US Markets in green on Friday; Dow 30 up over 345 points, Nasdaq Composite, S&P 500 up nearly 1%

US Markets were trading in the green on Friday with Dow 30 trading at 30,678.80, up by 1.14%. While S&P 500 was trading at 3,701.66, up by 0.98% and Nasdaq Composite 10,690.60 was also up by 0.71 per cent

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US Markets in green on Friday; Dow 30 up over 345 points, Nasdaq Composite, S&P 500 up nearly 1%
Earlier today, Indian stock markets ended the week on a winning note. It was the sixth straight gains for equity markets. Source: Reuters
US Markets were trading in the green on Friday with Dow 30 trading at 30,678.80, up by 345.25 points or1.14 per cent. While S&P 500 was trading at 3,701.66, up by 35.88 points or 0.98 per cent and Nasdaq Composite 10,690.60 was also up 75.75 points or 0.71 per cent. A Reuters report said that today’s strength was on the back of a report which said the Federal Reserve will likely debate on signaling plans for a smaller interest rate hike in December, reversing declines set off by social media firms after Snap Inc’s ad warning.

Source: Comex

Nasdaq Top Gainers and Losers

Source: Nasdaq

Earlier today, Indian stock markets ended the week on a winning note. It was the sixth straight gains for equity markets. The BSE Sensex ended at 59,307.15, up by 104.25 points or 0.18 per cent from the Thursday closing level. Meanwhile, the Nifty50 index closed at 17,590.00, higher by 26.05 points or 0.15 per cent. In the 30-share Sensex, 13 stocks gained while the remaining 17 ended on the losing side. In the 50-stock Nifty50, 21 stocks advanced while 29 declined.

Alternative Financing Vs. Venture Capital: Which Option Is Best for Boosting Working Capital?

There are several potential financing options available to cash-strapped businesses that need a healthy dose of working capital. A bank loan or line of credit is often the first option that owners think of – and for businesses that qualify, this may be the best option.

In today’s uncertain business, economic and regulatory environment, qualifying for a bank loan can be difficult – especially for start-up companies and those that have experienced any type of financial difficulty. Sometimes, owners of businesses that don’t qualify for a bank loan decide that seeking venture capital or bringing on equity investors are other viable options.

But are they really? While there are some potential benefits to bringing venture capital and so-called “angel” investors into your business, there are drawbacks as well. Unfortunately, owners sometimes don’t think about these drawbacks until the ink has dried on a contract with a venture capitalist or angel investor – and it’s too late to back out of the deal.

Different Types of Financing

One problem with bringing in equity investors to help provide a working capital boost is that working capital and equity are really two different types of financing.

Working capital – or the money that is used to pay business expenses incurred during the time lag until cash from sales (or accounts receivable) is collected – is short-term in nature, so it should be financed via a short-term financing tool. Equity, however, should generally be used to finance rapid growth, business expansion, acquisitions or the purchase of long-term assets, which are defined as assets that are repaid over more than one 12-month business cycle.

But the biggest drawback to bringing equity investors into your business is a potential loss of control. When you sell equity (or shares) in your business to venture capitalists or angels, you are giving up a percentage of ownership in your business, and you may be doing so at an inopportune time. With this dilution of ownership most often comes a loss of control over some or all of the most important business decisions that must be made.

Sometimes, owners are enticed to sell equity by the fact that there is little (if any) out-of-pocket expense. Unlike debt financing, you don’t usually pay interest with equity financing. The equity investor gains its return via the ownership stake gained in your business. But the long-term “cost” of selling equity is always much higher than the short-term cost of debt, in terms of both actual cash cost as well as soft costs like the loss of control and stewardship of your company and the potential future value of the ownership shares that are sold.

Alternative Financing Solutions

But what if your business needs working capital and you don’t qualify for a bank loan or line of credit? Alternative financing solutions are often appropriate for injecting working capital into businesses in this situation. Three of the most common types of alternative financing used by such businesses are:

1. Full-Service Factoring – Businesses sell outstanding accounts receivable on an ongoing basis to a commercial finance (or factoring) company at a discount. The factoring company then manages the receivable until it is paid. Factoring is a well-established and accepted method of temporary alternative finance that is especially well-suited for rapidly growing companies and those with customer concentrations.

2. Accounts Receivable (A/R) Financing – A/R financing is an ideal solution for companies that are not yet bankable but have a stable financial condition and a more diverse customer base. Here, the business provides details on all accounts receivable and pledges those assets as collateral. The proceeds of those receivables are sent to a lockbox while the finance company calculates a borrowing base to determine the amount the company can borrow. When the borrower needs money, it makes an advance request and the finance company advances money using a percentage of the accounts receivable.

3. Asset-Based Lending (ABL) – This is a credit facility secured by all of a company’s assets, which may include A/R, equipment and inventory. Unlike with factoring, the business continues to manage and collect its own receivables and submits collateral reports on an ongoing basis to the finance company, which will review and periodically audit the reports.

In addition to providing working capital and enabling owners to maintain business control, alternative financing may provide other benefits as well:

It’s easy to determine the exact cost of financing and obtain an increase.
Professional collateral management can be included depending on the facility type and the lender.
Real-time, online interactive reporting is often available.
It may provide the business with access to more capital.
It’s flexible – financing ebbs and flows with the business’ needs.
It’s important to note that there are some circumstances in which equity is a viable and attractive financing solution. This is especially true in cases of business expansion and acquisition and new product launches – these are capital needs that are not generally well suited to debt financing. However, equity is not usually the appropriate financing solution to solve a working capital problem or help plug a cash-flow gap.

A Precious Commodity

Remember that business equity is a precious commodity that should only be considered under the right circumstances and at the right time. When equity financing is sought, ideally this should be done at a time when the company has good growth prospects and a significant cash need for this growth. Ideally, majority ownership (and thus, absolute control) should remain with the company founder(s).

Alternative financing solutions like factoring, A/R financing and ABL can provide the working capital boost many cash-strapped businesses that don’t qualify for bank financing need – without diluting ownership and possibly giving up business control at an inopportune time for the owner. If and when these companies become bankable later, it’s often an easy transition to a traditional bank line of credit. Your banker may be able to refer you to a commercial finance company that can offer the right type of alternative financing solution for your particular situation.

Taking the time to understand all the different financing options available to your business, and the pros and cons of each, is the best way to make sure you choose the best option for your business. The use of alternative financing can help your company grow without diluting your ownership. After all, it’s your business – shouldn’t you keep as much of it as possible?

Baseball Glove Repair

Baseball glove repair would really not be a concern around this time of year if players and/or parents would just perform a little bit of “routine maintenance” on their baseball gloves right after the playing season is over and then maybe a little bit more right before the beginning of the next season. But this doesn’t seem to happen that much from what I can tell.So here we are…another High School Baseball and College Baseball season. I’ve already gotten a couple of baseball gloves in the last month or so that have broken. And it’s the same thing…very, very dry leather and laces. The laces on one of these baseball gloves were so dry, hard and brittle that they didn’t even feel like leather. The laces were so stiff that it was actually a little tough pulling these laces out of some parts of the glove.The condition of your baseball glove during and after a season will somewhat depend on where you live in the country. In the southeast and southwest you probably aren’t going to see a lot of snow, ice and mud. Your glove may face very strong sun and heat, though.The baseball gloves that I have just repaired were used in the northeast part of the country which can be terrible for leather. The leather can see snow and freezing temperatures. The baseball gloves will definitely get wet and muddy. This mud and water gets ground in sometimes day after day. This water eventually strips the leather of its original oils, softness and color. Then, summer comes. The sun beats down on the glove and dries it up even more. The laces become stiff, weak and brittle. They eventually break. Sometimes parts of the glove, like the eyelets and leather holes, rip. This even happens on the good, expensive gloves that are not cared for.All of these things can mostly be avoided. Simply try to implement some of the following tips:
Clean off your baseball glove during the season when it needs it. Just a warm, damp cloth will do. Don’t soak the glove. You’re just trying to get some of the dirt off.

During the season, if the glove has seen a lot of water and then a lot of sun, you should rub in a little bit of conditioner (not any kind of oil!) and let it soak in. This will restore some of the leather’s oils, softness and color.

Most importantly, give your glove a good cleaning and conditioning after your season is over. Wipe off all of the dirt and then after the glove dries rub a good coat of conditioner into the glove. Sometimes you may have to do this two or three times if the glove soaks up all of the conditioner right away. Wipe off any excess conditioner. Your restored glove will look and feel new during the off-season.

Tighten up loose laces and definitely repair broken laces or laces that you have a good feeling will break the next season. Do it now while you have the time.

And then, right before the beginning of your next season, inspect your glove again, tighten things up if necessary, put a light coat of conditioner on. There you are! Almost a new glove again.

Believe me, these simple baseball glove repair and restore tips work. I have taken care of a catcher’s mitt for three years now…and yes, it’s up in the northeast where a catcher’s mitt takes water and mud in great amounts in some games. But this glove, after three years, feels great and looks great. The laces and leather show no signs of weakness. This is all because I religiously follow the tips above.The kid who’s glove I fixed the other day…the real dry one, says his glove looks and feels new again. He actually likes the all-black laces better than the original gray ones too. I hope he takes care of it now. But I bet I see it again someday.And I bet I’ll repair a good number of gloves starting around now. These are all of the gloves from last season that were just thrown in garages or basements with no after-season conditioning or tightening or repairing of laces.So that’s where I’ll come in…again. Baseball glove repair and restore. I do it all of the time and never once have I advertised this. It all started with one glove, as a favor, and word got out. That was about six years ago and I’m still repairing gloves today.So try to keep in mind some of these baseball glove repair and restore tips. Your glove will always be in great shape and you’ll prevent those unexpected breaks during a game…and there will be no “down time” of your favorite glove.