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10 Simple Steps to Improve Your Credit Score

By
Siva Arulselvan
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0
10 Simple Steps to Improve Your Credit Score

If you’re planning to take out a loan or apply for a credit card, then having a good credit score is crucial. Your credit score is a numerical representation of your creditworthiness, and lenders use it to decide whether or not to approve your application.

A good credit score can open the door to better interest rates, lower fees, and more favorable terms. Here are ten simple steps you can take to improve your credit score.

Check Your Credit Report Regularly

The first step to improving your credit score is to check your credit report regularly. You can request a free copy of your credit report once a year from each of the three major credit bureaus. Review your credit report carefully and dispute any errors you find.

Pay Your Bills on Time

One of the most important factors that affects your credit score is your payment history. Late payments, missed payments, and defaults can all hurt your credit score. Make sure you pay your bills on time, every time.

Reduce Your Debt-to-Income Ratio

Your debt-to-income ratio is the amount of debt you have compared to your income. A high debt-to-income ratio can lower your credit score. To improve your credit score, try to pay off your debts or at least reduce your debt-to-income ratio.

Avoid Applying for Too Much Credit

Every time you apply for credit, it generates a hard inquiry on your credit report, which can lower your credit score. Avoid applying for too much credit at once.

Use Different Types of Credit

Having a mix of different types of credit can help improve your credit score. This includes credit cards, installment loans, and mortgages. However, make sure you can manage your debt responsibly.

Keep Your Credit Utilization Ratio Low

Your credit utilization ratio is the amount of credit you’re using compared to your credit limit. To improve your credit score, keep your credit utilization ratio low.

Don’t Close Old Credit Accounts

The length of your credit history is another factor that affects your credit score. Closing old credit accounts can lower your credit score. Instead, keep your old credit accounts open, even if you’re not using them.

Apply for Credit Wisely

When you do apply for credit, make sure you do it wisely. Apply for credit only when you need it and can afford to pay it back. Make sure you read the terms and conditions carefully before applying.

Build a Good Credit History

A good credit history takes time to build. Make sure you pay your bills on time, use credit responsibly, and don’t apply for too much credit at once.

Seek Professional Help

If you’re having trouble managing your debt or improving your credit score, consider seeking professional help. Credit counselors, financial advisors, and debt management companies can provide you with guidance and advice.

Conclusion

Improving your credit score takes time, effort, and discipline. By following these ten simple steps, you can take control of your credit score and improve your financial future.

Remember to check your credit report regularly, pay your bills on time, reduce your debt-to-income ratio, avoid applying for too much credit, use different types of credit, keep your credit utilization ratio low, don’t close old credit accounts, apply for credit wisely, build a good credit history, and seek professional help if needed.

Stages of Startup Funding: Decoding One Stage at a Time

By
Subhadra V
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0
Stages of Startup Funding Decoding One Stage at a Time

Your startup needs funding to keep the business afloat, employees’ content, and the momentum going on. And raising funds for your company is not an easy task. In fact, it is necessary to understand the different stages of startup funding before you even make a move.

Why? Because getting an investor for your idea or concept is not tough in this fiercely competitive startup ecosystem.

Gone are days where to start a business, you could borrow from friends and build a firm. Startup funding demands a professional approach. You need to understand the stage in which your startup is and identify investors accordingly.

There are two stages of funding your startup: The early stage and the growth stage. Let us dive deep to understand the types of funding in the above two stages.

Startup Funding in Early Stage

As the name suggests, looking for financing options in this stage is equivalent to finding an investor who likes your idea and is ready to invest in it.

Pre-Seed Financing

Pre-seed capital covers the very first step involving financing an idea or a prototype that you want to grow into a full-fledged business. The funding for this stage comes from the following sources:

Fools, Friends, and Family: These are your first go-to solution for financing your startup at its infancy. They believe in your idea and are ready to invest in it so you can commence your dream project.

Business Angels: As the name suggests, these are the angels who are ready to back you with their own money at the riskiest stages of your venture. Business angels are previous startup founders who may not have a sound technical background but are keen on investing their own money in startups in the very first stage. This category of investors is pretty important in a startup ecosystem.

Seed Capital

Seed capital is the funding you need when you are trying to start a company and find a product-market fit. Early-stage Venture Capitalists, business angels, and super angels are the major category of investors in this type. But these are not the only category. You can also receive financing from other players too.

Crowdfunding: Crowdfunding works in two ways. If it is a hardware startup, the financing is termed reward-based crowdfunding. The investors will back the projects they like and take something in material form in return without taking any equity in your firm.

The other is equity crowdfunding, where investors get equity in return for the investment they make. Thus, they become the shareholders of your company and can participate in the future returns your startup might provide.

Startup Financing in Growth Stage

This type of startup financing happens when you have a functional company but are looking for funds to grow and scale your business in the targeted market. There are different types in this stage as well.

Series A

If your startup has reached this stage of funding, it signifies that you have figured out your product and the market segment for it. You now need financing to establish a business model and scale. Series A, and the previous stages of startup funding, are riskier for investors, considering the doubts involved around startups.

Series B

Series B funding is for the growing startups that have a working business model and an established user base. It is the second round in the series funding. Private equity investors and venture capitalists invest in firms that have met some milestones.

The Series B investors usually opt for convertible preferred stock instead of common stock. The investors pay a much higher share price compared to Series A funding.

Series C and other stages

Mature companies are the ones that reach the Series C funding stage. Whether the company is making profits or not, the business model is working well, and it also has an established user base. Financing in this stage involves hundreds of millions. Besides the enormous amounts invested, Series C and other stages also involve private equity firms, investment banks, and large Venture Capital firms as well.

This funding more or less lays the foundation for an initial public offering (IPO) or getting acquired by a larger, much bigger company.

These are various funding stages for a startup. Have you got a startup plan? Or, are have you reached the funding stage? Let us know in the comments below.

From Brick-and-Mortar to Bits-and-Bytes: How Digitalization is Changing the Supply Chain

By
Purvi Senapati
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0
From Brick-and-Mortar to Bits-and-Bytes How Digitalization is Changing the Supply Chain

In today’s fast-paced world, businesses must be agile and adaptable to succeed. Digitalization is one of the key drivers of change in the business world, and the supply chain is no exception.  

Traditional brick-and-mortar supply chains are being transformed into tech-savvy bits-and-bytes systems, improving efficiency, reducing costs, and enhancing customer satisfaction. 

Digitalization and the Supply chain

Digitalization refers to the use of digital technologies to transform business processes, products, and services.

In the supply chain, digitalization involves the use of technologies such as the Internet of Things (IoT), artificial intelligence (AI), and blockchain to streamline processes, improve visibility, and increase efficiency. 

The Benefits of Digitalization 

Digitalization offers a range of benefits for businesses operating in the supply chain. One of the key benefits is improved efficiency.

By using digital technologies, businesses can automate processes, reduce manual labor, and streamline operations. This leads to faster delivery times, reduced costs, and improved customer satisfaction. 

Another benefit of digitalization is increased visibility. By using technologies such as IoT sensors and RFID tags, businesses can track inventory in real-time, identify bottlenecks in the supply chain, and optimize processes to improve efficiency. 

Digitalization also enables businesses to improve collaboration and communication with suppliers and customers. By using cloud-based platforms and digital communication tools, businesses can share data and collaborate in real-time, leading to better decision-making and improved customer satisfaction. 

The Future of the Supply Chain 

As digitalization continues to transform the supply chain, the future looks bright for businesses that are able to adapt and embrace new technologies. The use of AI, blockchain, and other digital technologies will become more widespread, leading to even greater efficiency and cost savings. 

In conclusion, digitalization is transforming the supply chain, enabling businesses to operate more efficiently, reduce costs, and improve customer satisfaction. The future looks bright for businesses that are able to embrace new technologies and adapt to the changing landscape of the digital age. </span

Investing Strategies for Different Life Stages: Building Wealth for the Future

By
Purvi Senapati
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0
Investing Strategies for Different Life Stages Building Wealth for the Future

Investing is a crucial component of financial planning, enabling individuals to grow their wealth and achieve their long-term goals. However, the investment landscape varies greatly depending on the stage of life you’re in.  

Different life stages require different strategies to maximize returns and mitigate risks. In this blog, we will explore investment strategies tailored to various life stages, helping you build wealth for the future. 

Young Professionals: Laying the Foundation 

As a young professional, you have time on your side. Embrace the power of compounding by investing in growth-oriented assets such as stocks and mutual funds. Take calculated risks and diversify your portfolio to balance potential returns and minimize losses.  

Consider tax-advantaged accounts like Individual Retirement Accounts (IRAs) or employer-sponsored retirement plans, such as 401(k)s, to maximize your contributions and tax benefits. 

Starting a Family: Balancing Growth and Stability 

When starting a family, your financial responsibilities increase. It’s important to balance growth and stability in your investment strategy. Allocate a portion of your portfolio to conservative assets like bonds and fixed-income securities to preserve capital and provide stability. 

Additionally, continue investing in growth assets to benefit from long-term market growth. Ensure you have adequate life and health insurance coverage to protect your family’s financial well-being. 

Mid-Career Professionals: Accelerating Growth 

Mid-career professionals often have a higher disposable income and a better understanding of the investment landscape. Consider diversifying your investments across various asset classes, including stocks, bonds, real estate, and alternative investments.  

Focus on building a retirement nest egg by maximizing contributions to retirement accounts and taking advantage of employer matching programs. It’s also crucial to periodically review and rebalance your portfolio to align with your changing financial goals. 

Pre-Retirement: Preserving Capital and Reducing Risk 

As retirement approaches, capital preservation and risk reduction become top priorities. Consider shifting a portion of your portfolio to more conservative investments like bonds, certificates of deposit (CDs), and annuities to safeguard your accumulated wealth.

Evaluate your retirement income needs and estimate potential shortfalls. It may be wise to consult a financial advisor to ensure your investment strategy aligns with your retirement goals. 

Retirees: Generating Income and Protecting Assets 

During retirement, focus on generating a steady income stream while protecting your assets. Consider creating a diversified portfolio of income-generating investments such as dividend-paying stocks, bonds, real estate investment trusts (REITs), and annuities.  

Be mindful of your withdrawal rates to ensure your savings last throughout retirement. Periodically review your investment performance and make adjustments as necessary. 

Conclusion 

Investing strategies should evolve as we progress through different life stages. By understanding the unique opportunities and challenges of each stage, we can optimize our investment decisions and build wealth for the future.  

Remember, it’s crucial to diversify your portfolio, periodically review and adjust your investments, and seek professional guidance when needed. Start early, be consistent, and stay informed to secure a prosperous financial future. 

Accounts Payable Automation Strategies for Success

By
Neha Verma
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0
Accounts Payable Automation Strategies for Success

Every company needs a reliable method for controlling its cash flow. Your company’s finances may be prone to errors if handled manually. Your liquidity may suffer if the accounting system is uncontrollable. As a result, you might not have enough money for ongoing expenses or working capital for upcoming investments. 

Businesses should think about implementing an effective accounts payable (AP) automation solution to reduce these risks. You can implement effective financial controls and report with the aid of automation. 

This blog post explains the concept of accounts payable and how the procedure can be automated. 

What is accounts payable? 

The current liabilities or expenses of any business are referred to as accounts payable. These are the sums that your company owes, and they can be divided into four groups: 

Business travel expenses: The accounts payable department primarily handles airline tickets, car rentals, and hotel reservations. 

How to make accounts payable automated?

Any step of the procedure can be automated, including accounts payable. The main goal is to give access to the necessary stakeholders and lessen the amount of paperwork involved. 

Here are 5 techniques for streamlining accounts payable procedures:  

In the following lines, we are going to cover these aspects in their entirety and learn more about them.

E-billing

Receipt and recording of supplier invoices are the first steps in the AP payment process. 

Use electronic invoicing as a replacement for compiling and submitting paper invoices to lessen the amount of manual labor required. In this instance, workers merely download a receipt scanner app to their smartphones.

Simplify the authorization procedure

Bills may cause delays and bottlenecks in the approval workflows. You have no idea where or why the invoice is stuck in an approval queue if there is no business visibility. 

By automating the approval process, you and your staff can access an online dashboard to view the status of the invoice.

Do away with manual data entry

AP data is useful for locating wasteful spending and profitable opportunities. It also offers information about the effectiveness of various departments.

An accounts payable automation program’s OCR technology enables effective document digitization. 

Establish compliance rules

The finance division and the company as a whole need business expense policies. A lack of oversight, however, increases the risk of non-compliance with written business policies and with monetary and legal regulations. 

Automation software for accounts payable is used to verify IRS tax compliance and industry regulatory compliance. 

Automate classification and coding

General ledger coding, which involves categorizing all business expenses, is crucial to AP. It is regrettably one of the most difficult AP department tasks and is rife with human error. 

Larger companies are more likely to make errors that go unnoticed until it’s time for an audit because there are so many GL codes. Automated coding and classification utilize AP to categorize and code invoices according to values like:

  • Amount 
  • Vendor 
  • Department 
  • Country 
  • Invoice category 
  • Product line 
  • Accounts unit 

Retirement Ready: Planning for a Secure Financial Future

By
Purvi Senapati
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0
Retirement Ready Planning for a Secure Financial Future

Retirement is a significant milestone in life, a time when we can finally relax and enjoy the fruits of our labor. However, to make your golden years truly golden, you need to be retirement ready.  

In this blog, we’ll explore the importance of retirement planning, key strategies, and tips for securing your financial future.  

The Importance of Retirement Planning

Planning for retirement is crucial because it ensures you have the financial resources to maintain your desired lifestyle after you stop working. Here’s why it’s essential: 

Financial Security

Retirement planning provides financial security, reducing the risk of running out of money during retirement. 

Maintaining Independence

A well-planned retirement allows you to maintain your independence and not burden your loved ones. 

Peace of Mind

It brings peace of mind, knowing that you have a secure financial future. 

Key Strategies for Retirement Readiness

Unlocking Your Financial Future: Discover Key Strategies for Retirement Readiness. Prepare for a secure and worry-free retirement with expert tips and insights. 

Start Early

Compound interest is your best friend. The earlier you start saving for retirement, the more time your money has to grow. Even small contributions can make a significant difference over time.

Set Clear Goals

Define your retirement goals, including the lifestyle you want and potential expenses. This will help you determine how much you need to save.

Diversify Your Investments

Diversification spreads risk. Consider a mix of stocks, bonds, and other investments to balance potential gains and losses.

Contribute to Retirement Accounts

Maximize contributions to tax-advantaged retirement accounts like 401(k)s and IRAs. Employer matches are essentially free money.

Budget and Save

Live within your means and maintain a consistent savings plan. Monitor your expenses to make room for savings. 

Tips for a Secure Financial Future

Unlock a path to financial security with our expert tips. 

Create a Retirement Budget

Estimate your retirement expenses and income to create a budget that covers all your needs and wants.

Pay Off Debt

Reducing or eliminating debt before retirement can significantly ease your financial burden.

Seek Professional Advice

Consult a financial advisor to create a personalized retirement plan that aligns with your goals.

Consider Health Care Costs

Healthcare expenses can be significant in retirement. Plan for them adequately.

Stay Informed

Stay up-to-date with changes in retirement laws and investment opportunities to make informed decisions. 

Conclusion 

Planning for a secure financial future in retirement requires careful consideration and disciplined savings. By starting early, setting clear goals, and following key strategies and tips, you can ensure that your retirement years are comfortable and worry-free. 

Post-Pandemic Economic Growth in a Digital World

By
Smriti Rajan
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0
Post-Pandemic Economic Growth in a Digital World2

The COVID-19 pandemic has brought economic activity to a near standstill as countries imposed tight restrictions on movement to halt the spread of the virus. The word unprecedented has been used a lot to describe the pandemic’s impact and continues to have on economies across the globe.

While that word may seem overused, as the health and human toll grow, the economic damage is already evident and represents the largest economic shock the world has experienced in decades. 

2020 was, without a doubt, an extremely turbulent year for the global economy, with lockdowns, sharp trade contraction, accelerated job losses, and supply-chain disruptions. Recovery started picking up towards the second half of the year with the easing of COVID-19 restrictions. The global economy nonetheless experienced a very deep 2020 recession.

COVID-19 has severely impacted businesses and the economy. Throughout the crisis, many companies responded to accelerated digital adoption and changing consumer needs with short-term solutions. As the shift to digital is here to stay, now is the time to assess what this means for the remainder of this year — and into 2021.

Digital tools have been a lifeline during the lockdown, and they will be a catalyst for the comeback. But what else will be key during this time? We have five predictions for this post-pandemic economic recovery to help you focus your strategic efforts and drive renewed growth for your business.

Recovery is the keyword in 2021, with continued easing up of restrictions, vaccine administration, and demand-side revival. Global growth is expected to accelerate to 5.3% in 2021. The pace of recovery is expected to be much stronger for the group of emerging markets and developed economies, especially supported by high growth rates for China and India.

Driving Higher Economic Growth 

The world is changing around us, and we need to take that into account in terms of the way we think about our growth outlook. The biggest risk to economic recovery is a lack of growth, says New York-based economist Dr. Dambisa Moyo.

She notes that not only will low growth prevent the funding of critical projects, but the impact will also see more disaffected people, a lack of trust in institutions, and short-term public policies.

Therefore, in an increasingly internationalized world, a global effort is needed to stimulate growth. It is crucial to acknowledge sectors of the economy have been impacted in different ways and some will take longer than others to recover.

Now is the time to make sure we are reforming the supply side of our economy through business investment incentives and individuals to upskill, to be able to come out of this stronger and better. 

Below are some key initiatives that the government institutions, policymakers, corporates, and individual stakeholders can take: 

  • Find new openings to build resilience through ‘health proofing’ and diversifying economies.
  • Build and strengthen innovation ecosystems from state, business, and academia-led R&D to commercialization, startups, entrepreneurship, and VC. 
  • Invest in inclusive growth and unlocking the maximum productive potential of all people in communities. 
  • Lead a skill and talent revolution – both digital and knowledge-based skills to ensure that they have a place in the post-pandemic economy.
  • Thrive to make cities citizen-centric, by providing efficient and high-quality public services, updated public infrastructure, and more affordable housing.

Digital transformation for economic recovery and business growth

With 2021 bringing no clear endpoint to uncertainty, businesses will need to shift their focus from short-term solutions to long-term digital transformation. Consumer behavior is already predicted to have permanently shifted more in favor of online shopping, making customer journeys more virtual whilst consumer needs and interests evolve quickly.

Capturing this changing demand requires organizations to fundamentally rethink their business models; structuring for agility, upgrading technical capabilities, and prioritizing data-driven decisions. Smarter automation and measurement can be especially useful tools to capture fluctuating demand and gain higher value from your marketing spend.

Digitally mature companies can gain an edge in building long-term customer relationships by using first-party data strategies based on the transparent value exchange framework. By structuring teams to be alert and responsive to changing consumer needs, it can be possible to stay competitive in these dynamic times.

The global acceleration of digital adoption has only heightened the need for digital marketing maturity. Businesses that use this moment as a catalyst for digital marketing transformation, will not only be more agile in responding to markets today but will have a more sustainable framework for the future.

Apps – a bigger driver for economic growth

Apps have become more present in our lives than ever before. They have allowed people to stay connected, healthy, and informed while being safe at home. At the beginning of 2020, time spent in apps grew 20%, as much of the world’s population was under some form of lockdown.

As we work towards economic recovery, apps will allow businesses to improve service and customer satisfaction while maintaining social distancing and lowering costs by more accurately predicting sales through advance orders, for example.

Take a look at Starbucks. The coffee company has been able to open stores and maintain social distancing by utilizing in-app ordering. Investing in their app allowed the chain to reduce in-store waiting time and alleviate lines at peak hours.

They are even shifting physical locations to a model focused on ordering within the app, making it easier for customers to get their coffee with a smaller physical footprint. On top of enabling social distancing, app orders generally lead to 37% higher spend for retailers. Fintech apps also saw a huge surge during the lockdown, like cash, ATMs, and branch usage dropped by 60%. This created an accelerated digital adoption in financial services, driving a 72% rise in the use of FinTech apps.

Brands from across verticals can help consumers during the economic recovery by investing in their app presence. It’s important to do this strategically, rather than replicating a website experience, to add additional value for consumers.

For example, by adding helpful functionalities such as remote check-in in hotels and rewards programs. That way customers can interact with their favorite brands easily, often, and in new ways.

Conclusion

Fundamental to building a robust, reimagined post-pandemic economy is keeping in mind the continual objectives of productivity improvement and inclusion. 

A post-COVID world is likely to see the global economy become less integrated as a result of trade barriers, reshoring of supply chains, and reduced labor migration and foreign direct investment. The individual resilience of businesses and workers during the unique and devastating COVID-19 crisis has been inspiring.

Government authorities, business leaders, and stalwarts across all sectors can take the opportunity to reimagine not just their economies but also how they could work in sync to become far more resilient, flexible, and prosperous. 

The Benefits Of Transformation For Finance

By
Dheeraj
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0
The Benefits Of Transformation For Finance

As a result of the COVID-19 pandemic, every area of commerce, from global supply chains to financial markets has been impacted. Finance functions have been made to evolve rapidly to keep up with the changes. Transformation, therefore, is crucial for finance to thrive in this new post-pandemic world. 

Even before the onset of the pandemic, finance was moving significantly towards digital transformation. However, today, digital transformation in finance is no longer a choice but a necessity. 

Finance is at the Center of Business Evolution

Business models are being adapted and rebuilt at a rapid pace and the finance function finds itself in a unique position – at the very heart of evolution across the organization. Business leaders who lead digital transformation initiatives can show significant cost savings and improved efficiency. But finance transformation must allow finance leaders to play a leading role in creating value for enterprises and managing performance. 

What Finance Needs to Thrive Today

If finance is to thrive in today’s world, agile reporting forecasting and flexibility in investments are key transformative features that finance leaders must embrace in their organizations. By turning valuable data into actionable insights, finance can evolve from being a business cost center to the engine that drives business performance. 

Businesses Save Costs by Embracing Digital Transformation

Business leaders must ask themselves whether their finance function and workforce can adapt to this challenge. 

Finance teams can benefit by reducing costs if they embrace digital transformation. Costs have a great impact on businesses, especially in a post-COVID-19 world. Businesses save on costs when operations are run more efficiently. 

When business leaders have data at their fingertips, they can make faster and more economic decisions. This allows them to build resilience. 

Automation is Key to Business Continuity

Several organizations are focusing on accelerating automation initiatives so that they can devote time to improving value-added services. In our increasingly virtual world, automated processes are essential for efficiency and enabling better control and resilience. 

Creating a Truly Agile Finance Operations

Businesses must consider embracing cloud services and automation. With access to innovations such as predictive analytics and machine learning, organizations can create a truly agile finance operation.

Business leaders must realize that back-office transformation alone is not enough. They must work towards creating a strong foundation for the evolution of every function of the business. 

When finance teams embrace digital transformation, they can meet the evolving demands of a post-pandemic world and deliver: 

  • 45 percent reduction in general accounting costs
  • 15 percent improvement in working capital 
  • 50 percent reduction in manual reconciliations

The last word

The pandemic has undoubtedly presented businesses with unprecedented challenges. Organizations are under immense pressure and the need of the hour is for the evolution of the finance function. Digital transformation in finance operations is essential for business continuity.

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