About Me

My photo
Mumbai, India
I run an IT Security consulting firm based out of India. We started off from scratch in 2001 when I was 21, and have offices in Mumbai, Bahrain, and UAE. The idea behind the blog is to share the stories of how we run the business, the deals we make, the deals that break, the heartburn, and the sheer joy.

The Ultimate Startup Guide

The Ultimate Startup Guide is an e-book that provides answers to all your questions related to starting and growing a business in India. Everything you wanted to know about entrepreneurship in India from ideation to registration to marketing to hiring. The book contains a large number of practical examples, anecdotes, interviews, and motivational material to help you get started, and to grow rapidly in a booming Indian economy. If you've got the idea, this book will help you through with the execution and realize your dreams. Here are some of the key questions you will find answered in this book:
  • When starting a business, what are the legal issues involved?
  • What form of incorporation is better suited to which type of business?
  • What tax issues are involved?
  • How do I start a business and what are the pitfalls?
  • How do I market my business in the absence of significant funding?
  • How do I get funded?
  • What are the basic accounting concepts I should be aware of?
  • What is a business plan and how should I build one?
The brief table of contents of the book is as follows:
  1. Getting started
  2. Ideation
  3. Forms of Enterprises
  4. Funding
  5. Basic Accounting and Taxation
  6. Import and Export Licensing
  7. Trademark and Patenting
  8. Rules for NRIs and Foreigners
  9. Building a Business Plan
  10. Marketing on a Shoestring
  11. Website and Branding
  12. Women Entrepreneurs
  13. Templates
To order the Ultimate Startup Guide - email me at kkmookhey@gmail.com.

Details of the book are:
Title: The Ultimate Startup Guide
Author: Kanwal Mookhey
Pages: 150
Additional: Companion CD contains numerous templates for building your business plan, calculating cashflow, preparing profit and loss, and balance sheets, preparing invoices, your resume and profile, marketing material, websites, contracts, and many other useful and motivational material.

Thursday, February 07, 2008

Funding your business using credit cards?

I just came across an article about using credit cards to fund your startup. Although, the article is for the US environment, I think this is a patently bad idea, especially in India. The current interest rates on credit card debt are close to 2% per month, which is 36% per year! If that is not usurious, I don't know what is. It might actually be cheaper to go and raise money from your neighborhood money-lender!

The rules in India allow the directors to pay for certain expenses of the company from their own resources, and to then get reimbursed a few months or maybe a year or so down the line when the company has started generating enough funds. Knowing that fewer than 5% of new ventures actually succeed, why take such a huge risk and be saddled with debt and surmounting interest costs?

In any case, rolling over credit card debt, or switching from one provider to another just because you're exceeding your credit limits on the first card, means that you're spiraling way down a debt trap. Doing this, when trying to get your business up and running is a horribly bad idea. So don't fall for the temptation of abusing your credit ratings you might have built up by religiously paying off your credit card bills while you were in a regular salaried job. Your income when running your business is going to be close to nil for the first year or so. It is far better that you work harder at building up the funds yourself or rallying family and friends around to the idea of supporting your business.

4 comments:

eric kirkham said...

Using your business credit cards for business funding isn't necessarily a terrible idea, IF you have a solid plan in place to repay those debts. There are also government entities that can help with financing, in terms of grants and subsidized loans. It can be a challenge finding a secure menthod of business funding, but if you aren't reckless with your money and with your credit, it is possible.

Sudheer Yadav said...

I was looking you kind of blog from a long time finally I got your blog thanks you due to you blog I go so many help for my blog http://www.guruofmovie.com

Kamla Dholakhandi said...

All India home and office relocation services provider. Click below link to know more…
Ppackers and movers Noida
Packers and movers Delhi
Ppackers and movers
Faridabad packers and movers
Ghaziabad packers and movers

mahendra said...

HI Very good and useful information .Thanks for sharing .Keep up the Good work
Hey, very nice site. I came across this on Google, and I am stoked that I did. I will definitely be coming back here more often. Wish I could add to the conversation and bring a bit more to the table, but am just taking in as much info as I can at the moment.
Thanks for sharing.
http://worldfamousastrologerinindia.in/
Love Problem Solution
Love Problem Solution
Girlfriend Vashikaran Specialist
Get Love Back by Vashikaran
Love Prolem Solution in Delhi
Husband Wife Problem Solution
Vashikaran Specialist Astrologer
How to Get Lost Love Back
Love Marriage Problem Solution
Love Vashikaran Mantras For Ex-Love
Intercaste Love Marriage Problem
How to Stop Extra Marital Affairs
Love Marriage Specialist
Love Mrriage Problem Solution in India
Love Problem Solution in USA
Love Problem Solution in UK
Vashikaran Specialist
Love Vashikaran Specialist
Boyfriend Vashikaran Specialist
Get Extra Marital Affairs by Vashikaran
Love Vashikaran in Ahmedabad
Husband Wife Vashikaran
Vashikaran Specialist Astrologer in Gujarat
How to Get Love Back
Love Marriage Vashikaran
Love Vashikaran Mantra For Boyfriend
Love Vashikaran Mantra For Girlfriend
Vashikaran Expert Jyotish in India
Vashikaran Specialist in Vadodara
Vashikaran Specialist in USA
Vashikaran Specialist in UK
Vashikaran Specialist in Canada
Black Magic Specialist
Black Magic Solution
Black Magic For Girlfriend
Black Magic For Boyfriend
Black Magic For Enemy
Get Love Back by Black Magic
Black Magic Specialist Astrologer
Court Case Solution by Black Magic
Love Solution by Black Magic
Black Magic For Ex-Love
Black Magic Removal
Black Magic For Extra Marital Affairs
Black Magic For Business
Black Magic Solution in India
Love Problem Solution in USA
Love Problem Solution in CANADA
Other Astrology Service
Karmkand Astrology
Kundali Matching
Career Problem Solution
Career Problem Solution
Business Problem Solution
Job Problem Solution
Visa Problem Solution
Family Problem Solution
Children Problem Solution
Marrige Problem Solution
Best Astrologer In Ahmedabad
Best Astrologer In Delhi
Best Astrologer In Mumbai
Best Astrologer In USA
Best Astrologer In Canada