Financial Planning Process Steps

Whenever we start a new venture, the first thing that we invariably do is planning. And when it comes to finance and business, needless to say, planning becomes an indispensable activity. So what is financial planning? Financial planning can be termed as a process in which financial needs are assessed first, objectives to achieve monetary goals are set (which include investments) and assets and resources are evaluated and ways to increase them are devised. Why is financial planning important? Of course! This is important! This activity not only allows the person to learn about planning his finances but also helps him understand the importance of cash flows and investments that come handy in the most unexpected situations. How is financial planning done? Yes, this is what this article is all about: the financial planning process steps! Keep reading.

Steps in Financial Planning

Financial planning is an integral part of financial management. This activity requires a lot of study and research, before one goes about drawing a plan and implementing it. Not to miss an important point on this subject, risk assessment is an integral part of any planning. So let's understand the key financial planning process steps. Below are the key steps to consider in your financial planning process.

Identifying Financial Needs
The primary responsibility in the financial planning is conducting a need analysis. An investor has a number of needs of which he needs to prioritize the important ones and plan accordingly. The important goals which are preset are, education of children, down payment of a house, health requirements, life insurance and retirement. Following these needs are the means to increase the wealth in terms of cash and property. Also a person needs to have concrete answers for the following questionnaire:

    What are your investment goals?
    How much money do you have for investments?
    Do you invest in stocks, bonds and mutual funds?
    Are your financial needs short term or are you headed for long term financial planning?
    What benefits are expected from your investments?

Gathering Financial Data
Now that you have identified the financial needs, the second step should be to consolidate your financial planning worksheet to understand your cash flow, investments and liabilities. This can consume a day to week's time depending on your needs. Take the help of a financial planner who would help you out with this marathon. The documents needed for this process would include:

    Assets, Liabilities, tax deductions and tax returns
    Balance sheets
    Income and expenditure statements
    Employee benefit plan booklets
    Retirement planning documents
    Wills and trusts
    Insurance policies
    Investment statements
    Brokerage house statements
    Bank statements

Besides, the planner will also require some more data like:

    What is your retirement age?
    What income is anticipated post retirement?
    How would you want your property to be distributed?
    What is the current economy state and where is it headed towards?
    How much inflation can occur in near future?

The planner will also make a risk tolerance assessment of your personal attitude (aggressive, moderate or conservative) towards financial affairs and at the end of the data gathering process, he is bound to get a hang of what is your current financial state and what it will be or can be in near future.

Developing the Financial Plan
Here starts the actual work of your financial planner who has to devise effective means of developing a fool proof financial planning process. Steps to develop the financial plan start with the following:

    Documenting your plan to fulfill protection, health and retirement. Also wealth creation and preservation requirements are included.
    Explaining to you about the pros and cons of every rationale included in the plan (keeping in mind the risk appetite of the investor: you).
    Understanding the tax laws and the financial operative framework of the system.

Presenting the Financial Plan
Once the financial plan is well documented, your financial planner will proofread it and present it to you. In the first round of presentation, you have to study the documentation thoroughly, with your spouse. Take your time, and if you have doubts, jot them down in a list and pass them on to your planner. He will give you clear answers for all the doubts raised and then once you have agreed, the planner will make an implementation checklist. So the next mode of the financial planning is implementing the well documented financial plan into action.

Implementing the Financial Plan
This is a pivotal phase of the financial planning process steps. And also this period takes longer time (approx. 4-6 months) than the previous stages of the financial planning. During this phase, intricate details like tax planning, retirement planning, insurance concerns and estate/property planning are discussed thoroughly. To get a clearance on certain issues, attorneys may be involved for guiding and helping out with certain queries. Quite possible, that at the end of the implementation, your financial plan may have more than 20 recommendations (of which some may be major and strategic). So, it depends on you and your planner as to how you want these recommendations to be incorporated. But yes, your financial plan is now ready!

Monitoring the Financial Plan
Once the plan is on roll, it does not mean that the financial planner is required no more. He has to be retained to provide you with periodic updates on portfolio reviews, insurance updates, investment options, tax planning sessions and changing market conditions. Besides, you need to keep your ears open to the planner's alerts on risks that can possibly crop up due to fluctuating economical conditions.

Hope this article on financial planning process steps was informative! So now, you might have understood the importance of financial planning and also you must have understood personal financial planning process steps! One could say, if the planning is complete, your job is halfway done! So, prepare your financial plans meticulously and reap the financial benefits. After all, every penny invested is every penny earned!

Small Business Grants for Veterans

The Obama administration recently passed the American Recovery and Reinvestment Act (ARRA) of 2009 which set aside 787 billion dollars to revitalize the ailing economy. Out of the 787 billion dollars 275 billion dollars have been earmarked as federal government grants. You can avail small business grants for veterans from this sum if you meet the strict eligibility criteria. Financial assistance received through government grants is the best way to fund a business as the money need not be repaid.

The government grants are mostly given to non profit organizations and institutes working towards the betterment of society. The government also provides financial aid to business dealing with renewable energy and energy efficiency solution providers. The Obama government has even set up a task force on veterans small business development to support veterans run and start their businesses.

Small Business Assistance for Veterans

If you are looking for small business grants for veterans then one of the things you could do is talk to the officer with the Small Business Administration (SBA). The SBA has set up the Office of Veterans Business Development and you can check out the location of an office near you on the SBA website. The SBA is also the right place to check for small business grants for disabled veterans and small business grants for women.

Another resource for checking small business government grants for veterans is the Catalog of Federal Domestic Assistant (CFDA) website. The website has free details of over two thousand federal assistance programs. The website also has a help desk number which you can call for assistance regarding government small business grants and loans.

The local chapter of the Chamber of Commerce is also a good start if you are looking for small business loans and grants for veterans. They have several funding opportunities and if you fit the eligibility criteria you could qualify for a grant and if not you could check their list of available loan opportunities. They have specific grants like small business grants for minorities and women which you could apply for.

If you have seen advertisements that offer small business financing for veterans for a small fee, stay away as most of the information they offer is available free on the government grants website. If you have identified the grant which best qualifies you from the CFDA website, you can use the CFDA number to apply for that particular grant on the governments grant website.

There are several new funding opportunities under the American Recovery and Reinvestment Act of 2009 (ARRA) which a veteran can take advantage of. The details for these new opportunities is made available by the administration on its government recovery website. The 275 billion dollars worth of grants are set to be made available over a period of ten years with most of them being given out in the first three years.

Another resource for small business loans for veterans are the non profit organizations (NPOs). There are many NPOs who work for the betterment of veterans and their families. The Internet is the best resource for finding an organization which will accommodate your needs. Try organizations like 'Rotary' as they have lot of community development programs under which they could provide financial help for veterans.

The US Department of Commerce has a Minority Business Development Agency (MBDA) which is another place for you to check for small business grants for veterans from the minority community. It is advisable to invest some time in researching for grants as the financial reward is well worth the effort.

Money Management Skills for Kids

Parents wish to empower their children, so that the latter can take life head-on when the time comes. Providing them with the knowledge and the skills to deal with challenging situations responsibly is a crucial part of any upbringing process. Most schools and activity groups do not teach your child important management skills, as their interest in your child can never match up to yours. Learning the importance of money and having the ability to manage it, are skills that are acquired at a very young age. Teaching your child how to value money and to manage within the means, can help your child in a lot of ways in the years to come.

Money Management Tips for Kids

Allowance
Today, the teen years begin at 10, making it the new 13. Over exposure to the fast changing world has changed demands of the kids as well. With expensive demands as such as gadgets and other fancy items, making them earn it is an excellent way of making them value money. Giving your child a fixed allowance every month and paying them incentives for doing a few household chores, will help them understand that resources are always limited. Teach them to save up this money buy what they want. If the item is very expensive, then you chip in half the amount or so, if your child is able to save half for a certain period of time.

Monthly Budgets
Buying stationary is the biggest expense that kids have all through their academic year. Sit down with your child and make a budget for the things that he / she wants for the month. Books, games and other miscellaneous items, that are usually on your child's shopping list should be managed within a budget. Making such budgets will teach your child how to prioritize demands as well. Allocation of resources and comprehension of your own financial situation is brought out through the activity of making budgets. It is also a way of learning to let go of some demands, to satisfy a few others which are more important.

Expense Checkbook
Maintaining an expense checkbook is one of the most important money management skills for kids. It is extremely important that you teach your child how to maintain an account for the money, besides how to spend it. A record of expenses will give you child a guideline as to where and how the money is being spent. Knowing how much you have and how much is spent, helps you value the limited amount of money better. Of course, there will be times when your child will overspend and ask you for a little more money. Do not be too hard on your child. Allow a credit limit that your child will be able to pay back through his or her allowance.

Saving Plan
These are not saving plans for college or the next academic year, but say for an activity in the summer vacation. Budgeting will show your child how much part of the allowance is supposed to be spent, and how of it is supposed to be saved. You can make a few additions to this amount by giving your child monetary rewards if he / she performs well at school or helps out at home.

In a nutshell, money management skills for kids are about making the right choices, in order to reconcile the demands with limited resources. Besides money management, these tips will help your child to be more independent, understand the importance of prioritizing, self control, and being practical. Starting early will give you an edge over other parents, as younger minds are easier to mold.

How to Raise Money for a Business

Anyone looking to start a company or business venture of their own, needs to know how to raise money for a business. The capital is one of the first things that need to be taken into consideration when one is setting out on a business venture, and there are many different sources to obtain this capital. It is not necessary to stick to one particular source rigidly, even a combination of various different sources can be made use of.

Anyone who is wondering how to raise money for a restaurant, a small business, an advertising agency or any other small-scale venture should keep these methods in mind. Approaching the right people for the money is vitally important for the success of the business, and if this is not catered to properly, the business will be doomed from the very beginning.

Personal Savings
This is the most obvious source of money for starting a business. If you have saved up enough money over the years, go ahead and make use of it for your business. You will not be answerable to anyone, and you will not have to worry about repaying someone. If you choose this option, ensure that you are not using all your savings though. Many people neglect this option of how to raise money for a business because if they lose the money, they will have nothing left to live on.

Venture Capitalists
This is the next most obvious source for your potential business. Venture capitalists are professional agencies who put in money, or venture capital, into an upcoming business. What they get in return is either a share of the business, or a share of the profits, or pretty high interest rates. It may sound like exploitation, but this is one of the best ways to get money. Venture capitalists are always looking for new and innovative business ideas that are likely to succeed.

Angel Investors
These are a refined form of venture capitalists, but many people think they mean the same thing. Angel investors are less demanding than venture capitalists, and are with your business in the long run. Usually, they are someone who you would know personally, and they are simply looking for ways to get a higher return on their investment. How companies raise money depends a lot on the nature of the business, and the method of entrepreneurship adopted. Angel investors also help out the business by providing some guidance and mentoring.

Personal Borrowings
Here is a method on how to raise money for a business that should be avoided as far as possible. You can borrow money from someone you know, namely your friends, family or other people. The problem here is that once you mix business and personal relationships, things start to get a bit sour. This is a situation that needs to be handled with great tact and diplomacy, and not everyone can manage to do that. Still, this is a method that many people opt for.

Bank Loans
Another answer to how to raise money for a small business, is to approach a bank for a small business loan. With banks you will not be required to pay a very high interest rate, but you will need sufficient documentation about the business model of your business. Along with that, your credit history and financial stability will also be scrutinized, to see if you are worthy of getting the loan. Most people would love to get a bank loan, but are simply not eligible. This is especially true for someone who is wondering how to raise money to start a business without owning any fixed assets.

Advertising
Here is another answer, but one that requires a suitable amount of investment, and more than a fair share of patience. If you can handle the advertising of your upcoming company well, you can get more than enough money to sustain it in the long run. There are some websites that also let you advertise your business plan, and then suit you up with a matching investor. This is a slightly unreliable method for sure, but it works wonders if one can find the right match. People wondering how to raise money for a marketing campaign, can use the methods already mentioned above.

Other Options
Here are some other answers to the question 'How to raise money for a business'. One can approach some small business investment companies, some business development commissions, some life insurance companies or a money broker as well. The reliability of these other options will not be very high, and their demands may be exorbitant, but if you have run out of all other options, then this is something that you will need to resort to.

You should move as soon as possible in order to get as much capital and business financing as you can. There are a variety of sources available to you, and as long as you have a great and reliable business plan, you will be able to procure capital. It is not all that difficult to learn how to raise money for a business, but all you need, more than anything else, is the faith and belief in yourself.

Business Etiquette Tips

Business has ceased to be a simple affair. It is not merely limited to the making and breaking of a trade or a deal anymore like it used to be in the earlier times. It has gone way beyond that. Along with the basics of trade, it now includes the whole nine yards - How you talk, walk, present yourself, what you wear, what to speak, how to speak, even to the point of how you eat. All these factors will have an impact on your business. In fact they could very well be the deciding factors of whether you get a deal or lose it. The basics of business etiquette have come to play and stay on. And if surviving in this competitive world is important to you, you need to know the basics of this practice and what it involves.

Business etiquette teaches you a set of ways on how to behave and how to present yourself. This not only helps with your business, but also helps in preparing you to cope with trying situations and preventing your crumbling under pressure. In this following article we will give you certain important business etiquette tips that will help you create a strong foothold in the business world and charm your way through deals, backed with your skills.

Basic Business Etiquette Tips

Many times, business deals fall through because of an action that might have been unintentional, but which was perceived as a breach of the expected or proper behavior. Which is what we look to prevent by understanding the basics of these rules. In this following section we will concentrate on the important rules of proper business etiquette that need to be followed and will give you the basics of how to make these work in different scenarios.

The Co-workers and your Boss

With so many people working around you, you have to understand one thing - these are the elements you need to care for. Never underestimate, bad mouth or insult anyone. Be respectful and courteous and ready to apologize for any mistake that you make. Be diplomatic where required and try not to let personal biases influence your decisions. Be respectful of your boss and make sure that you always inform him/her of any changes in your project. Never surprise your boss.

Be Social and Polite

This one goes without saying, but it is an important factor that needs to be reiterated at all times. You don't have to make friends with people and invite them over for drinks, but building a cordial relation goes a long way in the business world. Make it a point to interact and ask about them and their families. Greet people and talk with people who you share your working space with. Also, develop a firm handshake. A firm handshake goes a long way. This is one of the most important office etiquette tip to follow.

The Attire and Language

Make sure that you adhere to the rules of dressing according to the norms set at your workplace. One must dress keeping in mind the position, the work manner and the work culture that is present. The way in which you dress will work towards building an image of you and thereby your workplace, which matters in the business world. As far as the language is concerned, never ever swear or use such language that is considered crass. For the world to view you as professionals, you need to ensure that you use formal language that does not insult or cross the territory into being too personal.

Time as a Factor

Always be on time, never late. In case it's a meeting or a conference, be sure to be there 5 minutes early. Being tardy and late, makes for a very bad impression and can affect the image that colleagues and bosses might have of you.

Cell Phone Usage

In a professional setup, the usage of cell phones should be strictly monitored. The phone should be on the silent mode so that the noise does not disturb others. Do not take calls at your desk, make use of the area that has been provided for the same. Never receive calls when you're in the company of others. This is considered extremely rude behavior and an insult to the person in front of you because you aren't giving them the full attention they deserve.

Of Emails and Calls

There are certain rules that need to be followed as far as emails and calls are concerned. Make sure that you answer all the mails and call back with the answers. Return the calls with answers or information about who might have them. When calling someone else for information, identify yourself and be clear and concise. Leave the important details with them so that they can call you back. Always be courteous and polite when you answer the phone.

As far as mails are concerned, keep the mails as clear and short as possible. Answer the question in clarity and do not use references that will confuse the reader.

Meetings and Behavior

Meetings are an important part of any professional organization. Make sure that you arrive on time, have everything in order and are fully prepared for what is to follow. The objective of the meeting and the plan of action has to be duly discussed and provided for.

These are some of the basic business etiquette tips that need to be inculcated in your professional life. Following these with sincerity will help in making you a true professional, capable of handling any situation perfectly.

How to Make a Business Introduction

A business organization is made up of several different parties, and it is essential for all these parties to interact with each other on a recurring basis. As a result of this, it is necessary for all of these various parties to know each other well, and get introduced as and when the time arises. The various parties that are involved in this continuous process are employers and employees from a business organization, the suppliers and vendors of this organization, the clients and customers of this organization, and people from other business organizations that are in synergy or close contact with this particular company as well.

Each different scenario will require different people to interact with each other, and hence they will all need to be introduced to one another at some point in time. There are many rules and guidelines that need to be adhered to when these introductions are being made, and the manner in which these introductions are made will determine the nature of the relationship between the different parties. For instance, introducing two prospective clients to each other will be a very different process as compared to introducing an individual's secretary to another person in the organization.

Rules for Making Business Introductions

As a result of these differences, it is impossible to state how each business introduction must take place. There are also instances when an individual from an organization will be making a presentation to a large gathering, and in this scenario, he will need to introduce himself and his business to everyone that is present there at that moment. In certain other cases, one party may have to write a business introduction letter to another party, and in this letter / email, he will have to introduce his business in the right manner as well. Here are some general rules that should be followed while making all of these different business introductions.

    One should always start by stating the name of the organization first and then giving a brief insight into the history of the company.

    If the company has recently won a prestigious award or title, that fact should be stated as well.

    One should not delve too much into the financials of the company, but a small piece of information about a healthy financial state may prove beneficial.

    The major sectors where the company functions must also be mentioned.

    The primary focus is to inform the people gathered what the company does and how well it is doing it, and the person making the introduction should provide basic details about the same.

    Lastly, all the people who are gathered must be thanked for their presence and they should be reassured that their relationship with the company will be fruitful.

These tips on how to make a business introduction will come in handy when the business is being introduced to a single person, or to a group of people. Another instance when business introductions and effective business communication comes into play, is when two people are being introduced to each other. Here are some general rules and guidelines to follow in such a scenario.

    The name and the title of each individual is first made known to each other.

    Then further information is exchanged about both the business organizations and the relationship that they share.

    Subsequently, the purpose of the introduction is revealed, and the mutual benefits that both the parties will receive with this interaction, are then stressed upon.

    This introduction must be simple and brief, and delving into unnecessary details should be avoided.

    Both the parties should then be allowed to strike a conversation and take it from there, and the person who made the introduction should only speak when spoken to.

In cases when a business letter is being transcribed, certain other things also come into the picture. This business introduction letter sample will give you a better idea about this scenario. Effective written business communication is an art that is picked up over time and with experience, since there are many subtle things that the writer needs to pay attention to. At the end of the day, successful business introductions are the first step towards fostering positive business relationships, and this is something that needs to be paid close attention to.

Integrated Entrepreneurship Education In All Subjects

What is meant by entrepreneurship education integrated in the learning process is penginternalisasian entrepreneurial values ​​into learning so that the results gained awareness of the importance of values​​, character formation and habituation entrepreneur entrepreneurial values ​​into the behavior of everyday learners through the learning process which takes place both inside and outside the classroom in all subjects. Basically learning activities, in addition to making the students master the competencies (material) is targeted, well designed and conducted to make students recognize, realize / care, and internalize the values ​​of entrepreneurship and making behavior. This step is done by integrating the values ​​of entrepreneurship into the learning in all subjects at school. This integration step can be done at the time of delivering the material, through a method of learning as well as through the scoring system.

In integrating the values ​​of entrepreneurship there are many values ​​that can be implanted on the learner. If all the values ​​of entrepreneurship should be inculcated with the same intensity in all subjects, then the investment value becomes very heavy. Therefore, the values ​​of entrepreneurship planting is done in stages by selecting a number of our core values ​​as a base of departure for the cultivation of other values​​. Furthermore, core values ​​are integrated in all subjects. Thus each subject focuses on the cultivation of certain core values ​​that most closely to the characteristics of the subjects concerned. Entrepreneurial core values ​​are integrated into all subjects at the first step there are 6 (six) the principal amount that is: independent, creative risk-taking, leadership, action-oriented and hard work.

The integration of entrepreneurship education in the subjects carried out starting from the planning, implementation, and evaluation of learning in all subjects. At the planning stage, the syllabus and lesson plans designed to facilitate the learning content and activities to integrate the values ​​of entrepreneurship. How to prepare a syllabus which integrated the values ​​of entrepreneurship carried out by adapting the existing syllabus by adding one column in the syllabus to accommodate the values ​​of entrepreneurship that will be integrated. As for how to prepare lesson plans that integrate with the values ​​of entrepreneurship carried out by adapting the existing RPP by adding arrows material, measures of learning or assessment with the values ​​of entrepreneurship.

Learning principles used in the development of entrepreneurship education effort so that learners know and accept the values ​​of entrepreneurship as their own and are responsible for the decisions taken through the stages of familiar options, assess options, determine the establishment, and then make a value corresponding with confidence. with this principle, learners learn through the process of thinking, acting, and acting. The third process is intended to develop the learners ability to carry out activities related to the values ​​of entrepreneurship.

Integrating the values ​​of entrepreneurship in the syllabus and lesson plans can be done through the following steps:

     - Assess SK and KD to determine whether the values ​​of entrepreneurship have been included therein.
     * To embody the values ​​of entrepreneurship that have been listed in the syllabus into SKdan KD.
     - Developing a learning step that allows learners active learners have the opportunity to show the integration of values ​​and behavior.
     - Including step of active learning that integrates the values ​​of entrepreneurship into the RPP.