Ask any fashionista if clothes are an important part of our identity and they will probably talk about how vital style is to their success. To break it down a little further and step away from high fashion and instead focus on the man in the street, how important are his clothing choices? Was Mark Twain right in saying “the clothes make the man” and has this adage been taken too literally of late? Everything that we do has a cause and effect impact on the world, so in that aspect our clothes will to some degree have an effect on how we are treated by others, but in what way?A simple example can be found at a high-end Michelin-starred restaurant. Unless your face is immediately recognisable as being wealthy and successful, it will often be your clothes that the host or waiter makes their decisions on and, if you’re not wearing the right clothes to a restaurant or nightclub, then the chances are you won’t get in. Call it ‘power dressing’ or dressing to impress, but the fact is that a man’s clothes determine how society sees him, this is something that women probably got to grips with a lot earlier than most men too.We’ve all heard the expression ‘first impressions count’, and it is absolutely true; as the average stranger takes no more than 30 seconds to assess another stranger on first meeting them, and this impression can then take up to five years to erase. You can forget the other saying ‘you can’t judge a book by its cover’, as anyone in publishing will tell you that it’s the covers that make the books stand out on the shelf.Obviously Hollywood has taken this idea a little too far, with movies like Jackie Chan’s ‘The Tuxedo’, where a down-and-out cab driver’s life is turned around thanks to the discovery of a technologically advanced tuxedo, and obviously James Bond has been known to pick particular threads too. To find serious real-world examples, you don’t have to look far. Politics is full of power dressing, where subtle messages are portrayed in candidate’s clothing choice, like Gordon Brown’s persistent red tie, or George W Bush’s choice of slightly oversized suit jackets to larger his appearance. In the first Kennedy-Nixon presidential race, radio listeners favoured Nixon thanks to his authoritative voice, while TV watchers favoured Kennedy as he looked fresh-faced compared to Nixon’s tired and unconsidered choice of mens clothes.To really understand how clothes can make a man’s appearance though, you can think back to childhood fairytales like ‘The Emperor’s New Clothes’ or try a simple test. Picture in your head the manager of a petrol station, and then picture the manager of a successful advertising agency. The two managers might be in charge of the same number of people and earn the same salary, but they will probably be dressed pretty differently.
Travel and Leisure Subscription
The time you spend on your vacation should be top quality time. Our holidays are the only times we have for living our dreams to the fullest possibility we are able to reach. That is the reason why the choice of your vacation spot should be made with extreme care. All travel advertisements have something exciting to say about the resorts and the cities that they are promoting but there are three pitfalls you have to watch out for when planning the perfect holiday for yourself.First, you need to be sure that you are going to get precisely what you have been promised by the media hype. Secondly, you have to avoid spur of the moment enthusiasm which may have you opting for a vacation spot that you won’t actually enjoy when you get there, and thirdly, you have to choose the best rates you can avail of in order to maximize the value of your money. In this matter, however, “cheap” doesn’t always mean “good.” There are low rates for which you will be getting no value for your money. On the other hand, there are higher travel and vacation accommodations that are well worth every cent you will be paying.The good news is that Travel and Leisure subscription is one well-known, because reliable source of any and all facts that you would want to know about vacation spots. If you don’t have a Travel and Leisure subscription yet then you should postpone planning out your vacation until you get your hands on a copy or sign up for a subscription. This travel guide contains the most complete listing of the best known resorts, pleasure palaces and tourist destinations in the world.What is your priority consideration for your vacation? Is it adventure or culture? Would you like to spend most of the time in a sun-drenched beach or touring national monuments and cultural attractions? Are you agog to see celebrities or just dying to get away from city life? Is affordability of cost you first priority when planning a vacation? Whatever shape your dream vacation comes in, Travel and Leisure subscriptions are your means to finding the spot and touring accommodations to realize it.The magazine features the latest tourism news and updates from the best vacation spots in the world. The information you will be reading on Travel and Leisure is almost available in real time. You can read about statistics that will inform you about the best and worst airports in the world, the top hotels and accommodations in the country of your choice plus tips on travelling, which are actually published comments and suggestions of their previous customers. If you are a first timer, you will find invaluable advice in the magazine for making your holiday trips safe and easy.On top of that, you can avail of fantastic discounts, win sweepstakes and avail of promotions from Travel and Leisure subscriptions as well as from the many tourist service outfits worldwide that are affiliated with the magazine. So even before your think of travelling, get your Travel and Leisure subscription first.
Alternative Financing Vs. Venture Capital: Which Option Is Best for Boosting Working Capital?
There are several potential financing options available to cash-strapped businesses that need a healthy dose of working capital. A bank loan or line of credit is often the first option that owners think of – and for businesses that qualify, this may be the best option.
In today’s uncertain business, economic and regulatory environment, qualifying for a bank loan can be difficult – especially for start-up companies and those that have experienced any type of financial difficulty. Sometimes, owners of businesses that don’t qualify for a bank loan decide that seeking venture capital or bringing on equity investors are other viable options.
But are they really? While there are some potential benefits to bringing venture capital and so-called “angel” investors into your business, there are drawbacks as well. Unfortunately, owners sometimes don’t think about these drawbacks until the ink has dried on a contract with a venture capitalist or angel investor – and it’s too late to back out of the deal.
Different Types of Financing
One problem with bringing in equity investors to help provide a working capital boost is that working capital and equity are really two different types of financing.
Working capital – or the money that is used to pay business expenses incurred during the time lag until cash from sales (or accounts receivable) is collected – is short-term in nature, so it should be financed via a short-term financing tool. Equity, however, should generally be used to finance rapid growth, business expansion, acquisitions or the purchase of long-term assets, which are defined as assets that are repaid over more than one 12-month business cycle.
But the biggest drawback to bringing equity investors into your business is a potential loss of control. When you sell equity (or shares) in your business to venture capitalists or angels, you are giving up a percentage of ownership in your business, and you may be doing so at an inopportune time. With this dilution of ownership most often comes a loss of control over some or all of the most important business decisions that must be made.
Sometimes, owners are enticed to sell equity by the fact that there is little (if any) out-of-pocket expense. Unlike debt financing, you don’t usually pay interest with equity financing. The equity investor gains its return via the ownership stake gained in your business. But the long-term “cost” of selling equity is always much higher than the short-term cost of debt, in terms of both actual cash cost as well as soft costs like the loss of control and stewardship of your company and the potential future value of the ownership shares that are sold.
Alternative Financing Solutions
But what if your business needs working capital and you don’t qualify for a bank loan or line of credit? Alternative financing solutions are often appropriate for injecting working capital into businesses in this situation. Three of the most common types of alternative financing used by such businesses are:
1. Full-Service Factoring – Businesses sell outstanding accounts receivable on an ongoing basis to a commercial finance (or factoring) company at a discount. The factoring company then manages the receivable until it is paid. Factoring is a well-established and accepted method of temporary alternative finance that is especially well-suited for rapidly growing companies and those with customer concentrations.
2. Accounts Receivable (A/R) Financing – A/R financing is an ideal solution for companies that are not yet bankable but have a stable financial condition and a more diverse customer base. Here, the business provides details on all accounts receivable and pledges those assets as collateral. The proceeds of those receivables are sent to a lockbox while the finance company calculates a borrowing base to determine the amount the company can borrow. When the borrower needs money, it makes an advance request and the finance company advances money using a percentage of the accounts receivable.
3. Asset-Based Lending (ABL) – This is a credit facility secured by all of a company’s assets, which may include A/R, equipment and inventory. Unlike with factoring, the business continues to manage and collect its own receivables and submits collateral reports on an ongoing basis to the finance company, which will review and periodically audit the reports.
In addition to providing working capital and enabling owners to maintain business control, alternative financing may provide other benefits as well:
It’s easy to determine the exact cost of financing and obtain an increase.
Professional collateral management can be included depending on the facility type and the lender.
Real-time, online interactive reporting is often available.
It may provide the business with access to more capital.
It’s flexible – financing ebbs and flows with the business’ needs.
It’s important to note that there are some circumstances in which equity is a viable and attractive financing solution. This is especially true in cases of business expansion and acquisition and new product launches – these are capital needs that are not generally well suited to debt financing. However, equity is not usually the appropriate financing solution to solve a working capital problem or help plug a cash-flow gap.
A Precious Commodity
Remember that business equity is a precious commodity that should only be considered under the right circumstances and at the right time. When equity financing is sought, ideally this should be done at a time when the company has good growth prospects and a significant cash need for this growth. Ideally, majority ownership (and thus, absolute control) should remain with the company founder(s).
Alternative financing solutions like factoring, A/R financing and ABL can provide the working capital boost many cash-strapped businesses that don’t qualify for bank financing need – without diluting ownership and possibly giving up business control at an inopportune time for the owner. If and when these companies become bankable later, it’s often an easy transition to a traditional bank line of credit. Your banker may be able to refer you to a commercial finance company that can offer the right type of alternative financing solution for your particular situation.
Taking the time to understand all the different financing options available to your business, and the pros and cons of each, is the best way to make sure you choose the best option for your business. The use of alternative financing can help your company grow without diluting your ownership. After all, it’s your business – shouldn’t you keep as much of it as possible?