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A loan will not solve all of your problems, but when used in an appropriate way it can be a great resource to boost your finances, expand your business, cover unexpected costs, fund a big expense and improve your credit score. No matter the kind of loan you are going to apply for, the strict lending process that applicants have to go through to get it can make you feel a little intimidated or unsure whether you would get an approval.  If you plan to apply, here are some steps and tips to keep in mind for improving the chances of getting your loan application approved:

Determine the kind of loan you need

New applicants often tend to ask about the best loan. However, the best loan for an individual depends entirely on the reason why this person needs the money, the required amount and the estimated time to pay it back.  Therefore, a better question to ask would be, what loan is best for me? Before heading to a bank or any alternative lender, answer the former question by researching existing options, interest rates, fees and policies, and the requirements for specific types of loans that must adapt to your needs and personal financial situation.

Get informed

Do not wait for the loan officer or bank to overwhelm you with offers you do not understand.  Make sure you take time to learn the basics of a loan and familiarize yourself with the bank’s loan requirements when you make an appointment with the loan officer or institution. Remember that financial institutions want to make money and will not approve a deal that will result in loss. This means that you need to approach the lender with a clear detailed vision for using the money and repaying it.  It also means that when you learn about your loan requirements you may realize that you need more time to save for a down payment or improve your credit report to meet the lender’s requirements.

You are allowed to compare

Once you understand what you need, it is time to shop around and start comparing both online and offline to get the best. For example, it is common for customers to want to go directly to their bank.  The bank might say that it offers special rates to its customers but there could be other cheaper loans available.

Comparing offline does not necessarily mean that you need to travel across the city visiting every existing bank or loan company, but at least a few.  It can also mean taking some time to visit websites to compare the best loans online. If you want a good deal, you don’t have to accept the first offer.

Image courtesy of Miran Rijavec at Flickr.com

Prepare your documents and be patient

Lenders require paperwork that demonstrates crucial information about your financial life.  Create a checklist of all the documentation you need to provide for the loan application (primary identification, payroll records, account statements, tax forms, etc.)  It can take time to collect all the documents and have them verified by the lender. Be patient.  It is interesting to know that a surprising number of loans are usually rejected simply because the applicant did not gather all the required documentation.  For this reason, be meticulous and always submit a complete application.

Fix your bad credit

Since your credit report matters a great deal when getting a loan, then it is paramount to make every possible effort to boost bad credit.  And by the way, it takes time.  Results will not be seen instantaneously, but it will be worth the effort in the long run. Here are a few pointers:

Be aware of your credit report; verify it.

Pay on time and, if possible, consider more frequent payments. If you forget about paying there is always the option of setting up payments automatically.

Keep your balances low on credit cards. Minimize major debts.

Abstain from applying for unnecessary credit.

Image courtesy of Rocío Lara at flickr.com   

If you haven’t heard about crowdfunding it is because you live in another planet or in a very hidden and remote island. In fact, if you are starting your business, have thought about it, have a friend that wants to be independent or even if you have some sort of contact with the world, you should know what crowdfunding is. If you don’t, well, crowdfunding is as simple as it sounds. It is a way to raise money for your idea where you can reach a big amount of people interested in your idea through collective efforts, usually with friends, family, customers and individual investors. The most common way is using social media and the internet, but also using mail-order subscriptions, benefit events, and other methods.

The focus of this post is to give the readers some of the best, and most wanted, crowdfunding companies around the world.

The ones that really have successful funding and big communities that actually help start-ups and new business go forward with their idea.

1. Kickstarter: 

Kickstarter is a platform for creative projects. Their mission is to “bring creative projects to life”.  This is one of the first platforms to be on the market. The music band De La Soul, an underground hip hop band, has benefited from their large community of 9 million subscribers. Filmmakers, artists and even extreme sport artists and projects can get financed through this company. It is not aimed at business ideas even though most of their projects have successful outcomes. They launched the company, which is now a  Benefit Corporation, in 2009 and their numbers are very exciting, with 10 million people backing a project, $2.2 Billion being pledged, and 99,908 projects being successfully funded.

2. GoFundMe:  

this crowdfunding company specializes in raising money for special events like celebrations and to overcome challenging circumstances like accidents or special illnesses. It is more of a fundraiser for personal causes. The idea is to share your story, similar to the stories you share through Facebook, and obtain funds to carry on your celebration or to pay for things you and your group really need. The most common topics or ways that people use GoFundMe are medical, educational, volunteerism, personal emergencies and sports and teams. Just the past year more than 1 million people were benefited to make up a total of 1 billion in donations.

Image courtesy of lulupinney at flickr.com 

3. Indiegogo:  

the success of this crowdfunding institution is that they accept almost anything in the market like music, hobbyists, personal finance needs, charities and whatever else you could think of except investment. They have been growing very fast in many countries due to their flexibility and approach of giving the opportunity to anybody that has an idea. They want to tear down the barriers that come up when the average person has an idea, a crazy, cool and genius idea, and wants the world to know about it and have a way to get out there to others that want to support, help, advertise or invest.

4. Crowdrise: 

this crowdfunding fundraiser is dedicated exclusively to causes and charities.  It was named as one of the “Top 25 Best Global Philanthropist” by Barron’s. They focus on raising money for important and amazing causes and also aim at having fun while doing it. Their community is based on doing good to other people and they have been very successful at it as they use the community around famous people and events to attract funds to invest in charities around the world. They also have many categories and are one of the most organized crowdfunding sites. Their celebrity backed charities are very successful among donors.

5. Pledgemusic: 

as it names states it, they are a crowdfunding community that wants to help new talents in the music industry,  get out there and be known by the public. Artists struggle at the beginning to come out to the surface as it is very expensive and demands a lot of advertisement, which is also difficult and expensive. This crowdfunding community wants to contact artists and fans from the very moment the project goes into the studio. They help artist with the tools, services and support that are required to create music, videos, merchandise and events to reach their fans and public. It is all about connecting music likes and dislikes with the new comers out there.

Image courtesy of BlackBox Innova at flickr.com   

There are many ways to help through local charities or well- known philanthropic institutions. This is one more way to help others and to get involved in the part of the world, the band or the idea the most interests you.

This globalized world gives us many options to get involved in the things that we like, and through crowdfunding websites is as easy as it gets.

Your business is running at full capacity. Yet you could be doing so much better if you have the equipment, additional personnel and other resources available. Increasing operations and business growth requires funding that you may not have on hand. After performing research and much business soul searching, you may decide that now is the best time to look at your loan options.

Assessing Loan Options

Getting a business loan is no easy feat, claims successful entrepreneur David Kiger. Some companies seem to have developed that magic formula where they can get the desired loan amount at the interest rate that works for them. Other business owners struggle to get their proverbial foot in the door with financial institutions and private lenders as they dread the inevitable rejection letter for their application.

Yet don't give up on getting the money you need. There are so many loan options available whether you go the traditional commercial loan route, seek peer-to-peer funding, locate a direct lender willing to take a risk on your operations, or even giving crowdsourcing a try. Here are three loan options to evaluate to find the best rates that will fit into the type of business you operate and the amount of cash you need.

Traditional Banks and SBA Loan Programs

Really, taking the shot to get a traditional commercial loan is your best bet. You can get larger amounts of money from a lender, lower interest rates, and longer repayment terms. It is also because of these three factors that makes it hard for small businesses to get financing through this avenue, states David Kiger.

The application and review process are daunting. You have to cross your "i's" and dot your "t's" for every document that is requested. Even then, only about 20.8 percent of small business loans were approved back in November of 2014. You also might have to wait a few months to even see the money.

Businesses who are looking for a traditional loan through a brick-and-mortar bank may try the SBA loan route. While the Small Business Administration (SBA) doesn't lend money directly businesses, they do offer government backing to loans to lessen the risks that banks take on when offering money to businesses that end up defaulting on the loans. The SBA offers a wide range of different loan programs such as 7(a) general business loans, microloans, equipment and real estate loan programs (CDC/504) and disaster loans.

So why aren't more people going the SBA route? Just like traditional loans, there are a wide range of restrictions. A business has to be operating longer than 2 years and there are lower loan caps. It also takes months to get the funding unless you go for a SmartBiz SBA loan that helps speed up the process.

Peer-to-Peer Lending

If the traditional commercial business loan isn't an option, then private investors offering peer-to-peer lending may be better for you. The interesting thing about peer-to-peer lending, remarks David Kiger, is that you have several investors pooling small amounts of money to fulfill the whole loan amount. This method shares the risk with multiple people instead of just one person or financial institution.

Peer-to-peer lending works with some businesses when they are seeking less stringent loan criteria to qualify. Prosper, Lending Club and Funding Circle are the top three peer-to-peer lending options, although there are other online lenders available. The only downside with working with peer-to-peer lenders is that many will not offer you funding unless your business has been operating for a set number of years. Also, interest rates are usually higher with this loan option than with seeking out a traditional bank loan.

Direct Lending

Your third top option is direct lending from lenders who dip into their own working capital to fund your business loan. The good side is that if your business is younger than 2 years, you can still take this route to get the loan amount you want. Also, you may be able to get your loan amount immediately. The bad news? Your APR will be higher, and some direct lenders have very short 6-month repayment terms.

Fundation, Kabbage and Ondeck are direct lenders who work with businesses. While you are in a hurry to get the loan, you have to take it slow and really look over the fine print in the application. Make sure the APR and the repayment period will work with your budget, or you can find yourself in deeper financial trouble than what you had before you received the loan.

You have vendors to pay, employees who deserve a paycheck on time, and daily expenses to hash out for your business. Unless you have enough cash flow moving in from an abundance of sales, you may be looking toward getting a business loan to float your operations until you become financially stable.

Business loans can pay for a wide range of business expenses and operations. Depending on who you will work with to get the loan, there may be certain loan cap limits that dictate the maximum amount you can request. Normally, traditional brick-and-mortar banks will give you the most flexibility for the loan amount, interest rates and repayment terms. For these reasons, banks have more stringent application and eligibility requirements for businesses. Other loan options such as peer-to-peer lending and direct lending have lower eligibility requirements but higher interest rates.

Figuring out who to ask for a business loan is the hardest part when seeking financing. Yet you shouldn't ignore the second hardest part about business loans, reminds successful entrepreneur David Kiger. Estimating the loan amount you need can make or break your business operations.

Importance of Correctly Estimating Loan Amounts

Figuring out how much you can get for a business loan basically equates to how much the bank is willing to give to you, right?

Wrong, David Kiger states. Too many business owners fall into two categories when they are searching for loans. They either ask for too much or for too little.

For those businesses who inflate their numbers, they are risking the chance that banks and investors will walk away without even offering any investment money. Financial institutions and private investors go to great efforts to run their numbers and do financial background about your business industry. If you’re asked-for loan amount is far too much, they will walk away from the bargaining table. They simply don't trust business owners who don't have a grasp on how much money is needed for operations.

Also, financial institutions don't want to invest in a business owner who believes that just throwing as much money as they can at a problem will eventually fix it. They want to see that you have a firm grasp of your operational expenses, know how much you need and understand what areas of your business to place the money to increase productivity while decreasing costs. Even if they take a chance and give you the high loan, you risk the chance that you can't repay it and the interest amount in full.

Those who ask for too little are trying to play it safe. You are worried that you will default on the loan so you underestimate the amount so you can sleep better at night. While normally people would applaud that the business owner is being prudent and wise about their lending needs, in reality you are getting yourself in just as bad of a situation as those business owners who ask for too much. You stretch out the given resources toward operations until the money runs out too soon. Or you experience a business emergency that takes away a majority of the loan amount. Now, you find yourself stuck needing more money, having to repay for the original loan, and unable to get another loan from the bank.

Now is the time to open up your accounting files and really figure out what you need. Understand how you plan to spend the money and the areas of your business that is a priority. Then create a realistic loan amount.

Figuring How Much You Need for a Loan

There are two important records that you can use to estimate a loan amount, David Kiger tells young business owners. You need your business plan and your bookkeeping records.

Your business plan outlines all the assets you possess or will need to operate a business, from raw materials for product creation to computers when taking orders. Your bookkeeping records show all of your expenses such as paying employee salaries and marketing your business. You will also need these two records to show your present cash flow, your financial projections for sales, and the types of collateral you can put toward the business loan.

Creating a list of your assets and your expenses will allow you to figure out your starting costs and daily operational costs for your business. Your cash flow and financial projections will allow you to figure out how much you can place toward loan repayments and interest rates. Once you hammer out the numbers, you can figure out a rough estimate for the loan amount you need. It is advisable that when thinking about a loan amount to create an estimate that will cover a 6-month to 12-month operational period.

When it comes to crowdfunding, just about anybody can make their personal and business dreams come true. From paying for a wedding to buying a horse, individuals are using the money they raise get the things they always wanted yet could not afford on their own. So it comes as no surprise that business startups are looking toward crowdfunding ventures to raise starting capital, help purchase equipment, and for marketing purposes for their products.

Benefits of Crowdfunding

People who are starting a small business may turn to crowdfunding to see if they should even run with their idea. You can effectively test the market waters to see if customers have a need for your service or product, suggest David Kiger. You gauge the public's reactions to what your business is offering, get important feedback that you can use in operations and develop enough buzz so that people recognize your brand the moment you are ready to open up your business doors.

In addition, you can create a market demand and loyal customer base even before the product is ready to launch. You already have people traveling through your sales funnel. They are engaged with your product or service as they want updates about your operations. You will have an easier time turning these leads into profitable sales due to their opt-in from the crowdfunding campaign.

Lastly, unlike a traditional bank loan which you have to repay, you don't have to dip into your cash flow to make repayments over a set period of time. There are no interest rates and no stressful application process to go through. You can ask for any amount you want to cover business expenses. In fact, many business owners can even find themselves going over their target amount.

Is Crowdfunding Ideal for Your Business

To ask whether you should try crowdfunding, you need to decide what it is that your business is offering that will attract enough backers to make crowdfunding a feasible way to earn money? For this funding venture to be successful, you need to drum up enough people who will place their trust and their money into the project.

You rely on your network of family, friends, colleagues, peers and others to not only place their money into the pot but to also become your bullhorn to share the news far and wide. Their network of friends and community members have to be drawn to your project or product as they become inspired to contribute funds and spread the word. If you don't have a big network, then you are going to struggle to market yourself unless your project is so fantastic that it becomes viral across the Internet.

What are You Offering in Return?

Crowdfunding isn't completely a charity unless you run a nonprofit. When it comes to for-profit businesses, you have to offer something to people to get their support. Early startups may provide prototypes or first rollouts of their products to backers. Other people are offering equity in the business, states David Kiger.

So you have to sit down and decide if you just want backers that can become a solid, loyal customer base for your products, or do you want to turn your backers into investors who share equity in the company. Deciding this important factor allows you to select the right crowdfunding platform to use and how to appeal to investors who will add positive growth to your business now and in the future.

What are You Willing to Risk?

Understand that when you are trying to raise money, there are still risks involved. First off, crowdfunding isn't free. Typical sites such as Indiegogo and Fundable charge fees that can range from 4% to 9% to run your campaign. Also, some sites will offer an "all or nothing" clause. If you don't hit your target fundraising amount, you don't get any money. Even if you place your campaign on a site where you can keep at least some of the funds, you might not generate enough buzz to make it worthwhile as you end up wasting time and resources that could have been placed into the business itself.

Prepare What You Need for a Successful Campaign

Treat crowdfunding in the same way as you would approach angel investors or venture capitalists, suggest David Kiger. You need to properly convey what your business is, what your goals are for your products and services, and how you will sustain your business during the early stages of operations. Create a business plan on what you will do with the money to help your operations, and what your financial forecast will be to strengthen and grow your revenue. Then follow your business plan to reach success. 

Taking those first steps into becoming an entrepreneur doesn't come easy for most people. Such as when David Kiger founded Worldwide Express, creating a business takes time, dedication and of course working capital. You need money to create products for customers, lease equipment, purchase commercial space, pay employees and to fund a range of other business operations. Not many of us has that money stowed underneath the mattress or stashed in mason jars that are buried in the backyard.

In fact, there are three common mistakes that budding entrepreneurs commit time and time again when taking out business loans. Avoiding these mistakes and performing research beforehand can increase your chances of putting the best aspects of your business in front of banks, investors and other business funders to encourage them to part with their money.

Apply too late for a business loan

There are times when emergencies happen that will cause you to apply for a business loan to keep operations running. Unfortunately, it is too easy to underestimate when you will have the money in your hands. Banks will typically evaluate your application and all the information you provide for the next two weeks. Then the banks can take another two weeks up to two months after approving your application to provide you with the loan funds. If you needed the money to make products for customers or rent important equipment needed to run operations, you could experience serious downtime where you aren't bringing in profits.

Another factor is that you are so eager to have the money in your hands, you won't pay attention to the fees and interest attached. You accept the first loan offer you can get your hands on, then later find out how much you have to pay back on it and that you aren't getting as much money as expected do to loan origination fees, application fees, administration fees and other loan expenses.

Lack of full documentation

No having the documentation and financial figures to supply to banks is like not having the analytical data needed to keep track of your business operations. David Kiger has seen this problem too often when helping businesses develop the strategies and tactics to lead to success.

You aren't sure what your profit numbers are. You don't know how your product or services fits into your market segment. You don't know who your main competition is. All this information that is required to create effective business strategies would also be needed by banks to understand your company, figure out the financial health of your business, and understand the risks of lending money to your operations. Without a business plan and financials, banks simply won't accept your application on blind faith.

Also keep in mind that fudging your figures on the application regarding profits, losses, market analysis and other information is the worst mistake you can make. While ballpark data figures are understandable, especially if you are running a niche business with little historical data figures, outright exaggerations will only make you look unprofessional and untrustworthy.

Not understanding how much money you need

This problem is always a stickler for businesses. How much money do you actually need? Are you looking to simply purchase equipment? Do you need funds for start-up capital? Perhaps you just want money to cover operations when waiting for slow invoice payments from clients?

Overestimating how much money you need may have you taking out a loan that you simply cannot repay because you fail to make the estimated sales you expected. Underestimating the amount you need also leads to its own set of problems. You may stretch out the loan amount too thin when trying to cover multiple business operations. Quickly you run out of money as you find yourself in a bad position of seeking additional financing options without first paying off the original loan.

Recognize the Problems Before You Seek Funding

Understanding the pitfalls associated with business loans can make you better prepared when you need to seek out financing. Remember that every business is different, and will experience different problems with obtaining loans. Yet as David Kiger suggests, performing thorough analysis of your operations and smartly using this data can help you effectively run operations as well as figure out when it is an ideal time to seek financing.

So take the time to figure out what areas of your business needs improvement and develop the tactics to wisely use the loan amount to your advantage. Then provide the documentation that the bank requires to make a decision that is a benefit to you.

You've decided that now is the perfect time to seek out additional funds for your startup or small business. Whether or not you have thought about a traditional bank loan or even a private loan doesn't matter. Crowdfunding is one of the most lucrative of options today. You don't have to know someone with money to secure this semi-private loan. And, you don't have to give away a part of your company to get it (something David Kiger doesn't recommend.) More so, you don't have to prove to your family or friends, or even the bank, that your idea is fantastic. But, before you can secure one of these loans, you simply need to have the right setup possible.

What Is Crowdfunding?

There are various formats and numerous sites to choose from for crowdfunding. Each one is somewhat different. However, they all have the same basic concept. That is, they provide people with the ability to post information about their product or service, discuss their financial needs, and encourage would-be investors, many times everyday people, to donate. These are loans, and you will need to pay them back. However, funding terms, amounts, and interest rates tend to vary significantly. Posting your application for this type of loan doesn't always guarantee you will get it either. You'll need to prove to these would-be investors why your company is the best investment for their needs.

How do you get started?

Step 1: Choose a Crowdfunding Site to Use

There are many crowdfunding companies and websites. Look for a crowdfunding site that's dedicated to your company type. For example, Kickstarter, one of the most common, is a versatile site. Some, others to consider include Indiegogo, Fundable and Bolstr. Peerbackers, SoMoLend and RocketHub are a few more. No one location is best for all companies and needs.

Step 2: Determine How Visible Your Company Is

The next step involves showcasing your company. A business visibility review allows you to organize key information about your company to ensure your potential lenders can learn everything they need to about your business. What is its visibility in the marketplace? You'll likely benefit from having a completed business plan in place. This can help to answer common questions about market projections, competitive analysis, ramp up costs and production costs. You'll need this type of analysis to showcase your business to investors. David Kiger recommends having this information in hand long before you actually create your crowdfunding account.

Step 3: Create Your Account

Now that you have a solid amount of information about your product including projections, marketing methods, and sales goals, you can begin the process of creating your crowdfunding account. Here's what it takes to stand out from the rest.

Create a compelling description. You'll want to keep it concise and short. Choose to spotlight three or four main features. Make it easy to read with bullet points. Your description should tell viewers what the product is, what makes it unique, and how the contributor can get involved.

Create a video. Videos are what get the most attention in any crowdfunding site. This is perhaps the most critical component of your account creation. You need to create an emotional connection with your potential investor. Use real people, real information, fewer gimmicks, and more clear description of what you have to offer. Keep it simple and not bogged down by technical details.

Use photos in your description. Create mockups if needed. The key here is to create a visual you would-be backers can truly appreciate.

Make it stand out from the competition. Most importantly, you'll want to make sure it answers the most common questions about what the product is, why it stands out, and what it will accomplish.

Step 4: Focus on the Financials

There are a few other things to keep in mind. First, you'll want to offer multiple funding amounts to your investors. Set a fundraising goal that meets your goals, but is not so high or out of range that you don't get it funded. And, be sure to offer attractive perks. David Kiger often recommends offering simple items that are fun to have and tangible.

When you pull all of these components together, you'll have a winning crowdfunding campaign. It's important to market it heavily not just on the site you select, but also on social media and other marketing materials. It's essential that you get as many people involved as possible in the marketing of your campaign. This is the only real way for you to get it in front of enough people to spark interest. Give it time and attention to see the success you desire as David Kiger has done as well.

As a business owner, one of the tasks you'll have is to keep your business moving forward. At first, you need to create a solid foundation to grow your company from and then, throughout its lifetime, you need to supply it with everything it needs to grow and flourish. Of course, money is key to that success. Business loans, though, can be complex, hard to get, and expensive. As a new business owner or one without a great deal of experience applying for loans, there are a few key things to keep in mind before you put pen to paper.

Determine Your Needs First

Before applying for a small business loan, you need to understand why you need to borrow and how much you need. If you've taken the time to create a business plan, one of the most important recommendations from David Kiger, then you should be able to clearly see how much you need to borrow and where you will use the money. If you haven't taken this step yet, now is the time to do so.

What will the funds be used for? Perhaps to purchase inventory, expand the company, or add new team members, document why you need these funds.

Outline how you will use the funds. This is important because it shows any lender how you will use the money wisely.

If you don't have a business plan, it may be time to create one. Many lenders require these documents, especially if you are applying through the Small Business Administration or a traditional bank.

Consider Loan Sources

Now that you have some idea of what you need, the question is, where will you get those funds? There are a variety of loan options available.

Traditional banks often offer small business loans, including those backed by the Small Business Administration. These tend to require more documentation and take 30 to 90 days to secure.

Crowdfunding is another avenue in which you use a crowdfunding website to encourage numerous people to invest in your company. Keep in mind this is less risky, but can be harder to obtain.

Credit cards can be an ideal option for those who do not need to borrow a significant amount of money, and want to involve the least number of others in the process.

Private loans from family and friends can be an ideal choice for some people. Though they can put you into a tight position with those individuals, these loans tend to be the easiest to obtain because your family knows you well.

Angel investors are those private lenders that offer money to small businesses and startups, but they tend to be hard to obtain. You may have to use your business or equity as a level of collateral and some investors do require ownership in the company. For larger amounts for a new or unproven idea, this may be the best option.

Once you have some idea of where you plan to apply, consider what it will mean to your company. Are you giving away partial ownership to secure the funds? Will your company have the means to repay the loan or will your assets be put on the line as a result? Also, note that if your business is new and unproven, it may be your personal credit score and assets that have to help support the loan's terms.

How to Prove Your Worth

Your business plan will be the foundation of your company's overall success in obtaining any business loan. However, there are other steps you can take to ensure your company gets the best shot at securing those funds, as David Kiger is sure to tell you.

Don't over-apply. Apply for what you need and can comfortably pay back over a matter of months or years. This shows you are confident in your borrowing.

Use collateral if you have it, including business equipment, to avoid having to secure the loan with your personal credit.

Form a corporation before applying for a large loan. This helps to shield your private assets from the loan and helps create more respect from lenders.

Perhaps most importantly, don't be afraid to show off your company and sell it to the lender. Be passionate and knowledgeable about your company, the industry, and the competition. David Kiger has had plenty of experience in helping to support business dreams and goals, but it is always up to the borrower to really prove his or her worth based on knowledge and dedication. Commit to repaying your loan as soon as possible and ensure it accomplishes the goals you set.

Ask any entrepreneur, successful or not, and they are sure to tell you what they regret and wish they would have done. Today's startup has more opportunities to not only excel with their new product or service but also learn from the advice of others. All startups make mistakes, as David Kiger is sure to tell you, but knowing about the most common mistakes can help you to avoid them and potentially get ahead of the rest.

Losing Direction and Vision

A common mistake many men and women make when starting their business is getting distracted. They see something new or unique, and pivot. They get another idea and add it to the stack of other tasks that need to be completed. The problem with this is that it leads companies down the path of pivoting time and time again, never truly staying true to the ultimate goal. Create a vision. Build a business plan. Avoid pivoting.

Not Stepping Away from the Planning

Some business owners plan too much. It's ultimately best to strive to get your product or service out into the world quickly so that you can start earning from it. Some companies focus too much on every detail that the business never truly gets off the ground. Ask yourself this question about the long list of things to do that you need to tackle. "Is this task helping me to get my product closer to the consumer's hands?" What is the direct impact of your task? Is it worth spending time completing?

Poor Organization

Another common mistake many startups make is a lack of organization. By far the best way to organize your business and create a structure from which to work is to use a business plan. It is advice that David Kiger provides regularly. It's at the heart of every part of your business from bookkeeping to launching your next marketing campaign. With true organization, you reduce the risks commonly associated with failure such as time management, overspending, communication mistakes, and financial oversight such as overspending on the budget.

Hiring Poorly and Too Quickly

One of the most significant investments you'll make with a startup venture is hiring. Hiring the wrong people is the surest way to put your company at risk of never launching or gaining traction. The problem is, it's hard to know who to hire and who not to bring into your company.

Realize that as a small company, you need employees that can do more than just one thing. You need people who can do much more than one thing. You should always be recruiting new and fresh talent, but you also need to focus on building a team that's cohesive. You need to have a financial department to help manage the salaries and benefits of your new hires. This can also help you to keep your team on the right track moving forward. How much can you afford to spend on worker pay? Don't over commit or promise big promotions you cannot financially manage just yet.

Hiring smart means looking for people who are efficient, dedicated to the vision you have, and willing to work very hard even without a huge paycheck at first. It's important to bring leaders into your company who are innovative and have a combination of experience or knowledge, or both.

Funding Isn't the Only Thing to Think About and Plan For

Many startup business owners focus a great deal of their attention on finding funding, building more funding connections, or working on new strategies to gain more attention for better access to cash. You'll have a much easier time achieving your goals of profitability if you aim to be more successful early on. Don't make too many leaps forward with your initial funding that you cannot continue to meet with your existing budget.

In other words, make the most of the funding you have now, using every dollar to push your product or service forward. When you do this and create some level of success or a better product, the funding becomes far easier to get. If you are only obsessing over dollars and cents, you can't expect your product to achieve the desired outcome.

According to David Kiger, other big mistakes within startups include chasing after those venture capitalists you want to work with instead of networking and building relationships, assuming your product will do well once people learn of it, and becoming distracted from the original vision by feedback. Though complex, the process of building a successful business means being open to making mistakes, working very hard, gaining little attention at first, and continuing to build the dream you have.

Startups can sometimes be like lightning in a bottle that suddenly flashes in your life -- powerful, persuasive and all-consuming -- as the innovative idea sparks your soul to where you want to capture it and bring it to the masses. Yet while these ventures start out with the best laid plans, they flare-out too soon and then die at the financing stage without ever building up to their fullest potential.

(image via Pixabay)

Successful entrepreneur David Kiger has seen it too many times with customers working with his founded company, Worldwide Express. The new entrepreneur starts out with the best of intentions. Yet somewhere in planning the startup operations, the person simply can't find the capital they need to get their business up to full speed. They may have had unrealistic ideas that investors just pass out money like doughnuts to every new entrepreneur that knocks on their door. Or the start-up simply miscalculates several important factors such as not predicting market growth or not understanding their financial metrics when performing their market research.

Finding the necessary money to fuel your dreams becomes vital toward your start-up success. You must make the sound choices and leadership decisions that can make a big difference not only in finding interested investors but getting enough money to survive that first year without scraping at other funding resources or hitting the investor up for more cash. Here are several tips for startups to get the funding they need.

Define Your Business

What makes your business special? What niche does it fit into? What pain points are you solving for customers? How do you plan to manage your startup and what types of revenue do you plan to bring in those first 3 to 6 months? How will you market the business and how will you edge out the competition in your chosen market segment? How much working capital do you really need?

If you don't have the answers to all of these questions, neither will the investors and they will see your startup as too risky of a venture to be involved with since the entrepreneur hasn't done their homework to fully explain the business idea to them. Before you even look at financial sources, you need to have a business plan formulated that allows the investors to understand what makes your startup a potentially profitable option.

It's often been said that business plans won't guarantee success, so why make one? It is true that a business plan won't have money falling into your lap. Yet it will allow you to essentially define your business to investors. A business plan can also weed out issues before you seek funding as well as give you a roadmap on how to manage every aspect of your finances and operations to reach short-term and long-term goals, even if you take the crowdfunding route or have family members fund your venture.

Prepare Your Pitch Deck

(image via Pixabay)

It's surprising how so many new entrepreneurs have no idea what a pitch deck is. Yet it is one of the most vital stages for getting funding. In essence, a pitch deck is your presentation that you will use so investors can understand your startup business. David Kiger is also quick to point out that a pitch deck is a great idea to connect with other people who will have a hand in moving your business forward such as partners, co-founders and even customers.

There is a wide variety of information to include in a pitch deck. Just make sure to keep it brief and not bog investors down with too many facts. Always include the following aspects in your pitch deck:

●     Your startup vision

●     Product and service offering

●     Financials

●     Marketing opportunities and strategies

●     Competition analysis

●     Key management players

●     Revenue outlook

Know What You Want and Where to Get It

It's not about hitting every place that can possibly give you funding. It's about truly understanding how much it will take to get your business off the ground and who can provide you with the right amount of funding so your startup becomes sustainable during that first rocky year. To build a company until it can run itself, such as what happened with David Kiger's Worldwide Express as it built up its customer base to 30,000 clients, you have to get your financial numbers in order. Figure out how much it will cost to rent office space, build warehouses, lease equipment, pay employees, order materials to make products, market your business, and all the other essentials.

Women continue to be underrepresented in today’s startup culture. Fortunately, female entrepreneurs have several options for securing funding for a new business.

Image Source: http://www.eileenfisher.com/EileenFisher/company/grants/Women_Owned_Businesses/Women_Owned_Business_Grant_Guidlines.jsp

Although the federal government does not offer startup grants, several states and nonprofits do, depending on the type of business planned. The Eileen Fisher Women-Owned Business Grant Program, which offers $100,000 in grants annually, and the Amber Grant, which focuses on microfunding with grants ranging from $500 to $2,500, are two grant programs that cater specifically to women. While the latter provides grants that are comparatively small, it is a great launching pad for accessing other investment opportunities.

Additionally, women should investigate opportunities through the Small Business Administration, which has a specialized Woman-Owned Business Program that offers access to grants, educational resources, and other unique opportunities. A third option is an angel investor. While angel investors are typically family members or friends, several investment groups, including 37 Angels, Astia, and Golden Seeds, will help promising female entrepreneurs to connect with potential investors.

Image Source: Bizjournals.com

David Kiger, the founder and CEO of the Dallas-based global freight shipping company Worldwide Express, recently shared his insights on the traits of indispensable employees. He began by stressing the importance of avoiding office gossip, advising employees to be smart, responsible, and respectful in their conversations with coworkers and superiors. Even when your superior is the source of the gossip, he says, keep the information to yourself. In order to be a truly valuable asset to your company, Mr. Kiger notes that you should also be flexible. A willingness to work additional hours or to assist with special projects demonstrates your work ethic and dedication, as does offering to help your boss during particularly stressful situations. Furthermore, it is important to adopt a “no whining” policy when it comes to requests in the workplace.

Image Source: Yelp

For the third year running, Worldwide Express has earned recognition from Transport Topics as one of the publication’s top 25 freight brokerage firms. The Dallas-based package and freight shipping company came in at number 7 on the annual list, which ranks America’s largest freight shipping companies based on the size and scope of their services.

Striving to provide corporate-quality shipping services to small and medium-sized businesses, Worldwide Express serves over 35,000 companies each year. The company’s inclusion in Transport Topics’ Top 25 reflects its ongoing growth in both the less than truckload (LTL) and full truckload (FTL) sectors. Worldwide Express began FTL operations in 2014, and the business division has already become the firm’s fastest-growing service area. In 2014, Worldwide Express also achieved 34 percent overall growth in its enterprise activities.

Image Source: Pixabay

For business owners deciding whether or not to hire a consultant, the question largely depends on the end goal. Good motivations for hiring a consultant include ensuring objectivity and credibility, supplementing staff time and expertise, and handling legal requirements. In other words, consultants are valuable for their specific skills and their ability to offer an informed second opinion about a situation.

Small business owners can typically find a consultant fairly easily, either through professional networks or by searching online. However, finding the right consultant can prove difficult. Important questions to ask involve the person’s professional and consulting background and the types of clients worked with in the past. A consultant that primarily works in the health care industry, for instance, is likely not the right fit for a toy manufacturer.