If you’re like most business owners, you’re probably getting offers daily from places who want to give you cash or give you loans. These are pretty common nowadays. The internet makes it very easy for immediate access to cash and the immediate fulfillment of a need. They can be very tempting. Sometimes they can be a great lifesaver, but other times they could be the noose that hangs you. So watch out when you’re dealing with these loans. Many have very high interest rates and most like Kabbage will front end load the interest. So for example, if you take out a loan today, all of the interest throughout the entire term of the loan is considered due immediately. You cannot prepay that loan or pay it off when the cash comes back in without paying the interest on the entire term of the loan.
Also, check out what the interest rate is. Sometimes these interest rates are sort of hidden in their documents, and sometimes they’re banking on the fact that you may be desperate for cash and not even look, I’ve seen these before and some of them can be okay, but I’ve also seen 48% to 52% loans. That’s ridiculous. Don’t fall for that. If you have any questions at all about how these loans can help and make sure that you understand what you have to do to pay them off and satisfy them and the structure of those loans, please speak with a professional. I would be happy to talk with you and let you know if this is a really helpful thing for your business and talk to you about what you’re going to do with the funds to make sure that it’s a good use of your time and money. I’m Donna Bordeaux with PYOP accounting.com
Donna Bordeaux, CPA with PYOPAccounting.com.
Creativity and CPAs don’t generally go together. Most people think of CPAs as nerdy accountants who can’t talk with people. Well, it’s time to break that stereotype. Lively, friendly and knowledgeable can be a part of your relationship with your CPA as demonstrated by Donna Bordeaux and PYOP Accounting.com. Donna and her husband, Chad, who is also a CPA, have over 50 years of combined experience as entrepreneurial CPAs. They’ve owned businesses and helped business owners exceed their wildest dreams. They have been able to help PYOP studios earn 4 times more profit than the average PYOP and are passionate about helping industries that help families build great memories.
