Would you like to become a better investor?

Would you like to become a better investor?

If you have a great plan about your savings and if you manage to stick with it, it might help you overcome cash crunches. But would that alone be sufficient to secure your future? For that, you should be able to draft a clear plan for your future financial goals and this could be used to plan your investments. Now that there are plenty of choices in investments you can easily find one that falls within your budget and timelines. There is no right or wrong choice when it comes to investment. So are you ready to become a better investor? Here are some ideas that would help you in your investment journey even if you are relatively new in this area-

It is ok to stick with the safe choices

If you are worried about taking risks and if you would like to steer clear of the stock market, it is totally alright. It is fine to play safe as long as you pick the trusted investment options. Mutual funds and equity trading, in general, can fetch big profits and there is no doubt about that. But these do involve the market risks and so there are many who prefer to stay away from them. A good investor would play safe but take the efforts to learn about all the available options in order to be ready to diversify the portfolio.

Do not make hasty decisions

If you wish to establish a steady investment routine then keep yourself away from hasty decisions taken at the time of unprecedented market movements. Good investors are those who wait for the right opportunity instead of keenly focusing only on the returns. Performance does matter but the strategy matters even more. When you stop making decisions based on your previous performance you would be able to increase the profits in the long term.

Besides doing everything you can do not limit your source of information. Seek professional help when required and the best financial advisors can give you an insight into the market patterns. This can give you an opportunity to get all your queries answered.

There is a new era that is coming up and that is one of the bots. Bots are used for automation in several areas and there are numerous trading bots available as well. You get to choose from the many bots in the market or you get to seek the help of a human financial advisor. Whichever path you choose, you can definitely become a better investor if you have a clear plan laid out.

Facts about Home Loan incentives that most of us didn’t know:

Facts about Home Loan incentives that most of us didn’t know:

Home loans are the biggest loans taking across the globe! Most people opt for this loan, just next to your personal loan. Sometimes, the promotional offers on low-interest rates, charges waived off or any other irresistible offers will make people go hazy!

But, its nothing wrong if you opt for a home loan. Its wrong only when you don’t utilize the offer it comes with!! Do you know that you could actually claim a tax benefit on the EMI’s paid, even if you had missed one in that year!

Similarly, there are many other facts, which you ought to know before you head to apply for a loan or in case you already have one!

Claiming tax benefit on interests paid, even if you missed one in the annual year:

The government has approved for tax benefits on interest paid for the entire year even though you didn’t pay a few EMI’s in between. Until the interest liability sits on you, you can claim this.

Repayment tax benefit of the principal is reversed if you sell house below 5year:

Yea, you heard it right!! The home loan you took, in the worst scenario if you have an EMI, and want to sell the home due to reasons, which is just 1-4-year-old, then you need to pay back the tax benefit that you got for the principal repayment. You need to hold the copy for any future references.

Tax benefits apply to loans from friends and relatives:

In cases of tax, the usage is very relevant than the loan purpose. So, for any business, if you have borrowed money from friends and relatives, the same amount can be claimed in tax. Not just for new property, you can even borrow money for reconstruction and get a tax benefit.

Have the name, claim tax benefit:

Any person who is willing to claim a tax benefit should have the property in their name, or at least as a joint holder. Its applicable to all, including your own parents. If you bought the home in your parent’s name and you pay the EMI, you are not eligible for the tax benefit, while your dad is!!

Pre-construction period interest for the claim:

Yes, this is such a relief!! If you are taking to construct a home or a building some 3 years, then the interest that you paid for the whole tenure can be considered for tax benefit up to 5 years from the date of completion of the project.

 

Five Things I can do Using Blockchain Technology

Five Things I can do Using Blockchain Technology

Blockchain can do anything, the myth is slowly getting busted, there is more to come from the disillusioned concept of anonymity.The decentralized form of storing your data and digital fortune could just be tipped off and fall off from the cliff, with an overzealous crowd who this technology can even make your morning bed tea, thanks to the social media for posting anything but reality sometimes. The faint rays of the sun have dawned upon people who have tested this technology with all its limitations and vouch for a revolution that is yet to happen as the technology is still in the nascent stage.

Small blocks that attach to each other storing high amount of information that could have added more to the data junk that is waiting to burst off, this technology could save the world from the e-junk that is even invading the galaxy.

  • the foremost thing we can do is use this technology in the process of transferring money, without having to worry about the in-between processes that could further delay the money transfer, the base currency is almost a decade old now, was never hacked and the amazing simplicity of the protocol has made the technology go further
  • making in-app payments or microgrid transactions, you can make fraction amount payments that are done with high speed, without any restriction on the amount to be transferred or paid, the pay per use concept is novel and there are no ownership issues, as it is not touched upon by the micropayments at all
  • personal finance has benefitted largely, peer to peer lending has become common today, low interest bearing lendings have become more sought after with minimal or no paperwork
  • motorist paying their parking fees with the digital coins is another way to include the coin currency in our daily lives, are suggested by the council so that there is no delay in paying up the fees upright
  • digital identity cards are the best way to prove the identity of individuals, with paperwork having too many issues to bear with , this could be the next revolutionary way to have your own digital identity, all your paperwork, property documents, and other important details could be well stored in the digital locker, helping the environment in your own way and leading to a more safer information, without banks selling off our data to marketing companies

 

 

 

 

Is Online Business Effective Or Not

Is Online Business Effective Or Not

Nowadays, doing online business has become a fashionable thing and most of the women try this because they would like to balance both their work and personal lives. There is even no routine time for doing it and the entrepreneurs can start and end their works at any time as per their wish. This is a great advantage for the women who manage their infants at home and there is no targets or goals to achieve. Everything is up to them and they are allowed to do how much they can do and there are no restrictions for the users.

But many people still have a dilemma that whether the e-business is effective or not. Let us have a look about it and come to the conclusion.

  1. Cost:

When we talk about stating up a new business, the cost will be the first thing everyone thinks of. But in online marketing, there is no much to spend and so anyone can start doing it from home just by sitting simply in front of the system. The main thing needed for it is the internet connection and obviously, it does not cost expensive as many internet service providers available in the market.

  1. Flexibility:

The e-businesses are so flexible in all the ways that are the traders can do their works whenever they are free and there is no time limit for them. That is why many homemakers choose this wisely and earn a lot of money without any unnecessary stress and burdens.

  1. No boss:

The landlords do not need to answer any senior authorities as they are the boss as well as the employee. If we take a regular direct office work, then we will be in a condition to answer the higher officials about the works we did. But here is nothing is like it and the businessmen are like free birds and they are supposed to do anything they need to.

  1. No profit sharing:

As the traders are the boss for their work, there comes no one to share the profitable returns. So, the whole profit amount will get added to the main trader’s account. But at the same time, they are the ones responsible for the losses occur in their works.

Hence conclude that the online businesses are really very effective especially for those persons who are not ready to take up any unwanted work pressures in lives. But the entrepreneurs should have the guts to accept both the incomes and the expenses.

 

 

 

Turn Your Failures Into A Success

 

Everybody will agree to the fact that a business is full of uncertainties. Failures do happen. They may or may not be due to the negligence of the owner. Profitability of a business is based on a various factor such as product, competition, target area, people etc. Losing either of the above factors may result in a loss. An Entrepreneur must never give up his effort during a loss. Mistakes are realized only when it creates an impact. Yes, the quote “Failures are stepping stone to success” is 100% authentic.

Learn to handle failures in a business. If not, it would be challenging to sustain in the market and achieve a growth in the future. Know the following factors to gain success while handling failures.

1) Never give up: Business is a game of probability where either party succeeds or fail in the market. It all focuses on the mindset. Be prepared in advance about the business risk and the amount of loss that he/she might tentatively incur. Many of the entrepreneurs fail to take the loss in a positive way resulting in an emotional pain such as suicide or depression etc. It is always wise to give your business the best shot while expecting the worst. Identity the alternative plan available and try to achieve the same irrespective of business failures.

2) Personal failure: Don’t mix professional relationship with your personal. If you have been affected by continuous failures in your professional sector, accept them positively and never take them personally. It may ruin your life leading to a depression. Try to identify the reason for your failure and improve yourself to gain a successful return.

3) Analysis: Analysing every situation in business; be it profit or loss, is very important in a business. Analyze and identify the factors that resulted in business failure. Try to explore the factors that can be undertaken to ignore or eliminate such failures in the future. Questioning yourself and finding a solution for the same helps you gain a better understanding of the business and its psychology.

4) Take responsibility:  The business is yours and you are responsible for any action undertaken in the business. In fact, taking responsibilities is one of the effective ways to handle business failures. Learn from the mistakes and take responsibility to move forward without committing the same to achieve better results.

5) Practice: The famous quote “Practice makes a man perfect” is undoubtedly correct when it comes to a business. Attaining everything in one single attempt is impossible. Keep trying until you get the desired result and learn from your mistakes. Market like cryptocurrencies wasn’t popular when established. Even though bitcoins were introduced in 2009, it gradually developed market attention and attained massive success and market growth during the last three years. Continuous perseverance does lead to a triumphant return.

Handle your business most efficiently and effectively. Failures are temporary. The destiny is always yours. Decide your future and works towards the same regardless of the circumstances.

Are You Ready For The New Generation Business Methods?

Are You Ready For The New Generation Business Methods?

Unless you have never heard the financial news or read the papers you must be aware of how a certain Bitcoin took the world for a jolly ride last year and along with set the heart beating of a million investors.

Bitcoin is a virtual currency that is set to take over all kinds of financial transactions and it may not be in the distant future that all operations requiring physical money are replaced by the virtual currency. The trend has already started and several countries like Sweden are adopting virtual currency in all walks of life.

What is this amazing technology?

Blockchain technology is the magic word. It has started a revolution of sorts wherein people are no more worried by the insane number of frauds and scams that abound on online trading scenes. The technology is so designed that no transaction can be duplicated and there is a record of every single transaction. It is a decentralized system which is hard to corrupt. The security and safety provided by this technology have in fact given rise to several possibilities for its use besides trading. Governments and individuals are exploring every aspect of this blockchain technology to use in other fields like aid distribution during times of strife and natural calamities or sharing of data etc.

For the common man through the technology has opened opportunities to start their own bitcoin business. There are simpler ways to get into the crypto world too like investing in automated trading robots. Learn more about it here.

How to start bitcoin business

  1. All business ideas must be based on solid homework. You must understand every single nuance of the business. In bitcoin especially, not all countries are pro-bitcoin and you must know where it is legal and where illegal and what are the other legalities involved. Seek legal advice to avoid any run-ins with the law and rules and regulations. There are several cryptocurrency experts that can help.
  2. Finances: How you arrange your finances will play a major role in your business plan formulation. If you are to start a BTC ATM your investment will be less than $20,000 but if you are looking at launching a mining operation than you are looking at bigger figures. There are companies that specialize in lending to bitcoin startup. These are very convenient but the interest rate is extremely high.

So, based on your finances and your risk-taking ability you can choose to open a BTC ATM or a BTC remittance firm.

 

Types Of Ownerships In Business

Types Of Ownerships In Business

Nothing beats the feeling of being your own master and probably that is why there is a growth in startups and entrepreneurs. While some are lucky and are able to raise the required finance, others look out for alternate sources of income. One successful method that individuals can adopt is to earn passively by investing in automated trading robots. Even as your business idea gets formulated and you focus on the other aspects of the business, your wealth can accumulate quietly at a steady pace with this passive yet highly effective trading software. You can learn more about this passive investment from this link.

Now comes, the next crucial question. Do you know what kind of business you want to opt for? The type of ownership and business structure you adopt will be based on:

  • Nature of business
  • Tax
  • Legal liability
  • Kind of shareholders.

There is no size that fits all; you must sit with a legal counsel and discuss the various objectives of your venture and reach a suitable decision.

 

Usually, there are three common types of proprietors.

  1. Sole Proprietor: For small firms usually, sole proprietorship works where the structure is simple and the related taxation requires a submission of a simple 1040 tax form. Here you are responsible for everything. The only disadvantages are the self-employment tax of 15.3 percent and complete legal liability.
  2. Limited Liability Company: In this structure, while you do pay your own income tax the shareholders have to pay tax on their dividend. You can also work it in such a way that all members of the company pay self-income tax and the company pays no income tax. These companies have a lot of flexibility in payment structure, legal liability, and even the tax structure. It is suited for all businesses especially those that do not want to go public.
  3. S Corporation: In this case, there is no double taxation and the employees do not have to pay self-employment taxes. They are in a sense corporate business with LLC tax structure. It has the advantages of the LLC but profits and losses must be equally borne by all the owners. This corporation can have only 100 shareholders and can deal with only one type of stock.
  4. C Corporation: If you want to go big and eventually public the C corporation structure is ideal. You have limited liability and tax deductions but very expensive to set up and keep pace with the double taxation.

 

So, when you consider what type of business you want to start, you must necessarily keep your costs in the accounting and legal department minimal.

 

 

 Simple Steps to Trade Online

                                        

Looking for a long-term financial goal, then considering the financial markets, trading and investing is definitely on the cards, one can experience it all in the trading markets, the windfall gain, losses, it is so unpredictable, yet many want to grease their hands in trading effectively. The online marketplace is thriving in with online trading websites than more fishes in the ocean while investing in the stock market is more disciplined as an incorrect decision could wipe off the entire investment.

Guide to invest wisely

  • before entering the trading world, learning about all the financial terms, trading insights and other nuances that are available on the internet, as well as some good reads, are important as mistakes can cost dearly
  • selecting an online broker who is unbiased and gives the best trading strategy is necessary, the list of brokers, their winning ratio’s and complete profile along with their licenses are available online, once the broker is selected there is a lot of analysis, charts, and information they will share so that the trading is done smoothly
  • in addition to selecting a broker, they can give demo sessions to the investor who wants to do active trading with a small fee, the commission charged
  • once the trading account is open, trading can be started by picking the correct stocks, researching on the public information that is available including the financial reports, earnings, SEC reports, and other details that outside professionals give, to get the understanding about the stock of a particular company
  • investing can be emotional, particularly when a person is new to the investment fraternity, losing money can be frustrating and it is that time when the panic and stress starts building in, affecting the trade, similarly one winning streak could make the trader invest all the money into one stack that could be damaging, keeping out all the emotions while trading is key to succeed
  • making a plan for staying invested, then it is always better to stick to the rule of thumb, stop-loss sell should not be used, just by seeing a sudden price fall in a particular stock, the risk is inherent, and so is the return

Bottom Line

It is not always necessary to engage in stock trading to accumulate the shares, all of them in one nest, there can be a diversified portfolio, considering the amount of risk to be undertaken and then build on the wealth-generating assets including equities that can be traded for a short term.

 

Know How an Auditor Is Concerned With The Loans Taken By The Business Firms

Know How an Auditor Is Concerned With The Loans Taken By The Business Firms

A major portion of the business assets is stored in the form of goods. However, it is the duty of the auditor to check all the goods on its nature of procurement and give the confirmation whether it still belongs to the borrower only.

  • It is also essential to see if the loan granted includes all the transport facilities made for the goods to reach the company and finally to the respective customers.
  • Again, if the company use to stack the goods in the storehouse or so, then the auditor must assure the payment of monthly rent has been made by the owner and thus, the goods are insured in all ways.
  • Moreover, the auditor can carefully proceed to check the present value of the goods stock by comparing it with the prevailing market value of the same products. Details regarding the quality and quantity of the stock can be taken from the inspector’s report.
  • And finally, if the goods seem to be of a perishable kind, then the auditor has to evaluate the turnover of the client’s stock list.

An Auditor should also look for the loans taken with respect to the security of stocks and shares. For this

  • He should arrange a discussion on the stocks and share statements and the amount secured in terms of ensuring these items.
  • Additionally, an auditor should recognize the instrument of transfer which is to be stamped and executed for completing the transferring procedures.
  • All the stocks must be valued properly according to the prevailing market prices and should be disclosed clearly along with the stocks. An auditor needs to take care of this.
  • It is also advisable to see if a proper margin is maintained on the loans advanced.
  • A charge is made for the proper registering of these stock items and the auditor should note this.

For checking loans made against securing the insurance policies, the auditor should

  • Verify if the policy has completed the course of at least two years.
  • Confirm whether all the premiums had been remitted till date and the receipt is available for the same.
  • Ensure if a copy of the payment assigned has been submitted to the respective insurance company.
  • Check if the surrender value is primarily deposited and is certified by the insurance people.
  • At last, ensure if the premium payments made by the lender for making the policy effective is transacted to the Loan account of the borrower with the interest included.

 

How Does An Auditor Examine The Loans Advanced By A Business Organization?

How Does An Auditor Examine The Loans Advanced By A Business Organization?

Almost all the financial institutions allow loans for an individual as well as for firms and thereby, extend their financial support for the procurement of any property or goods. Further, it is the duty of the auditor to see whether all these loans are properly used for the desired target.

General Duty of an Auditor

  • He has to verify whether the subject clause of the memorandum specifies granting of such loan types and if there exists a proper loan ledger that is updated till date.
  • Further, he has to proceed to check for the details of the security that is lodged against each applied loan. All the corresponding agreements need verification regarding the rate of interest along with the installment procedure, penalty and so on.
  • In addition to this, if any loan recovery seems to be difficult for the borrower, the associated auditor must ensure that the business organization makes the right provision for the expected loss.
  • It also comes in the duty of the auditor to examine whether the loan taken by the business firm is strictly connected with the business purpose or not. Forever, he has to ensure if the parties to whom the loan is advanced by the banking institution are in their regular payment mode in terms of principal and interest.

Loans against the security of land property or buildings

  • An auditor must thoroughly analyze the mortgage deed and must ensure if the property is registered in favor of the corresponding client.
  • He also needs to clarify the truthiness of the title deeds deposited with the mortgage deed.
  • If required, the auditor must step towards valuing the client’s certificates to ascertain if they are adequate in value and sufficiency of the security.
  • Apart from this, he has to confirm whether the property is properly insured and all the insurance premiums have been funded in time. Along with this, the detailed examination of the borrower’s title associated with the property can also be tested.
  • If in case, the mortgage seems to be the second type, then the auditor needs to clarify whether the same was purchased with the knowledge of the primary mortgagee or not. If so, the auditor must take the acknowledge of the ownership title deeds and other documentation needed from the primary mortgagee. Doing so can avoid any sort of clashes to be occurring in the future regarding the property.