The banker was looking for stability in order to make a commercial loan. The investor was looking for when he would realize his profit by selling his shares. US Business Finance Corp helps entrepreneurs prepare for the banker or investor who is interested in the stability of your company – what are your exigency plans if the “key man” in sales or development moves on or is incapacitated and the investor who is interested in if he can realize a return on his investment if your company is sold.

New business owners caught up in the business planning and building phase find it hard to imagine an exit strategy, much less a need for one. Several exit strategies need to be planned: the exit of the owners or one of the partners and the exit of a key employee. Planning ahead allows steps to be taken that buffers the shock and helps companies transition through that phase when an exit happen unexpectedly.

Entrepreneurs love starting and building companies. Often their exit strategy is built towards creating a saleable asset that another company or investor would want to purchase. The return on the business sale then provides the capital for the next business venture.

For business owners who plan for long-term ownership, the exit strategy would more reflect purchasing “key man” insurance, delegating responsibilities to trusted employees, writing owner “buy-out” clauses into the corporation’s or partnership’s bylaws, and possibly creating a Employee Stock Ownership Plan (ESOP).

In reviewing how to adapt to the departure of key employees, the most successful strategy has been to systematize the business and provide training for newer employees. The biggest problem to filling empty shoes is when employees are allowed to keep company information in private files or in their heads. In systematizing a job, having openness of information to at least the owner or manager is of primary importance. If there is a sense of chaos in one area of your business, look for a way to eliminate it through accountability and responsibility of information storage and sharing. Job security should come through meeting performance goals, not in holding companies hostage by withholding crucial company sales or infrastructure information.

When you do move toward selling, make sure you utilize outside experts to assess a fair market value for your company and consider using a professional business broker to select potential buyers. Your attorney can prepare a confidentiality agreement for use with anyone reviewing your operations and financial records, as well as prepare and sales agreement.

Venture capital poured into the California and the New York regions. The San Francisco area saw a 10% increase in venture capital funding. New York saw the amount of investments more than double from its 2007 level with 52 deals bringing in $602 million. Across the New York state line, New England weathered a lower investment rate, but still ranked as the fourth most active region in the US.

The newer technology area springing up around Washington DC also realized an increase of almost 100% with $241 million invested in 17 venture financing deals.

The Research Triangle area of North Carolina felt the pull-back from investment in life sciences companies with only four investment deals going forward for $19 million. Both the biotech and biopharmaceutical industries showed less investment, some of which can be attributed to the cyclical nature or that industry.

Deals that required late stage financing were also ahead of 2007, possibly signaling a more conservative approach to investment while the economy goes through its recovery from setbacks in the housing markets.

Small businesses looking for venture capital for “clean” industries in the energy, agriculture and specialty chemicals are in a good position to benefit from the strong interest in these areas from the private investment community.

US Business Finance Corp uses its experience in business planning and its connections in the venture capital arena to help small businesses, especially businesses that have an IPO as part of their exit strategy, obtain venture capital financing. Small businesses have depended on US Business Finance Corp for their programs that get them the operating capital they need when they need it and in the way that is best for their companies.

Cash advances are a great alternative business funding program in which US Business Finance Corp specializes. This unique option offers business owners funding that does not need collateral or receivables to cover it. The advance is paid back through future V/MC credit card sales.

You are probably familiar with personal home loans using the owner’s real estate equity as a traditional way to raise capital. The drawback of the personal loan is that if the business fails or goes through a rough patch, the owner’s home is then at risk. Cash advances and other methods of business funding offer protection for the owner’s personal assets, while still providing the necessary operating capital.

For larger capital needs, US Business Finance also helps business owners secure business loans and Small Business Administration (SBA) loans. SBA loans are guaranteed to a certain percentage of the loan by the federal government, so they have a slightly higher interest rate than a standard business loan.

Another loan program business owners can use to build equity in their business is a commercial real estate loan. US Business Finance helps businesses not only apply for a commercial loan, but helps them create a business presentation supporting the application and utilizes their network of lending institutions to give business owners the best possible chance of success landing their commercial mortgage at the best terms.

Accounts receivables and factoring are similar programs that offer business owners a way of collecting business funding at a discount by either pledging their receivables as security, or selling their receivables outright in factoring.

Let the professionals at US Business Finance Corp go over your specific business funding needs and apprise you of how each of these funding options can be used in your business and help evaluate which ones best fit your immediate and long-term needs. US Business Finance is dedicated to helping small businesses achieve financial success by providing them with the best business funding solutions. Contact us for the best service and programs for all your business funding needs.