Banking and managing money keeps getting easier and easier. Personal finance apps help us remember to pay bills, keep an eye on account balances, and stay within our budgets things we need to do daily and for which we often need reminders. The automation available in today’s personal finance apps is astounding. Some apps can consolidate all your transactions across multiple credit cards and bank accounts into one view. You can see all the transactions that happen across all your accounts, and get a tally of all your balances:
The Debt-Equity Ratio helps in determining the effectiveness of the financing decision made by the company. While taking the financial decisions, the finance manager has to take the following points into consideration:
- The Risk involved in raising the funds. The risk is higher in the case of debt as compared to the equity.
- The Cost involved in raising the funds. The manager chose the source with minimum cost.
- The Level of Control, the shareholders, want in the organization also determines the composition of capital structure. They usually prefer the borrowed funds since it does not dilute the ownership.
- The Cash Flow from the operations of the business also determines the source from where the funds shall be raised. High cash flow enables to borrow debt as interest can be easily paid.
- The Floatation Cost such as broker’s commission, underwriters fee, involved in raising the securities also determines the source of fund. Thus, securities with minimum cost must be chosen.
Thus, a company should make a judicious decision regarding from where, when, how the funds shall be raised, since, more use of equity will result in the dilution of ownership and whereas, higher debt results in higher risk, as fixed cost in the form of interest is to be paid on the borrowed funds. AC-Plus has recently offered financing to customers through a 3rd party “Payzer”, who in turn uses various lenders and in my case they have partnered me with GreenSky. I can offer financing on repairs and replacements $ 1500.00 thru $ 12,000.00 depending on credit approval. I have chosen two plans to offer my customers a promotional Plan 3128 “ 12 month deferred payment interest plan “ followed by 84 amortized payments based on the balance at the end of the promo. Example monthly payments of $ 197.20 on $ 8,500.00. Another plan # 1969 has a APR 9.99 % for 96 months with a payment of $ 133.45 on a job financed for $ 8500.00
AC-Plus always tries to help our customers with the right decisions when it comes to service, repairs or replacement of their Air Conditioning and Heating System. We go through a detailed checklist to identify the home’s existing system and any improvements that could be made with the best choice as to repair or replace. By offering finance options we assist in that choice. It’s easy to convince yourself to spend and save responsibly when the numbers are right in front of you, but it’s a different story when you’re on-the-go. Smartphones have brought nearly every aspect of desktop computers to your pocket; it only makes sense they’d bring money management, too.