Make enough money online to achieve financial freedom – financial freedom is something that everybody dreams about since they were old enough to realise what money is. This is quite interesting, because very few people ever achieve financial freedom. With the advent of the internet and all the opportunities that comes with it, more and more people are making money online and achieving financial freedom as a result.Even though the general perception of making money online is still negative, there is a growing trend of people that make money online in ways that are both legal and ethical, meaning that more and more people are transacting online. Online powerhouses like Amazon, Kalahari.net and more recently Takalot.com have gone a long way towards winning people’s trust with transacting online, making it easier for the smaller businesses to win online.Benefits of making money online1. You have instant access to a global market – meaning that your room for growth is virtually limitless.2. The internet never sleeps, meaning that your products and services can be marketed around the clock.3. Online marketing is also much more affordable than traditional forms of marketing like TV, Magazine and newspapers – if you focus on achieving high organic rankings it could be free.4. You are in control of how much money you make – the more time and effort you put into marketing your products online, the more money you will make.So how can you make enough money online to achieve financial freedom? Well to start with you can find something that you are passionate about and start blogging about it in your free time and slowly but surely build up your online profile before making a website that sells your products or services and using your blog to drive traffic and improving the keyword rankings of your website.Before you know it you are ranking first on Google for your target keywords and reaping the financial benefits that comes with that. A word of caution however, do not quit your current day job until your online business is strong enough to cover your living expenses, because cashflow is one of the main reasons why start-ups fail – rather keep what you have while you build your online empire.Do not spend the rest of your life working hard just to make others rich – start small and take active steps towards your financial freedom today by making money online off something that you are passionate about.

As predicted, E-commerce has boomed (and is still booming). People buy not just through PCs but through phones and tablets as well. Buyers loved the idea! E-commerce’s market and competition is huge, now how do you keep up and advance?The word is “empathy”-put yourself in your customers’ shoes! Your goods are wonderful, your target market is all credit classes yet your customers are just coming from the mid to upper scales. Say you sell apparel-everyone needs clothing. Come on, you don’t want to be deprived of clothing purchases just because you do not have a credit card or have a low credit limit, do you? NOT EVERYONE HAS/CAN HAVE A CREDIT CARD.That’s where financing comes in. I know, you’ve heard about it. House, auto, cash, etc.-e-commerce financing is different. How do you benefit from it?Not everyone can get a credit card. However, not everyone who owns credit cards pay their credit cards. How do you help the minimum waged guy who’s got a job, good payment records and a guarantor?Easy!#1 Forget you are JUST helping the guy -Look, the guy helps you and your business in return! If you offer a financing payment method for an eBay or Amazon product (which cannot be purchased easily without credit cards), you get a big chunk of the market-those without credit cards.# 2 Know the types of e-commerce financing -Financing is making a product affordable for your customers while earning yourself MORE SALES at HIGHER VALUES. There are two ways you can venture in e-commerce financing:A. Plain Financing – You just find the leads, verify their payment capabilities, and finance no particular product-anything goes.B. Retail Financing – You have particular stuff/service to sell and you offer financing as a payment method.#3 Know your clientele -Now, there are three general categories: (1) Those who’ve got 680-850 credit scores with high credit limits (not your financing target); (2) Those with 600-680 scores, typically with $600-limited credit cards or GE capital (the perfect targets!); and, (3) Those with 300-599 scores, NO credit card (great for lay away programs*)#4 Know your risks as a financier -Financing wouldn’t be around if it isn’t profitable. However, as in any business venture, there are risks you would have to deal with. One of which (but rarely happens) is when a customer screws you upon shipping the product-like, they get it and don’t pay you or get it and opt for a return/exchange. Worry not since you can…#5 Secure Yourself & Your Business-Issue in #4: What if a customer screws you? That is exactly why you charge double or triple the worth of the product you finance-to fill in such gaps expenses. That is not the only way, however, to secure your financing business (whether plain or retail). As a customer shows his interest in being financed, he fills out a form for your evaluation and signs an electronic (since we’re talking e-commerce here)/ e-signing agreement that states your ‘financing terms & conditions’ such as his paying for the restocking fee, etc.Now, there you have it: the basic steps to your e-commerce financing success. Also note that you won’t have to use money from your own pocket to start financing. You can have your financing financed by banks and “middle men” a.k.a. financing firms (whom you’d be liable to) depending on your business situation (number of years, operating costs, turnovers, etc.).—-*Lay away financing program – You offer an installment method for your client where he pays you on a weekly/monthly basis and you keep the product until he has completed the payment. Upon completion, you ship him the item.

Equity finance means the owner, own funds and finance. Usually small scale business such as partnerships and sole proprietorships are operated by their owner trough their own finance. Joint stock companies operate on the basis of equity shares, but their management is different from share holders and investors.Merits of Equity Finance:Following are the merits of equity finance:(i) Permanent in Nature: Equity finance is permanent in nature. There is no need to repay it unless liquidation occur. Shares once sold remain in the market. If any share holder wants to sell those shares he can do so in the stock exchange where company is listed. However, this will not pose any liquidity problem for the company.(ii) Solvency: Equity finance increases the solvency of the business. It also helps in increasing the financial standing. In times of need the share capital can be increased by inviting offers from the general public to subscribe for new shares. This will enable the company to successfully face the financial crisis.(iii) Credit Worthiness: High equity finance increases credit worthiness. A business in which equity finance has high proportion can easily take loan from banks. In contrast to those companies which are under serious debt burden, no longer remain attractive for investors. Higher proportion of equity finance means that less money will be needed for payment of interest on loans and financial expenses, so much of the profit will be distributed among share holders.(iv) No Interest: No interest is paid to any outsider in case of equity finance. This increases the net income of the business which can be used to expand the scale of operations.(v) Motivation: As in equity finance all the profit remain with the owner, so it gives him motivation to work more hard. The sense of inspiration and care is greater in a business which is financed by owner’s own money. This keeps the businessman conscious and active to seek opportunities and earn profit.(vi) No Danger of Insolvency: As there is no borrowed capital so no repayment have to be made in any strict lime schedule. This makes the entrepreneur free from financial worries and there is no danger of insolvency.(vii) Liquidation: In case of winding up or liquidation there is no outsiders charge on the assets of the business. All the assets remain with the owner.(viii) Increasing Capital: Joint Stock companies can increases both the issued and authorized capital after fulfilling certain legal requirements. So in times of need finance can be raised by selling extra shares.(ix) Macro Level Advantages: Equity finance produces many social and macro level advantages. First it reduces the elements of interest in the economy. This makes people Tree of financial worries and panic. Secondly the growth of joint stock companies allows a great number of people to share in its profit without taking active part in its management. Thus people can use their savings to earn monetary rewards over a long time.Demerits of Equity Finance:Following are the demerits of equity finance:(i) Decrease in Working Capital: If majority of funds of business are invested in fixed assets then business may feel shortage of working capital. This problem is common in small scale businesses. The owner has a fixed amount of capital to start with and major proportion of it is consumed by fixed assets. So less is left to meet current expenses of the business. In large scale business, financial mismanagement can also lead to similar problems.(ii) Difficulties in Making Regular Payments: In case of equity finance the businessman may feel problems in making payments of regular and recurring nature. Sales revenues sometimes may fall due to seasonal factors. If sufficient funds are not available then there would be difficulties in meeting short term liabilities.(iii) Higher Taxes: As no interest has to be paid to any outsider so taxable income of the business is greater. This results in higher incidence of taxes. Further there is double taxation in certain cases. In case of joint stock company the whole income is taxed prior to any appropriation. When dividends are paid then they are again taxed from the income of recipients.(iv) Limited Expansion: Due to equity finance the businessman is not able to increase the scale of operations. Expansion of the business needs huge finance for establishing new plant and capturing more markets. Small scales businesses also do not have any professional guidance available to them to extend their market. There is a general tendency that owners try to keep their business in such a limit so that they can keep affective control over it. As business is financed by the owner himself so he is very much obsessed with chances of fraud and embezzlement. These factors hinder the expansion of business.(v) Lack of Research and Development: In a business which is run solely on equity finance, there is lack of research and development. Research activities take a long time and huge finance is needed to reach a new product or design. These research activities are no doubt costly but eventually when their outcome is launched in market, huge revenues are gained. But problem arises that if owner uses his own capital to finance such long term research projects then he will be facing problem in meeting short term liabilities. This factor discourages investment in research projects in a business financed by equity.(vi) Delay in Replacement: Businesses that run on equity finance, face problems at the time of modernization or replacement of the capital equipments when it wears out. The owner tries to use the current equipments as long as possible. Sometimes he may even ignore the deteriorating quality of the production and keeps on running old equipment.