The freedom from working a 9-5 is amazing, as I am no longer tied to a cubicle and a clock; reporting to a supervisor who approved the time I could take a vacation, approved the time I could arrive and leave the office or even how long I could take to eat my lunch.
Although I may no longer be dependent on a supervisor, a cubicle or a clock but the reality is I am no longer dependent on a steady paycheck either so I have to make sure that I am handling my finances well. As much as I am loving it, I understand that encore entrepreneurship and finances come with a few unique challenges as well.
I have structured my week so that Wednesdays are dedicated to administrative and financial tasks. I enter my expenses and ensure my income is properly documented. I am currently using WAVEAPPs software to keep track of my financials and according to my accountant it’s not a bad product, but he recommended others as well.
When I first started ABlake Enterprises it was more of a hobby than a business, but now that it’s a business, and I am officially an Encore Entrepreneur it’s vital that I make sure I can stay financially stress-free.
Most of you know that we are looking to downsize our home which is one of the best ways for us to break the burden of debt. Having built our home 25 years ago, there are several things that we need to do before we put it on the market.
Painting, plumbing, and electrical work are a few minor things that we can easily address, however, as an self-employed entrepreneur over the age of 50, obtaining a new mortgage may be a bit more of a challenge.
We are researching our options as to where we want to relocate within the state of Delaware, but we haven’t begun researching financial options which is why reading blogs posts from Associates Home Loan company is giving me insight into topics such as Alternative Income verification loans.
Alternative income verification loans are mortgages which involve lenders who do not utilize conventional documentation to validate the income of a borrower. Some refer to these loans as low-doc or no-doc loans.
Participants who desire to borrow capital via these types of loans are typically self-employed (such as owners of small businesses), while some are simply investors with income-documentation issues.
Relative to small business owners, these loans are great when business growth cannot be seen in a previous year’s financials, which also may not be finalized and can show a big expense that a business may no longer be paying.
Through alternative income verification loans, borrowers are allowed to present non-traditional forms to verify their income to prove they’re capable of repaying a loan. Furthermore, these loans can possess stiffer protocols than traditional loans, including greater requirements for liquid assets.
Alternative income verification loans are ideal for borrowers who are self-employed to purchase or refinance a property minus the need to present their bank statements and tax returns. Even those who are in the low-income category can find alternative income verification loans more beneficial than many traditional loan programs.
When the time comes we will work closely with our realtor on our financial options, but it’s great to know that there are programs that exists for self-employed entrepreneurs even those of us over the age of 50.
During a recent interview on Heart Ministry Radio we discussed the challenges as well as the excitement of being an encore entrepreneur and if you click the link below you can watch the video version.
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