Steve J Bicknell Tel 01202 025252
Helpful Comments on Tax and Finance – Bicknell Business Advisers Limited www.bicknells.net
Slow payment is major issue for small business.
Research shows that British SMEs are having to wait an average of 41 days longer than their original agreed payment terms before invoices are paid. (source: BACS)
To get paid faster why not include a pay now button on your invoice
http://www.sagepay.co.uk/our-payment-solutions/get-paid-faster
https://www.paypal.com/paypalme/grab
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steve@bicknells.net
The PayPal Working Capital fund will be trialled in the UK this autumn, with a more extensive rollout scheduled for 2015. Merchants (including eBay sellers) will be able to repay their advance with a share of their PayPal sales via card payments.
PayPal Working Capital is a loan of a fixed amount, with a single fixed fee. There are no due dates, minimum monthly payments, periodic interest charges, late fees, pre-payment fees, penalty fees, or any other fees. When you apply, simply select the amount you want — up to the maximum you qualify for. You choose the percentage of your sales that will be deducted from your PayPal account. (Deductions are made the day following each day of sales.) You’ll pay this percentage of your sales until your balance is repaid in full. You only make payments when you get paid.
PayPal Working Capital state that Working Capital offers major advantages compared with traditional ways of funding a business:
• Funding in minutes – PayPal’s strong relationship with its business customers means we can approve an advance based on their PayPal sales history. This means the customer completes a quick online application – there’s no need to spend hours gathering information about their business. And PayPal can make a decision and provide the funds in minutes.
• Pay when you get paid – Unlike traditional bank loans, PayPal Working Capital allows a business to repay the advance with a share of their PayPal sales. If they have a day without any PayPal sales that’s fine – they don’t repay anything that day.
• No credit check – PayPal Working Capital is a merchant cash advance against future sales – it’s not a loan – so no credit checks are needed and the advance does not impact on the customer’s business or personal credit record. There is a single, fixed fee that is displayed to the customer before they sign up. There are no interest charges or late payment fees.
Is this something your business will be able to use? or want to use?
steve@bicknells.net
I was looking at PayPal becuase I had to up date some details and spotted they were promoting Fund 101 from Enterprise Nation its backed by Intuit and PayPal.
Every month they give £5000 to new businesses and they invite businesses to ask for amounts from £50 to £500, details as follows:
http://www.enterprisenation.com/fund101/?mpch=ads&mplx=3484-133899-12439-45
If you have an idea for a business and need a bit of cash to get started or you’re running a small business and need up to £500 to buy equipment, promotion flyers, hardware etc, you can apply.
Apply for between £50 and £500 and once you receive the money, the only thing we ask is you agree to be profiled on the site so we can see how you’re getting on. The money doesn’t have to be paid back; it’s for you to use on your idea or business.
Apply online and outline how much money you need and for what purpose. Make a good case for your idea and then encourage as many people as possible to vote for you. The number of votes required is equal to the amount of funding you’re looking for so to obtain £500 you’ll need to secure 500 virtual votes.
Remember, the Enterprise Nation community will help you spend the dosh! Want to use it to buy a camera to take good pictures of your products? Ask peers about the best deal on the market. Want to spend the money on a Google Adwords campaign but not sure where to start? Watch our video clips that will show you how!
Sounds like an interesting idea and if all you need is votes, how hard can it be?
steve@bicknells.net
