Proper accounting provides you with up to date information for management use in decision making. If you are a company, you are required to prepare financial reports to be submitted to local authorities. When looking at financing options, for instances loans with banks or sourcing for investors, they will request for minimally the management report for their assessment.
You can diversify your risk by diversifying your products or activities. For example, if you manufacture sunglasses, you can consider manufacturing raincoats and umbrellas. Be it a sunny or rainy day, your products are sellable.
here are a couple of options you can consider:
Debt financing is raising funds through banks or financing companies. Equity financing is when investors inject capital into company for ownership interest in it. The benefits of debts include: Tax shield – interest paid are tax deductible while dividends are not Affordability – allows more capital to generate cash flow and profits Encourage discipline and proper compliance
It is dependent on whether it is an error or fraud, whether it is intentional or not. Business owners will usually be penalised by local authorities through fines or worse, jail terms can be instilled if mistake is intentional. Hence, business owners are encouraged to obtain the relevant knowledge themselves as they will be implicated or liable at the end of the day.
No, if you are applying for mortgage loan. Generally the banks will pay the broker a commission for arranging the mortgage loan with the borrowers, hence you do not have to pay the broker. If in any case there will be a charge, the mortgage brokers will tell you how they are being paid and the nature of the payment beforehand. A professional mortgage broker is at your service to help you make informed financial decisions.
Professional Mortgage Brokers are educated, ethical, and committed. They have voluntarily demonstrated their commitment to higher standards in the industry and shown their dedication to the consumer to provide quality service.
First and foremost, you have to decide on your budget. Work out every detail into your budget, such as bank fee and valuation fee. As a good rule of thumb, your monthly mortgage payment should only be 30-35% of your monthly income. You should also consider the loan term and risk level that you are willing to commit yourself to. Bear in mind too that the longer the long term, the more interests you pay. A lot of changes may occur during your loan term which may affect your ability to pay back the loan. For example, changes in CPF contribution policies, interest rates, your employment status, and the economy may affect you.
Once you have chosen the most suitable loan package for you and submitted all the mandatory documents for example income proof and loan application form to the respective bank, a decision will be made on the loan amount and loan term. Upon approval, Letter of Offer will be represented to you within 3 – 7 working days. A representative from the bank will explain the terms and conditions to you. If you accept the terms and conditions, you and the bank’s representative will sign the Letter of Offer. The representative will take the Letter of Offer, together with other necessary supporting documents to the bank for processing. The bank will then issue a Letter of Instruction to the appointed law firm to act on their behalf for legal mortgage conveyance works. This usually takes 7 – 10 working days.
The documents needed for a standard housing loan application are:
• NRIC of borrower(s)
• Loan application form
• Latest income documents (2 months payslips, 2 years Notice of Assessments)
• Latest CPF statement showing a 12-15 months history of CPF contributions
• Option to Purchase and Valuation Report*
(*Please note that valuation report is required for HDB Loan only)
If the application is for refinancing, the additional documents are:
If a bridging loan is required, the additional documents are: Latest CPF Property Withdrawal Statement of Account Latest statement of existing loan account (HDB or existing FI), Proof of confirmed sale