Posts By Derek Carpenter
Go-ahead for big Ballymore Docklands Scheme
London Thames Gateway Development Corporation has given developer Ballymore the thumbs up to build 1,700 homes on a former factory site next to Canning Town station.
The 12-acre Leamouth Peninsular site opposite the Greenwich O2 Centre will be built in stages with new homes and offices contained in 13 buildings ranging from three to 27 storeys in height.
Irish property developer Ballymore was badly hit by the Irish economic crisis, but chairman Sean Mulryan said he was confident financial pressures would not threaten the Leamouth project.
He said: “Now that we have got the green light, we will be cracking on immediately and expect to be marketing this site in the autumn.”
The site was formerly occupied by the Pura Foods oil processing plant, which relocated to a new facility in Essex in 2005. The previous buildings have now been demolished and the site cleared.
Tower Hamlets Council previously rejected the developer’s plans because of concerns over inaccessibilty and financing.
Ballymore will now build a new footbridge linking the peninsula with Canning Town station.
Phase one, at the southern end of the site, will include 537 homes, 54,000 sq ft of offices, an art gallery, shops and community facilities, and 275 parking spaces.
Phase two will include up to 1,169 homes, 25,000 sq ft of business space, more shops, and a school.
Completion of the project is expected to take five years.
Baldry named chair of London & Continental Railways
The former chair of the London Thames Gateway Development Corporation has been appointed the chair of government-owned property company London & Continental Railways.
Lorraine Baldry’s appointment as chair of LCR, which owns a range of property interests along the route of High Speed 1, will be for a term of three years.
Baldry is chair of consultancy Inventa Partners, chair of Tri-Air Developments, a board member of the Olympic Delivery Authority, a governer of the University of the Arts London, a senior independent director at DTZ Holdings and a former chair of the LTGDC.
Baldry said: “With its land interests including King’s Cross Central and the International Quarter Stratford City, and track record in regeneration linked with High Speed 1, LCR is already one of the UK’s most exciting property companies.
“I am thrilled to become chairman as LCR enters a new phase of its life.”
All points Eastwards
From Havering in the East to Hillingdon in the West, from the North’s Barnett and Enfield boroughs, to the Southern boroughs of Sutton, Croydon and Bromley, and those in between – Merton, Greenwich, Ealing, Hounslow, Waltham Forest, Bexley, to name but a few, the vast conurbation of Greater London covers a lot of territory.
Some of it borders the more central boroughs, gradually shifting from inner to outer to greater London, but it is a varied mix of urban, old industrial and leafy suburb that presents a challenging mix of housing and regeneration issues. However, the East dominates the regeneration landscape, figuratively and quite literally, as this former industrial powerhouse is transformed.
For obvious reasons, the Olympics dominate attention and for those boroughs at the heart of this redevelopment it is a chance of a lifetime. Certainly, the borough of Newham intends to use the Games to the full.
“Newham is at the heart of London’s future,” declares the council’s Economic Development Strategy, published in October last year. “More jobs are likely to be created in the borough over the next two decades than anywhere else in London. Investment in Newham’s Arc of Opportunity from the Olympic Park and Stratford Metropolitan Centre in the North to the Royal Docks in the South will create a new part of London, and transform the borough’s economy and the life chances of its residents… The 2012 Olympic and Paralympic Games are the catalysts for this transformation.”
There’s nothing quite like optimism, especially in this day and age of austerity and ‘social downsizing’ of the public sector in terms of funding and jobs, with its knock-on effects for the wider economy, but in seeking to use the Olympics to its own advantage, Newham – not to mention the other boroughs in the Games’ zone – must also navigate the most challenging aspect of all: to avoid becoming steamrollered by the huge international juggernaut that is the Olympic Games. Legacies, we have been assured since day one, are all part and parcel of the process – the host boroughs shall not be left behind – however, that is apparently not all as cut and dried as smooth assurances suggest.
What follows the Games in terms of a positive legacy remains unclear, as a recent National Audit Office (NAO) report indicated. For all the promise, there is the risk that the region may find itself host to a number of white elephants once the pomp, ceremony and sporting action is over.
Despite the progress made, the NAO highlighted that “while the Government Olympic Executive is accountable for the success of the legacy and has set out the four strands of its work, it has not yet estimated the net benefits it expects to accrue to the UK which can be directly attributed to the G ames”.
Amyas Morse, the NAO’s head, added: “The final cost of the Games to the taxpayer is inherently uncertain and as the Games near there will be less flexibility to make savings in response to any unforeseen financial pressure.”
This isn’t exactly music to the ears of London’s Council Tax payers (freeze or no freeze) who will be picking up some of the tab for the Games for years to come, still less for those living and working in the Games’ development epicentre. In the wake of the NAO ’s report, it’s not so much a case of Bow Bells ringing for a new generation of Eastenders, but for the elected Mayor of Newham, Sir Robin Wales a case of alarm bells.
“If this Government fails to plan for a meaningful legacy then the Games will be nothing but a vanity parade – and that would be a disaster given the amount of public money already ploughed into staging the Olympics,” said Sir Robin.
“The [Olympic Park Legacy Company (OPLC)] has been doing great work but it is evident from the report that the Government Olympic Executive now needs to get a grip on just how important the legacy is for East Londoners. W hile the report reminds us of the key promises, there’s no acknowledgement of the fact that the host boroughs were on the receiving end of some of the largest cuts to local authorities in the country.
“Along with the other host boroughs, we’re at the forefront of delivering a legacy for our residents in terms of jobs, housing and health benefits from increased sports activity. However, Newham, Hackney and Tower Hamlets all received the maximum cut imposed by the Department for Communities & Local Government. This endangers our ability to contribute to providing legacy for our residents. Combined with the Government’s lack of legacy planning and the fact that the Games are [so near] alarm bells should be ringing.”
Yet the prize is surely a worthy one, if the promise can be made into somekind of reality. The Eastern swathes of London’s vast urban sprawl are considered to have considerable potential to drive forward the UK ’s economic growth – providing regeneration is carried through successfully.
In December last year, a study by Oxford Economics suggested a fully regenerated East London could contribute a staggering £21 billion a year to London’s economic wealth. The East already accounts for around 15 per cent of the capital’s Gross Value Added (GVA), the organisation said.
London has consistently outperformed the national average since 1990 in terms of economic performance and job creation. In this timeframe, it has created 940,000 jobs, with East London steadily taking on a rising share. Indeed, according to Oxford Economics, between 2000-2008, it was accounting for a quarter of all the new jobs created. Looking ahead, the organisation claims the region has the potential to create an extra 180,000 jobs over the next 25 years.
Peter Andrews, chief executive of the London Thames Gateway Development Corporation (LTGDC) said: “Nowhere in London is there such an extraordinary package of development or the scale of both opportunity and land to accommodate significant growth. For London to remain a competitive world-class city it’s going to be reliant on East London for a significant proportion of its jobs and housing growth.”
If Newham is at the epicentre of the Olympic regeneration, Barking & Dagenham lies at the heart of the Thames Gateway. This is a huge and longstanding programme of regeneration and urban renewal that is said to be the largest regeneration area in Europe, while the Barking Riverside development, which effectively creates a new town out of the ruins of bygone industrial land, is said to be the single biggest brownfield redevelopment in the UK.
Not as glamorous as the Olympics projects, perhaps, but the Thames Gateway schemes inevitably overlap with the Games programme since they share some of their turf, such as the Lower Lea Valley, where the Olympic Park construction is underway.
The full extent of the Thames Gateway stretches some 40 miles along the Thames estuary, from London’s Docklands to Southend in Essex and Sheerness in Kent. The overall scheme is vast, and the vision aims for over 160,000 new homes, the revitalisation of existing town centres and transport links, parklands, and commercial buildings to create a major extension of the capital. For Barking & Dagenham, it represents the biggest transformation of the borough since industrialisation swept it up into the urban embrace.
Though Greater London’s ‘centre of gravity’ may have been pulled Eastwards by the scale of the Olympics and the gargantuan Thames Gateway regeneration, not every Eastern borough stands to gain quite so much from these major-league regeneration schemes, nor is the Eastern flanks of the conurbation the be-all-andend- all of Greater London. W hat about the rest of the city’s outlying boroughs?
Well, last month the Mayor of London Boris Johnson announced the £50 million Outer London Fund intended to specifically help with the revitalisation of town centres in the boroughs that won’t directly benefit from the 2012 Games.
“This fund is a vital shot in the arm for our town centres and just the help needed to get new projects off the ground that wouldn’t otherwise happen,” said London Mayor Boris Johnson. “I am delighted that after months of hard negotiations we have secured a significant pot of money to help projects really motor and we now have the means to nurture developments, increase work and leisure opportunities and make futures bright.
“It is vital we address the historic neglect of the outer boroughs that preceded this mayoralty and this is one of the ways we can start delivering growth. What we know through the work we have already done with the Outer London Commission is that one of the greatest economic assets provided by the outer boroughs is the quality of life afforded to residents.
“We are talking about the places people call home – the communities they care about, the commercial centres where they shop, where their kids play, where they meet friends or spend time with their families. These places are the very beating heart of communities and also offer great economic wealth that needs to be fully tapped into.”
Set against the billions pumped in to the Lower Lea Valley or the Thames Gateway region, that 50 million quid for the outlying boroughs might seem like small change, but it is a question of scale, of course, and the money was welcomed by those speaking on the boroughs’ behalf.
“Outer London offers not only a tremendous quality of life, but has major interests and businesses of its own,” said Councillor Teresa O ’Neill, leader of Bexley Council, and an advisor to the Outer London Commission. “Its success is vital to the economy of London and to the nation as a whole. This money will make a significant difference in making sure that outer London plays a full part in the capital’s continued success.”
The welcome for the funding extends Westwards too, with Merton’s Assembly Member Richard Tracey, who said: “I’m delighted that Boris is continuing to invest in outer London town centres and making sure that all Londoners benefit from his Mayoralty. The regeneration of local centres is vital to maintaining and improving the quality of life of people who live and work in Merton. Outer London provides two fifths of all the jobs in the capital, so it is very important that it is supported so that new opportunities can be created for local people.”
Marsh Wall East Masterplan
With its good transport links and location next to Canary Wharf, this part of the Isle of Dogs has been identified as a “growth area” for new homes and jobs. To manage this growth the Council is preparing a Masterplan to help shape future development in the area and provide appropriate facilities for the local community, alongside new housing and employment space. The Masterplan will become a Supplementary Planning Document (SPD) to the Tower Hamlets Core Strategy 2025.
It’s never been more exciting to live in Tower Hamlets, with London 2012 taking place next summer, the growth in the City and Canary Wharf, and the Thames Gateway Development, putting Tower Hamlets firmly at the heart of London’s future growth and success. It is important to take advantage of these opportunities, managing growth and change within the borough, improving areas in a way that meets the current and future needs of Tower Hamlets communities. In order to achieve this it is essential that residents are involved in shaping these plans for change.
We want to talk to local people to find out their priorities for this area. To do this we will be holding public exhibitions at different locations in and around the Masterplan area in May 2011. Council officers will be available at the exhibitions to discuss the options for the Masterplan, record your views and comments and to answer any questions about the Masterplan. Details of these events are below:
Asda Supermarket, Isle of Dogs Store
Saturday 14 May, 10am-1pm
Canary Wharf, Jubilee Place
Monday 16 May, 12pm-7pm
Jack Dash House (Tower Hamlets Council offices), Marsh Wall
Wednesday 18 May, 12pm-6pm
There will also be an evening workshop at Jack Dash House on Thursday 19 May from 6:30 – 8:30pm to discuss some of the key issues for the Masterplan in more detail. If you are interested in joining the workshop, please email dr.majorprojects@towerhamlets.gov.uk or telephone 020 7364 5327 by Friday 13 May to leave your contact details.
easyJet to launch services from London Southend Airport
easyJet will initially operate flights to Barcelona adding other destinations such as Madrid, Milan, Amsterdam, Berlin, Glasgow, Edinburgh and Belfast later in the year. Complementing Stansted, which already offers an unrivalled range of European destinations, these new services are further enhancing Essex’s fantastic transport links.
Southend is a great destination for the business traveller, located outside the largely congested sprawl of London means that the business traveller can save 20 minutes on a journey to or from Europe. A new airport railway station is complete enabling passengers to get from the plane to the train in 15 minutes.
Airport Managing Director Alastair Welch said:
“We’ve designed the airport specifically for short-haul travel, with 10 aircraft stands, there won’t be long distances to travel through the terminal.”
Catherine Lynn, easyJet’s Customer and Revenue Director said:
“We are excited to be opening London Southend. The airport is in a fantastic location just outside London with a fast rail link into the city.”
Southend will be the closest large airport to Stratford, the site of the 2012 Olympics offering up to eight train services an hour and direct links to the Olympic Park, in 44 minutes and to London Liverpool Street, in the heart of London’s financial district, 6 minutes later.
London Southend Airport has been on a regeneration drive since the Stobart Group bought the site in 2008. As well as the new £12m airport railway station and a new control tower, there are also plans for a £10 million 129-bedroom hotel at the airport to open in 2012.
The reach and convenience of this new Essex transport hub helps make the global market place more accessible to local businesses.
Essex Wind Power
As well as a number of strong and established sectors, Essex is poised to benefit from significant growth in the offshore wind energy sector.
With a national target to deliver some 40GW of offshore wind energy by 2020, Essex is at the centre of the world’s largest market for offshore wind deployment and the UK’s most dense area of offshore wind energy development.
The value of the offshore wind sector is set to grow from an estimated £130 million in 2008/9 to £138 billion in 2020 presenting Essex companies with a unique opportunity.
Essex is well poised to contribute to and benefit from this growth industry. The proximity of the UK’s east coast deep-sea ports and planned offshore wind farms, a well established manufacturing and ports and logistics, and access to a wide skills base provide great opportunities for Essex to attract investment in this sector. Essex companies can play a significant role in the supply of goods and services within the sector and take advantage of this considerable economic opportunity for the expanding wind supply chain.
Opportunities in Essex
Harwich International Port is already heavily involved. It was used for the installation of the Gunfleet Sands wind farm and is currently being used as the installation port for Greater Gabbard – currently the world’s largest offshore wind farm under construction. In addition, Harwich is the installation port for the first round of turbines for London Array I.
Expansion at Bathside Bay (adjacent to Harwich International Port) would offer additional land, which would build on the experience the port already has to offer.
London Gateway, on the Thames Estuary has both land and quay space that could support manufacturing. Significantly the precision engineering, aviation and the automotive sector based around Basildon are likely to be key complementary sectors that could contribute directly to the offshore energy supply chain.
Both Chelmsford and Colchester have an expanding skill-base, supported by a strong financial services sector in Brentwood; engineering strengths across Braintree; offshore marine skills in Maldon, and growing R&D cluster around Harlow all of which will bring substantial value to the wind energy sector in terms of manufacturing expertise, innovative product development and highly skilled workforce.
What are Offshore Investment Bonds?
Offshore investment bonds are a type of investment that allows a number of different types of assets to be held within the bond such as deposits, cash and investment funds. All the investments that are held in the offshore investment bond are subject to the tax rules of the country where the bond is held, offshore bonds are usually opened in countries that are considered tax safe havens that are considered tax efficient. Any investments that are held inside an offshore investment bond are free to grow almost tax free.
The benefits of investing with limited taxation are of obvious appeal to many investors especially investors who are currently taxed at the highest rate in the UK. Any investment in an offshore bond can benefit from a roll up of interest whereas an investment onshore will have income tax regularly deducted from the total amount.
Things to consider before using offshore investment bonds
Any investment that his held in an offshore bond will be subject to costs, these costs will usually be offset against the gains from investment so you need to be sure that you are able to commit to the investment bond long enough to make sure the roll up of interest offsets any of the additional costs. Simply put you need to make sure that the bond is going to make enough gain to cover costs and still give you a healthy return on investment.
When any money is removed from the offshore investment bond and brought back to the UK then UK income tax at the individual’s highest rate of tax is applicable on any gains. Savvy investors can time the withdrawals from the investment bond at times when they may be subject to a lower tax rate or can transfer ownership of the funds to someone else like a spouse who may be subject to a lower tax rate.
One of the key benefits of investing in this type of bond is the ability to shield funds from the UK tax rate especially in countries with a more competitive rate of tax. Offshore bonds are extremely flexible and the number of different types of investments that can be held is quite broad. Whilst any investments are held inside the offshore bond they are not subjected to any tax as long as they are offshore, investors often take advantage of this and switch between a variety of different types of asset and funds within the bond without any liability of tax.
Should you invest in offshore investment bonds?
Offshore investment bonds will be most appealing to taxpayers that are now subject to tax at the higher rate of 50%. As a rule of thumb any investors should try to take advantage of tax allowances that are available before contemplating investing offshore. Everyone is subject to a CGT or capital gains tax allowance; this is an amount of gain that can be earned before any tax is applied. The CGT rates do not apply for investment bonds as they are governed by income tax amounts so capital gains tax amounts are not allowed to be used. Investing in assets or funds that generate gains that are chargeable against the more favourable CGT allowance is considered a better option over offshore investment bonds.
Just like any other type of investment if you are in any doubt as to whether or not it is the right kind of investment for you then you should seek out independent financial advice.
Offshore Investment Pros and Cons
Offshore investments work by allowing investors to capitalize on financial advantages that are offered outside of their own country. Simply put investors from one country make a corporation in another country, this corporation acts like a shield to the investors accounts protecting them from the higher rates of tax that …
Lump Sum Investments
A lump sum investment is a type of investment opportunity that involves the investment of a lump sum of money at the same time in order to ensure that your invested money is working hard for you. One of the most popular types of lump sum investment involves the use …
Investing in Junk Bonds
This is one of the riskiest investments out there. Your risk is much higher than equities, although the returns can be spectacular. Junk bonds are the lower credit quality firms belonging to the real possibility of imminent bankruptcy. Do not confuse a junk bond with a high yield bond. The …
Emerging bond
The debt of emerging countries has a fairly high risk, similar or even higher than equities. In some countries, legal certainty is very low or nonexistent, so that should be avoided by prudent investors no matter how high the interest they offer, as there is a real risk that do …
6 Must Ask Questions When You Are Talking To Owners Of Distressed Properties
One strategy that can be very rewarding when buying foreclosures is negotiating directly with the owner of the distressed property. These homeowners are often misinformed and unrealistic, and it’s your job as a real estate investor to extract the proper information from them in order for you to make an informed decision on the property.
Here are 6 must ask questions you should be asking in your communication with the owner of a distressed property:
1. How far behind are you? Every state has different laws regarding the foreclosure timeline, so it’s imperative that you understand this process. Using this knowledge when asking the homeowner how far behind on their mortgage they are, you can formulate a pretty good idea as to how much time they have before the lender repossesses their home. You’ll be surprised at how many people do not realize how little time they have left.
This is the lead in question that I use when I first approach the homeowner. It’s a great way to break the ice, and allows them to get comfortable with you before moving on to the more “personal” questions. Most of the time, you will not get a specific answer, but more of a general time interval, such as “about a year” or “I stopped paying my mortgage when I got laid off in so and so”. When you start talking about events and time, it helps get the homeowner’s guard down, and they start sharing with you in a more open manner. This information is also a critical element in determining whether this investment makes sense for your business.
2. What is your mortgage payment? Usually this number is on the tip of the homeowner’s tongue, because they’ve either tried to get the payment lowered, or have complained enough about how high it is to anyone that will listen. Make sure you are one of those listeners. Finding this information out coupled with how many months they are behind will allow you to structure how deep the homeowner is in arrears and add an important factor to your investment equation.
3. How much do you owe? Besides back payments, knowing the total payoff amount for the mortgage is essential when buying foreclosures. Usually, the homeowner will know how much the initial mortgage was, and how long they paid before they went bad. If not, simply asking to see their last correspondence with the lending institution should provide all the information you need to get a starting point when doing the negotiation for the property.
4. Do you have more than one lien on the property? Always make sure that you have the entire picture as far as who may be attached to the property in question. While some homeowners think they are only obligated to pay off a mortgage in first position, second (and even third) mortgages as well as any liens must be factored in when making an investment decision. While you can run an abstract or titles search and find out the whole story, it would help to have an idea before running the report and wasting your time and your money. The last thing you want to be is blindsided by a large tax lien or a judgment held against the property. Keep in mind that depending on how deep in the muck the homeowner is, there may be issues that they are just not aware of.
5. Are you the only decision maker? When you are presenting a deal for a distressed property, it’s important that all decision makers are present to hear the offer. You are spinning your wheels going into your presentation, no matter how polished and convincing it is, without all decision making parties present and accounted for. If not, no matter how well your deal is received, it will likely get cracked, if not entirely broken. This means you will have to work twice as hard and take time away from other things you could be doing (like making more deals!). Don’t think for a second that presenting to multiple people will make you feel outnumbered. Your odds are actually better because you will easily see who is in control and who you have to focus on in order to make the deal happen.
6. How much do you need? When it comes down to finalizing any deal with the owner of a distressed property, there’s only one thing that matters- what’s it in for them. They don’t care about how much they owe, they just want to know how much they could get to move on and into a new life. I never ask them how much they want, because inevitably that answer will only set me back in the negotiations as they will have unrealistic expectations. It’s important to know the bottom line number that will assist them in getting their feet planted and starting anew. You may not be able to give them everything they want, but you may be able to give them what they need. Be sure to ask them not once, not twice, but three times with the last time stressing what they really need to make this happen. You’ll be surprised how the number changes and they have negotiated for you already.
Asking the above 6 questions is your first step in determining the proper tactics needed in order to make a deal happen. Buying foreclosures requires following a set process, and these questions provide the information needed to choose the best process to follow.
Trading vs. Investing Wisely. Who Earns More Money?
If someone asked me today if I consider myself an “expert investor“, my answer is a resounding NO, and rather think that I’m a little green and I have yet a long way to learn. Of course, people surround floor has been dedicated to investing for over 30 years. These people have blogs, do not participate in social networks and certainly are not “relevant people in the world of internet”, but they are my teachers and I know who live on investment.
On the other hand I rub shoulders with “expert investors” engaged in trading, which gives me daily lessons on how to approach investing, reminding me that so far the only luck I’ve had is not knowing how to analyze a chart or stopping to analyze the PER a company. This morning we put numbers on the table and have drawn some conclusions.
The world must be people who were getting rich through trading, but I do not know any. Moreover, from what I have observed, the trading is the closest thing to play slot machines: “I’m losing; I have to change me back”.
Of the 5 traders experts analyzed in 2010 launched an average of 700 purchase orders and selling in the market and only one has lost money, even with 815 sale orders (3.3 orders per day), I too much work for so little profit taking a huge risk.
The other side of the table, my companion and I Victoria Bernal, 31 and 15 orders of sale have ended the year with an impressive performance, not to speak of our beloved mentor, who with 5 orders released to the market has achieved earn more than € 135,000 over 2010, clearly the amounts spent by this person are quite high.
What does this mean?
The message is very simple to explain. Respect for trading, but true is that the market is not suitable to operate every day. Some days it’s not doing anything; you earn more money or at least not lose money. The short-term investment is striking, but you can not take place and the volat currently suffering the bag. Moreover, as I have observed, the practice of Trending often lead to addiction and is not suitable for heart disease, besides not seeing the profitability finish anywhere.
If you ever hear that someone won more than € 4,000 in one morning, he thinks it may have been very lucky or that it is more likely that you are blatantly lying, it is not normal.
On the other hand, another message that we can draw from this is that we must never lose the humility and of course we must always be open to learning.
And as we’ve said before, it takes patience to find the ideal time to enter a value, looking for the short term, but not obsess on it, and of course, being prepared in case our investment in the short term we must pass it to term automatically. Above all, re-comment that stock market investment is as hard as we want to make it difficult.
Again, smart investment to me is common sense wins the battle for this analysis so complicated.
Investors in the stock market myths
Today if you show a person and asked him “What do you do?” ‘I am investor. .- Automatically invest in stock your brain processes information and the first thing is that you think ahead to Gordon Gekko or Warren Buffett, a person much smarter than you and probably millions. Some …
The Forex Market Maker
Each broker can be found on the Internet could be considered a market maker in Forex. The term comes from what they do, and that is the “Market Maker”. When you place an order with a broker, does not end in a changing table itself, but remains on the Internet. …
Forex Trading Signals is a pros and cons of learning that shows how to use automated forex signals
Forex can be a difficult thing. On the one hand, most Forex traders are drawn in by your emotions. They come across an advertisement for the currency that promises great wealth in a very short period. On the other hand, if you decide to invest in Forex and follow the …
Investing in Social Networks. They are overvalued, does not mean they can not be profitable.
As you will have read, Warren Buffett strongly discouraged investment in social networks, which they feel are overvalued. Mr. Buffett, a, I think, probably by its principles is the best investment that currently exists on the planet, because despite recognizing it as an investor “old fashioned” way is that the …
Basic Investments That Every Entrepreneur Must Make
Starting a business usually involves many investment decisions. Like a great ocean liner, from the time of opening and through all stages of growth, constantly needs to review and stay the course. And for that, we share at least 7 key investments that every entrepreneur should do to take your business to success.
Invest in training for yourself. One of the most important characteristics of a good entrepreneur is to know the business and for that you must train you. There are many important issues that you manage to develop your business such as administration, finance and accounting, electronic commerce, sales and others. Make sure you always reinvest a percentage of your profits in better prepared, and of course this also applies to staff in all areas. Have you considered the possibility to improve your English? or how about something about How international trade?
Investing in a website. It is said that today’s businesses that are not on the internet is as nonexistent, and although I personally think a somewhat extreme statement, if you believe that the presence of a business on the web is important. The good news is that riding a page with basic information about your company or business does not require a lot of money because there are many free resources for it.
However if you need to pay a few hours to a technician who is familiar with the subject and help you to do the job. However it is long-term investments that will pay off attract customers not previously imagined.
Invest in quality staff. Depending on the size of your business partners will need eventually and will then be time to invest in human resources. It also says that large employers are always surrounded by people “smarter” than them. If you need a secretary, an engineer, a salesman or an assistant, make sure you invest in very intelligent people who do not grow your business and otherwise.
Invest in developing corporate vision. If your company has 100 employees, 15 employees and only 2 (you and your wife), also need a long-term. Why? because “he does not know where you want to reach, any road will take you.” The vision and mission of a company must be printed in the heart of its directors and employees. Occasionally hires a good motivator to help your organization maintain clear destiny, goals and business objectives. Motivation is the fuel that makes humans continues forward.
Investing in recognition. One of the major motivations of human beings is that our work is recognized. An employee who receives a token of appreciation for his work, probably work harder. Make a recognition culture in your organization by investing regularly (say every 2 or 3 months) in a program of recognition for the effort, values, and excellent results.
This is especially important for the sales force, production staff and in general for every employee that has to do with the scope of objectives.
Investing in growth. A safe and healthy company is one that meets two criteria: their debts are minimal and in control and that their profits are maintained and reflect a percentage of monthly growth. But this requires also invest in both. Be sure to use a percentage of monthly earnings to pay off debts as soon as possible and second, another percentage to reinvest in growth and development, whether machinery, equipment, infrastructure, etc..
It is said that the success of Japanese companies is their enormous capacity to reinvest the profits of the business to the point that barely receive a minimum wage for years until companies become corporate giants.
Investing in social assistance. One of the noblest purposes of free enterprise is to contribute to a better society. This through to jobs, providing products, provides solutions and lends a hand to provide the basic needs of their community. There is a secret key or difficult to explain the fact of helping others, but I can sum the resulting effect in one word: prosperity. To the extent that we schedule our endeavors to contribute to a better society, our businesses also improved.
As you can see the 7 investment tips are not directly related products, machinery or furniture, but most certainly represents a solid foundation for big business.
