The Purpose of a Business

When purpose is unknown abuse is inevitable. An understanding of the purpose of the Christian business will help us in our approach to handling and running our businesses.

Many say they have a Christian business, without fully understanding the concept of a Christian business.

The truth is, a business entity is neither Christian nor non-Christian. A Christian business is one run by a Christian, who engages Biblical values and principles as taught in the word of God, in the day to day running of the business.

The key to running a Christian business is a commitment to making decisions on the bases of scriptures and not on situations, feelings or what is acceptable to society.

As we run our businesses in the way of the Lord, we honor God and ultimately bring glory to His name.

This is the purpose of every Christian, in business or otherwise- to glorify God. And this also, is the primary purpose of every Christian business.

"........whatsoever ye do, do all to the glory of God."1cor 1o:31

Our businesses must bring glory to God!

This can be achieved, as we use our businesses to serve God's purposes on the earth.

Early in a business career, the most important thing to the entrepreneur is how to break even and keep the business running. Later it becomes important to make profit and build a bigger business.

And this is why, it is crucial for the Christian business man and woman to have a priority system, that will help to maintain balance. Maintaining balance is important in a spiritual sense just as in a material sense.

If all other functions of successfully running a business organization are neglected in the pursuit of evangelism, the business would run aground.

We must position the business to generate revenue and make profit. God is interested in our businesses making profits. He wants us to prosper in whatever we do.

"Thus saith the LORD, thy Redeemer, the Holy One of Israel; I am the LORD thy God which teacheth thee to profit, which leadeth thee by the way that thou shouldest go."Isaiah 48:17

"And he shall be like a tree planted by the rivers of water, that bringeth forth his fruit in his season; his leaf also shall not wither; and whatsoever he doeth shall prosper." Psalm 1:3

Yet we must not neglect using the business to serve God, as we propagate the Gospel.

Therefore, the priorities really mean what are my goals, and can my goals be balanced to achieve the overall objective of serving God while meeting material needs.

Business as Instrument of Evangelism: When placed side by side, the profit of a business is rather trivial compared to the value of a soul. But if used properly a business can be used to change the lives of countless lost people.

"For what is a man profited, if he shall gain the whole world, and lose his own soul? or what shall a man give in exchange for his soul?" Mat 16:26

An entrepreneur can use his business as a tool to influence people within his sphere of business dealings and operations by helping them to hear the Gospel of Christ. And thereby many are led to Christ.

Financing the Gospel: We can also set apart, a certain percentage of the profits from our businesses, for kingdom work. Sponsoring Gospel crusades, mission work and building worship centers are commendable and laudable things we can do for the kingdom of God, as God helps us to make profits in our businesses.

By this, our businesses are bringing glory to God, as lives are being transformed and impacted.

".....My cities through prosperity shall yet be spread abroad;...." Zec 1:17

Carrying out all these, will not be difficult if we understand that all we have, we received of the Lord.

"For who maketh thee to differ from another? and what hast thou that thou didst not receive? now if thou didst receive it, why dost thou glory, as if thou hadst not received it?"1cor 4:7

Also worthy of note, is the fact that all God has ever done, and He will ever do, will be done for His pleasure.

The business and the profit He gave you, He gave for His pleasure.

Lack of a Targeted Business Plan Causes Small Business Failure

Traditional thought about business plans is that you must have one to be a successful entrepreneur. However, there have been recent conversations by some business professionals that challenge this contention, instead recommending that entrepreneurs should spend their time running their businesses rather than creating plans. This exchange of ideas can only be a good thing, and the debate about the relevance of business plans will probably continue for some time.

Writing a small business plan is viewed as a burden by many entrepreneurs who see it as something that is done and then filed for future reference (actually, never to be seen again). Most of the business professionals who suggest that plans aren't necessary probably fall into this group. However, people who support the need for plans most likely see them as part of a process for business growth and development-a tool to use in truly understanding the business' mission, what needs to be accomplished, and how the business will meet targeted goals and objectives.

The decision to make or not make a plan may rest on how the term is defined. Business plans actually come in all shapes and sizes and meet diverse needs depending on if the entrepreneur just wants clarify about what needs to be done or if the goal is to attract financial institution or angel investor capital. Some entrepreneurs even use plans to create marketing campaigns or to attract stellar employees. All of the priorities listed here will play a critical role in how the term business plan is defined by individual entrepreneurs. Therefore, the idea of a rigid definition of what a plan is and what it does is not very practical.

The title of this article suggests that the lack of a business plan will spell doom for an entrepreneur. Why is this true, especially when many professionals in the business community don't think they are necessary at all? Well, the business plan concept actually represents the belief that an entrepreneur must take a honest, analytic view of her business, its operations and marketing models, and financial stability to determine what needs to be done-both present and in the future-to be success and profitable. It's hard to image this process occurring effectively if there isn't a plan of some kind in place (and in writing) that can be read, reviewed, and changed as needed.

The debate over the usefulness of business plans to entrepreneurs may be more productive if the focus is shifted somewhat away from the idea of having or not having one to a focus on determining how the plan can be shaped to meet the specific conditions, situations, and priorities faced by each entrepreneur. This change in focus would certainly produce greater consensus among professionals that business plans are critical and not having one causes small business failure.

How to Build Business Credit - Build Your Business Credit Fast

Learning how to start building or repairing credit for your business are imperative. Whether you are establishing a business or have an existing one, building a good credit rating is essential, as it helps to optimize your business operations.

In the initial stages of building business credit, more often than not, it is necessary to use your personal credit background to obtain funding to finance purchases and attain credit. However, the business credit profile should be separated from your personal one, as relying on one's own funding to finance the business leaves you personally liable.

The process to build up credit for your business must commence prior to starting operations. To start building credit immediately you must be looking on establishing the following:

Business as a Legal Entity

To separate your business credit score from your personal credit score it is necessary to establish your business as a separate entity. To qualify as a separate entity the business has to be structured as a corporation or a limited liability company (LLC).

Tax Identification Number

Acquiring a tax ID number (also known as an Employer Identification Number, or EIN) is the next step involved in building valuable credit for your business. Similar to the personal credit score which is associated with the individual's Social Security Number, the business credit reports are associated to a tax ID number. The federal tax identification number can be obtained from the Internal Revenue Service and there are a several ways to reach them:

Call the IRS Business and Specialty Tax Hotline at 1-800-829-4933.

Download IRS Form SS-4 from the Internal Revenue Service website

Download IRS Form SS-4 from the Small Business Administration website and submit to IRS by mail or fax. Directions for the SS-4 forms are provided online.

Business Bank Account

Opening a business bank account allows you to separate business funds from personal funds. Furthermore, a business bank account can also serve as a bank reference when applying for business credit.

How To Start Building CreditWith A Business Credit Card

As a business credit card can be used as a revolving credit line, it is simplest way to build up credit history with on-time payments. Timely payments eventually improve your company's credit worthiness which facilitates your ability to acquire a business loan. Therefore, use a business credit card for payments whenever possible. Unlike personal credit cards, having multiple active business accounts can be positive, provided that they are in good standing. However, limit the number of business credit cards when beginning and as the company grows you can continue to acquire more.

Business Phone Number

Acquiring a business phone line is important as business credit reporting agencies use the phone number to index your business in their databases. In addition, the credit reporting agencies use the telephone number as proof that you are actually conducting business.

Business Listing

Be sure to supply the exact same business address and phone number to every credit agency and trade credit vendor. Ensure that the business address and phone number are also listed in both the 411 Directory (White Pages) and the Yellow Pages.

A D-U-N-S Number

The D-U-N-S Number is a 9-digit number issued by Dun and Bradstreet that most companies utilize it to verify the credit history of businesses. The United States government and many corporations require their suppliers and contractors to have a D-U-N-S Number. Keep in mind that having a D-U-N-S number is just the beginning. You will need to start building your company's credit profile by doing business with creditors and/or suppliers that report to Dun and Bradstreet.

How to Start Building Credit By Registering with Credit Reporting Agencies

Many of your company's lenders and suppliers report information to the business credit reporting agencies about your company, such as how your business pays its bills or loans. There are many business credit reporting agencies such as D&B, Experian Business, BusinessCreditUSA, FDInsight, and ClientChecker. The majority of suppliers, creditors, and lenders pull their reports from Dun and Bradstreet, Experian and, Equifax Business. Registering an account with these 3 business credit reporting agencies is a good start.

Registering enables your company to start building credit through their credit databases. The database can also be used by potential customers, suppliers and lenders to obtain fundamental information about your company. As it is not mandatory, it may be necessary to ask businesses that you work with to report your timely payments to these business reporting agencies. These submissions enhance your credit rating and verify your registration with the business credit reporting agencies.

Compliance

Before conducting business, it is necessary to obtain all registrations, permits and business licenses that are required in your jurisdiction.

In summary, once the above list has been completed, the process of building business credit profile can commence. Obtaining trade credit with vendors is a good place to start. To build up credit score, it is important to seek vendors and suppliers that are set-up to report your company's payment history to the credit reporting agencies. Naturally prompt payments for purchases are essential in leading to a good credit score. If the business has an existing loan, timely payment of the loan can also help you establish a better business credit score.

As it is with the individual credit scores, it is important to review your business credit scores from credit bureaus once or twice a year. Make sure the information is accurate. Upon finding errors, contact the appropriate bureau and report the errors immediately with proper documentation. As the business credit report affects the operations of the business, it is to your best interests to have these agencies present an accurate picture of your business.