects of poor customer service will cancel out your company voice and market figures. It is easy to replace bad ads with excellent customer service, but the reverse is not that quick. A company should hear the voice of a consumer.

Forbes Customer Experience 2021 forecasts indicated that companies must respond to customer satisfaction. Customer loyalty and retention are now more crucial than ever digital platforms.

This means that consumer service is a critical consideration for many consumers.

Companies need to consider how lousy service experience affects the organization in this context.

What is terrible customer service?

Bad customer service is basically whether a customer has a negative or non-respectful service. Plus, if clients must clarify their problems to many agents, the enterprise has no well-equipped and coordinated staff.

And consumers will be furious should they face a negative encounter. Clicklock’s latest report examined the effects of poor customer service.

While 52% of satisfied customers do not propose a brand for families and associates, 32% quit doing business with a firm with a bad consumer experience.

What a bad customer service impacts client’s experience

72% of consumers share a good relationship with six or more individuals, according to investigations. On the other hand, 13 percent of customers who are not satisfied share their experience with 15 or more. When a company has poor customer support and improves and measures customer engagement, that must recognize it on time.

Side effects of poor customer service on business

Have a look at the outcomes of poor customer care practices and how they can boost your brand awareness and reputation.

Brand news spread fast

If consumers have a bad experience, their families, relatives, and employers are more likely to be told about it. Research shows that 50% of disgruntled consumers are unhappy with the wrong word. Another study has shown that 32% of consumers do not do business with a business where poor customer service is experienced.

We live in a period where brands are more responsible than ever for their acts. Twenty years ago, the most you could expect to do if you wanted to submit a complaining letter was to get a reimbursement at long last if you paid for a commodity you were not happy with. You could talk about it to a couple of people, and maybe they might tell their friends, but that is it.

Today, if a consumer has a poor experience, they can write online about it, and if they do, their artistic rage will virally affect the company’s perceived image.

Lead stop converting

You should also know how lazy customer care kills conversions. How many times did you meet a company and never learn about it? How disappointed were you?

There is still a derogatory stereotype associated with customer service, so why not surprise people with a positive experience? Excellent customer support at an early stage gives you a remarkable first impression and makes your customer happy with your business.

Your customer lifetime value drops

Research has proved that acquiring new clients is more costly than maintaining existing ones. This is one of the principal reasons why great customer service is so important.

9 out of 10 clients state that they are ready to spend extra to guarantee an outstanding client experience. Yes, bad customer service will break down the average worth for life. However, your connections can be saved with superb customer service by focusing on business campaigns to draw more clients.

You enter a profit-stocking life cycle

Poor customer service will also lead to a reduction in earnings.

First, your image is damaged, and you start losing potential clients, and even your loyal customers start to give up. At this stage, you must consider whether you slash prices and aim to do away with it or whether you double the number of potential clients when it comes to marketing.? To minimize costs, you still must develop your client support through preparation or recruitment, which needs additional funding to cover your loss of revenue.

On the other hand, it will draw new clients to start outsourcing the poor customer service, but the problem worsens with size.

Bottom line

That is the best way to risk the customer’s complaint. Any issue or concern that the consumer has still needs to be resolved immediately.

If you are not sure how you can solve the dilemma, it is all right to let the client know that you can get in contact with them once you have gathered all the details to resolve the problem. You will win the love and commitment of your clients by keeping them in contact and educating them.

To be successful in your personal finances, you must not only be defensive (save) but also occasionally attack (invest). How much, when, and what will be determined by many points, including your knowledge and risk profile that you should know well before investing.

One of the options is to invest in the stock market, but first, you must have many points clear since it is a risky investment. Here are the main points to keep in mind when investing in the Stock Market:

How does the Exchange work?

The stock market is where shares and other securities are bought and sold daily. It is a financing instrument for companies and investment for savers. It offers excellent liquidity since the securities can be instantly converted into money. The shares represent a property title of a part of a company, and its price can go up or down. If you have shares in a company, you are its shareholder, and you have rights. Like a physical market, it has its opening and closing hours. In Spain, it is from 9:00 a.m. to 5:35 p.m., and in that period, you can buy and sell the shares whenever you want (whenever you find a buyer or seller).

Why does the Exchange increase or decrease?

As in any market, the price reflects supply and demand. That said, the stock market can go up or down by many factors: the company’s results, the behavior of the sector in which it operates, rumors, geopolitical events, macro-policy decisions -increases or decreases in the price of money- and a series of less rational elements that sometimes lead to the contagion of the markets. Some actions can go up, and others can go down in the same day.

Who watches the Stock Exchange?

The National Securities Market Commission is the body in charge of supervising and inspecting the Spanish securities markets and the activities of those involved in it – it watches for transparency and compliance, disseminates information, and protects the investor.

How much should I invest in the stock market? Is there a minimum?

An essential piece of advice that is sometimes forgotten is investing the money that is not needed. Establish what part of your income you can save and allocate to invest. If you already have a heritage, think about how to get profitability. There is no minimum or maximum to invest in the stock market.

Can I buy shares on my own? How much?

Yes, but always through an authorized intermediary to provide investment services that your bank usually offers you. They must be paid commissions, which vary according to each entity. You also have to pay a bag fee that depends on the amount of each operation. 

How do you earn money in the stock market? Can I lose money?

This question could give for a doctoral thesis but in essence for selling more expensive than the price at which an action was bought and also for the remuneration via dividends paid by a company when it distributes its profits. Of course, you can lose money if the price of the shares you buy falls. You can earn as much money as the stock goes up and lose practically all the money that is invested.

How do I know what kind of investor I am?

Investing in the stock market implies, at least, a certain risk tolerance. For something, they call it an investment in equities! And you know that at higher risk, the potential return is higher. The level of risk has an objective component – your real financial capacity, this is income, expenses, debts, and another subjective one – financial culture, way of being, tolerance to risk. Broadly speaking, three types of investors are defined: the conservatives, the moderates, and the aggressive. Although there is a wide range of nuances, the same person can fit into different profiles depending on the vital moment you are and your objectives. The time factor is also important since it is easier to obtain higher profitability in the short term, but the level of risk increases.

When do I have to pay taxes?

Until you sell shares on the stock market, Finance does not come into play, but every time you sell your titles, you will have to pay taxes if you have won and always report to the treasury even if you lost. The shares are integrated into the tax base of savings in the part corresponding to the return on movable capital and are taxed according to the types of savings.

Do not forget to include the expenses of your operation – administration and deposit of negotiable securities and commissions – and you can subtract them from the profit obtained.

Remember that you only pay taxes if the total balance between the purchase and the sale of shares -of all the operations carried out is positive. Losses are not taxed, but you must include them in the income statement as part of the taxation of the shares. And is that the tax regulations allow to benefit from this stock market disability and compensate it with the profits obtained.

Are there other ways to invest in the stock market?

If you do not decide to invest in one or another company, you can always choose investment funds that invest in equities. In that case, it will be a manager who chooses the securities to invest in. There are thousands of more generalist or private funds to invest.

Whether it is the small one or the big guns, all businesses are working tirelessly to grow their business. Digital marketers are changing; they consistently change how they market to their customers. They apply various digital marketing techniques to their existing marketing efforts. It is their way of capturing audiences in other marketplaces.

Electronic devices used in online marketing and digital marketing use digital platforms such as social media platforms (Facebook, Twitter, LinkedIn, YouTube, Instagram), emails, websites, and search engines to interact with current and prospective customers. Every marketer focuses on and holds important skills, including SEM, SEO, PPC, and data analytics.

Digital techniques

It may not be a popular opinion, but marketing is a layered process that is often difficult to understand. While marketers believe in paid marketing, others might consider page optimization as the vital ingredient for generating traffic on the website. The scope of marketing has always been broad, and it will always remain one of the most effective ways in the realm of marketing.

Digital marketing dynamics are being assessed every day, and marketers need to work smart and find new and innovative ways of marketing to their customers. Moreover, a marketer must be agile in their approach. They should know what strategies and techniques they need to adapt to changing customer demands.

Here are some of the ways marketing can help people live a better life:

The online playing fields

Digital marketing has created opportunities for brands to grow, and with minimal investment today, everyone can make a better living from the comfort of their home. There are a plethora of marketing procedures that can make an ordinary individual an overnight success.

But what does one need to make a better living? Understand what the people need. Customers nowadays are spending a fortune, more than they have ever done in history. People are always on the lookout for something they desire, and as soon as they lay their eyes on something interesting, they develop the perception of need. If you want to earn more from whatever limited resources you have, target social media platforms frequently used by people globally. You never know; your ideal customer is sitting in a distant part of the part, just ready to spend a fortune on you.

Deliver conversions

There are millions of products and services being sold online. Businesses can understand their customer’s preferences through their spending patterns. They analyze the pages that generate the most traffic and identify elements that bring people to their website.

A digital marketer sometimes must work like a researcher, where scientific understanding is a vital part of the job. To get the best possible results from a campaign, marketers need to create the perfect balance of different elements emails, images, copies, and subjects. These are the critical variations, and marketers do not control these testing with A/B/C tests. Your internet marketing becomes more effective and turns into award-winning ideas that bring you better conversions.

Better revenue generation

Online marketing or digital marketing platforms are always practical and cost-effective, i.e., they return the best returns at the lowest of investments. Digital marketing platforms offer the best conversions and can help generate two to three times the asset. 

With so many digital marketing platforms and strategies available, competition has grown higher than expected. Internet marketing also helps in reducing the cost of production and generating a healthy stream of revenue. Every venture is shifting to the digital realm in today’s world, trying to make their business secure, safe, and more accessible to their customers.

The reputation of your brand

The backbone of your business is and will always be your brand reputation. It helps build better relationships with your customers. To keep the importance intact or improve it further, always deliver on your promises and quality without compromise.

Your customers will not trust you if you continue to demand their money and not offer any value. Soon there will be the time that your customer will look for an alternative and never turn back.

Overall

In the world of online marketing, platforms help grow brands overnight. Today’s business world is moving at an exceptional rate. Only by harnessing the full power of digital marketing can people make a better income and live a better life.

If there is one subject that researchers, politicians, and civil society organizations have been passionate about in recent years worldwide, it is “Big Data.” Even if the craze for big data still seems somewhat moderate, some experts are already counting on them to meet current development challenges.

Suppose it has become commonplace to say that digital technologies will revolutionize the economy and society. In that case, the agrion sector presents specificities that make the challenge of appropriating these technologies even stronger than in other sectors.

More than other goods, information on manufacturing conditions and reliability in this information are essential attributes of food products. The environmental and health concerns are particularly marked for these products. They are often in the consumer’s mind intrinsically mixed with questions of sanitary and taste quality, even if they are, in fact, quite different concepts.

Social questions take other forms than for other industrial goods, but consumers’ interest in farmers’ living conditions, which is one of the initial motivations of the States-General of Food, is growing. The often rapidly perishable nature of foodstuffs accentuates the importance of consumer confidence and information. These characteristics explain why distinctive signs of quality, guaranteed by the public authorities and certified by independent bodies, incredibly early appeared. Digital answers radically new answers to all these questions.

When we talk about big data, what does it refer to?

Big Data refers to all digital traces, for example, information relating to the measure of a bank account, or that relating to purchases made online, the information we share on and via the Internet, including emails, videos, or messages that we send to each other through social media, among others.

It is also all the information collected by GPS (Global Positioning System), satellites, etc. In short, big data refers to data born from the interaction between humans and machines. This data is so produced in large quantities that machines can only process it.

As a rule, big data obey the three V principles: Volume (large quantity), Variety (these data come from various sources and come in several formats), and finally, Velocity (the speed at which these data are produced and shared).

What can big data be used for?

Big data can be used to solve many problems in several areas in Africa and globally. The new revolution in digital technologies will come from our ability to collect in the right way, analyze, and exploit this form of digital minerals that is data.

If we take the healthcare field, collecting, storing, and analyzing patient data can shorten response times predict behavior or symptoms, which will help save lives and make much more optimized services.

In agriculture, Big Data allows the farmer to make the best cultural decisions and thus optimize his yield, thanks to reliable information on the weather knowledge of the nature of the soil. In short, this makes it possible to practice intelligent farming precision farming, which considers reliable climate data. In the African context, Big Data can be an effective tool to offset the negative effects of climate change.

Still, in the agricultural sector, Big Data can allow farmers, financiers, bankers, insurers, all stakeholders in the agricultural value chain to have quality and precise information to plan in time. Financing or logistics for the distribution of agricultural products.

Let’s take the sector of risk and natural disaster management. We can use Big Data and Artificial Intelligence to model and know which areas are at high risk, which areas in case disasters will be more affected than others, etc.

This information could allow the public authorities to know, for example, what is called “Disaster Risk Financing”; that even before a flood occurs, for example, we can assess the likely risks and allocate the corresponding budget to deal with the phenomenon. We cannot prevent natural disasters, but we can better manage or adapt to them by analyzing big data as it should.

Today, there is a concern about data, especially its management. Users feel increasingly vulnerable because of the possibility of being monitored or having their data used for other purposes. Do you think this fear is justified? Should we be afraid of our data?

To a certain extent, Big Data can relate to personal information that the mobile operators can collect on an average user or the information that a bank can have on a customer, such as its activities, online banking, etc. This can be worrying to some extent. However, you should not be afraid of it.

According to Spectrem Group’s 2019 Market Insights study, there are around 11.8 million Americans with at least a net worth of $1 Million, accounting for 3% of the U.S. population. Although becoming a millionaire is no longer as easy as it once was, it is still a significant achievement.

There is no “secret method” for accumulating riches. But I can tell you that becoming a billionaire is far simpler in your twenties: you have more energy, fewer dependents, and less to lose.

All millionaires share some common traits; we identified them to guide you about ten ways to become a millionaire.

Track the money

You cannot become a millionaire in today’s economic situation. The first step is to increase your income in small increments and then repeat the process. For example, my monthly income was $3,000 nine years ago, now $20,000. Begin by tracking the money, and you will be forced to regulate your income and recognize opportunities.

Put in the effort

Working hard necessitates no expertise. I guarantee you’ll get ahead if you’re the first person in the office and the last one to go. Will your social life suffer as a result? Yes, a little bit. But remember, you’re young. You have boundless energy! Pay your dues in advance, and you’ll be able to rest when you’re older.

Avoid debt at all costs

Debt is not difficult to understand. Paying money to utilize other people’s money momentarily makes you poorer. But conversely, you become wealthy by charging money to allow others to use yours temporarily.

Paying interest makes you poorer. Thus, you only do it in two circumstances: necessary to survive.

You will earn more money on what you are financing than you will pay to finance it. It would be best to avoid borrowing unless it would ultimately make you wealthy.

Rather than one million, aim for ten million

The most common financial blunder is failing to think large. There is no scarcity of money on our earth; there is, however, a scarcity of individuals who do not dream large.

You can probably become a millionaire by following these ten steps. Set aside those who claim that your financial ambitions are motivated by greed. Avoid get-rich-quick scams, be ethical, never give up, and assist others in getting there as well.

Make real estate your best friend

Inflation is a monster. Make it a priority to purchase a primary property as soon as you know where you want to live in the following five to ten years. If you put down 20% on the house and it appreciates 3% every year, you’ll get a 15% return on your investment.

Maintain accountability

Manage your accounts using a variety of services. Having a plethora of different accounts and cards, on the other hand, might not only be confusing, but it can also prevent you from becoming a billionaire sooner.

Don’t save to save; instead, commit to invest

The sole purpose of saving money is to invest it later. Therefore, please place it in a secure, untouchable account. Never, ever use these accounts, even in an emergency. It will compel you to follow the money.

Begin a side business

Working a full-time job or launching a business are ways to generate money. Even better, you can do both. Over time, your side hustle might grow into a large company that pays more than your full-time work.

Taxable brokerage accounts

You can invest in taxable brokerage accounts after you’ve exhausted your retirement money. Remember that the money earned in these accounts must be taxed in the year it is received.

Don’t succumb to lifestyle inflation

Lifestyle inflation occurs when you spend more money simply because you have more of it. For example, assume you pay $1,000 per month for a comfortable apartment in an excellent location. You obtain a raise at work and relocate to a more expensive apartment that costs $1,500 per month. Was it essential for you to relocate?

Conclusion

If you want to become a billionaire, fight the temptation to spend your money on frivolous things. Instead of spending more simply because you can, save and invest more. You’ll get to your financial objectives much faster.

Why Is Financial Accountability Important in A New Business?

No company can grow more extensively until the business owner starts thinking and treating it as a big company. One of the key ideas that help a company grow is ensuring financial accountability. Most start-ups fail due to financial mismanagement nowadays. Because they often think that “Oh, that job is only meant for bigger companies.” That is not always the case. It happens because many start-up owners run their businesses more like a job. They lack the skills of holding people accountable. 

Maintaining accountability is a fundamental business ethic that is the key to reducing fraud risks and reporting errors. Financial responsibility encourages confidence and credibility among stakeholders, resulting in a stronger position, greater profitability, and saving your time and money. 

What do You Mean by Financial Accountability?

Financial accountability means holding an individual accountable for performing the assigned task rightfully, such as financial transaction procedures. It lays the foundation of a secure and well-managed business.

A new start-up can delegate financial accountability to a person having the required knowledge to prepare and review every budget and financial transaction. That person can assign a particular employee or a group with the completion of this task. If the internal control is robust, it can also consider establishing a committee or an internal audit. 

Here are five steps to ensure financial accountability in your new business.

Formulate the Right Policy & Guidelines to Ensure Accountability

Employees must follow established and new company guidelines, laws, regulations, and standards to ensure financial accountability. People who understand the ramifications of failing to follow these specific guidelines are more likely to do so, and entire teams who feel the weight of those standards will work together to meet them.

Setting Principles and Holding Responsibilities

When members of an organization are held responsible for their actions, it reduces the number of potential lawsuits or fines your company could face. Set up some ground rules to ensure the employees are held responsible for the tasks performed.

• Rule 1: The head of each department must periodically monitor the official record of people accountable for the different financial duties and ensure that every assigned task that involves financial accountability performs with competency and honesty.
• Rule 2: There should be a proper recording of data and assignments for everyone within the workplace. Any newly assigned project/task should be listed, and it must also record any changes made to the brief or direction to ensure transparency: 
• Rule 3: Any individual cannot assign greater financial accountability to others than they have.
• Rule 4: Only qualified individuals should handle the financial tasks. Who is a qualified person? Who has the knowledge and skills to perform the assigned job? For example, one should know the regulations and policies, methods of transactions, or bookkeeping.  

Role Of an Audit Committee

An audit committee or outsourcing an independent audit firm can be helpful to ensure fraud prevention and assist the owner in fulfilling supervision responsibilities. You can openly communicate the results of the audit with your team. 

Financial Reports

Another important way to ensure financial accountability is to compile and update financial reports regularly, which will indicate the income and expenditure on a monthly, quarterly, and annual basis within your start-up. Investors & customers always trust companies that exhibit transparency in their financial proceedings.

Plan and monitor Your budget

Every new start-up needs a solid plan and a budget to fulfill it. Without a budget, you’re flying blind. The budget sets the guideline that is a powerful resource for managing finances. Depending on the type of business you’ve set up, you can allocate a particular budget to each department in the company. There is no set standard for calculating the budget for every department; it depends on your goal.

The point of telling you all this is that you should be aware of where the cash is going and why (meaning financial accountability). Monitor the performance of each department and ensure financial stability by tracking revenues, expenditures, tax payments, designated funds to each department, and spending more on domains that are benefiting you the most in your business growth.