Thinking of Starting a Business? Selling a Structured Settlement Can Be a Great Way to Get That Initial Capital

March 3, 2016 Finance Tips

Many people constantly look for options which would bring a better life for them and their families. While starting and running a business is not for everyone, it can be a great way to turn a great idea into a profitable venture and earn your living while being your own boss. However, there is always one initial hurdle — raising the starting capital to kick things off in style. For a successful launch of a business, there needs to be a bulk amount of money available to the entrepreneur at the very outset, which can be used to set up the building blocks of a successful business.

This is indeed the hurdle which forces many great ideas to remain ideas and never become successful businesses. If you have a great business idea but are struggling to raise cash to take things off the right way, there is one interesting option you can explore — selling a structured settlement.

It might be a demoralizing scenario where you find yourself with a winning business idea but no cash to start things off. However, if you have just won a structured settlement as the outcome of a lawsuit or lottery, you might be in a better position than you think. While annuity settlements like the Mega Millions pay out a little cash every month for a number of years, you can easily consider selling a structured settlement and get settlement money now. This gets you all your money up front, saves you some money in the way of taxes and fees, and provides you with nice starting capital which you can use to get your fresh business idea off the ground.

Why Selling A Structured Settlement Makes Sense

First and foremost, you need to consider how easy selling your annuity is. There are a number of companies that buy structured settlements and provide cash up front, and all you need to do is find the right people to do business with. The whole process involves very little time, effort or red tape, and it is likely that it will be expedited to get you your money as fast as possible.

Compared with other forms of raising capital like business loans, selling a structured settlement does not put you in debt. Nor does it require you to expose yourself to the usual paraphernalia that comes with applying and qualifying for business loans. It is a clean, smooth process designed to bring your capital to your pocket in as little time as possible.

Another important reason why you might want to get settlement cash now is that you get to save on certain costs that way. Annuity payments are usually subject to income taxes, and the annual fee on an annuity can go up to 3%. These costs can be avoided if you decide to cash in on your settlement and get your money up front.

In short, if you are currently receiving monthly payments from a structured settlement and want to start your business as soon as you possibly can, choosing to sell your structured settlement can be a great way to achieve this. Due to the speed, simplicity and advantages of the process, you can have the capital you need and the peace of mind which often fosters good decision-making — a particularly crucial element when you are just about to start a business.

How Do I Decide Whether or Not to Sell an Annuity?

March 1, 2016 Finance Tips

The task of watching the credit card balances is exhausting. Just as you think that you are reaching a point where you are going to significantly reduce your debt, an unexpected expense comes up and you are again scrambling to find a card that has room for another significant charge.
The fact that over 40% of American families spend more than they earn is an indicator that many of those families may be playing the credit card juggling game. The game that includes months of making progress on overwhelming debt, and then suddenly switching to a single day significant charge for a major home repair or car maintenance fee that can not be avoided.
For families who are trying to break this crippling cycle of debt, selling an annuity is a simple decision. Even for families who are not in financial crisis, the decision to sell an annuity can still be a simple one. Whether you find yourself in the fortunate situation of deciding to sell an annuity because of a company buyout option, an unexpected lottery winning, or as a result of a court settlement case, the decision to take the money up front is often the correct choice.
Selling an Annuity as a Way to Reduce or Eliminate Debt Is a Wise Decision
Ways to reduce debt are often difficult to find. While families can spend months cutting costs and eliminating unnecessary expenses, these same families can be blindsided by an unexpected home repair bill or emergency medical expense. Taking cash for an annuity settlement can be the perfect way to eliminate high interest credit card charges. Once the high interest fees are eliminated, families can move on to a more responsible and accountable budget plan. When you are in the middle of paying costly interest fees, however, the debt recovery process can seem impossible. Consider the overwhelming financial situations of many American families:

20% Americans between the ages of 18 and 24 describe themselves as being in ?debt hardship.?
The average U.S. home has 13 credit card payments.
The average U.S. home is paying a total of $6,658 in interest every single year.
Only 37.4% of credit card holders pay their full balance every month.
As many as 15.9% of credit card holders pay only the minimum balance every month.
American consumers owe a combined $11.91 trillion in debt.

The Decision to Sell an Annuity with Lottery Winnings Is a Step In the Right Direction
Lottery winners do not have a great track record when it comes to the wise use of their winnings. Deciding to take fancy trips and make extravagant automobile purchases, and ignoring large credit card debt, can lead to the complete waste of what should have been a great financial opportunity.
Consider this devastating finding about American consumers who find themselves in debt. The most current research indicates that consumers grossly underreport and underestimate how much debt they have. As of 2013, for example, actual credit card debt that was reported by lenders was 155% greater than borrower-reported balances. Denying debt is dangerous. What starts as simple white lies to a spouse can become significant problems as interest rates continue to increase and multiply.
Lottery winners should face all of the debt that they have and begin by paying off the largest interest loans and charges. If you still have winnings left after you pay down the first debt, move to the next highest interest loan or credit card. Showing restraint and paying down your debt will make a larger impact on your life than buying a new house or taking a dream vacation.
Taking Cash for a Company Buy Out May Provide the Best Results
Even the most financially sound families and individuals may decide to sell an annuity instead of taking monthly payments over an extended period of time. Neither life nor a company’s financial solvency is definite. A person who is healthy today may not be around to receive and enjoy the lengthy payments from a long term scheduled agreement. A company that is offering to buy out its top employers today may find itself in financial crisis in five years.
The decision to take advantage of a cash opportunity is what makes the difference between financial success and financial ruin.

Your Structured Lawsuit Settlement Could be Costing You Thousands The Facts About Taxes

March 1, 2016 Finance Tips

What American consumers don’t know about debt could be costing them thousands every year. Delaying payment or defaulting on student loans, car loans, and mortgage payments could be hurting their credit more than they realize. Recently, studies indicated that American adults are carrying more than $10 trillion in debt. In fact, if 1 trillion one-dollar bills were stacked on top of one another, it would reach over 60,000 miles high, or roughly one-fourth of the way to the moon. Americans owe 10 times more than that in credit and loans, and the amount of our debt continues to grow.

Who has money to save for retirement? Most Americans carry more than $3,500 in credit debt, and some studies estimate that figure to be much higher. About four out of every 10 Americans reports that they spend more than they earn, and they may not realize that making the minimum payments on their credit cards could mean that they are paying double or triple their original debt. Credit cards can be tricky, and once people start using them for cash, to pay bills, or to make car payments, they may find themselves in a position where the only financial solution is to continue using those cards.

In the event of a lawsuit settlement, many people find themselves having to choose between a structured settlement and a lump sum payout. Understandably, they want to avoid the taxes that can come with a lump sum, but what they probably don’t realize is that structured settlement fees and administrative costs could be costing them just as much. For example, if a medical malpractice suit settles for $750,000. If the administrative fee for the structured settlement arrangement is as low as 3% each year, medical malpractice victims could pay more than $20,000 for that service.

Studies repeatedly show that most lawsuit winners — and lottery winners — completely spend their money within five years. Looking for cash for annuity now? You are not alone: $20,000 could pay off credit card debt, pay down a mortgage, or even help start a small business. The startup cost for a small business is usually $30,000 or more; finding cash for annuity now could mean that a new business owner has cash on hand for computer equipment, phone installation, office rental, and down payments for commercial properties.

Getting cash for annuity now is possible, and there are finance companies that specialize in helping lawsuit winners with selling an annuity settlement. Real estate prices are on the rise, but finding that dream home is still a possibility. Not being able to pay the down payment because cash is tied up in a structured settlement? Many Americans see selling fixed annuities and starting a business as the pathway away from a lifestyle of credit card debt, and if cash is invested wisely, they may be absolutely correct.

Identifying Financial Risk Analysis

February 15, 2016 Finance Tips

Key ratio analysis of financial statements

New business owner? Have a great product, terrific sales team, fabulous location–or better yet, a combination of all three? Congratulations!

About 400,000 new businesses start up each year in the United States. And no matter how full of optimism one might be to begin with, the fact is that 25% of new businesses close after the first year, 36% after the second, and so on, with 50% of new businesses lasting only four years.

So why is that? Well, studies show that 30% of those failures can be attributed to lack of managerial experience. This means asset and money management, things like granting credit, borrowing too much, expanding too quickly, investing hastily. Another 11% fail because they don’t understand the line of goods and services: they don’t carry enough inventory, don’t know their suppliers, and can’t live up to what they promise consumers.

But don’t lose hope if you find this could happen to you. You can learn how to manage your current assets carefully; you can improve budgeting and planning and safeguard your assets.

Besides management skills, you can increase your understanding of financial data analysis. It’s crucial to know how to assess your financial information and identify financial risk analysis. Business profitability ratios, financial statement trend analysis, and the interpretation of financial statements are all key to the continued improvement and success of your company.

Sometimes that’s hard to keep up with when you’re also responsible for handling day-to-day tasks in the workplace. Who has time to identify financial risk analysis when customers are calling and orders are waiting to be filled? How can you research financial performance analysis tools or compute profit margin ratio s when you’re busy recruiting someone to answer the phone and fill the orders? It can be hectic, starting a new business!

That’s why it pays to invest in getting some financial advice. There are companies whose job it is to help your company make more money and stay in business. Financial advisors help you understand and interpret your company’s financial data and make sound decisions based on that information. They have budgeting and planning software to share, financial data analysis tips for beginners, and experience identifying financial risk analysis.

Got a Settlement on Your Hands? We Got Answers

January 29, 2016 Finance Tips

When someone receives a settlement, they often have many questions. However, the court system typically does not do a great job of answering these questions and explaining your rights before accepting fixed payments. People want to know: can I sell my structured settlement? Do other people do that? What can I even do with the money to make it last?

These kinds of questions are not only important to know, but they are what a responsible receiver of a settlement asks. They are the step towards securing a financial future for yourself and being well-educations on your rights as a settlement recipient helps you do just that.

Before you receive an influx of cash for annuity now that can potentially change your life for the better, there are a few important details that you should know.

Here are 2 common questions people ask (and should know) about their structured settlements.

Am I able to sell my structured settlement for a lump sum?
Typically, it depends on where you live. In New Hampshire, Wisconsin, and Washington, D.C., there are no Structured Settlement Protection Acts, which means that residents in those states aren’t allowed to sell their structured settlements. However, if you live anywhere else in the country, you have the right to sell your structured settlement for a huge lump sum. Talk about fast cash!

What can I do with the money that I get from the lump sum I receive?
Honestly, this ball is entirely in your court. There’s absolutely no limit when it comes to how you spend your lump sum, and however you choose to spend it can impact your life tremendously. Did you know that almost 76% of Americans are living from paycheck to paycheck? Additionally, the average credit card balance in the United States is almost $7,200. With the fast cash for settlements you receive, you can pay off any and all of your outstanding credit card bills and eliminate debt!

Regardless of what led to the settlement in the first place, settlement recipients are extremely fortunate. What will you do with your cash for annuity now? Let us know in the comments below.

What to Do With Your Structured Settlement Annuity

January 26, 2016 Finance Tips

If you are currently receiving a structured settlement annuity either because you won the lottery, a lawsuit or through a life insurance payout, you need to decide if you want to keep collecting the money monthly or if you would rather get cash for your settlement. There are a number of factors that go into making this decision regardless of whether you received $150,000 from an employer, are getting part of the over $3.5 billion paid out in medical malpractice suits in 2013, or you won $1 million in the lottery.

When you choose an immediate annuity, you can usually get your money is about a month. However, you have to choose the right one in order to offset the amount you will be charged in fees and taxes. For example, if you are under the age of 59 1/2, then your annuity will be charged 10% for early withdrawal. However, if you choose to wait to withdraw the funds, you must begin receiving payments by the time you are 70 1/2.

In addition, annual fees can be anywhere from 2% to 7% on top of the taxes that need to be paid. Taxes are usually between 25% and 35% depending upon your tax bracket, but cannot exceed 35% of the annual income, regardless of the amount of money made. This may be why almost 50% of lottery winners are still working and why nearly 70% of all lottery winners lose their money in five years or less, regardless if the amount of money they won was $500 million or $1 million. One of the best ways to determine what is right for you and your money is to use a special sell structured settlement calculator.

Once you sell your structured settlements, you are free to do whatever you want with the money. You can use it to get out of debt, buy a car or pay off your mortgage. However, if you do not want to spend the money from your structured settlement annuity all at once, there is another option. Another way to keep your structured settlement annuity safe is by turning into a deferred annuity rather than getting the money right away. While these are low risk, you do have to wait for 15 to 20- years in order to withdraw funds. However, the rate of return greatly exceeds other low-risk options. For example, if a 60-year-old man has a $100,000 deferred annuity and waits until he is 85 years old to collect, then he is guaranteed $4,000 a month in income.

What is the Best Way to Receive Lottery Winnings

January 19, 2016 Finance Tips

Winning the lottery is something that most people only dream of happening. Once it becomes reality many may think that all their money problems have disappeared, however that may not be the case. There are still important financial decisions to make once you realize that you have won the lottery.

Winners have the option of choosing how they would like to receive lottery winnings. There are usually two options, a cash lump sum or yearly annuity payments paid out over the course of many years. Three are pros and cons to both options making careful consideration of both options equally important.

Lump Sum Payment
Getting a lump sum payment can be a wise choice for those why are savvy investors or who are financially capable of handling such a large amount of money. Extravagant purchases can be made and large amounts of debt can be paid off by accepting a lump sum payment. On the other hand those who are not financially sound enough could find that they use all the money very quickly with very little to show for it. With the lump sum payment you get all the money at once, therefore when it is gone, it is gone.

Lottery Annuity

Those who choose to receive their lottery payments as an annuity over the course of years usually pay fewer taxes on their winnings. Annual payments cause these individuals to fall into a lower tax bracket that lowers their total taxes paid on their winnings. The term of the payment nets a larger payout amount in the end. These payments however are received annually. This means that there is not a large sum of cash for any financial emergencies or to help cover expenses. There will be another payment once the first payment runs out, however it will not be until a certain date. More than 40% of families in the US admit to spending more money than they earn making it easy to spend annuity payments quickly after getting them. This makes annuities a good choice, especially for those who are well disciplined in their spending habits.

Selling Your Lottery Annuity

The good news is that majority of people who opt for annuity payments to receive lottery winnings have the option to sell some or all of those payments for unexpected finances that might arise. Selling some of your payments allows you to get immediate cash yet still have annual payments later down the road. This provides the best of both worlds. Immediate cash for extravagant purchases, and a steady stream of cash to help meet certain financial responsibilities.

Surveys confirm that playing the lottery is currently the most practiced form of gambling in the United States. Winning the lottery could be the end of all your financial worries. The average adult in the United States owes approximately $3,761 in revolving debt. Spending your money wisely and choosing the best way to receive lottery winnings can be beneficial to reducing or eliminating your current debt and helping you lead a debt free life.

Handling Large Amounts of Cash? Invest in a Cash Recycling Machine

January 17, 2016 Finance Tips

Accuracy and security are perhaps the most important words to banks and businesses dealing with large volumes of cash. In order to account for human error, lengthy procedures are needed, and that takes time and decreases efficiency. A cash management accounting system can take the risk of human error out of the picture, speed up transactions, and allow employees to focus on customer service. Currency counting machines can do all of the tasks normally required of a teller such as counting stacks of bills or loose coins with 100% accuracy and in less time.
What Is A Cash Recycler?
A cash recycling machine can:

sort coins
sort bills
detect counterfeit bills
dispense coins
dispense bills
serve as a safe

How Do I Know If I Need A Cash Management Accounting System?
Any bank or business dealing with large volumes of cash would benefit from having a currency sorting machine. A bank teller must have a minimum amount of cash and coins in the drawer at all times. When more bills or coins are needed, a trip to the vault is required and a process of verifying takes place. Similarly, when the drawer is over the maximum, another vault trip is required. Because it serves as a secure safe, an electronic coin sorter and counter would eliminate these trips and verifications that take valuable time.
Counting bills by hand is time consuming and must be done 2 or 3 times to ensure accuracy. A cash counting machine performs the task with 100% accuracy the first time and at a fraction of the speed. The time saved can be used to improve customer relations. Tellers can answer banking questions or sell other services.
What About Counterfeit Bills?
Counterfeiting is one of the oldest crimes in history, and it takes a carefully trained eye and attention to detail to spot a fake. The cash recycler doubles as a counterfeit detector machine and can spot the fake immediately, saving the company both time and money.
What About Security?
In addition to the cash recycler machine serving as a secure safe, security is also improved by limiting the time cash is exposed. Because all the counting is done inside the machine, cash spends significantly less time at the teller’s window.
What About Reliability And Service Of The Machine?
Companies servicing these cash management accounting machines understand how vital they are to a business or bank. For this reason, a variety of support contracts are available. On-site service support generally includes phone support, parts, travel and labour required to repair and restore equipment to its optimum operating condition. Scheduled preventative maintenance visits are are also included in an on-site contract. Other types of contracts might include loaner replacement equipment available with quick turnaround to fill an immediate need.

Easy Settlement Payout Options

January 16, 2016 Finance Tips

Have you recently received a large settlement and not sure where to start or how to get your money? Do you want your money right away and all at once instead of waiting a long period of time and then getting payments in installments? If so, you should think about getting an annuity payout and you can start by getting a quote for your annuity payments.

What is an Annuity Payment?

An annuity payment is one of your best options to access your settlement cash fast. It is one of the fastest cash advances where you get a check for your settlement amount and can cash it right away for the full amount instead of having to wait for your money or have it disbursed to you in increments. There is nothing to payback, and once you have the money, you don’t have to worry about any other paperwork or issues that could come up, like with other disbursement processes.

65% of Americans prefer the lump sum payment to other payout methods because it gives them not only the money right away, but opportunity to advance their lives in so many different ways. By getting a quote for your annuity payments you can start to see some of the possibilities that you may have. Here are just some of the things getting a lump sum payout can do for you:

Pay off debt immediately. This can be auto debt, student loan debt, credit card debit, or any other kind of debt.
Buy a house. With the housing market back in tact, investing in a home is not only a smart decision, but can also be a great opportunity for your family.
Splurge on a trip and go see the world. With cruise costs at an average to low rate, airline tickets becoming more affordable, and hotel deals around every corner, you can go on an amazing trip and still have money left over.
Investing is always an option. You may have a large sum now, but if you invest it, in a few years it could be an even larger amount.
You can do a combination of all of the above; pay off some debt, invest in something, and still buy a luxury item for yourself.

Getting one lump sum will give your access to do all of those things. When you get your money over a period of time it does become harder to do any of those things all at once, or sooner rather than later. To get started, and to feel out your options, get a quote for your annuity payments now and see how much that one time fast and easy payout can change your life.

The Top Reasons To Invest in Commercial Real Estate

January 7, 2016 Finance Tips

Investing in commercial real estate can be a great choice for anyone who’s looking for a lucrative and interesting way to invest extra capital. Of course, there are always some risks involved, and these risks may lead to some hesitation among potential investors. If you’re still deciding whether or not the commercial real estate financing industry is right for you, here are a few positive results associated with commercial real estate investing:

The publicity of being a real estate developer and/or investor is one reason for many people to enter the industry. This publicity is all about building up your professional reputation; you can become a prominent member of your community and donate your time/money to worthy causes, while also furthering your professional reputation in other industries outside of commercial real estate.
Flexibility is one main reason why commercial property investments are often chosen over residential properties. Instead of managing dozens (or even hundreds) of tenants and having to be on call virtually 24 hours a day, as a commercial property owner, you only have to manage a handful of tenants and can keep fairly normal business hours. The flexibility and convenience is a huge benefit if you have a another career.
And of course, because you’re investing your money, you’ll also want to make sure that you’re actually seeing a return on your investment. With commercial properties, there’s a good chance that you’ll see a very impressive return on investment, especially if you continuously improve your properties and bring in successful tenants.

Best of all, you don’t have to be a real estate expert in order to reap the benefits of being an investor. Working with a real estate development company or commercial real estate investment company is a great way to get expert advice when you need it, while still managing and building up your own professional career! Find more.