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NeoGrowth Mantra Tips for a successful business

Published on 30/08/2016 by wp_blogLeave a comment

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The three pillars to achieve success in any business venture are:

Hard Work: Yes, you must have heard it many times! But nothing comes easily. If you ask any successful business man that what is their success mantra- they will all have one word in common – determination, perseverance and hard work. Hard work doesn’t mean success always but it means a strong determination and passion to follow a path in which you believe. It may bring you success , it may bring you failure but hard work is the journey which you need to cherish to go on!
Right Approach: To reach your business goal, there may be many approaches. Its upto you to decide which will be the best for you. Sometimes, you need to change your approach, leave old ones and adopt new ones – but whatever you do – it should be done with proper thought and consideration. A right approach is determined based on your customer preference, technology, latest trends and other factors influencing your business.
Funds at right time: All business at some point of time need funds to grow/expand/revamp themselves. Proper funds at the right time is essential for the success of any business. We @NeoGrowth help you achieve your business goals through our loans.

How NeoGrowth helps SMEs to get access for working capital

Published on 27/07/2016 by wp_blogLeave a comment

SMEs are gathering strength and showing massive growth levels and (future) potential in today’s economic scenario. However, despite this being the case, in a good number of countries in the world, gaining access to and managing working capital continues to be a major obstacle that SMEs have to contend with.

“Working capital”, in the simplest terms, refers to the liquid capital (i.e., cash or funds) that SMEs can use to match the growth rate of the business. And, currently, the major hurdles SMEs have to face (and work with) are the huge gap that exists between the funds required by SMEs and the funds actually available, and efficiently managing the lean capital that they do have access to.

Challenges That SMEs Face

Why this gap between available funds and required funds exists in the first place is because the very nature of SMEs makes most banks and financial institutions hesitant to pour funds into them. (On the flip side, though, many SMEs, even when they do qualify for financial aid, also do not find the available schemes and loans suitable for their requirements.)

Here are some of the challenges that cause this scenario:

Low Revenue, High Cost Requirements of SMEs: SMEs often follow a business model where the revenue they gain per customer is pretty low in comparison to the startup’s cost of production, distribution, and manpower. And this in turn makes credit risk a high probability, which consequently makes banks hesitant to invest in such enterprises.
Lack of Entrepreneurial Experience: SMEs are mostly run by first-time entrepreneurs who lack experience and references in their fields. Hence, they often find it difficult not only to manage their available finances, but to also to raise more capital from investors when they need it. And sometimes, even if they do know how to manage their finds well, they still won’t have enough references or backing to convince the investors to pour more funds in the business.
Lack of Financial Records and Books of Accounts in SMEs: Lack of financial books and credit history is another major reason why investors are hesitant to aid SMEs. As most SMEs use cash transactions and don’t maintain proper books of accounts, it becomes difficult to analyze and see a firm picture regarding the financial status and potential of the business. And this, in turn, makes SMEs a high credit risk.
Lack of Credit History and Conventional Banking Standards: SMEs often have little to no credit history thanks to their lack of official financial records and cash transactions. Plus, SMEs concentrate more on their business model than establishment. And both these factors make it hard for banks to analyze the business’s credit reliability, which consequently makes banks and other financial institutions steer clear of such investments. Plus, in the Internet age, SMEs have even leaner establishment boundaries and logistics, which aids their business’s growth. However, conventional banking standards still don’t consider these factors and can only see a credit risk in the lack of elaborate establishment of the business. Hence, banks (again) are not willing to risk pouring funds into SMEs.

Managing Working Capital

Working capital management refers to managing the assets and liabilities that SMEs already have. And effective working capital management is more or less what stands between a startup remaining solvent or going insolvent. So here’s what should be looked out for in order to implement the effective management of working capital in SMEs:

Educate SMEs on Effective Working Capital Management: Even if the working capital of a small business is lean, effective management of those funds can be stretched for maximum use and productivity within the business. And, since many new entrepreneurs lack experience here, they should first and foremost be educated on effective financial management practices.
Keep an Eye on Cash Management: Careless cash management can ring the death knell for small businesses. Hence, keeping a careful eye of the management of funds and cash usage in day-to-day business transactions is vital. Maintaining regular, clear, and detailed financial records and books of accounts is a good first step to efficient working capital management.
Adopt New Technologies: Depending on the type of business, SMEs should not be shy to adopt relevant innovations and technologies into the business. Especially include technologies that reduce costs as well as help SMEs keep track of their finances.

Getting Access To Working Capital

SMEs, in spite of the challenges they face, can still gain access to working capital, even if not as quickly or as much as they require. Here’s how:

SMEs should maintain clear financial records. For, information asymmetry is one of the main reasons banks and financial institutions are deterred from investing in SMEs.
The Government has already put into effect various schemes and benefits that SMEs can avail. However, most SMEs are not aware of them. Becoming aware of these schemes would give SMEs easier access to the much-needed funds they require for growth.
Delayed payments in the course of business should be strictly supervised and reduced as much as possible.
Choose NeoGrowth Credit Pvt. Ltd. which will help in securing working capital and empower businesses.

Governments have mostly already started working towards closing the gap between the available funds and required funds for SMEs. However, more still is left to do. On every side though – the banks, the Government, as well as the on the SMEs’ side – improvements in organization, management, and adoption of new innovations and technologies are necessary to close this gap and help SMEs gain access to the required working capital.

Use NeoGrowth Business loans to choose the best Commercial Pizza Oven for your Restaurant business

Published on 18/07/2016 by wp_blog3 Comments

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Want to place your pizzeria on the success map? Well, the most important thing you need to consider, apart from getting a hassle free business loan, is the pizza oven. It is the “make or break” trick for your venture and if you get it right, you will have a smooth sailing and your pizzas will sell like hot cakes. But if you fumble selecting this important success trick, your venture might be riddled with problems and act as obstacle in the path of a successful pizzeria.

So, it is very important to understand the different aspects of a commercial pizza oven as it will help you pick a suitable piece, in accordance with your requirements.

Speaking of hassle free business loan, the best place for getting a business loan is NeoGrowth Credit Pvt. Ltd. NeoGrowth believes in simplicity and while giving business loans, they give more importance to the business stability and performance rather than on the figures on the financial statements. Moreover, it allows flexi EMI, wherein you can pay more or less depending on your sales figure. And, the convenience of doorstep documentation, absence of penal charges for pre-or post-payment and modern technology makes it the best place for getting business loans.

Commercial ovens come in four different styles and each type of oven has its own relevance, advantages and disadvantages. And before you buy, you must get a good idea about all of them.

Types of Commercial Ovens

The commercial pizza ovens are broadly classified into four different categories- conveyor pizza ovens, convection pizza ovens, deck ovens and brick ovens. All of them are known to have some unique qualities. Still, the general consensus is that the traditional brick ovens provide the best quality pizzas with crispier crusts.

But this does not mean that other ovens offer inferior quality pizzas, they too produce delicious pizzas. The only thing is that the other ovens need more skill to be handled perfectly so as to bake best pizzas. They are, comparatively, more sophisticated and thus, have to be handled with more precision. So, here is taking a detailed look at the different commercial pizza ovens.

Brick ovens

These traditional ovens are highly prized for offering finely baked pizzas. They are made up of bricks and other binding material. Skilled labor is needed to construct them and they also require a fair amount of space, depending on their size.

Advantages

Produce best quality pizzas
Bake pizzas fast
Lose very little time in heat recovery
Serve aesthetic value and add to the goodwill of the pizzeria

Disadvantages

Expensive and high installation cost
Require more space to be erected

Best suited for high-end pizzerias and those with moderate production requirement

Deck Ovens

Deck Ovens - NeoGrowth business loans

Deck ovens are sturdy commercial pizza ovens that have racks inside. These ovens offer good quality pizzas and are quite versatile which means they can fit in with diverse requirements of pizzerias.

Advantages

Low-maintenance as you only need to clean the burn marks on the decks and clean the outside surface
Cost-effective as they last longer and make for sound investment.
Sturdy as they do not contain moving parts and thus, there is very negligible chance of breakage.
Comes in a wide range of prices

Disadvantages

Takes up a good deal of vertical space due to the decks involved
Cook time is more and the pizzas also need to be monitored and moved around at small intervals
Lose a fair amount of time in heat recovery

Best suited for medium-size pizzerias and those with moderate production requirement

Convection ovens

Convection ovens - NeoGrowth business loans

Modern style commercial ovens, the convection ovens are quite space-savvy and go well with ventures with low production output. They are made up of fine material and are quite sophisticated to look at. The handling is also easy.

Advantages

Take less space
Low-maintenance as regular cleaning is sufficient for a long life
Low-priced and comes in a wide range of style

Disadvantages

Production capacity is less
Need active monitoring during baking

Best suited for small pizzerias that need less output

Conveyor ovens

Conveyor ovens - NeoGrowth business loans

Most sophisticated and feature-rich, the conveyor ovens come with a continuous cooking platform and churn out pizzas at a fast rate. They need large space to operate and are quite fuel-efficient.

Advantages

Capable of very high production
Bake pizzas quickly and can easily accommodate large-size pizzas
No time lost in heat recovery

Disadvantages

Require large space to be fitted
Maintenance and handling require skill and sophistication

Best suited for high-end pizzerias that need high output

Conclusion

Every commercial oven is special in its own way and all have some plus and minus points. What is right for you depend on your production’s needs, size of your pizzeria, kind of pizzas you want to deal in and your budget. And if you want to make the most of the available options, you must do a thorough research on the different brands that fit your requirement.

All commercial ovens are available with gas and electric plugins. And thus, it is your choice, which one to pick. What is more, the countertop models are also available in each category and if you are looking to save space, they are your best bet.

NeoGrowth Credit Pvt Ltd can help you get business loans. For more information refer here : https://www.neogrowth.in/applyNow/

You can also download NeoGrowth-business-loans PDF file for your reference.

What Are The Alternate Ways Of Funding SME?

Published on 22/06/2016 by wp_blogLeave a comment

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Inability to find a sustainable funding source to keep one’s business growing has probably killed more dreams than anything else in the business world. While it is comparatively easy to find a business idea, it is highly difficult to look at the cash flow forecast and realize that all the money that you have might soon run out – completely.
There is a definite importance that SMEs hold in a nation’s economy. However, the traditional belief is that there are only banks available to help fund the SMEs. In fact, financing the amount of cash that you want is often difficult. This is evident from the fact that around 60 percent of the SMEs do not end up getting the amount of bank loans that they really want.

Funding Options For SMEs

Bank loans are not the only funding options for the SMEs and this is one of the most important things to know for people who operate small businesses. Since bank finance is increasingly becoming difficult to access, SMEs should take inspiration from business giants and large companies to find appropriate funding methods.

Angel investors: These are a group of individuals who are willing to provide funding in lieu of convertible debt or equity. Personal mentoring and one-on-one support are two of the biggest advantages associated with this form of funding. However, angel investors might not necessarily have deep pockets like any other funding source.

Cash advances: There are a number of finitech firms that provide a multiple of services and a quick access to cash. One such example is that of a Swedish finitech firm called iZettle. In addition to providing sales software, the firm quickly scrutinizes the sales history of the SMEs and based on the analysis, offer quick loans. In addition, finitech firms provide an option to pay back the amount in regular instalments based on the volume of future sales.

Crowdfunding: Crowdfunding has evolved to become one of the most popular alternate ways of funding the SMEs. It allows organizations and individuals to fund the SMEs in return of equity. Crowdfunding allows the SME to collect small sums of money from a huge number of people, rather than to get huge amount of money from a few people. It helps expose the business to a huge number of people and SMEs are able to raise large amounts of money in the shortest period of time.

Alternate External Financing Techniques

Apart from the solutions described above, there are additional external financing techniques that the SMEs should target for. Some of these techniques are:

Asset-based lending (ABL): This technique refers to any form of lending secured by an asset. Under ABL, four types of asset classes are secured – inventory, accounts receivable, inventory and real estate. The amount that the SME can borrow depends on the value of the selected assets, rather than the overall worth of the firm. The ease of selling the assets in case the SME is unable to pay the loan is also put into consideration.

Hybrid instruments: This financing option combines the features of debt and equity in a single vehicle. Some of the common examples of hybrid instruments include silent participation, convertible debt and warrants, subordinating debts and participating loans. In case of convertible debts and warrants, the investor has the power to convert debt into stock, thus reflecting an increase in the overall value of the company.

Alternative debt: In case of alternative debt, investors in the capital market fund the SME, rather than the banks. This is one of the major differences between alternative debt and traditional lending. Alternative debt includes direct tools such as corporate bonds and indirect tools such as covered bonds and securitized debts. Alternative debt is considered to be one of the “innovative” financing options for the SMEs and small-scale business owners.

Providing appropriate funding to small- and medium-sized enterprises are an important step toward a strong national economy. Since a majority of small business owners might believe that there are only a limited number of financing options available to them, it is important to remind them about a multitude of alternate financing options that they could apply for. Moreover, SMEs can choose from the available financing options that suit their requirements and needs in the best possible way.

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NeoGrowth Credit Pvt Ltd can help you get business loans. For more information refer here : https://www.neogrowth.in/applyNow/

You can also download NeoGrowth-business-loans PDF file for your reference.

How Technology Is Changing The Way We Do Business In The Banking World?

Published on 20/06/2016 by wp_blogLeave a comment

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Technology has changed banking and its associated activities forever. Moreover, this change is a continuous process. Despite being one of the oldest forms of business in the world, the advent of technology has changed how this form of business works.
For example, the first bank was opened in Italy in 1472 and it operates till date. That means that the bank must have had invested millions of dollars to keep up with the speed of changing technology and remain relevant in the life of its customers.

Effects of Technology on Business

There is one thing that is common among all forms of businesses – everything that speeds up the production or attracts more customers is always welcomed. A majority of such things is a result of technology. That is the reason why businesses tend to change their infrastructure time and again and adapt to the changing technology.
A number of businesses, in fact, a majority of them are now conducted on computers or smartphone. Technology has offered people millions of software, databases, personal schedules and stuff to make things easy for them while conducting their business.

The Way We Do Banking Now

Banks and its branches still remain integral to the customers, just like before. However, the way banking conduct business now has changed for sure, majorly because of the changes in technology.
Earlier, banks were not open at all days of the week. The cash counters used to close almost two hours after the lunch and people could only get information about their bank account and the balance cash by visiting the bank branch and filling a small strip of paper before handing it over to the cashier.
But the situation is a lot different today. People can have a 24X7 access to their money stored at the bank and they do not need to visit the bank anymore. While some may still like to visit the bank, but millions of people today now prefer to download the mobile phone app to make payments, check balance and apply for a credit card or a debit card purchase.
Moreover, a majority of banking-related queries are now cleared up over Facebook, email, phone, Skype or Twitter. That is, people do not have to queue up at the bank like their fathers and grandfathers to book an appointment with the manager or to talk to the cashier.

4 Ways Technology Has Changed Banking

While technology might have changed the way we conduct business in the banking world in a million ways, there are a few major identifiable aspects that have indeed made a big impact in the banking world. Some of these aspects are discussed below:

(1) Banking On-the-Go

Ever heard of banking without banks? Well, this has actually become true with the advent in technology. Now, a person hardly has to visit a bank. Just open an account and the rest of the things are taken care of online, even when the person is travelling. Moreover, banks are willing to provide door-to-door service for practically every service that they provide. For example, people can request for a new cheque book or file a credit card request and all the banking material would eventually arrive at their doorstep.

(2) One Tap Payment

Just about a decade ago, people literally had to walk up to telephone exchange and powerhouses, stand in queue and wait for their turn before they could pay the bill. Now, everything can be done through a single tap on their phone. People no longer need to stand in a queue to make payments. Technological innovations like Google Wallet allows users to store their personal banking information such as debit card details and credit card number on their phones, that too safely. This contactless technology has invaded the banks too.

(3) Reduced Customer Service

The introduction of mobile banking and online banking means that banks no longer need to provide an extensive face-to-face service for features that are majorly being used by the customers through their smartphones and computers. The elimination of generic customer service has paved way for a more specialized personal service that is tailored according to the needs of the individual customers. This is particularly important as a customer phones the bank for some query or personally visits the branch.

(4) Biometrics

People no longer need to remember their passwords for authentication. They can simply take advantage of the relatively new form of authentication that uses biometrics. Banks all over the world have started to welcome the use of biometrics for authentication. Techniques such as fingerprint and palm identification and facial and voice recognition have become relatively common now. Moreover, these are considered to be relatively safe forms of customer authentication.
Adapting to the changing technology has, in fact, become one of the most important transitions for banks around the world. In the wake of getting a competitive advantage over its rival, banks have now become relatively open to new technologies and new innovative ways through which banking is now conducted. NeoGrowth Credit Pvt. Ltd. which gives businesses funds or working capital is one institution that has matched its steps with the technological up-gradations.

It would be an understatement to say that it is yet to be seen how the banking would evolve in the future or whether the adaptation would be enough to keep up with the changing needs of the customer.

For more info refer: https://www.neogrowth.in/applyNow/

You can also download NeoGrowth-business-loans PDF file for your reference.

Tips for Buying Commercial Kitchen Equipment

Published on 09/06/2016 by wp_blogLeave a comment

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In the process of setting up a commercial kitchen, buying kitchen equipment is the most important part that promises a lot of excitement. It makes for an enjoyable experience but it can also leave you flustered. This is because there is a huge variety out there to explore from. Also, one is confused between the prospects of buying second-hand and brand new. So, how does one solve the conundrum?

Well, it is not easy for sure. Choices add to the confusion and given the constraints put by the budget, it becomes quite challenging to select the best. And the truth is no one wants to settle for anything less than the best and should not either. Your kitchen deserves the best equipment within your budget and you should always strive to pick the most efficient equipment as they will play a major role in the success of your venture. So, here are some tips for you that will help you make an informed decision.

New Vs Second-hand

The debate about “New Vs Second-hand” is very relevant when it comes to buying kitchen equipment because there are lots of equipments to be purchased. You have to look for oven, refrigerator, prep tables, microwave, grills, dishwasher, freezer, coffeemaker and more. Now, buying so many appliances means spending a good deal of money. And in most of the cases, businesses that are starting out are hard-pressed for finance. So, it seems a wise thing to buy second-hand equipments.

But you should not go the whole hog and purchase every equipment from the second-hand category. The truth is most second-hand equipments have a short shelf life and the repairs costs make them a poor investment decision in the long run. So, you should buy only those used equipments that are in good shape. Also, it is advisable to buy only one or two used appliances. And when you buy, you should always take a test drive before saying “yes”.

Lease-to-own commercial kitchen equipment

As said above, second-hand equipment does not make for a very wise option but given the scarcity of finances, one tends to gravitate towards them. The option is not entirely unwise but there is one better option that lets you work with new equipments and you do not have to pay much either. Lease-to-own commercial kitchen equipment is a viable option as you can use new equipments by entering into a lease agreement.

The cost is not high and you have to pay a monthly rent which is a small fraction of the total cost. What is more, at times, the lease agreement involves repair costs as well and hence, you do not need to worry in case of any breakage or fault. And the best thing is that you can own the appliance at the end of the agreement period. This is a flexible, fair and fulfilling option and if your budget allows it, you should definitely go for it.

Discounted equipments

Another very fabulous option is to buy brand new equipments that come with special discounts. You can find the discount offers on dented and scratched appliances. Dents, bruises are common fallouts of shipping and they diminish the aesthetic value of the appliance. To fend off losses, sellers offer special discounts on these appliances which bring down the prices a good deal. And you can capitalize on these discounts. It saves you a fine amount of money and also ensures efficient equipment for your kitchen.

Important tips

Besides the above mentioned points, there are some other important tips as well which would do you well, if you keep them in mind. They are:

Always put quality above other things – Quality is foremost whether you are buying new or second-hand or lease-to-own equipment. You must see to it that the appliance works well, covers guarantee and belongs to a reputed brand. In some case, it might turn out to be a little higher in the cost part, but it is worth the money.
Look for utility – The market is abuzz with fancy equipments that come at equally fancy prices. But if you do not need them, do not purchase them. You must go for the feature-rich, efficient and fair-priced appliances that will prove to be wise investments in the long run.
Do your homework/research – Whether it is comparing the prices or talking to industry experts or analyzing the working of the different appliances, you must do your homework well. It will not just help you buy the best piece but will also save you lots of money. You will also get hands-on knowledge about the equipments, which will help you in future.

So, if you are ready to shop and set up your kitchen, just keep these points in mind and go ahead. You will easily find the most fitting equipments within your budget that will definitely prove to be worthwhile investments.

Business loans for restaurants — NeoGrowth provides business loans if you are in the food/restaurant business!

If you are looking for a business loan to buy commercial kitchen equipments, opt for NeoGrowth Credit Pvt. Ltd. The hassle free procedure involves doorstep documentation and the use of modern technology. So, you need not worry about the flow of funds. NeoGrowth offers business loan not on the basis of the financial statements, but on the stability and performance of your business and the cash flow estimation. And, for repayment, you can choose to pay more when your business is flourishing or less when the sales have dipped. This ensures that you pay more attention to your business.

For more info refer: https://www.neogrowth.in/applyNow/

You can also download NeoGrowth Business loans PDF file for your reference.

3 Most Overlooked Factors in Your B2B E-Commerce Success

Published on 31/05/2016 by wp_blogLeave a comment

Screen Shot 2016-05-31 at 11.12.20 am

Just to get the most pertinent of introductions out of the way: B2B (business-to-business or e-biz) refers to the occasion of a business offering its products and services to other businesses, while B2C (business-to-consumer) refer to instances of a business offering its products and services directly to the consumer. In other words, B2B ventures caters to businesses as their customers, while B2C ventures cater to consumers as their customers. And, while these terms (i.e., B2B and B2C) refer to both offline and online businesses, the terms had only come into use during the dotcom boom.
Now, most ecommerce websites generally follow a B2C model. But there are also enough online ventures out there whose main target customers are other businesses. And, while B2C and B2B obviously will have some similarities, the approach that is needed to run either is, predictably, pretty different.
However, considering the rising levels of customer-engagement that is possible today, there are factors that are overlooked when it comes to B2B, simply because these factors seem inherently more suitable for B2C. But that’s a grand oversight. In fact, merging the following three factors into the running of your B2B ecommerce business could very well spell the difference between your venture’s success or failure.

Factor 1: Personalization

The last thing any business wants to seem is unprofessional or amateurish. And for good reason. Giving either of the two impressions to customers, especially when you’re a B2B ecommerce business, is a sure-fire way to lose potential customers. However, there is a strong misconception that appearing casual, friendly, or personal in one’s interactions with other businesses is equivalent to appearing unprofessional – which is definitely not the case.

Now, chances are that if you were running a B2C business, you would be adopting a light-hearted and casual tone to connect with your individual customers as the norm. Because it’s pretty obvious that people prefer to do business with those they feel connected to. However, as, in running a B2B business, you are trying to reach out to other businesses, you will most likely adopt a formal, detached tone with plenty of jargon and marketing-based overtures, thinking that this is what your business customers will appreciate. After all, your customers are businesses, not individuals. So it is obvious that you can’t employ personalization and should rather treat them as a mechanical unit, right?

Nope. Very much wrong.

For you see, although in a B2B your customers are not individuals, it does not mean that it is absent of “people” either. Businesses, in fact, are made up of people at its very core. And as a B2B, you should not forget that. Because, even in a B2B, your business customers will be more likely to want to do business with you if they feel like you’re connecting to them. In fact, leave off the annoying business jargon and blasé marketing terms in your communications; they don’t work anymore. Rather, try for light and casual, with friendly overtones that make it clear to your customer that their business is important to you.

In short, your customers will be much more receptive (and more likely to continue doing business with you) if you take a more personalized approach.

Factor 2: Shipping

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In storytelling, one common piece of advice is that what the audience will remember the most about a story is it’s ending. And the same advice can be applied to B2B ecommerce in a sense as well. Only here, the “ending” refers to the final stage of a business placing an order with your B2B: the shipping and delivery of the ordered product(s) or service(s). However, while most B2Bs spend a lot of time optimizing all their other processes, the shipping and delivery aspect is what is most often overlooked – which can often trigger a business pulling away as your customer. In fact, statistics show that a lack of reliable and affordable shipping options is what makes B2Bs lose the most number of customers. For, up to 61% of businesses have indicated that they have abandoned a cart because of unexpected and ill-affordable shipping costs. And up to 50% indicated their orders not qualifying the minimum requirement for free shipping being the reason they abandon their carts (and as B2Bs usually run as wholesalers, the minimum requirement set for free shipping is an important aspect to consider).

Thus, re-organizing your shipping and delivery options to be affordable and reliable for your customers will greatly reduce customer abandonment of your carts.

Factor 3: Segmentation

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The segmentation factor is directly tied to the personalization factor mentioned earlier. In simple terms, segmentation here means categorizing your buyers (i.e., customers) based on various factors like price, timing, etc., while also categorizing your buyers, according to demographics, size, business needs, order volumes, and the likes. Basically, segmentation will allow you to personalize your B2B approach for various buyer categories, thereby intriguing them towards higher levels of engagement in your business.

Simple Tricks for Getting More Conversions for your Online Business

Published on 30/05/2016 by wp_blogLeave a comment

Talking about conversion rates, the primary goal of all business is to convert a lead (obtained from various online or other promotional campaigns) into a buyer (who finally purchases the product). Now, this conversion statistic is in turn based on many other dependent conversions. A few of these are mentioned below:

Conversion of views to form submissions – This is one of the most common sources of online leads
Conversion of form submissions to subscribers (be it to newsletter or any other offers etc.)
Conversion of subscribers to repeat website visitors
Conversion of repeat visitors to first time buyers
Conversion of first time buyers to repeat buyers

Therefore, optimizing each of the steps in the customer life cycle would in turn cause an increase in percentage or probability of converted deals from online leads which are captured in the system.

Now, the question arises – how to optimize the content so as to ensure that the maximum customer progresses in the customer life cycle stages of ecommerce websites?

Majority of sales (especially B2C) do not involve a rational decision

This may sound erratic but it is not! There have been instances in the recent past wherein online stores with inferior products have recorded higher sales than online stores with better content and better pricing. This is because of the persuasion skills of these ecommerce sites. Most customers have been found to make purchases out of an emotional connect rather than judging on the rational utility of the product. Therefore, ecommerce’s who are able to present and position their products in a better way often get away with higher sales than otherwise.

All the glitters, at times, is gold

“All the glitters is not gold” may not be always true for online sales. This is because statistics (i.e., overall ecommerce statistics for 2016) show that 93% of the online consumers base their sale patterns and decisions on the visual appearance of the web portal or the ecommerce portal. And, approximately 52% of them decline to visit a particular web portal more than once in case they are not amused by the aesthetics of the website. The overall content involves the inclusion of videos, illustrating the utility of the product, chat widgets in the website, the ease of use and transition from one page to another and more importantly, the mobile responsiveness and the performance of the page – i.e. the time taken to load the web portal or the app.

Statistics and customer reviews have stated that more than 96% of visitors find videos to be more useful than static content, and the overall conversion may increase by more than 12% with the replacement of images with videos on the landing pages.

Apart from that, the loading speed is of extreme importance especially in economies wherein the internet bandwidth is less as compared to the number of users using it. Statistics say that about 73% of users accessing the landing pages from their mobile are not satisfied with the speed with which the website loads, and more than 65% of the online users are not willing to wait for more than 3 seconds for a website to get loaded. Therefore, it is important that the weight of the website is also light.

Live chat widgets do play a crucial part in customer engagement on the website. This, however, is more critical for B2B sales, which show a great improvement in conversion rates on having the live chat option on the website.

(Statistics are based on Brainfox’s infographic: 65 Proven Statistics About E-Commerce Consumer Psychology.)

A/B testing could be one of the options to ensure website optimization

Now, given the customer behavior and the trends, the question arises as to how designers should offer a landing page catering to the terrain which is being targeted by the business because the customer value perception may differ from one geographical region to another. A/B testing could be one of the solutions to this dilemma. It captures the customer behavior to each of the webpage variants that has been launched by the designer. Now, each of the variants can have different positioning of components – one with video vs. one with the image, one with the chat option vs. one without the chat option and so on. Therefore, analyzing customer behavior on these variants may help designers to get a better and a more customized insight on the customer preferences in that particular geography.

Payment Security – a major reason behind shopping cart abandonment

Trust seal is a non-negotiable factor which needs to be considered by online players before launching it to customers. Most online shoppers have declined transactions due to risks in the payment process. In addition to that, the pricing of the product should be realistic and competitive. The cart abandonment rate has been the maximum in the payment gateway stage of the transaction, where the customer has declined payment due to such reasons.

A Legal Checklist for Every Business Owner

Published on 21/03/2016 by wp_blogLeave a comment

Starting your own business is like living your longtime dream but your dream easily becomes a nightmare when you think of the legal angle. Well, corporate law and legal paraphernalia can boggle the most sensible and sorted entrepreneurs. So, it is not a big deal at all if you are getting goose bumps but if you overlook the legal aspect or deal with it casually, you are bound to encounter troubles in future that may also destroy your dream forever. So, it is mandatory that you do your homework in this aspect.

Of course, it will take up a good deal of your time and energy but it will also ensure a rock-solid foundation for your enterprise. So, do not back out. Take the bull by its horns. To help you out, we have compiled a legal to-do list that every business owner must memorize.

Select a name

It might seem very insignificant and many businessmen think that the company name is limited to thinking of something unique or catchy or cool. Well, coming up with a catchy name is certainly important for it affects you as a brand but legal implications are also associated with your entity’s name. First of all, you need to think of several names and then search the database of companies to find out if your proposed name is available or has been taken. Once you finalize a suitable name, you should get it registered with the appropriate authority. After this, you should go after the domain name. Google search to verify the availability and then register it through a domain service.

2. Choose the business structure/type

Whether you want to operate as a private limited company, sole proprietor, partnership, limited liability company (LLP) or in any other manner has to be decided beforehand. The company structure is a very important matter as it will have an impact on your liability, taxation, profits, succession planning and many more things. You should finalize it after taking the business nature, funding needs and risk involvement into account. To get more insights, do consult other businesses, lawyers or accountants.

3. Get license

No business can operate without a license and you need to get one from an appropriate authority in your city or state or town. You must know about the timeline, requisite documents, clauses and other related tidbits to procure the license. The license and permit laws are a little complex and you have to tread the territory carefully. So, you might need the help of an expert such as chartered accountant or corporate lawyer.

4. Create founder’s agreement

As is the trend, most businesses are helmed by two or more than two founders, who makes for a prudent strategy but it also makes complete sense to get everything in writing. You must put together a founder’s agreement in the proper way as soon as you go ahead with the setup formalities. The agreement must carry clear explanations regarding ownership, liability, intellectual property and other important matters. Consult a legal professional for best advice and notify all the owners before finalizing the draft.

5. File for patent/trademark

Many businesses, in the present times, revolve around an idea or intellectual capital which makes you vulnerable as well. The corporate world is full of cunning crooks who do not mind harvesting money from another’s concept. So, it is important to protect the core of the company. Your idea is a valuable asset and needs to be safeguarded under all conditions. So, whether it is the patent of your products or trademark of your logo, you must get things in place.

6. Get a business account

Finances are the lifeblood of a business and to ensure smooth running, it is very important that you do not mix personal and professional finances. So, get an account opened in the name of your business and make sure that all the professional transactions are made through it. It will also help you in getting tax benefits, concessions and other facilities provided by banks to businesses. You will also be saved from fines and other legal troubles.

7. Set up the contracts

A business enters into multiple contracts with multiple people and entities in order to operate successfully. They may be suppliers, agencies, clients, distributors, marketer, workers, etc. These contracts are loaded with legal obligations and you can be held accountable if you fail to follow them. So, it is important that you enter them after careful assessment. Do get legal help if you do not understand anything or are unsure and also learn some contract law.

Conclusion

The detailed to-do list mentioned above does seem challenging but if you want to become the showman of your niche, you have to master it. All the tasks are important and the sooner you finish them, the closer you will come to your dreamland.

Savings Solutions: 5 Ways To Save Your Small Business Money

Published on 18/03/2016 by wp_blogLeave a comment

There is a very old proverb that says one should cut one’s coat according to the cloth, meaning one should plan things according to one’s resources which is really a sensible approach to adopt in every sphere of life. It holds great universal value but is most suited for a small business. Why? Well, such businesses are hard-pressed for resources and work in a volatile economic environment, marked by intense competition, which makes them quite vulnerable to failure and collapse.

To head off these setbacks, small scale enterprises need to follow a prudent approach. They need to be supervised minutely so that they can face the challenges and reach the milestone without any injury. And nothing can safeguard them better than savings which has always been hailed as the hallmark of prudence.

Savings- Importance and Benefits

For a small business, savings are as important as making profits. They are like those trusted old friends that stand by you in your hard times and help you sail through. You can count on them to take care of the emergencies that often come uninvited. Apart from this, savings are important because:

It comes across as a good business habit that not only makes you more efficient but also helps in optimum utilization of resources. Financial discipline is a virtue for any business but for small enterprises, it is a necessity as it gives you better control and encourages risk-taking to expand your operations.
It helps in further wealth creation. You can invest more in your enterprise with the savings you have made. You can hire more and better staff, purchase superior equipment, take more risks and also deal with bigger clients.
It is easy to begin with and once you get into the groove, it becomes a part of your business ideology that guarantees quick access to liquidity in crucial times and also acts a safety net.

The Savings Tips

Savings are easy to make as there are various ways to cut the costs, without hurting the operations or compromising with the quality of your work. Here are five wonderful tips:

Collaborate with competitors for supplies – This will help you get the discounts on bulk purchase like big businesses without having to place big orders. Most of the time, competitors have same needs in terms of supplies and it makes for a good savings strategy to check out in advance and bargain together. It can be for equipment, stationery, internet connection or just about any requirement that you have in common.
Side with second-hand stuff – A fabulous savings measure, buying second-hand equipment/furniture lets you save big. There is no point in investing in a fancy coffee maker or chairs or computers when you can make do with used ones. So, go for the second-hand stuff but make sure they are in good shape otherwise the repair cost will render all the saving efforts null.
DIY (Do It Yourself) – A very popular savings measure, DIY is also a skill that helps you cut down day-to-day expenses without much ado. As a small business owner, you will regularly encounter tasks which require you to hire people with small skills. For ex, repairing the loose wiring or tweaking images with Photoshop. If you take the rein in your hands you won’t have to pay the electrician or the designer. There are numerous YouTube tutorials to help you out in this endeavor.
Offer low-cost incentives to high-performing employees – Employees are a huge asset for any small business. But it is quite challenging to keep them engaged through high salary and bonuses, which is very easy for big businesses. So, it makes sense to offer flexible working hours, recognition/reward, and business shares as incentives because they do not cost anything and bring great returns. They are not just popular with employees but also foster commitment and motivation.
Outsource – A highly effective, popular and prudent cost-cutting strategy is outsourcing and it has helped many businesses. Instead of hiring full-time staff for every work, it is a smart approach to hire part-time or freelancing staff. For ex, you can deal with a digital consultant for social media marketing as an alternative to hiring a social media executive. It helps you save on salary, bonus, insurance and other overheads related to employees. Also, it brings you better expertise and varied experience.

Conclusion

Savings are the soul of every small businesses without which you cannot expect to flourish and find fulfillment. Practiced since centuries, it is a surefire success recipe that will always keep your business on track. Of course, it demands caution and homework on your part but every effort is worth it. By doing proper research, planning and micromanaging, you can easily build your safety net and growth engine.