If you’ve just become engaged, it might seem that finding the right person to share your life was the hard part. Now look at the costs of your wedding. If you haven’t already seen the national average for wedding expenses, read ‘em and weep:

Is it any wonder wedding loans are so popular? (Are you still with me? Or have you already clicked onto Expedia to begin plans for eloping in Jamaica? Take a deep breath and read on.)

Give a little thought to what you want for your wedding. Do a little internet research. Make a few phone calls. Draw up a rough estimate of what your wedding might cost.

This is probably a good place to address the urban legend surrounding who pays for what. Traditionally, the bride’s parents paid for nearly everything. No doubt many fathers-of-the-bride took out a wedding loan to do it. The groom’s family paid for the rehearsal dinner, the bride’s bouquet and the honeymoon. Though that might sound pretty terrific, what you have to remember is the people writing the checks decide how their money will get spent. But that’s all history anyhow.

These days, most couples are older (him: 28; her: 26) and paying for 77 percent of the wedding expenses. You and your intended may or may not have a nest egg of your own, but at that age you probably have some pretty clear ideas about what kind of wedding, reception and honeymoon you want. And if you want your wedding day to bear any semblance to those ideas, you will come up with the money – even if it means taking out a wedding loan. (Advice for grooms: If you’ve ever taken out a loan for a boat, motorcycle, pool table or home theater system, this is no time to balk if your bride suggests a wedding loan. Believe me, she hasn’t forgotten about your boat, motorcycle, pool table or home theater system.)

So, what if the wedding of your dreams is way, way out of your price range? Pick out the elements that mean the most to you. Call this your “I’ll Tell You What I Want, What I Really, Really Want” list. Will you be disappointed without that fabulous gown? Put it on your ITYWIWWIRRW list. If it’s important to be able to invite all of your friends and family to the reception, put it on the list. How about your honeymoon? If you’ve both been dreaming of honeymooning in Europe despite the lousy exchange rate, this should go on your ITYWIWWIRRW list. For these things, it may be worth taking out a wedding loan.

Now what are the things you don’t care so much about? The flowers? The invitations? The engagement ring? If the parents have offered to help with the wedding expenses, these things go on the “We Can Live with Almost Anything You Decide” list. If you’re totally on your own, the items on your WCLWAAYD list are the things you’ll scale back on or ax completely. These are definitely not the things that are worth a wedding loan. Now go back to the internet for more research and pricing.

Now compare your initial estimated expenses with the latest revision. Feeling better yet? Or are your numbers still too high?

Take one more look at the ITYWIWWIRRW list. Now close your eyes. Can you picture your wedding day without the dress? Would you feel cheated in Toronto instead of Paris?

Okay, allow me to plead guilty right from the start.

When it comes to last minute shoppers, I'm first in line. Christmas, Valentine's Day, family birthdays -- you name it and I'm the one in line the day before - - and often the day of -- the big event.

Turns out that could be a big mistake, money-wise. A new study by three university researchers: Jennifer Aaker, the Xerox Distinguished Professorship in Knowledge at the University of California, Berkeley's Haas School of Business; Cassie Theriault, a marketing Ph.D. candidate at Stanford University's Graduate School of Business; and Ginger Pennington, an assistant professor of marketing at the University of Chicago Graduate School of Business, says that last-minute shoppers pay more and get less than their more time-savvy counterparts.

"Last-minute shoppers on a tight deadline will pay more for a product advertised as a means to prevent a negative outcome (such as disappointing their spouse) than for a product advertised as a means to promote a positive outcome (such as thrilling their spouse with the perfect gift)," Aaker explains.
After conducting a series of experiments with hundreds of college students, Aaker, Theriault, and Pennington found that the time before deciding to make a purchase is a critical factor in a consumers' decision making.

One study involved a group of students facing midterm examinations who either perceived the exams as “soon, only a week away” or “still a full week away.” These students received sales pitches from a fictitious tutoring service that were presented either as a way to avoid failure – highlighted with the marketing slogan, “Don’t do poorly in any class!” – or, more ambitiously as a way to achieve success, with the catchphrase, “Ace every class!”

The research group says that their experiments found that consumers caught in a bind of having to buy something as soon as possible worry about failing their goal. This concern leads them to settle for products advertised as having the bare minimum features needed, as in the case of the tutorial service pitch claiming to help students to “not do poorly in class.”

With more time to make a decision, however, consumers become more confident that they can reach “higher goals” in their purchase, so a product that is “good” will likely appeal more than a product that is merely “not bad," according to Aaker. Moreover, Aaker found through her experiments that consumers are willing to pay more for items that sellers present as having desirable features, or products that are “promotion-framed,” sold under such sales slogans as “You desire the very best!”

For consumers, the research poses important questions on how they make decisions. Should we worry that our standards decline when time is running out? And if we have more time to decide, should we think about setting overambitious goals, and perhaps even ask ourselves: “Would I really buy this if I had to make the decision tomorrow?”
With a little planning - - and a well-placed calendar -- time management doesn't have to be so pressure-packed. Now excuse me while I go off to do some early Christmas shopping.

Your money is in jeopardy and you may not even know it. Study after study demonstrates that scam artists who prey on unwary Americans and fleecing them of their savings are on the rise and more successful than ever. Credit card fraud alone cost Americans $2 billion in 2007, according to Celent Communications.

What can you do? Fight back by knowing what to look for and learning to anticipate the tricks of the trade used by unscrupulous hucksters and con artists.

Here are some good tips from the folks at ClearPoint Financial Solutions, a finance company that focuses on consumer fraud:

Telemarketing Scams

According to the Alliance Against Fraud in Telemarketing (AAFT) Americans lose nearly $40 billion a year due to telemarketing fraud. Top phone scams include: free prize offers, charitable solicitations, travel offers, investment fraud, “900” numbers and advance-fee loan scams. This is not to say that all telemarketing solicitations are fraudulent, as many are perfectly legitimate. To be safe though, consumers should consider the following when dealing with a telemarketing call:

Be wary of free prize offers. If something sounds too good to be true, it usually is! Declining the offer and ending the call is your best defense.

Check your charities. You should never make a monetary donation over the telephone. Instead, if a charitable organization contacts you over the telephone for a donation, ask that they send you literature in the mail instead. Nearly all organizations would be happy to accept a check in the mail. That way, you can determine that you are sending money to the correct charity, rather than giving your credit card information to a potential thief over the phone.

Investigate investments. Never discuss investment opportunities with a solicitor. You should only conduct this type of business with a company that you  have selected based upon doing your homework. Don’t give in to high-pressure sales tactics or anything that makes you feel uncomfortable. When in doubt, just hang up!

Unsubscribe. To eliminate telemarketing calls altogether, consumers have the option to sign up with the National Do Not Call Registry. To do so, consumers can visit www.donotcall.gov.

Phishing and Vishing Scams

Phishing occurs when scam artists send emails that appear to be from a bank or e-commerce organization. Typically the message warns the consumer that their account has been compromised, and that immediate action and response is necessary to fix the problem. Consumers are advised to click on links within the email to start the process. Vishing occurs in the same manner, however the recipient is directed to call a number to correct the problem, and is then prompted to give their account information over the phone. Avoid these types of scams by:

Stay away from links. Never click on a link that is included in a suspicious email. Not only does it legitimize your email address, it can direct you to a fraudulent site that can 
capture your account information. Never follow prompts to enter your personal information online. Again, if you’re concerned about fraudulent account activity, check your account statements and notify your bank.

Exercise caution. Suspicious emails are just that –  suspicious. Be extra cautious if you see an email from your bank that’s asking for your account information. Since your bank already has your account numbers on file, they will never ask for it in an email. Simply delete the email and move on. If you are concerned about your account, be sure to call your bank, using the telephone number that’s printed on your bank statement, not the number that’s in the email.

Report spam. Want to stop the spam from hitting your inbox? According to the Anti-Phishing Working Group, you can report phishing or spoofed emails to the Federal Trade Commission the Internet Crime Complaint Center and to the company that is being spoofed.

ATM Scams

It may sound more like a new dance move, but the Lebanese Loop is actually an ATM scam. Scam artists will insert a plastic sleeve into the ATM and then wait for bank visitors to insert their card to access their account. When someone inserts their card into the machine and enters their PIN, the machine is unable to read the card and recognize the number. The person then assumes that the machine ate their card and walks away. The scam artist is then able to retrieve the plastic sleeve out of the ATM along with the person’s card.

Be aware of your surroundings. Before approaching an ATM machine, take a quick scan to see if there are any suspicious persons nearby. Always make sure you are using an ATM that’s in a well-lit area, and, if it can be avoided, never use an ATM after dark. Trust your instincts. If the area does not feel safe, try to locate another ATM.

Check the ATM. Before inserting your card into the ATM, check the machine to see if anything looks out of place or broken. If you feel the machine has been tampered with, use another ATM or go inside the bank to withdrawal your funds

Act quickly. If your card gets stuck inside the machine, immediately notify the bank or your credit card company and have them cancel the card. If it’s during business hours, ask if a bank representative can access the machine to retrieve your card.

Let's face it, times are tough enough without having some scam artists pout the hook on your wallet, credit card, or bank account. In this case, an ounce of prevention is really worth a pound of cure.

They say a happy employee is a productive employee.

But this summer, with gasoline prices inching up toward $4 per gallon, cash-strapped employees don't have much to smile about.

Here's some proof. According to Wayne Hochwarter, a professor of management at Florida State University's College of Business, Americans' work attitudes have been negatively impacted by the rising price of oil and gas.

In a FSU study of 1,000 workers across the U.S., 60% of employees say that the price of gas has significantly reduced the amount of money they have to spend on other things, while 45 percent reported the need to pay off debts more slowly or not at all. Additionally, 26 percent indicated that the cost of gas has necessitated going without basics such as heat or air conditioning, or even cutting back on food purchases, over the past few months.

What's more, Hochwarter reports that those most affected by gas prices tended to experience stress both on and off the job. Such stress include: negative views of work and the company, sluggishness, antagonistic behavior, feeling overwhelmed and sadness.

"Most of these effects can be attributed directly to distraction while at work," Hochwarter said. "Those I've talked to spent a significant amount of time worrying about their financial situation."

Hochwarter also asked whether employees felt alone in their sacrifices or if their company had to tighten its belt as well.

"Certainly, only a handful of employees noted that their company changed plans or had to go without because of the price of gas — even companies that rely heavily on fuel for their operations," he said.

That could spell trouble for small businesses. The FSU study reports that those employees most affected by gas prices who did not see the company sacrificing were less committed to getting things done while at work. Compared to those who felt that their company was doing without, those who felt alone in their sacrifice:

• Were 15 percent less committed to the company.
• Had job performance levels that were 12 percent lower.
• Were 20 percent less willing to stay late or work extra if needed.
• Were 25 percent less likely to give "maximum effort."

"The price of gas has contributed to the perceptions of many that they are simply never going to get ahead," Hochwarter said.

Not a good report for small businesses. From what Hochwarter found,  when employees feel they can't get a fair shake in the consumer marketplace, their work tends to suffer. That could make your bottom line suffer, as well.

Think about it -- your life insurance policy is your financial life preserver. Without it, your entire financial assets are in jeopardy if something were to go awry.

Most people know this, but still allow their life insurance policies to expire.

It's simply not enough to buy a life insurance policy once and forget it. As your life changes, you need to re-evaluate your insurance coverage to make sure it continues to meet your needs. You can do that by working with a qualified agent or financial planner, and asking and answering the following questions -- as often as necessary:

- How long ago did you buy your life insurance? Were your family circumstances different? Was the policy different?
- Have there been changes in your family's income, savings, debt or financial goals that could impact your needs with regard to coverage?
- If you have term coverage—which costs less than other types of insurance but remains in effect only for a specific term of years with no built-in savings—how long is the term? Will it be long enough to   provide protection until your children are through college? Will it help protect your spouse's (if you have one) retirement assets? Do you anticipate any significant changes in your financial situation?
- Have you reviewed your insurance in light of your long-term savings goals?
- Who is your beneficiary? Is this who you want to get the proceeds today? Can this beneficiary manage the cash provided by the life insurance?

As you consider the questions I've listed above, take time today to review your present life insurance coverage. Talk to your financial professional about reviewing your existing coverage to determine if
it's adequate to help assure a sound financial future for you and your family.

Remember, your financial lifeline is at stake.

I was talking with a mortgage banker today about possibly refinancing out of my own mortgage loan if rates go down. After we ran through that, he told me a story about a friend of his who thought he had his estate planning all worked out. Turns out there was a snag, and one worth mentioning.

First, you know I'm big on having a will.  A will is the first step towards creating a plan for the benefit of your heirs. A will can accomplish some important goals:

•     Naming your personal representative – someone to guide your estate through the probate process when you pass
•     Naming a guardian to watch over your minor children
•     Distributing your personal property according to your wishes

With a will, you make these important decisions. Without a will, the state makes these decisions for you.

But you need to plan it right. My mortgage friend told me the following story to prove that point:

Unhappy with his past investment performance - and skeptical of his adviser's intentions -- "John Doe" moved his accounts to a new adviser.

That's all well and good, But did John Doe take the time to also check his will?

In my friend's story, John Doe didn't do that. That led to the realization that, although the guy's investment accounts were reinvested to his satisfaction, the prior (ineffective) adviser would still take over management when John Doe  passed away.

That would have left his heirs with an untrusted adviser who he thinks made unethical, commission-driven investment choices," my friend said. "The lesson to be learned is to review and update your will regularly."

A wise point, and a good one.

There's an old joke about a bar owner who bragged, "I opened this place 15 years ago with $78 in my pocket and boy, have we made progress! Today, I'm $298,000 in debt!

No doubt about it, debt can kill a small business, and seriously hurt your chances of reaching a finance company for a small business loan or other financing.

So here is an important thing to remember: Managing your debt load is just a piece of your overall debt puzzle. And recognizing red flags that indicate you are in trouble is another.

The bigger picture - how debt can impact your small business, the steps you can take to control debt, credit and borrowing issues, and who to go to for help if you need lending help - those are the underpinnings of the debt management structure.

It's also important to understand what debt management is not.

It's not, for example, another name for bankruptcy, although that's a common misnomer. Debt management doesn't mean you are in bankruptcy, or even on the way there. Bankruptcy is usually reserved for those who can't pay their debts and need legal protection. Debt management is reserved for those who can pay their debts, but need a little help in doing so.

Put it this way:

Bankruptcy is permanent and debt management is temporary.

Bankruptcy is for small business owners who don't even have enough cash on hand to pay for food and shelter. Debt management is for people who can't afford to pay all of their debt obligations.

Bankruptcy is for small businesses that have no money to pay creditors. Debt management is for people who have simply fallen behind on their payments to creditors.

Bankruptcy is for small business owners who can only afford to pay cents on the dollar on their debts. Debt management is for people who plan on paying 100% of their debts (with a potential break on interest, depending on the good graces of their creditors).

Bankruptcy is for small business owners who will soon lose some, most or all of their assets. Debt management is for people who don't lose assets.

Bankruptcy is for small business owners who may never get credit again. Debt management is for people who will get credit again.

In short, debt management is a viable alternative to bankruptcy for those entrepreneurs who can afford to meet their debt obligations. But note that, if a bleak debt situation goes largely ignored, the path from debt management to bankruptcy can be a short one.

As the revenues roll in from your burgeoning small business, it's tempting to use some of that cash to pay down your debts. But should you do that instead of investing the money for the future?

It's a fair question. In fact, Old King Solomon would have a difficult time deciding what to do.

But there is a guiding light out there in the economy that can help you decide -- interest rates. Why should it all come down to interest rates? In our dilemma here, it's a good idea to invest money if you can earn a higher interest rate than you are paying on your loans and debts. For example, if the interest rate on your small business loan is six percent and you invest in a mutual fund that promises a higher return, then your money is working harder and smarter for you as an investment.

That said, there's no guarantee that your mutual fund will even earn four percent next year. Heck, it could lose four percent.

So that's why I favor paying off your debt first. The interest rate fees you kill by paying off the loan alone make that strategy a savvy move. And being debt free is a small business owner's dream.

But I also come down on the side of practicality. If you insist on going the investor route, put the maximum you can in your self-employed retirement plan (SEP). In a word, SEP's are like a "Solo" 401(k) that cater specifically to small business owners and sole proprietors who want to save for retirement on a tax-advantaged basis. Since your retirement plan distributions are tax-deferred and come out of your own pocket as a gross, and not net, amount of your earnings, you'll hardly notice the money is missing.

It's simpy a matter of paying yourself first.

Come to think of it, paying yourself first is a good debt strategy of its own.

Any business owner worth his or her salt knows that time is as much a commodity as widgets or washing machines.

So when an opportunity arises to save some time -- and maybe some money -- a lot of small business owners will sit up and take notice.

The tax season may give them just such an opportunity.

According to the Conference Board, more people are electing to file their taxes online, apparently with speed and transparency trumping any security concerns on the part of filers. The Board interviewed 10,000
Internet users for its study.

The Conference Board reports that in 2007, about 39 percent of tax filers will file their 2006 federal taxes online. That's up from 28 percent in 2004. Make no mistake, filing one's taxes online is big and  getting bigger. About 65% of taxpayers elected to file their tax forms online for three or more consecutive years. Almost 50% of taxpayers have been filing online for more than five years, says the Conference Board.

"Speed, convenience and choice are compelling an increasing number of consumers to toss their pencils and papers and file their federal taxes electronically," says Lynn Franco, director of the Conference Board  Consumer Research Center. "Whether using professional tax services or do-it-yourself software, electronic filing continues to grow year after year. And, by far, direct deposit is the preferred refund method. This  year's ability to split refunds among up to three accounts is yet another choice that should broaden the appeal of electronic filing."

Just because more Americans are filing their taxes online doesn't mean  that they're not getting professional help to do so. The study reports that among online filers consumers, about 40% plan to use a professional tax service. The Board also reports that the amount of online filers using IRS e-file has declined since 2004, "as the pool of  eligible filers has likely shrunk due to increased complexity in returns and as more alternatives become available."

What really interests me about the study is the fact that Americans are finally getting over their security fears in using the web for personal  financial issues. The study reports that Americans are less concerned abou  security when filing taxes online. Today only 43 percent of Internet users are "extremely" concerned about filing taxes online, down from 52 percent in 2004.

Getting money back faster seems to be a big issue, too. In 2006, 70 percent of online tax filers elected to snag their refund by direct deposit while 18 percent opted for the proverbial check-in-the-mail. What was the main reason for those opting not to file online? Reason number one is that most taxpayers do not do their own taxes (34 percent). Coming in second (23 percent) were concerns about personal information on the World Wide Web.

We've spent some time on this blog talking about generating financing for your business. But what do the decision-makers - - the banks, the credit lenders, the Small Business Administration, and other financial organizations -- look for when deciding whether or not to lend you their money?

Actually, it's not all that complicated. The information below will give you a heads up on what more traditional financial institutions will ask for when you apply for lines of credit or loans through the Small Business Administration (SBA.). The SBA, by the way, has an excellent checklist of documents needed for its loan process.

For both types of common loans (short-term and long-term), your business (or business-to-be) requires the following documentation before your loan request can be evaluated:

• A business profile. This is a written statement.  A document describing the type of business you own, and includes details, such as annual sales, number of employees, length of time in business and specifics of ownership.
• Loan request. This is a description of how you want the loan funds to be used. This statement should include purpose, amount and type of loan.
• Collateral. This gives the lender a description of the collateral you’re offering to secure the loan, including equity in the business, borrowed funds and available cash.
• Business financial statements. These are complete financial statements for the past three years as well as well as current interim financial statements.
• Personal financial statements. These are statements of all the owners, partners, officers and stockholders who owning 20 percent or more of the business.

Be sure that your financial statements are carefully prepared and up-to-date! The strength and accuracy of your financial statements will be the primary basis for the lending decision to go in your favor, so be sure that yours are carefully prepared and up-to-date. 

The most important documents in your financial statements are:

• Balance sheets from the last three fiscal year-ends.
• Income statements revealing your business profits or losses for the last three years.
• Cash flow projections indicating how much cash you expect to generate to repay the loan.
• Accounts receivable and “payable aging,” breaking your receivables and payables in to 30-, 60-, 90- and past 90-day old categories.
• Your personal financial statements from you along with statements from your business partners listing all personal assets, liabilities and monthly payments, as well as your personal tax returns for the past three years.

What to include a loan proposal…in a nutshell:

• Business name and address
• Names of principals and their social security numbers
• Purpose of the loan---be as specific as possible about what it will be used for? (salaries, equipment, etc.)
• Amount of money you need: EXACTLY

Business description:

What kinds of business?

History?

How many employees and current business assets do you have?

Management:

Offer a short description on each principal…including background and education, experience, skills and accomplishments.
Market:  Demonstrate knowledge over your product(s) and where it fits in the market(s). Competition and role in the overall marketplace
Sketch customer profile and how you business can fulfill customer needs.

How banks will review your loan proposal (in a nutshell)?

1. First and foremost, they want to see PROOF they will be repaid
2. That means they'll investigate your credit
3. Outside sources of funding (at least 25-50%) will strengthen your case
4. Sufficient experience to pursue business enterprise
5. Suitable cash flow for business to run

The key? Be prepared and have both your documents and financial story in order. If so, the road to solid financing is wide open.