If you are like most health insurance agents, then you are no doubt always hunting for new methods to increase your clientele by finding more online health insurance leads. It does doesn’t take long in the business to understand that the more leads you have, the more business potential you have. Once you have a pile of health leads on you desk you can begin closing sales and putting money in the bank. But you can’t make any sales until you have quality health insurance leads. There are lots of ways to get new leads, but by far the best option is to utilize the Internet.The Internet offers tremendous gains over other lead generation methods. First and foremost, it is much more convenient. Everything you need is right there at your fingertips. You don’t have to deal with paperwork. You don’t have to transfer a potential health lead’s information to your computer; it is already there. This reason alone is enough to convince most insurance agents to take advantage of online leads, but this is only the beginning.The real benefit comes from getting health insurance leads that work. Some agents develop their own website for lead generation. This website might offer useful information for those looking into insurance. It might give them an option to submit their details to get a custom quote or to talk to an agent. This site keeps track of these leads. All the insurance agent needs to do, is open up the file and look through all of his new leads. These leads are as fresh as can be and each one is interested in exactly what you have to sell. This modern convenience is a huge boon to insurance agents.Of course, not every agent has the resources or time to develop their own lead generating website. Luckily, they don’t have too. There are companies that specialize in collecting online health insurance leads so you don’t have to. These companies sell their leads to insurance agents, and the price is more than reasonable. Indeed, more and more insurance agents are realizing the benefits of purchasing quality health insurance leads. It saves time and money. Instead of paying for advertising, why not contact directly those people actively looking for an insurance policy? This is the ability agents have when they purchase online insurance leads.The Internet isn’t the only way to generate business, but it is one of the most effective ways. This is especially true when you consider the quality of the health leads. Not only can you be sure the leads you get through the Internet are made up of people that really want to buy insurance, but these health insurance leads are fresh. It is much easier to close a sale when you know your lead is interested in buying right now. So if you haven’t tried online insurance leads, what are you waiting for?
What is Debt Financing?
Almost all businesses, big or small, need to borrow money at some point. Whether it is for large assets such as land and buildings, or simply for supplies to keep a business running, debt financing plays a major role in modern business. Put simply, debt financing is the borrowing of money to keep a business running, to expand a business, or to acquire assets. Long term debt financing is usually associated with larger assets such as machinery, equipment or real estate, and it is paid back over many years. Short term debt financing, on the other hand, is most often used for business operations such as supplies or payroll, and it is often paid back within a year.The alternative to debt financing is equity financing, which involves the acquisition of money from investors and/or savings. However, we will focus on debt financing in this article.While most companies in Britain receive their financing from internal finance, 39 percent rely on external sources of finance, usually debt financing in the form of a bank loan. The business will agree the term of the loan and the interest rate, whether variable or fixed, with the lender. As with any loan, companies will have to show the bank how it is going to repay the money and secure the loan against an asset. The asset will usually be a premises or a piece of equipment that covers the value of the loan. In addition, a bank may require that some kind of personal asset is offered as security.Financial institutions tend to favour companies that have good management, a reliable projected cash flow and good growth potential. The business may have to demonstrate that it can meet the monthly payments from projected revenues in its business plan. Of course, the company will have to comply with the payment schedule specified by the lending institution, and it may run into trouble if it deviates from this. Longer term loans are usually provided in this manner.Debt financing productsCompanies looking for debt finance to cover day to day running costs often opt for an overdraft instead of a long term loan, although these are falling in popularity because of high interest rates, steep fines and the obligation to repay on demand.There are many options currently available for companies looking to avail of debt financing. Factoring and invoice discounting allow small businesses to take loans out against sales, while leasing allows for the borrowing of money to buy machinery or equipment. However, term loans remain the most popular with businesses and with banks. From the point of the view of the financial institutions, it allows them to impose regular repayment schedules over fixed periods, which is less risky than overdrafts. Many companies are known to have fallen foul of the banks because they were unable to repay overdrafts when asked. This provides an overview of the debt financing products available.Every lending institution has its own products, rules and rates so it is worth while for any business to shop around for an arrangement that suits its needs. Some companies even offer credit cards designed for small businesses to pay for day to day incidentals. However, these can become an expensive luxury if the balance is not cleared every month.Debt over equityDebt financing remains more popular than equity financing for a number of reasons. Interest paid on loans can often be deducted against taxes, and debt finance is available in small, accessible amounts, whereas equity finance tends to be in large amounts. Also, with debt financing the lender has no say in how the business is run and has no rights to any ownership or profits of the business. Another advantage is that business profits can be kept within the company while the loan is used for day to day running or the acquisition of assets.Debt financing is not a suitable option for all businesses. However, for small businesses where equity financing is not an option, it can be a valuable service in the day to day running of operations and the purchase of equipment. While loans often tend to be short term and at high interest rates, debt financing remains a popular choice for many companies.
Commercial Truck Financing – How is the System Structured?
First there are the captive finance companies. Think of them as the financing arms of all the major manufactures. They exist solely to provide financing to the public in an effort to sell their trucks. In the past they have been somewhat liberal in their underwriting criteria and like the mortgage industry perhaps too liberal. This relaxed underwriting of the past has caused serious defaults today. This has resulted in a subsequent tightening of credit. The end result is the selling of less trucks and trailers; customers have a harder time getting financing. Nonetheless, the captive financing company will always be part of the commercial truck financing game.Second are the independent financing companies. They are not tied to the manufactures in any way. They exist to make a profit from financing commercial trucks and other equipment. They can be a welcome alternatives for several reasons. First they can be someone to turn to if a good credit customer is “tapped out” with the captives. This means they have already financed trucks with the captive financing companies and they don’t want to do anymore for the customer (at least for now). These “A” credit sources are competitive on rate with the captives and, using different independent sources, a customer can finance an unlimited number of trucks. Independents are great for other reasons too. Say a customer wants a TRAC lease with different parameters than what the captives are offering. They can search for an independent that can tailor a TRAC lease for that customer. This is invaluable for the more sophisticated customer that has tax structure as their main objective. Here’s another one, we have customers calling us all the time that may only work nine months out of the year. They need financing that can offer skip payments. This way the customer can make nine payments a year instead of twelve; taking three months off of making their payments. One last one that hits home with us, the customer with bad credit. A captive financing company generally works only with people with good credit. For the customer with bad credit, their choices are limited. Thanks to independent financing companies (like ours) that specialize in customer with bad credit; these customers can get the financing they need to start or grow their business. Think of independent financing companies as offering financing products that can accommodate almost any need.The third financing arm for commercial truck financing is the in-house financing program. Usually offered by the smaller vendor, in-house financing offers benefits for both dealer and customer. By offering financing in-house the dealer is able to move more inventory than if he didn’t. This is important because a smaller dealer doesn’t always have a captive finance program. And with credit tightening up the independent financing companies are becoming less important. The dealer can act like an independent financing company by offering all the same products while keeping the benefits of earning interest on the trucks they sell. The bad side, of course, is they also suffer in the case of defaults where the customer stops making payments. The benefits to the customer is they have a one stop shop where they can finance a truck at the same place they are purchasing it from. Downside is they are limited to their inventory.This information will help you become a more educated consumer. By know who the players are you can better approach how to finance that commercial vehicle. Good luck!