10 Essential Resources for Female Founded Businesses

Posted on by Amanda Levine

Successful businesswomen are often asked how they did it, and what kind of advice they would offer to up-and-coming entrepreneurs. While there is no one formula for success, there are many valuable female entrepreneur resources that can help you surpass your wildest dreams and goals. 

Whether you’re just starting out or you’ve been in business for a while, these resources can help you succeed. Here are 10 of the best resources for female entrepreneurs.

10 best resources for female business entrepreneurs 

Starting and running your own business can be an extremely rewarding experience. The challenges along the way only make it more rewarding. As a female business owner, you may face unique challenges and require different resources than male business owners. Here are 10 of the best resources for female entrepreneurs. With these tools at your disposal, you’ll be on your way to success!

Amber grant

The Amber Grant is a grant given monthly to a woman entrepreneurial business owner. The grant was established in 1998 in memory of Amber Wigdahl, who was working on her start-up company when she died suddenly at the age of 26. 

Each month, a panel of business owners and experts selects one qualifying woman business owner to receive the $500 grant. In addition to the cash award, the winner also receives mentorship and support from the Amber Grant community. To date, the Amber Grant has awarded over $1 million to female entrepreneurs across the United States.

SBA 

Starting and running a business is no easy feat, but there are a number of resources available to help female entrepreneurs achieve success. The Small Business Administration (SBA) is one such resource. The SBA offers a variety of programs and services designed to help women-owned businesses start, grow, and thrive. 

For example, the SBA offers business counseling, access to capital, and training on a variety of topics such as marketing and financial management. In addition, the SBA has a Women’s Business Center program that provides resources and support specifically for women-owned businesses. With the help of the SBA, female entrepreneurs can overcome the challenges of starting and running a successful business.

Astia

Astia is a global non-profit that works to promote equality in the entrepreneurial ecosystem by providing access to capital, mentorship, and community programs. In addition, Astia also hosts events and workshops on topics such as business planning and pitching to investors. By providing these services, Astia helps level the playing field for female entrepreneurs so they can achieve their business goals.

The Women’s Venture Fund

The Women’s Venture Fund (WVF) is a unique program that provides funding and support for female business entrepreneurs. Launched in 2011, the WVF has helped thousands of women start and grow their businesses. 

One of the key benefits of the WVF is that it offers flexible funding options. Whether you need a small amount of seed money to get your business off the ground or a larger sum to expand your operations, the WVF can provide the capital you need. In addition to funding, the WVF also offers mentorship and resources to help you succeed. With an experienced team of mentors, the WVF can help you navigate the challenges of starting and running a business. If you’re ready to take your business to the next level, the Women’s Venture Fund can help you make it happen.

Rise

Rise is a company that helps female entrepreneurs grow their businesses. They provide resources such as mentorship, funding, and access to a network of like-minded business owners. Rise also offers educational resources on topics such as marketing, finance, and business strategy. 

Their goal is to help women succeed in the business world, and they have been very successful in achieving this. In the past year, they have helped over 1,000 women start and grow their businesses. Rise is an excellent resource for any woman who wants to start or grow her own business. If you are looking for help in starting or growing your business, I highly recommend that you check out Rise.

The Girlboss Foundation

The Girlboss Foundation was founded in 2014 by Sophia Amoruso, the CEO and founder of Girlboss, a media and e-commerce company. The Girlboss Foundation’s mission is to empower women to become their own bosses and build successful businesses. 

To date, the foundation has awarded over $1 million in grants and scholarships to women entrepreneurs. In addition, the foundation offers an online course called “Girlboss 101” which teaches women how to start and grow their own businesses. The Girlboss Foundation is a great resource for women who want to start their own businesses and achieve financial independence.

Women Founders Network Fast Pitch Events

Women Founders Network (WFN) is a global community of female entrepreneurs committed to increasing the number of successful women-led businesses. One way they achieve this goal is through their Fast Pitch events, which provide a forum for female business owners to pitch their businesses to a panel of experts. 

These events are not only an opportunity for entrepreneurs to get feedback on their businesses, but they also serve as a networking opportunity. In addition, the expert panel provides valuable insights that can help attendees fine-tune their business plans. WFN’s Fast Pitch events have helped to launch many successful businesses, and they continue to be a powerful force in the world of female entrepreneurship.

Women 2.0

Women 2.0 website is another excellent resource. The site offers a variety of articles and tools to help women start and grow their businesses.

How Kickfurther can help

Kickfurther can help female entrepreneurs get the funding they need for inventory that is up to 30% cheaper than other options.

Kickfurther is the world’s first online inventory financing platform that enables companies to access funds that they are unable to acquire through traditional sources. With Kickfurther you can fund millions of dollars worth of inventory at costs of up to 30% lower than the competition. It gets better though – you don’t pay until you start making sales. You’ll truly have the opportunity to create a payment schedule that works for your business. You’ll outline expected sales periods to create customized payment terms. With more than $100 million in inventory funded to date, Kickfurther can help you get funded within a day or even minutes to hours. If your brand sells physical products or non-perishable consumables and has revenue between $150k to $15mm over the last 12 months, you are a prime Kickfurther candidate. 

Interested in getting funded on Kickfurther?  Create a free business account, complete the online application, review deals, and get funded in as little as minutes!

For female entrepreneurs who are looking for a way to get started or take their business to the next level, Kickfurther is an excellent option. It offers financing for inventory, business expenses, and anything else you need to get up and running. With more than $1 million funded to date, Kickfurther is a smart choice for women who want to have the money they need for inventory financing without having to turn to personal loans, high interest credit cards,  or other sources of funding. 

With Kickfurther, you can get the funding you need in just hours (instead of days or weeks) so you don’t have to worry about missing out on new opportunities to build or grow your business.

Conclusion

So, if you are a woman with an entrepreneurial spirit, where should you start? Check out our top 10 resources for female founded businesses. These websites and articles offer valuable advice and support to help you get started and grow your business. 

And don’t forget to try some of the tips we shared earlier. With a little hard work and dedication, you can turn your passion into a thriving business. What resources have been most helpful to you as a female entrepreneur?

How to Successfully Pitch your Business to Investors

Posted on by Amanda Levine

What is a business pitch?

A business model investor pitch is a concise presentation of an entrepreneurial idea, typically given to potential investors. The purpose of a business pitch is to secure funding for the startup or early-stage company. A successful business pitch effectively communicates the company’s value proposition and persuades the audience to invest in the venture. It should be clear, concise, and persuasive, and it should tell a story that captivates the audience. A well-crafted business pitch can be the difference between securing funding and seeing your startup fail.

How to pitch a business to investors

Your business is your baby. You’ve nurtured it, grown it, and now you’re ready to take it to the next level by pitching it to investors. But how do you make sure your presentation is top-notch? And more importantly, how do you ensure that your business will be a hit with potential investors? Here are a few tips to help you out. 

Tell a story

To be successful at pitching a business, you’ve got to tell a compelling story. There are a few key essential elements to any successful pitch: a clear explanation of the problem you’re solving, a compelling vision for the future, and a solid plan for how you’re going to get there. 

With those ingredients in place, you’ll be well on your way to getting the funding you need to turn your business into a reality.

Create a great presentation

An effective presentation will be well-organized, clear, and convincing. It should start with a strong opening that grabs the audience’s attention and sets the stage for the rest of the pitch. Then, provide an overview of your business, including its key products or services, target market, and competitive advantages. 

Be sure to back up your claims with data and real-world examples. Finally, close with a clear call to action that outlines what you’re asking for and how it will benefit the investor. 

Value proposition

When it comes to pitching a business to investors, the most important thing is to have a strong value proposition. This is what will convince investors that your business is worth investing in. 

Your value proposition should be clear and concise, and it should explain why your business is unique and how it will solve a problem or address a need. It should also be tailored to your audience – remember that investors are looking for businesses that will make them money, so make sure your value proposition demonstrates how your business will do just that. 

With a strong value proposition, you’ll be in a much better position to pitch your business successfully to investors.

Be confident

When it comes to pitching a business to investors, confidence is key. After all, if you don’t believe in your business, why should anyone else? But that doesn’t mean you should be arrogant or overbearing. Instead, let your passion for your business shine through. 

Be clear and concise when explaining your business idea, and make sure to answer any questions investors may have. Remember, you only have a limited amount of time to make your case, so make it count. Be prepared to talk about your business model, your target market, and your competition. 

And most importantly, have a solid plan for how you will use investment funds to grow your business. If you can show investors that you have a sound plan and the drive to succeed, you stand a good chance of getting the funding you need to take your business to the next level.

Offer a solution

Do your homework. Make sure you research your target investors and know what they’re looking for. You’ll need to tailor your pitch to resonate with them, so offer a solution that meets their unique needs.

Keep it simple. Don’t try to cram too much information into your pitch. Instead, focus on key points that will give investors a clear idea of your business and its potential.

Include contact details

Don’t forget to include your contact information in your pitch so that investors can easily get in touch with you after the meeting. 

Pricing / revenue model

It’s also important to have a solid financial plan in place. This will show investors that you’ve done your homework and that you’re serious about making your business a success. You will want to have clear information about how much revenue you anticipate your business to bring in (and when) along with information on how much it will cost for your investors to invest their money in your business.

Practice

If you’re looking to raise money for your business, you’ll need to learn how to pitch to investors. This can be a daunting task, but if you’re prepared and practice often, you’ll be able to give a great pitch that will encourage investors to put money into your business. Practice your pitch so well that it is more or less committed to memory. 

Milestones

Any good business pitch should include a clear timeline of milestones and objectives. This allows investors to see the big picture and understand how their money will be used to further the company’s goals. 

Some key milestones to include in a business pitch are: completing a working prototype, securing initial customers or partners, and reaching profitability. These milestones show that the company is making progress and that the investment will be used to drive continued growth. 

Including a timeline of milestones also gives investors a sense of when they can expect to see a return on their investment. By including these key milestones in a business pitch, entrepreneurs can give investors the confidence they need to make a decision.

Your team

So, who should you include on your pitch team? Here are a few key team members to consider:

First, you’ll need someone with a strong understanding of your business model and financials. This person will be responsible for answering any questions the investors might have about your numbers. Second, you’ll need someone who can speak passionately about your product or service. This person will be responsible for getting the investors excited about your idea and convincing them that it has potential. 

Finally, you’ll need someone with experience in pitching to investors. This person will be responsible for keeping the pitch on track and ensuring that it flows smoothly. Including these key team members will help you give a strong business pitch that leaves investors eager to support your venture.

Funding needs

Here are a few tips for writing about your funding needs in a business pitch. First, be clear and specific about the amount of money you need and what you plan to use it for. This will show investors that you have a well-thought-out plan for how to use their money.

Be realistic in your assessment of how much money you need. Overasking can turn investors off, while under-asking could leave you short on funds.

Don’t be afraid to ask for more than one round of funding. This shows investors that you are planning for long-term success and are willing to give them a return on their investment down the road.

How Kickfurther can help

A common problem business owners face is finding affordable inventory financing. After jumping through all the hoops business owners may find a way to qualify, but ultimately the cost may outweigh the benefits. At Kickfurther you can get affordable inventory funding, much faster than through traditional sources. To get started, you’ll need to create a free business profile. Your profile can include a pitch to get backers to buy in. 

Kickfurther is the world’s first online inventory financing platform that enables companies to access funds that they are unable to acquire through traditional sources. With Kickfurther you can fund millions of dollars worth of inventory at costs of up to 30% lower than the competition. It gets better though – you don’t pay until you start making sales. You’ll truly have the opportunity to create a payment schedule that works for your business. You’ll outline expected sales periods to create customized payment terms. With more than $100 million in inventory funded to date, Kickfurther can help you get funded within a day or even minutes to hours. If your brand sells physical products or non-perishable consumables and has revenue between $150k to $15mm over the last 12 months, you are a prime Kickfurther candidate. 

Accelerate the growth of your business. . . get inventory funding today!

 

How Much Equity Should a Business Give Away?

Posted on by Amanda Levine

Equity- the stake you or someone else has in a business. Having equity in a company means you have the incentive to see it grow and succeed. Whether a founder, employee, or investor, equity owners want to see a return on their investment.

As a founder, you want to know how much equity you can or should give away. The answer: it depends. 

When taking investment from early Angel investors, selling 10% to 20% of equity is the general rule. There is a lot of risk and exposure in investing early. As a founder, don’t forget the amount of risk and exposure you have; you don’t want to give away too much too soon.

Giving away company equity in a startup 

Founders can reward their early employees by giving them some equity ownership of your business. This can range from 0.1% to 6%, depending on their role and how early they join the company. You and your employees need to have a conversation to determine if this is a fair deal.

How to value startup equity

There are a few factors that play into the value of start-up equity:

  1. Dilution
  2. Time to exit (assuming success)
  3. Potential exit price

If you decide to continue to raise additional funding, you will continue to dilute the company equity pool. What was 10% ownership of the company may become 8% after a Series A. You still own the same number of shares, but the total number of shares has increased.

Assuming that the business is a success, how long until the exit or sale of the business? Three years? Five years? At what price are you selling the business? The sooner your exit, the less risk meaning you get a higher valuation. That’s because investors will not recognize the value of their equity until the sale and the price might be lower or higher than expected (as low as zero!)

How much capital should I raise?

There is conflicting advice on how much capital a business should raise and, proportionally, how much equity to give away. Some experts will say to raise as much as you can, while others will advise only to raise what you need. This advice hinges on other factors like economic conditions – downturn or bullish–and how much demand for your business you’ve generated.

The legal cost plus the work of fundraising will steer founders towards a path of raising as much as possible all at once. When beginning your funding round, remember to build in the cost of legal and take note of the greater economy. 

On the other hand, founders minimize dilution by raising as little as possible. 

A startup CFO, like those at CFOshare, will be able to guide you toward the best decision for your business.

Funding Rounds

You will often need more than one round of funding and you are looking to raise a minimum of 12 months of runway. The path to funding is different for each business as is the timeline and the amount of equity given. Remember, with each round of funding, you are giving away more equity and diluting the overall pool.

Pre-seed: Less formal, sometimes called a ‘friends and family” round.

Seed Round: Funds come from angels or accelerators, funding is typically used on key hires, testing the product/market, and further project development.

Series A: You’ve got a proof of concept, your pro forma has more actual data, and the goal is to secure funding that allows for scaling.

Series B, Series C, and Beyond: Your business model has proven traction even if profits might still be scarce. Acquisitions are being considered and your company is valued high, especially if you are in Series C.

What does the debt to equity ratio mean for a company?

If you have a debt-to-equity ratio of 1.5, your company uses $1.50 in debt for every $1 of equity. This is closely related to leverage and measures the total debt relative to the amount of investment and earnings retained over time.

Why does this matter? If you are looking for an additional round of funding, future investors will use this ratio to determine if your business is in financial distress or over-leveraged. For some tech startups, it is not even possible to raise debt, so the debt to equity ratio is a non-issue. But product companies and e-commerce businesses often carry debt, so keep an eye on your leverage by watching the debt to equity ratio. 

How to calculate Series A funding debt to equity ratio: take the total liabilities and divide them by the total shareholder’s equity (both numbers can be found on your balance sheet).

Still confused or have more questions on how much equity to give away? Contact us at CFOshare to talk through a strategy that we tailor to your business.

 

About the Author

Chelsie Kugler

Chelsie is the Vice President of Business Development at CFOshare. She helps small business owners improve their accounting and financial planning by surveying their company’s needs and aligning solutions internally or through CFOshare’s outsourced team.

 

About CFOshare

At CFOshare, their team of specialized, full-time W-2 employees work together to deliver superior results to your small business. That means you can expect industry best-practices from a range of experts whether it be a debt specialist, cost accountant, real estate guru, startup specialist, or pricing strategist.

What does a stockout mean for your supply chain?

Posted on by Amanda Levine

If you’re in business, then you know that keeping your supply chain running smoothly is essential to your success. But what do you do when there’s a stockout? 

This can be a major issue for small businesses, and it’s important to understand the implications of a stockout so you can take steps to avoid it. Let’s explore what a stockout is and why it’s such a big deal for businesses.

We’ll also give you some tips on how to prevent stockouts from happening in your supply chain. 

What is a stockout?

A stockout is when inventory becomes unavailable. This means you can’t purchase an item or have it shipped – something that directly results in a loss of sales. Stockouts can cause you to lose both income and potential customers, when they become frustrated with your business. 

Stockouts can also be particularly detrimental if there’s no end in sight –  meaning it’s not clear when the item will be back in stock. 

What happens during a stockout?

A stockout occurs when an item that’s meant to be used for a customer’s order or for a production order is suddenly not in stock. There are a few things that can happen as a result of this.

One is that the customer can be forced to wait for the product. Sometimes a customer is willing to do this. But a stockout still has the potential to seriously damage their satisfaction with your brand.

A product might also be backordered. Again, this isn’t ideal in terms of customer satisfaction. A customer might cancel – this is common if it’s a product they need immediately – and again, it’s not great for maintaining customer satisfaction.

Finally, a customer might choose to shop elsewhere entirely. If they are unhappy with your communication about available inventory, they might cut all ties and work with someone else instead.

Causes of stockouts

Stockouts can occur for a variety of reasons. Often, these are completely out of your control. Things like unpaid invoices, delivery issues, production delays, or even basic human error can impact your inventory levels. However, if these kinds of unpredictable delays occur often, you might want to think about switching to another supplier.

Sometimes, stockouts happen because you’ve underestimated customer demand or you don’t have the funds available to buy new inventory. 

Impact of stockout on your supply chain

Stockouts can be seriously damaging to a business and its supply chain. If you can, you should work to avoid them at all costs. 

Losing customers to a competitor

When customers can’t get the products they want when they want them, there’s a good chance they’ll go somewhere else. You’re more likely to lose your customers to competitors. The likelihood of those customers coming back to your store is extremely slim. 

Negative reviews

When customers order a product only to have it delayed due to stockouts – or have their order canceled altogether – they’re more likely to leave negative customer reviews. While getting negative reviews every now and then is just a part of doing business, too many negative reviews can harm your business over time. 

Paying for canceled orders

One of the most frustrating things about stockouts is that they can lose you and your customers some money. It’s one thing for a customer to be able to see that an item is out of stock before they attempt to buy it – and another if they buy it only to find out it’s unavailable. 

What are the costs of stockouts?

Stockouts aren’t just inconvenient – they can be downright devastating for your business. A stockout can cause the loss of income and even the loss of customers. If your customers are dissatisfied with the experience because the items they wanted were out of stock or backordered, they’re less likely to return to you in the future.

Tips to preventing stockout for your business

There are a few key ways to prevent stockouts for your business. The first is to make sure you have the proper inventory management system in place so that you can avoid stockouts entirely. You’ll need to think carefully about your unique situation, the layout of your business, and other factors to find the system that works right for you.

Inventory management

If you’re going to incorporate an inventory management strategy, you’ll need to choose between a variety of different techniques. One strategy is an ecommerce inventory management strategy. You can restock your inventory once the number of products falls below a set standard. This will let you avoid overselling your inventory so you can minimize the number of customers impacted  by a stockout.

Conduct regular audits

It’s also essential that you conduct regular inventory audits. This can help you avoid overstepping your stock. While it’s time consuming, it’s an important part of managing your inventory.

Use inventory management software

Fortunately, there are several different software programs out there that can help you prevent stock outs by providing inventory data in real time. The ideal software will give you the updates, reporting, and metrics you need when you need them. 

Maintain safety stock 

A safety stock can serve as an insurance policy if you accidentally oversell your inventory. It’s especially essential if your company sells nonperishable items. Just make sure you don’t include your safety stock as part of your available stock – and remember, you’ll still need a place to store all of this stock, too.

Utilize FIFO

First in, first out. Make it a point to sell the oldest inventory before you sell the new stuff.

How Kickfurther can help

Don’t wait around and let a stockout happen. One of the most common causes of stockouts is when you fail to keep adequate inventory on hand simply because you can’t afford to buy it when it’s being sold at its cheapest. Take advantage of seasonal discounts and buy inventory at the right time. How do you do this without piles of cash sitting around?

With Kickfurther, you can fund millions of dollars in inventory at prices that are up to 30% less than the competitors. The funds are available when you need to pay suppliers – all without a purchase order or accounts receivable, which can delay your funding. You can get funding in less than an hour, helping you cut stockouts off at the head. Kickfurther is the world’s first online inventory financing platform that enables companies to access funds that they are unable to acquire through traditional sources.

Stockouts can have a ripple effect on your entire supply chain, so it’s important to take steps to avoid them. By using the tips we’ve outlined in this post, you can help ensure that your stock is always sufficient to meet customer demand. 

Keep inventory healthy and avoid stockouts. . . create an online account at Kickfurher today!

What E-Commerce Sellers Should Know About Inventory Financing

Posted on by Amanda Levine

If you’re an e-commerce seller, then you know that inventory financing can be a great way to get the money you need to grow your business. However, even with all the money in the world for inventory, ecommerce businesses can still fail. The risk of failure is higher when ecommerce inventory management is inefficient. We’re here to discuss two things: ecommerce inventory management and ecommerce inventory financing.

Keep reading to learn how to fund and manage ecommerce inventory.

What is inventory financing for ecommerce?

Inventory financing is a form of financing provided to ecommerce businesses to help them cover the costs associated with maintaining and buying inventory for their online stores.

This can be especially important for small or young businesses that need to build up their stock levels in order to grow and meet consumer demand. Inventory financing may come from a variety of sources, including banks and credit unions, crowdfunding sites, or specialized financial institutions.

Many businesses also take advantage of factoring services that allow them to sell their invoices to investors at a discount in exchange for upfront cash. Overall, inventory financing can be an invaluable resource for ecommerce businesses looking to accelerate growth and expand their operations.

How ecommerce inventory financing works

This type of financing operates in much the same way as traditional business lending, with funds being provided in one lump sum and then repaid over time with interest. In some cases, the lender will pay suppliers directly for inventory. Inventory can be used as collateral. If you need funding for inventory along with other business expenses, you may want to take out a traditional business loan rather than inventory financing specifically.

The downside to inventory financing through traditional lenders is that it can be hard to qualify for, extremely time consuming, and expensive. Financial institutions may not be able to offer much flexibility for business owners. For these reasons and more, a growing number of ecommerce sellers are using inventory funding instead.

Inventory funding allows backers to choose businesses that they wish to invest in. To connect with backers, ecommerce businesses will need to use platforms such as Kickfurther. We will cover more on this option a little later on.

Why e-commerce sellers benefit from inventory financing

E-commerce has revolutionized the way businesses sell products and services. By tapping into a global market, e-commerce sellers can reach a much wider audience than brick-and-mortar businesses. However, selling online also comes with its own set of challenges.

One of the biggest challenges is having enough inventory to meet customer demand. This is where inventory financing comes in. Inventory financing is a type of funding that allows businesses to purchase inventory upfront, before they have sold it. This gives businesses the capital they need to grow their inventory and meet customer demand. In addition, inventory financing can help businesses take advantage of bulk discounts and seasonal sales.

As a result, inventory financing can be a valuable tool for e-commerce sellers who want to grow their business.

Inventory financing options for ecommerce sellers

Are you curious about how to manage ecommerce inventory? When running an ecommerce business, at some point you may need to consider financing options for your inventory. There are a variety of different financing options that can help you to cover the costs of purchasing new products. Each of these financing options has its own advantages and drawbacks, so it is important to carefully consider which option is right for your business.

Inventory Financing: Inventory financing allows sellers to get the capital they need upfront to purchase products without having to wait for sales to generate revenue. Inventory financing is typically secured through banks and credit unions. For well-established businesses, the cost and strict requirements that come along with inventory financing may be fine. But for smaller businesses, especially with volatile sales, they may need more affordable funding and more flexibility.

Inventory Funding: Similar to inventory financing, inventory funding can get you the inventory you need without depleting cash flow. The difference is that inventory funding is provided by a community or single backer. The benefit? More flexibility and cheaper costs. For inventory funding, you can visit Kickfurther to access a community of backers that want to work with you. 

Invoice Factoring: For ecommerce sellers, inventory factoring can be a helpful way to free up working capital that is tied up in inventory. One of the biggest advantages of inventory factoring is that it can provide a source of funding that is not dependent on creditworthiness. This can be especially helpful for new businesses or businesses with poor credit histories. However, it can be expensive. The fees associated with inventory factoring can add up, and they may not be worth it if the business is not doing well.

Merchant Cash Advance: With a merchant cash advance, you can get the funds you need without having to put up collateral or go through a lengthy application process. The funding is based on your future sales, so there’s no need to worry about making monthly payments. You can use the funding for anything you need, including inventory, marketing, or expansion.

MCAs typically have much higher interest rates than traditional loans, meaning that businesses will end up paying back significantly more than they borrowed. Providers often require businesses to give up a percentage of their future sales, which can put a strain on cash flow in the long run. Also, MCAs are typically Short-term funding solutions, which means that businesses will eventually need to find another source of financing.

Loans using a bank or credit union: There are certainly advantages to this approach, including the fact that these types of financial institutions generally offer competitive interest rates and have extensive experience dealing with large sums of money. However, getting a loan can also come with certain drawbacks, such as vague terms and conditions that make it difficult to definitively predict what we will have to pay back in the long run.

Which financing option is best for your ecommerce business?

When it comes to ecommerce businesses, there are a few different financing options to choose from. The best option for your business will depend on a number of factors, including the size of your business, your total revenue, and your growth potential.

Inventory financing is generally the best choice for ecommerce businesses. Here’s why.

First of all, inventory financing allows you to avoid putting up personal collateral. If you use a traditional bank loan to finance your inventory, you’ll likely have to put up your home or another asset as collateral. You can avoid this risk with inventory financing by using your inventory itself as collateral.

Secondly, inventory financing gives you the flexibility to finance only the amount of inventory that you need at any given time. This is especially helpful for businesses that experience seasonal fluctuations in demand. With traditional loans, you would have to borrow a set amount of money and then hope that you don’t end up with too much or too little inventory. With inventory financing, you can adjust the amount that you borrow based on your current needs.

Finally, inventory financing can help you free up working capital that would otherwise be tied up in your stock.

Tips to qualify for ecommerce inventory financing

There are a number of strategies that you can use to qualify for ecommerce inventory financing. For starters, it is important to show that your business has strong revenue and profitability. This can be demonstrated by having multiple years of data available, as well as projections for the future.

Additionally, you should be prepared to provide detailed information on your inventory and sales history, including a regular turnover rate and evidence of customers who come back regularly. Another important factor to consider is the strength of your ecommerce inventory management team and the logistical infrastructure of your business. By giving lenders confidence in your operational capabilities, you can greatly improve your chances of getting approved for financing.

Do alternative financing options exist for inventory ecommerce needs?

Acquiring and maintaining a healthy inventory can be a challenge, especially for small businesses with limited capital. Traditional financing options such as loans and lines of credit may not be available or may not be feasible given the relatively high costs of inventory and strict qualification requirements.

Fortunately, there are a few alternative financing options that can help ecommerce businesses stay stocked and operational. These include merchant cash advances, invoice financing, and, of course, inventory funding options.

How Kickfurther can help

If you’re struggling to find ways to finance your next round of inventory, Kickfurther might be able to help. With Kickfurther, you can fund millions of dollars of inventory in less than an hour. It’s an easy funding solution that will grow with you – not against you – at costs that are up to 30% lower than what you’ll find with other inventory financing options.

Plus, you don’t have to pay a thing until you sell – perfect for businesses that are just starting to get a footing in the ecommerce world. If you’re interested in getting funded on Kickfurther, start by creating a free business account. Once you complete the online application you can review deals with potential account reps.

Conclusion

Inventory financing is a great option for ecommerce businesses that are expanding their product offerings.

By using inventory financing, you can get the cash you need to buy new products and increase your stock without taking out a loan or using your personal credit. These tips should help you find the right inventory financing partner and secure the funding you need to grow your business. Brands that sell physical products or non-perishable consumables with revenue between $150k to $150MM over the last 12 months can qualify for inventory funding through Kickfurther.

Interested in getting funded on Kickfurther? Create a free business account today!

5 Things that Could Be Stalling Business Growth

Posted on by Amanda Levine

When it comes to running a business, there are many things that need to be done in order for it to grow. However, sometimes there are certain things that can stall that growth. Here are 5 things that could be stalling your business growth. 

What are stalls in business?

When we talk about stalls in business, what we are really talking about are periods of stagnation or decline. These can occur for a number of different reasons, including increased competition, changing consumer habits, or unexpected fluctuations in market conditions. From a strategic perspective, the key to dealing with these kinds of scenarios is to remain vigilant and adapt quickly to new realities. 

This may involve making changes to marketing strategies, revising product offerings, or even reconfiguring organizational structures. Ultimately, the key is to be proactive and agile in order to weather any kind of competitive storm and come out on top. So if you are facing a stall in your business or need help navigating a difficult market landscape, remember that the key is to stay focused and keep moving forward!

What causes business stalls? 

Many businesses fail within the first few years of operation, and there can be many different reasons for this. 

One common cause is a lack of market research. When starting a business, it is important to have a clear understanding of who your target audience is and what needs they have that are not being met by existing businesses. 

Another common cause of business failure is inadequate planning. A business plan is essential for setting out your goals and strategies for achieving them. Without a well-thought-out plan, it can be easy to get sidetracked or make poor decisions that lead to financial difficulties. 

Finally, many businesses stall due to poor management. Even if you have a great product or service, poor management can lead to things like poor customer service, unproductive employees, and mismanaged finances. 

Recognizing these common causes of business stalls can help you increase your chances of success.

Top 5 Things that Could be Stalling Business Growth & Tips

There are a number of reasons why businesses can stall. Knowing what might cause your business to stall can help you take steps to prevent it from happening in the first place. 

Different goals

One of the most common issues is mismatched or conflicting goals. For example, if a business owner’s goal is to grow their customer base, but their team’s goal is to maximize profits, it’s likely that the business will stall. 

This is because the team will be focused on short-term profits rather than long-term growth, and the owner will be left frustrated. Another common reason for businesses to stall is a lack of focus. If a business is trying to do too many things at once, it can be difficult to make progress on any of them. This can lead to stagnation and a feeling of being stuck. 

Finally, another common mistake that can cause businesses to stall is failing to adapt to change. Whether it’s a new technology or a change in the marketplace, businesses need to be able to change and adapt in order to survive. If they’re unable to do so, they’ll likely find themselves being left behind.

Not understanding the numbers

As anyone who has ever run a business knows, numbers are crucial to success. Whether we are talking about sales figures or productivity metrics, it is all too easy to get bogged down in the minutiae of numbers and lose sight of the big picture. For this reason, it is essential that we make an effort to understand the numbers in our business. However, if we fail to do so, our business can quickly begin to stagnate.

The reason for this is simple: when we don’t understand the numbers, we cannot make informed decisions about how to improve performance or correct any issues that arise. Many entrepreneurs fall prey to the trap of chasing short-term gains at the expense of long-term sustainability.

Without accurate reporting, they might be investing in tactics that actually have a negative impact on their bottom line. By taking a more analytical approach and focusing on understanding the data behind the numbers, businesses can avoid getting stuck in this pitfall and maintain steady growth over time. 

Inconsistent marketing efforts

Your business may be stalling because your marketing efforts are inconsistent. Your target market doesn’t know who you are, what you do, or why they should care. As a result, they’re not sure what to make of your brand. And when they’re confused, they don’t take action. That’s why it’s so important to have a clear and consistent marketing message. 

When your target market knows who you are and what you stand for, they’re much more likely to take the action you want them to take – whether that’s buying your product, signing up for your service, or simply telling their friends about you. So if you want to get your business back on track, start by taking a close look at your marketing efforts and making sure that they’re as clear and consistent as possible.

Lack of automation

In this day and age, automation is key to keeping any business running smoothly. From simple tasks like sending out email blasts to more complex processes like managing inventory, there are a myriad of ways that automation can save time and money. 

However, if your business lacks automation, it is likely to stall. This is because manual processes are simply not efficient enough to keep up with the demands of modern business. They are also prone to errors, which can cause costly delays. In addition, manual processes are often time-consuming, which can lead to employee burnout. As a result, it is essential to implement automation in order to keep your business moving forward.

Inventory shortage

Last but not least, inventory shortage can be a major roadblock for your business as well. Not only does it stall your business, but it can also lead to lost sales and customers. The key to avoiding an inventory shortage is to stay on top of your stock levels and order new inventory before you run out. 

This can be a challenge if you don’t have a good system in place, but it’s essential for keeping your business running smoothly. The first step is to track your inventory levels carefully so that you know when you need to order more. You can do this manually or with software, but either way, it’s important to be consistent. 

How Kickfurther can help accelerate your business

Now that you know the five major things that can stall business growth, you probably realize how important understanding your own inventory levels is. 

Inventory can tie up a lot of cash. In some cases, you may not even have the cash to tie up in inventory. Regardless of your situation, inventory funding can help accelerate your business. If you’ve explored this option before you may have been detoured by the cost, qualification requirements, and other elements. At Kickfurther, you can secure inventory funding from a community of backers. Kickfurther is up to 30% cheaper than other options.

Here’s how Kickfurther can help.

Many business owners struggle in growing their businesses because they just don’t have the cash flow they need to finance major inventory purchases. With Kickfurther, you can finance millions of dollars worth of inventory – in less than an hour. With over 1000+ opportunities funded, Kickfurther has helped businesses all over the world elevate sales. Kickfurther has an average funding of $78,000, but can fund up to $1MM. As the world’s first online inventory funding platform, Kickfurther enables companies to access funds that they are unable to acquire (or afford) through traditional sources.

If you’re interested in getting funded on Kickfurther, start by creating a free business account. Once you complete the online application you can review deals with potential account reps. Once a deal is made, you could get funded within minutes. 

The advantages don’t stop there. Enjoy the freedom to pay back backers, only when you start making sales. At the end of each of your sales periods, you’ll submit sales reports to Kickfurther. You only pay for what you’ve sold during that specific sales period.

Conclusion

Effective inventory management is critical for the success of a business. You want to make sure you have just the right amount of inventory on hand. While there are other elements that play a key role in the growth of a business, inventory is a big part of the success and profitability. While inventory funding may cost money, it may be a worthy investment for the current and future success of your business. 

Accelerate sales. . . get inventory funding today!