SEC-S20W2 | My Business Ideas |Capital Management.

everyone can establish a business but it takes a lot of effort and dedication to run a successful business am delight to participate in this SEC-S20W2 | My Business Ideas |Capital Management.

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Q1. Please tell us about your initial investment value in terms of Steem as well as in US$, and how you manage it.

70,000 was the capital needed to start a small scale bussiness fresh okra and pepper business this is equivalent to 280 steem 47 US Dollars i already made thorough inquiries about the business before i ventured into it, because i started small 70,000 capital was enough to cover my expenses for a start.

Q2. A profit and loss statement is commonly known as a statement that shows details of your business's revenue and expenses over a period that we calculate on a monthly, quarterly, or annual basis. How do you determine whether your business made a profit or loss during a stipulated period?

A. Are you earning profit or incurring losses?

• Income statement: i keep records of my daily sales and analysis it in two days interval so from the look of thing judging from my records this past few weeks my business is doing well financially.

Another thing is that i sell perishable goods so it would be a lie not to encounter little losses especially this rainy season. but i have been putting this under control as i restock within two days interval i also buy the quantity am sure i can round up within this two days.

B. What are your plans to make your business a more successful one?

• Analysing: i always check to see where is lacking and make sure i fill the gab. My type of business needs punctuality. Eateries and hotels cooks goes to the market very early to get groceries so since i sell pepper i get alot of patronage this has been part of my business success.

C. Are you reinvesting your profits or using them for your personal use?

• Total Revenue :I really wanted to start my business in large scale but because of low capital i had start small. Starting small dint kill my dream of establishing a big business so this is what i do, every two i check my sales records to see how mush interest i have made then i calculate my expenses for the two days how mush i have left of my interest then i reinvest my ballance for the continuous growth of my bussiness.

D. What are your expenses for your staff and establishment, if any?

• i do not have a staff for but i plan to have one in few months time because am also a farmer and its almost time for our seasonal planting.

my okra farm of last season

You can read about it here

Q3. Loans and working capital
Did you take any loan or working capital for your business or any any financial institute?

I started my business as a small scaled business so the capital i started with covered all my expenses as a starter so i didn't see needs to get a loan.

Personaly i do not take getting a loan to start a business into consideration as i feel the interest of the loan might weigh the new establishment down. I might consider taking a loan for an already established bussiness.

Q4. Collateral securities and your understanding

A. Do you have any plans to seek a loan from a financial institute against your property?

Yes i intend to seek for a loan in future as i aspire to be a Supplier that is buying goods in a large quantity directly from the producers and distributing the goods as whole sale to other buyers. So with this intentions i could use my farm as collateral.

taken from my phone galary

The above picture is full bag measurements of fresh pepper which cost 60,000 naira equivalent to 240 steem which is 40 US Dollars getting more of this requires alot of money to kickstart.

B. If yes, what are the terms and conditions for such loans in your country?

• Term and condition for seeking a loan in my countryNigeria

1: print out of your national identity number (NIN)

2 printout of your bank verification number ( BVN)

3 A quarantor

4 A passport

5 A signatory

C. Do you intend to seek a loan for establishing a business or do you need it as running capital?

• I intend to seek a loan in the nearest future as a running capital to finance my already established bussiness as i aspire to extend by bussiness i also would like to add onions and fresh tomatoes to my business.

conclusion

bussiness is tasking only the fittest can run a successful business as this requires alot of sacrifice and consistency from any individual venturing into any kind of business.

I will love to invite @eliany @blessedbee @adylinah to participate in these contest