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In this modern generation, technology hugely influences our everyday life. Even in the business world, technology plays a vital role in determining how to succeed. Marketing is now mostly done online, promotions are made in social networking such as Facebook and YouTube.
Transactions are done via the business website.
Two ways to create a website:
- • Use of free and DIY platforms such as WordPress, Weebly, and Wix, and;
- • Hiring experts to develop it for you
For your business, which should you choose?
Choosing the DIY leads to various pros and cons. The pros are that you need not shell out expenses to do your website. But up to what extent?
To start with, there’s a difficulty exporting the data once you decided to switch platforms, and yes, almost everyone does switch at some point in time. When you decide to, you’ll have to re-do everything you made and start from scratch.
Secondly, DIY platforms have limited functions. The design might look good at the start, but as you go along, you’ll realize it cannot cover up the functionalities you need and want.
These are just some of the reasons why business owners hire professional web developers to help them construct a website that suits their ideas and user-friendliness.
The only burden why some opt to go for the DIY platform is the cost it will take to hire a web developer. But if this will fully benefit your business, why think twice of investing in it?
Worry no more, for we have prepared tips on how to fund your own website.
Hire a developer who’s willing to accept monthly payments
Every web developers require their own preferred mode of payment, some are negotiable while some have standard requirements. One of them is the monthly payment scheme.
This is not new, though also not common. Web developers often require a 50% upfront down payment upon contract signing, with the remainder to be paid on a timely schedule or a lump sum at the end of the project.
But since creating a website does not end in one day only, the monthly payment scheme is highly applicable. Creating a web page takes several months to finish, so it’s not hard to negotiate that you pay fees every month as the project progress. That way, you need not let your cash flow suffer for huge one-time payment.
The point here is that you shouldn’t be afraid to request a payment plan to match with your cash flow. Just make sure that you equally match your cash payments to the extent of work your developer does for you so that he won’t greatly suffer if you missed payments.
Consider taking out a small personal loan
If your business is just starting up, it might be difficult for you to get a business loan. That is why a personal loan works best if you need funding in your website.
Financial institutions use scorecards to determine your capability for a personal loan. Usually, debt-to-income is used to compute your repayment capacity.
It is important that you know how to evaluate yourself. Even if you have more than enough cash flow to cover principal and interest payments of your desired loan amount but you have an existing huge loan as well, it might impact the lender’s decision on whether you’ll be given a loan.
Get official status as a corporation
This is when you want to apply for a credit line instead. Once you incorporate your business, the corporate entity can apply for a credit line to support the business.
The difference between a personal loan as to a credit line or corporate loan is that once you default payment, you will be personally liable for personal loans, while the corporation will be liable for a corporate loan.
Whichever ways you choose to fund your professional website, note that you are heavily investing in an asset you can use for a very long time. To give you best results, avoid bargaining for a very low price to web developers.
Though the costs of hiring one might seem too pricey, if you match it to the time spent on meetings with clients, troubleshooting, and testing the project a couple of times before launching, you’ll realize that some web developers do not even get the hourly rate applicable to the job he’s doing.
So instead of considering creating a website causes you huge costs, take a different perspective and see the benefits it will give you to boost your business, empower your brand, and generate audiences that will turn to customers.
After all, these are the reasons why you’re paying for a web developer.
Aisha Workman is a financial solutions adviser at Cash Mart SG. She works in financing for over 5 years and is an authority on emerging financial services. She’s also a speaker at financial planning conferences and visual learning events around Singapore.