Despite government rhetoric evidence continues to accumulate that the banks are still not lending to Small and Medium-sized Enterprises (SMEs), according to rescue and turnaround advisers."We are hearing that when companies apply for any lending the banks are only considering loans or overdrafts secured on tangible assets, with most also demanding personal guarantees from the directors in addition to the security" says one turnaround adviser.More evidence was revealed in the February figures released by the Bank of England that reported the total net lending by the UK's five main banks fell in every quarter of 2011 and that banks had missed their lending target to small firms, whose use of bank overdrafts and loans had also declined over the past two years.In a survey of 11,000 small businesses by the FSB (Federation of Small Businesses) it was revealed that just one in 10 had obtained a bank loan in 2011. Furthermore the FSB reported that 41% of applicants had been refused loans in the three months to February 2012. Graeme Fisher, FSB Head of Policy, commented that the UK banking system was not geared up to lower end loans of less than 25,000, adding that "there's no money in it".Business Secretary Vince Cable, quoted in the Financial Times, warned in his recent address at the annual City of London Corporation industry dinner, that recovery is being imperilled by the "yawning mismatch" between bank lending and demands for finance from SMEs.In a forecast at the end of April by economists at Ernst and Young, it was revealed that lending is expected to reduce further this year, to 419 Billion, a drop of 6.8 per cent.In conjunction with all this there has been a significant increase in invoice discounting and factoring. The banks appear to be no longer offering these facilities themselves, leaving the door open for independent companies such as Bibby, Close, Centric, SME, Ultimate and the new British bank, Aldermore.Where the banks appear to be unable to provide invoice discounting and factoring facilities against book debts these smaller companies are. Clearly the banks are struggling or they are simply withdrawing from the SME market. The message may not have yet filtered down to their sales staff who are often saying "yes" to proposals from SMEs but then subsequently the bank credit committees are saying "no".Rescue advisers argue that the banks are being deceitful, whatever the rhetoric they are using public relations tactics to report new loans, which are in fact not really new lending but the refinancing of existing facilities such as turning an overdraft into a term loan or a factoring facility.This is adding even more pressure onto small businesses, he argues, because there is a net decline in the flow of money into SMEs, and furthermore any new money is being provided at a very great cost in terms of fees and interest. While high rates of lending may be justified by the risk when it is unsecured, it is not justified when the loan is secured.Copyright ?? 2012 Alison Withers
Individual voluntary arrangement is a kind of an arrangement between the debtors and the creditors based on the condition of the debtors. An IVA is fairly a new concept introduced in UK a couple of years back. With the help of an IVA, one debtor will easily be able to get hold of a good debt solution to all his debt problems that he has been facing since past many years.IVA is a legal arrangement and is considered by the court. Usually the debtor takes help from an IP- the insolvency practitioner. He has to file a proposal in court after he studies the debtor's condition in the debt issues. The court when sees the details, orders the IP to consult the creditors. The creditors have to be called for a meeting. If the creditors vote a yes for the IVA, then they are a part of the legally binding IVA. If the 75% of the creditors vote against the IVA, it is rejected and the debtor has to look for another solution.The creditors can sue or take the debtors to courts if they do not agree to IVA. However, if they do then there is no backing out of the agreement. They have to be sure that they follow all the requirements defined in the agreement.Conditions and obligationThe legal criteria of the IVA have to be fulfilled. They are as follows:1) The debtor has to have at least 15000 pounds of debt or more2) It is a 60 months (5 years) agreement3) He should not have filed for any other alternate solution in the mean time4) He should not have a history of an IVA in past 6 years5) He should be at least a resident of North Wales, UK or have at least lived in England for 3 years consecutively6) IVA may use up some assets of the debtor to pay the creditors, however this may not be necessary.AdvantagesOther than this, the debtor has the following advantages.1) The debt that is left outstanding at the end of IVA, is written off2) The interest rate amount is ceased3) Low amount of installments affordable by the debtor are defined through his disposable income every month4) The creditors cannot bug him as it is a legal filing nor they can back out of it as in debt management plans etcIf you want more information you can log on to for more details on such alternatives to debt issues, and how to avail bankruptcy of the condition gets worse.
As more individuals are working on building their personal wealth, using a service for protection of their assets is critical to maintaining that wealth. Additionally, the use of these services can help to build that wealth while keeping it safe the same time. Protection of assets is important when you have a number of high value assets.Using these services to protect assets will help you to make sure that you are not going to lose your home or other assets should something occur that you might be liable for. There is a wide range of options available today that can help you with this process. In addition to protecting your personal assets this service can help with the protection of corporate assets as well.There are a number of different reasons why an organization or an individual might need this typeof service these days. For individuals, being successful means you may have a good career, a nice home and so on. This sometimes means that when something goes wrong, you will be the subject of a lawsuit that may result in the loss of your wealth, your home and anything else you might have of value.Deciding to use this option will protect your personal assets by limiting the personal liability that any one person will have. In addition it protects all other assets that the person might own as well. Making this choice can be a good option for people who have many assets.At the same time there are other methods found to protect one's property. Using the right investment strategies provide you options for the protection of assets in a number of ways. Some solutions that are used offer an insurance policy that guarantees your funds against loss in specific ways.Finding the right method for protection of assets is important in a number of different ways. Learning which options will be best for your personal assets is important for many reasons. Protection of an asset may be required for an individual for example if they are going through the process of a divorce.Protection of assets is something that nearly everyone is concerned about. Deciding on which options you will use is going to be a personal decision. You might consider the options that will be found through a consulting firm to help you with this task today.
Collection agency services are some of the most well known services today. With the recent economic struggles of different companies and businesses, companies have a hard time keeping up with the different debts and accounts that they lend people. That is why companies who have a massive amount of accounts receivable make good use of collection agency services. Collection agencies are companies that specialize in the recovery bad debts or payment of accounts that are past due. They are usually hired by companies that lend money and have a high tendency of people defaulting in their payments or are paying later than the day of the deadline. Collection agencies manage this by making use of laws and the technology that is available to them. Consumers who are in debt are made to repay the money that they owe. This is the most basic understanding of the lender-borrower relationship. Collection agencies make use of the law by enforcing and instituting amendments that force debtors to pay the accounts due to the lender. Collection agencies also make use of technology by managing the different debts of the company that hires them. They make full use of accounting information systems and their different advantages. Accounting information systems are digital representation of accounts and balances. This allows for a more convenient way of managing accounts and different transactions. Collections agencies design their systems to focus more on accounts receivables and bad debt. Accounts receivable is the account that a company maintains in its records in order to keep track of the different transactions they have accomplished that were done via credit. Bad debts are the name of the account maintained by a company to keep track of accounts receivable that are most likely uncollectible. This usually leaves companies bankrupt and forces them to liquidate their assets. Collection agencies address this problem by serving as agents and give companies advice on debt restructuring or debt recovery. Collection agency services are geared towards enforcing laws that protect lenders and maintaining the lender-borrower relationship. Some examples of their services are debt collection, debt management and debt restructuring. These types of services are important to companies as it minimizes any losses that they may incur. Losses suffered by companies usually translate to investors straying away from the company. This means that investors would rather go elsewhere and put their money in a more productive project. Collection agency services have become more popular over the years because of the state of the economy. Businesses are suffering from the losses that are caused by bad debts and delayed payments. These bad debts have increased the need for businesses to use laws that allow them to collect payments. Recently, several states have passed laws that protect the consumer or the borrower. They have increased the value of items that serve as collateral and allow borrowers to keep those items. They have also allowed borrowers to maintain a high amount of money in their bank accounts. Despite these new laws, collection agencies are still going strong and they still enforce their methods to the best of their abilities.
The United States of America is one of the countries that require automobile insurance for car owners. But since it is composed of fifty states, each state has its own laws regarding car insurance. A good example would be the state of California. California has an existing law that necessitates automobile owners to get an auto insurance which fits the state's standards. This means that California drivers must have both bodily injury and property damage liability insurance policies. This means that you would have to look for a CA auto insurance agent when you reside in California. An auto insurance agent is defined as a person that sells insurance policies that protect car owners from financial loss brought about by accidents, theft and injuries. Aside from that, the insurance can also pay for incidental charges which includes towing and rental cars during the repair of a damaged automobile. At present, there are two varieties of auto insurance agents. There are the Independent Auto Insurance Agents who work as 'brokers' that approach several insurance companies and shop around for the best deal for their clients. Second are the 'captive' agents that work for one insurance company and sell policies only for that particular corporation. Another difference between the two is that the independent broker earns money by commission and the one who works for a company receives a constant salary. Finding out the type of agent to get relies on your own discretion. Characteristics that you have to search for in an agent are amazing communication and customer service skills. The agent must also manifest initiative and he or she should give reliable information on the policy. Other than that the agent must be provide you with data pertinent to the inclusions of the policy and the cost of the insurance itself. The agent must also ensure of his or her availability when you need to get a claim. The most essential point that an agent should have is that he or she should have the capability to create an auto insurance policy that protects you and your property; one that is recent and up to date. If you are already at a point where you can confidently search for an insurance agent, you can start by going through California insurance agent listings. You just have to remember to be careful in the selection process so that you get an agent that answers your needs and can work with your budget.
Life InsuranceThere is an assortment of Life insurance policies obtainable to protect a person, as well as their belongings in the happening of a crisis such as car insurance, health insurance, home insurance, fire insurance, and the list, goes on and on. However, between these, the most well-known by far would have to be life insurance.Protecting The FutureLife Insurance is specially designed to protect an individual's family by providing benefits payable to them when the individual dies. Throughout life, we all have financial commitments whether it's a house payment, car payment, medical bills, credit card debt, etc. The point is when you die those bills are left, for your family, to deal with.If you're the chief resource of income for your relations, then think about how your family will survive, if something will happen to you. Providing money for your family, after you die, is what life insurance is all about. The benefits your family collects from a life insurance policy could help pay off a mortgage, send a child to college, as well as protect the financial future of your spouse.In the past time, it was always promoted that the husband needs life insurance, but with a wife working and bringing an income to the house, it is also essential that she is covered, as well.How Much Coverage You NeedWhen determining how much coverage you need, key factors require to concentrate such as the type of lifestyle you are accustomed to, the amount of your current debts, how many children you have, and your main source of income.Oftentimes, an insurance agent, will recommend individuals purchase a life insurance policy up to ten times their gross annual income. If you want honest answers, then ask the advice of an insurance consultant whose expertise is helping individuals to determine the type of policies those would best suit their personal wants, on top of, the prospect requirements of their familyAdvantages Of Life InsuranceIf your home is paid for when you die, then your home becomes secure and cannot be touched by collectors seeking payment for debts. The tax free money provided to the beneficiary can be used to pay off debts or any personal expenses.Certain types of policies are available for riders, or those with high risk jobs. Other types of life insurance can be used as a pension, savings, or retirement plan, which can be cashed in later in life for its full value.Your credit rating can be improved with a valid life insurance policy as it is considered to be a financial asset. Life is full of uncertainties. Your life Insurance should deliver you satisfaction of knowing that your family will be taken care of after your death. Look at it as a forced way of saving, because once the payment has been made you forget about it, but it is money that will be there when needed.To Know More Visit Our Website At:
Running a household is not easy, it is much like running a business where you have to take care of a lot of things. The most important thing that you need to consider is finance. You need to manage your finances such that you can not only take care of the present needs of yourself as well as your family but can also save for any future needs.A good financial planning would ensure that all your bills are paid on time, your daily needs are taken care of and savings are also regularly made. If you are unable to manage your finances every month, you would end up in trouble at the end of the year. And hence if you find yourself in a financial fix at the end of every month, what you can do is get advice on finance from on expert.You can also get advice on finance from the Internet. There are many websites as well as forums where you can find people who can give you good finance tips that would help you plan your finances well. If you are facing a particular problem, you can post questions too which would be answered by experts as well as common users. The Internet is a cost friendly way to get advice on finance. Although different situations demand different kinds of solutions, here are some finance tips that would surely help you plan your finances well in general:If you just follow these simple and basic finance tips you can have quite a secure life where you can enjoy all the luxuries of life without risking anything in the process. Hence take care of your finances, plan well and prepare to live your whole life in peace.
In the past exchanging cash was one of the few ways that you could pay someone for goods and services. Today there are many different ways of making a payment and it can become confusing. It is important to know which payment type is most appropriate for your situation as it can save you time and hassle and can, in some cases, even save you money. Using a particular payment type may also come with added benefits that other types may not offer. Cash is still widely used but many people choose to use different payment methods for regular or larger payments. A popular method is to pay with a debit or credit card. What are these cards and how do they work? This article looks at the important differences between the two that should be taken into account when picking a payment method. A debit card is essentially a direct line to your current account, it is much like withdrawing cash from your account and using it to pay for something but without the need to withdraw any money. In the mid-80s many people were using cheques to pay for things because they reduced the need to pay large amounts in cash. Cheques, however, are expensive for banks to process and banks began to issue debit cards to dissuade people from overusing cheques. Debit cards are useful because they not only allow you to withdraw cash from your account while you are out and about but also can be used as a direct payment method. Because the money is taken directly from your account you will need to be sure that you have the available funds to make the transaction. When you make a payment with your debit card your bank will put a hold on the specified amount and the details of the transaction are sent to the other banks involved. When this has been verified and accepted the funds will be transferred. If you don't have the money it is still possible to pay for something, but you will need to have an agreed overdraft. Going into an overdraft is often inadvisable because you will have to pay interest on the amount you have used. Debit cards can be particularly useful for medium cost purchases or everyday items like petrol or food. It has been estimated that we use our debit cards six times on average every week. One advantage that debit cards have over credit cards is that they are also a quick and easy method of withdrawing cash. In theory you can use a credit card to withdraw money but it is not a good idea as you are borrowing money not withdrawing money that is yours. You will be charged a fee for using a credit card in this way and you will have to pay interest on the money you withdrew. With a debit card it is free to withdraw money and the money is yours - not borrowed. It can be easy to confuse credit cards and debit cards as they are similarly named and both involve using a plastic card to make payments. With a debit card you can use funds that are already in your account that are yours to do with as you please. A credit card, on the other hand, is a simple way of borrowing money. It is not linked to your current account and using one will not reduce the amount of money in your account directly (until you pay your bill at least!). When you apply for a credit card you will be designated a specific credit limit - this is how much money you can borrow from your bank each month. If you have a good credit rating, are prompt with repayments and have minimal debt you will have a higher limit. At the end of each month the payments you have made with your credit card are listed and itemised - you must then repay what you owe. You can do this in one go or you can spread repayments over a period of time. It is preferable to pay off your credit card bill as soon as possible because the interest on the amount you have borrowed will soon stack up. Credit cards are often most useful for bigger, more expensive purchases. This is because most people will have the funds for their weekly food shop but they may not have funds available for a holiday, new furniture or a car. With a credit card you can pay back the money over a longer period which may make it easier to deal with. There is also additional protection with a credit card that is not available with other payment methods. Most credit card companies offer purchase protection - this can be hugely useful if you buy something expensive that turns out to be defective. Purchase protection means that your credit card company assumes joint liability with the seller to provide the item as described and will reimburse you if it is not. This can also be advantageous when buying items online and the website turns out to be untrustworthy. You do not always have to use your credit card for big purchases, you can use it for smaller, less expensive items and pay off the bill straight-away. Doing this may help to improve your credit rating and you can also benefit from any reward schemes on offer. In order to stand out from the plethora of other credit card companies many companies will offer rewards and deals. If you use a credit card that is attached to a particular shop or supermarket they may offer discount vouchers or deals on their products. Other cards allow you to build up points every time you use it and once you have accumulated enough points you can turn them into a voucher. Some companies run 'cash-back' deals that give you tax-free cash instead of points. Many credit cards associated with airlines will let you build up free air-miles while others may offer upgrades. You should make sure to not just think about the rewards, however, and should think carefully before you borrow any money. You should also consider whether a debit card may be more appropriate.
Most small business have already acquired Sacramento bookkeeping solutions to help them in carrying out administrative and labor expenses for them to be able to take charge with their business affairs. In the process of financial transactions recording, monitoring of cash inflow and outflow is involved. The task comes under the company's finance department supervision. This is a vital function that helps keep track the profit earned, the money spent and borrowed by the company. This helps in further analysis of the company's financial status. Utilizing the data collected by the accountants, financial analysts can easily assess the company's financial health. Most of the big companies hire accounting firms for this function. It is easier to hire professional services rather than hiring full-time employees for this kind of matter. And since the large companies have taken the plunge in outsourcing financial functions to accounting companies, smaller companies have also begun preferring acquiring work from Sacramento bookkeeping solutions. Employing external agency for this purpose also proves to be a more cost-effective strategy than hiring a full-time employee. This allows organizations to outsource more employees focusing on the primary sectors of the entire business. This aids the companies to hire financial analysts which are very helpful in planning financial undertakings as well as analysis of the every transaction the organization has dealt with. Sacramento bookkeeping firms provide services that adhere to the security and confidentiality of the clients' data. These firms provide service with consultation and even provide advice for further improvement of the business model. These are geared towards profit boost for optimal benefits. These agencies are armed with expert accountants offering services as desired by the clients. There are also those who provide online accounting services which is preferred by a lot of companies as it is made accessible to everyone at any time of the day. This feature is available in retrieving data anytime. It has user-friendly interface and an updated online system. Sacramento bookkeeping firms can also aid in various financial planning aspects. They can be a great help in the formulation of forecasts as well as in efficient strategic planning. This can also help minimize the expenses and maximize the profit. The service fees vary depending on the work type, quantity and complexity. There are monthly rates which some companies may charge for each financial report. In order for you to succeed in your business ventures, hiring Sacramento bookkeeping services may prove to be a worthy endeavor.