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Selling Business Notes for Quicker Cash

In about 85 percent of all business sales, sellers accept a cash down payment and a promissory note to pay the balance in installments. The note is personally guaranteed by the buyer, and it is secured by the business and its assets in case the buyer defaults. Providing owner financing allows sellers to cater to a broader pool of potential buyers. However, many sellers do not want to be in the lending business and would prefer not to hold business notes. The good news is: they do not have to. If you created a business note to unload your company, you can sell the note to someone else. This way you can get instant cash out of the business, instead of waiting to receive periodic payments in the future. You can use the cash for a variety of purposes, including: capitalizing on other investment opportunities, paying off debts, funding college tuition and making major purchases. How Selling Business Notes Works Business notes are purchased at a discount – like all notes sold on the secon...
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Promissory Notes: Rejuvenate Your Retirement Income

Not Having a Retirement Plan May Make Retirement Impossible Are You Heading Toward Retirement Without a Plan? Most Americans think about, and talk about retirement by age 65, but fewer and fewer can do it. The group of people age 65 and older is the fastest growing segment of the labor force. About 10 years ago, 52% of such Americans worked full time, but that has increased to 58%. Obviously, many working people are not investing properly for their retirement; they may be under investing; they may be investing in the wrong assets; they may be taking unnecessary risks. Each year that passes reduces opportunities to make corrections and increases the savings necessary for a comfortable retirement … The problem with not having a retirement investing plan-a financial goal– is you can spend your life working hard, running up and down the field and never score a touchdown. Plan your Income Needs Identify where you want to be, financially speaking, at retirement age. Calculate how much ...

Discounting Your Promissory Note To Sell – Part Two

Selling your mortgage note is a very competitive process Cash-in-hand investors have thousands of competitive investing choices and opportunities available to them. Corporate Stocks, Corporate bonds, Annuities, Mutual funds, Exchange Traded Funds, Real Estate Investment Funds, Municipal bonds, Private placement funds, Land, Apartment houses, Commercial real estate, Mortgage pools, and Individual Mortgage notes to name just a few. When you sell your mortgage note all of the above investment products are your competitors. Since the main reason for investing money is to earn extra income, your note of income producing potential and safety must appeal to the investor more than any of the other investment products. Investors, consciously or unconsciously, compare your note to all of these other products in order to make their investment decision. The investor is like the judge at a beauty contest. All of the contestants are parading and smiling in front of the cash-in-hand investor-tryin...

How To Double Your Money Every 7 Years Safely – Mortgage Note Investing in Your IRA Account

The fundamental rule of investing: All investments that have the ability to provide a yield, or a profit, or a gain also carry the risk of loss. There are no exceptions to this rule. Never be tricked into believing that any investment is "risk-free" or a "sure-thing". Since risk can not be avoided, you then ask ask two questions: 1) in what can I invest that has the least risk? 2) how can I double my money over time with as little as risk as possible? My answers are: 1) invest in things that you understand; 2) invest in things that you can personally control; 3) allow the passage of time to multiply your income; 3) minimizeize income income taxes; 4) get expert advice and guidance when you do not understand what is happening. Mortgage note investing is an excellent long-term investing plan . Investing your IRA funds in mortgage notes (promissory notes) is one of the best investing vehicles available. All investing, and especially retirement saving and investing,...

Promissory Note Investing – Planning for Success

There is no such thing as "smart money" – only smart people – the money goes where they go. Planning – A General Overview Becoming successful in any activity that requires education and training will also require planning. Without a financial plan – a road map – that shows you where you are now and where you intend to go, it is doubtful that you will have a successful journey. Becoming a successful promissory note investor definitely requires an understanding of where you are now – financially speaking – what you plan to accomplish – and how you plan to get it done. Examples: "I now am age 30 and I want to retire at age 65 without any debts. I now have $ 20,000.00 available for investment. "I am now age 45 and I want to retire at age 65 without any debts. I now have $ 40,000.00 available for investing. I want to use promissory notes to build my investment capital." I plan to add fresh investment capital annually. " In each of the above examples the ...

Promissory Note Investing – Principles And Tips

Because of the uncertainty of the stock market, many investors are looking for safer and more predictable ways to invest their money. Promissory Note investing, which is also know as Private Money Investing, and Hard Money Investing, offers an individual the opportunity to earn safer, more predictable, and higher returns on their money. Promissory Note investing is fairly low risk because the loans are backed by the appraised value of the collateral security plus the promise to pay of the borrower. Generally, the loans are conservative–at about 65% of the appraised value of the security. In case of a foreclosure, the property is sold to recover the funds. The borrower’s promise to pay and credit provide an additional measure of protection and an exit strategy. Additionally, hazard policies (fire, hail, wind) are insuring the property. The title to the property and the note holder’s interest is also covered by insurance-title insurance and lender’s insurance. This is the correct way th...

Saving For Retirement With Bond Investments

With the cost of living nowdays, most of us will face some problems meeting our needs when we retire. That is without you happened to be one of those who is going to retire with a fabulous pension. If you are not, then it is critical that you start your retirement planning early. The earlier you begin, the easier it will be for you to build up your retirement egg nest and that will provide you with the kind of lifestyle you want. In the early days, most people placed their money under their bed. While that may be safe then, it is extremely foolish to do so today. With inflation hovering at around 3%, it can easily erode the value of your money. Your $ 1000 today will have only the purchasing power of $ 860 in five years time if you are not going to do anything with it. The only way you can protect the value of your money is to save and invest them wisely. The best investment vehicles in the market today include stocks, commodities, properties and bonds. If you wish to save for your r...