Choose Islamic Financing but Avoid These Common Start up Mistakes

Finding Islamic financing when you’re a business startup doesn’t need to be difficult. We offer a checklist of financing requirements for commercial properties that makes the process hassle-free. It includes a personal financial statement and a tax return that covers the most recent years.

Of course there’s a lot of other boxes you’ll need to check beyond sharia compliant financing for a startup. If you’re like a lot of people who are becoming entrepreneurs, you’re eager to get going.

Keep The Cash Flowing

However it’s a good idea to make sure you avoid some of these common mistakes.

• Like buying assets with the money that you set aside for your cash flow. Using operating cash to pay for different kinds of long-term assets can result in a cash shortage. It’s much better to use a business loans to look after major purchases like machinery or equipment.
• Forgetting to make a business plan is another big mistake that can cost your business in the long run. Many rookies forget how important it is to have one of these. They don’t need to be detailed or very long. However, taking the time necessary to chart a path forward will help keep your business efforts on a consistent level. Not only that, a good business plan serves as a set of benchmarks for your team and helps to measure your progress.

Easy To Understand Islamic Financing

Ijara Community Development Corporation (IjaraCDC) is not a broker or lender. We make sharia compliant financing easy to understand through the Ijara method. This method is in accordance with all of the sharia compliant guidelines necessary. The money is funded by lenders and brokers from traditional sources. Our goal is to provide the proper Islamic financing options to businesses and consumers.

We want you to have all the necessary information to make the right decisions. Here’s a few of the other common start up mistakes that you’ll want to avoid.

• Not having the right financing at the start is another common misstep. Don’t lowball the amount of capital that you’ll need to get your business started. The result can be inadequate financing and a cash squeeze that starts as soon as your enterprise begins to run. The solution is simple. Put together a series of financial projections for the first 12 months of your business. These will also help you get financing and investors.

One of the other big mistakes you can make is ignoring technology. It’s important to consider how the latest innovations pay off in the long run with improved profitability, efficiency and growth.

You made a smart move by choosing Islamic financing for your startup. Don’t ignore the marketing capabilities of the Internet. It’s easy to target specific markets on social media platforms. It’s a cost-effective way to get the word out on your brand-new enterprise.

Finally, you made another good decision when you chose sharia compliant financing. As your business grows, you should learn from any of the mistakes you make along the way.