Do you have 'Faith'?

What is "Faith"?

"Faith" is a belief in the trustworthiness of an idea. In business sense, "Faith" would be described as the willingness to invest/fork out a specific sum/value in goods or money with another party. This party is one that you trust will pay back the principal sum/value at a specific time in the future.

In most businesses, "Faith" is needed because of the word "Credit". It refers to the faith placed by a creditor or financier on the debtor's needs, willingness and ability to pay. Where there is credit, "Faith" inevitably becomes embedded in the transactions you make, be it having faith in your business partners, customers, potential clients or suppliers and them having faith in you.

All businesses need credit, be it from financial institutions, their suppliers or vendors. The latter is definitely a more critical and common indirect source of financing without the interest element. This is especially so during this crisis period where getting loans from finance institutions is becoming more difficult.

How then can you increase one's faith in you or your business? The key would be to build your individual or business reputation by simply establishing positive records for yourself or company. Positive credit records provide confidence to your lenders or credit granters. The more you add on your positive credit, the higher your chances in attaining credit and enhancing your credibility in future.

Start building "Faith" by having and maintaining a positive credit history. This is important as it allows others to have confidence in you and your business. Your credibility also does influence the credit terms, credit amount offered and interest rates you are required to pay to your credit providers or suppliers.

Begin your journey to build positive credit if you have little or no credit history. With planning and discipline, it is not a difficult task to achieve. For business owners, building positive credit records for business and oneself is equally important. Legally, you and your business belong to the same entity. Moreover, for new start-up businesses with no credit history, credit granters will tend to associate the behaviour of the decision maker with how he/she manages the business's funds.

Building good credit records is also equally important for young adults who are not business owners. One should start early to build his/her credibility, for good credit affects much more than one's credit purchases or loan applications. This is seen with an increasing number of potential employers who are conducting credit checks on their applicants. An applicant with a good credit record will find him/herself in good standing as it indirectly demonstrates self-discipline and reflects his/her ability in managing personal finances well.

Create "Faith" today and you will find great "Favour" for your business and yourself. Please call us at 6507 2321 to find out how to begin and benefit from it!