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What are Bitcoin Exchanges?

Bitcoin Exchange

There are many people who want to purchase bitcoin, but they don’t know where to purchase bitcoin? Before purchasing the bitcoin, we should know that what is the meaning of the bitcoin exchange and how it is working in bitcoin?

What are Bitcoin Exchanges?

Bitcoin exchanges are exchanges that are used to convert the local currency into bitcoin and to convert the value of bitcoin into your local currency.

Bitcoin exchanges are working as exchanges like banks who convert the foreign currency into our local currency or if we want to send money to foreign, then converting our local currency into foreign currency with minimum charges or fees.

Why are Exchanges Important?

There are many people who are using bitcoin as a payment method; they use bitcoin to pay digitally for goods or services, for paying their bills, for paying debt, or any other use of bitcoin, but if you have bitcoin in your wallet and you want to pay in your own currency to the person who cannot accept money via bitcoin, it will create a problem for you, and the question will arise- how I can pay him in local currency?

The answer is simple; there is a need for an exchange that will convert your bitcoin value into your local currency so as you can pay easily in your own local currency.

Are there any Physical Exchanges?

Yes, there may be physical exchanges in your local area where you can create your account on that Exchange. You can physically visit that Exchange, and you can convert your bitcoin value into your currency. But in some areas, there are no bitcoin exchanges exists.

Where to get bitcoin exchanges if they do not exist in your local area?

The question will arise that where to get bitcoin exchanges for converting the currency into your local currency. The answer is websites.

Yes, there are many websites of bitcoin exchanges that are providing facilities for bitcoin exchanges. You can simply search on the internet “Bitcoin exchanges” it will show many ads and organic search results of exchanges that provide these facilities.

All the bitcoin exchanges are same?

No, there are a lot of bitcoin exchanges on the internet which are different in some parts like exchange rate may vary in each Exchange but the service will be the same in each bitcoin exchange is that converting bitcoin value into local currency or local currency into bitcoin value for the smooth trading.

Will bitcoin exchanges charge?

Yes, bitcoin exchange will charge some amount of fees for the exchange service. There may be different charges in different exchanges, which depend upon the popularity of the Exchange. If an exchange is very popular, they will increase their fees of Exchange seldom.

For example, when you go to the bank to send money abroad, the bank charges some money as a fee for converting your currency into the currency of another country where you want to send money.

Tips for choosing the Exchange

In this internet era, there is a lot of competition, and in every field, competition is increasing day by day. Many businesses are establishing rapidly, and it is difficult to choose the right product or services.

It is the same in the case of bitcoin exchanges; when you will search on Google, there will be an enormous number of bitcoins exchanging websites and which will create a difficult situation for the bitcoin users to choose the right platform for smooth trading of their bitcoin. So, there are the following tips you can use while choosing a bitcoin exchange: –

  • Before going to exchange your bitcoin into physical currency, always look at the nearby exchanges for the exchange rate that will help you to find the exact rate of bitcoin exchange.
  • Before going to exchange your bitcoin into physical currency, first of all, check the price of bitcoin in your own currency.
  • Keep a close look at the exchange rate of different exchanges before creating an account for your bitcoin wallet. There are some websites that will provide you data about the exchange rates like Bitcoin Storm
  • Check different exchanges and check their fees for exchanges because there are some bitcoin exchanges that are charging a small amount for their service, and on the other hand, there are some other exchanges that charge a huge amount for the same service.

Are ‘Free’ Online Stock Brokers Really Free And Are They Fueling Volatility?

‘Free’ Online Stock Brokers

There is no such thing as a free lunch so when a company claims to offer something at zero cost there is always a catch. In the case of discount “free trading” brokerages, the user is often paying for the service through higher fees elsewhere.

Robinhood: The Customer Isn’t Really The Customer

Robinhood gained notoriety as one of the first discount brokers to challenge the status quo that investing in stocks is reserved for the wealthier segment of the population. The company offers stock trading and other services to its users at zero cost. Now, the obvious question observers need to ask themselves is how can a company operate by giving away their service for free.

We know the answer. Robinhood has a unique business model that is quite complex and differs from its rival online stock brokers.

Simply put, Robinhood acts as a sort of middleman by accepting customer orders and sending the orders to high-frequency traders and hedge funds. This practice is legal and has a name within the online stock broker universe: payment for order flow.

Supporters of the practice argue that Robinhood’s close connections to high-frequency traders mean it can get a better price compared to sending the order to the New York Stock Exchange. According to a 2018 report from The Wall Street Journal, it wasn’t clear if Robinhood was passing along the benefit to the customer.

WSJ notes that a theoretical order to buy 100 shares of Apple at $200 a share would net Robinhood a cut of $5.20 for routing the order to a firm, like Citadel Securities. By contrast, legacy online stock brokers like Schwab would collect nine cents for completing the same order.

This is like receiving a free Big Mac at McDonald’s but paying $6 for the fries and drink when a traditional combo costs $5.75. Sure, the Big Mac was technically free but the consumer is getting a worse deal.

In 2019 Robinhood paid the US Securities and Exchange Commission $1.25 million to settle regulatory claims it didn’t ensure clients received the best possible price for orders. While the company claimed at the time it took steps to improve its execution and processes, the fact remains clear: Robinhood’s user base is not the firm’s client, rather it is the product, and firms like Citadel are its real clients.

This Canadian ‘Free’ Discount Broker Has A Catch

Wealthsimple is one of the Canadian online stock brokers looking to challenge discount brokers that banks operate through unique offerings. Wealthsimple is known for its robo-advisory service in which customers take advantage of curated investment options based on their unique and individual circumstances.

In this case, Wealthsimple offers zero-commission transactions in exchange for a fee equal to 0.5% of assets under management. The fee drops to 0.4% for clients with more than $100,000 in their accounts.

A customer with a $25,000 portfolio will pay $125 a year in fees. This might be an ideal scenario for young people who are new to investing and don’t know (or want to know) how to properly manage their savings. But savvy investors that are comfortable in setting up their portfolio and willing to monitor it are paying much more for “free” trades with Wealthsimple.

Wealthsimple also offers a do-it-yourself option for investors that want to manage their own portfolio. Unlike every other Canadian discount broker, The online broker does not allow customers to hold US dollars in their account. So each time they sell a US dollar-denominated stock it is automatically converted to Canadian dollars. If they want to reinvest the proceeds from a stock sale in another US stock they need to unnecessarily pay another exchange rate markup.

Anatomy of a free trade copy

Do ‘Free’ Discount Brokers Fuel Volatility?

Free and very cheap online brokers introduced tens of millions of new investors to the market. Robinhood alone added 13 million new users in 2020, many of which followed the lead of Barstool Sports founder Dave Portnoy who live-streamed his trading during the early days of the COVID-19 pandemic.

Portnoy started trading with zero experience and minimal knowledge of stocks. But his vast business acumen eventually translated to profitable trades after some initial losses. His charismatic personality fueled his popularity and made it clear to millions of new people they can also profit from stocks whether they are investing $100 or $1 million.

The GameStop and other “meme stocks” fiasco of early 2021 made it abundantly clear that investors and traders on free online stock brokers can move stocks in ways that have never been seen before.

The Wall Street Journal notes that the surge in average investors using discount online brokers is collectively large enough to create a “power shift” on Wall Street. The power shift was evident when a hedge fund powerhouse Melvin Capital Management was on the losing side of the GameStop trade by the tune of billions of dollars.

Bottom Line: Free Isn’t Free, But It Can Still Be Worth It

Before Robinhood and other “free” discount brokers came along, the average person felt left out of the stock market surge. There is some validity to this thesis as Robinhood was among the first to offer fractional share ownership at no upfront cost to an investor.

Canadian online stock broker Wealthsimple offered a similar proposition of giving smaller investors access to professionally managed investment products. Granted, its zero-fee platform could end up being more expensive than standard discount brokers that offer a fixed fee per transition.

But for many investors “free” is a fantastic option.

A Matter of Intelligence: Interview with Laura Hamilton, Falanx Assynt

It is sometimes said that there is no gain without risk. But just how great is the risk involved in any given business context, in a world where there are so many factors in operation? Laura Hamilton, former Head of Intelligence Consulting at Falanx Assynt, gives us some background.

Could you give us some general background on Falanx Assynt, and on your specific role in the company? 

Falanx Assynt is a geopolitical risk and strategic intelligence consultancy, headquartered in London with employees located globally, many of whom are embedded analysts within client companies.

My role as Head of Intelligence Consulting is to look after any of our bespoke projects that do not have a solely geopolitical focus. These projects involve carrying out and instructing human source enquiries, public records and open-source research, before analysing the findings and reporting them in a format that meets the client’s requirements. We work with clients across a range of sectors, helping them with everything from enhanced due diligence to asset tracing, new market entry to understanding a subject’s source of wealth, litigation support and numerous other in-depth research requests.

Your work relies on examining historical data, and your assessments of reputational risks are only as reliable as the data you have access to. Are there any geographical areas or fields of activity where it is particularly challenging to get reliable data? 

The information available varies greatly from jurisdiction to jurisdiction, both in terms of availability and reliability. I think the key is an understanding of what is available and how to find it, which is what consultancies like Falanx Assynt can offer. While I do not think there are any specific jurisdictions to single out where it is particularly challenging to get reliable data, there are areas where understanding the political context is key to understanding data reliability – for example, understanding if media are censored by the state or funded by the government and therefore potentially unlikely to publish anything positive about opponents. This is crucial when it comes to understanding whether, for example, any corruption allegations you uncover are valid or are instead part of a potential effort to discredit the subject.

The Blade Reading Corporate Office

Has the pandemic situation caused any specific difficulties for your company in conducting its business? 

Thankfully, we have been able to make a smooth transition to operating remotely, having always had team members located across a number of jurisdictions. When it comes to our project work specifically, it has just meant we have had to add in some additional time for accessing public records which are only available in person. However, varying timeframes is something we have always been conscious of and we have ensured that our clients know this remains the case, especially now that we are in the midst of the coronavirus pandemic. This enables us to set the right client expectations from the outset, so we are able to not just deliver but, where possible, exceed the requirements in a reasonable timeframe.

In the light of experience to date in coping with the pandemic, do you think there are lessons to be learned for business in the future, particularly with regard to prediction and planning? 

I think that, while it would have been very difficult to predict the situation we find ourselves in regarding the pandemic, predictions about the areas you operate in are nonetheless key to helping you mitigate potential risks. I also think businesses need to be more aware about the potential reputational risks they face, both from carrying out due diligence on partners, clients and potential investments, as well as through ongoing assessment of where their exposure might lie. It seems many businesses have adapted well to the pandemic; however, being proactive rather than reactive is key, where possible. It is also important to ensure that plans are in place to mitigate a variety of scenarios which might arise and that are within their control, whilst also ensuring business continuity. 

Success, growth, career, development signpost

Do you see a danger that business might be so preoccupied with reacting to COVID that leaders may be taking their eye off the ball in other areas? 

I think if anything it has made business leaders more aware of how quickly something can impact their business and therefore made them more conscious about mitigating the risks that are controllable, such as trying to avoid reputational damage and understanding their exposure to potential impacts in the jurisdictions that they operate. Furthermore, since COVID-19 has had such an impact on all sectors globally, leaders must now deal with both the impact of the pandemic and the ongoing business challenges simultaneously, with strong leaders being able to tackle them well.

The pandemic is naturally seen as being very much in the category of threat’ for businesses. However, do you see any aspect of opportunity that business leaders could take advantage of? 

Trust, innovation and resilience are key to business success, all of which can be found in abundance at the moment.

I am a natural optimist and so while I think it is important to acknowledge how tough this scenario is in so many ways and give credit to everyone who is just trying to manage in these difficult times, there is always some good and positivity to be found as well. While the pandemic has been a threat to many sectors and businesses, I am in awe of those individuals and companies who have demonstrated such adaptability in the face of adversity, pivoting and changing to different industries, or ways of delivering their services or goods. The shift to more environmentally friendly methods of operating, more trust in companies where all staff have been forced to work remotely, and the innovation that has come out of some really tough spaces is something that business leaders could take advantage of. Trust, innovation, and resilience are key to business success, all of which can be found in abundance at the moment.

Some studies suggest that women in intelligence are under-represented, as well as being lower-paid than their male counterparts. How would you say your industry compares with others in this regard, and are you optimistic for the future?

I think the industry is changing and I am really fortunate to work in a company with mainly women here at Falanx Assynt. I do think there is a shift in this traditional pattern and that the industry is becoming more diverse in terms of gender, but there is long way to go. I am on the leadership team of Women in International Security (WIIS) UK, which is a great place to see how many excellent women there are across numerous related fields. I am also really optimistic for the future – I work with some excellent more-junior members of staff, and I have also had a few opportunities to speak to new graduates and current students recently. I am in awe of how intelligent, articulate, and driven they all are, so I have a lot of hope for the next generation of women in my field. I cannot wait to see what progress they make!

Interview

What would your advice be to women starting out on a career in general, and in your industry in particular? 

The worst anyone can say is no (or ignore you); neither of those reflects on your capabilities, but you do not know unless you try, so go for it.

I stumbled across my industry, so I would recommend that any woman interested in finding out more about the strategic or geopolitical intelligence field – or whatever sector she is interested in joining – reach out to people she knows, as well as those she does not, who are in the industry she is interested in joining and ask them how they got there. The key is to also weave your story together well in applications. I have taken a less than linear path to get to where I am, as I didn’t start out in the intelligence sector, so if you find yourself in that position, make sure to explain why you are the perfect fit for the role. I would treat everything as a building block to help you get there, find areas in your career to date which align with the job role and emphasise those qualities, which will make it easy for the hiring manager to see the value you will bring to the role and the company at large.  Finally, the worst anyone can say is no (or ignore you); neither of those reflects on your capabilities, but you do not know unless you try, so go for it. That would be my main advice!  

For more tips on how financial businesses can become more resilient, particularly those operating in complex jurisdictions, access my top five tips for gathering intelligence when litigating in unfamiliar markets. “Guide to accessing credible Intelligence”

Executive Profile

Laura Hamilton

Laura Hamilton  – former Head of Intelligence Consulting – joined Falanx Assynt in May 2019 and is responsible for managing both strategic intelligence and political and security risk projects. She has four years’ previous experience in the corporate investigations sector, having begun her career as a legal markets analyst before working in the international communications team for a FTSE 100 retailer.  Laura holds an MA in War Studies (Conflict, Security & Development) and a BA in Spanish, Portuguese & Latin American Studies, both from King’s College London. She is fluent in Spanish and Portuguese, with elementary knowledge of French and Arabic, and has regional experience in sub-Saharan Africa and Latin America. Laura also recently joined the leadership team of the UK branch of Women in International Security (WIIS), a network for women working on international security issues.

Why every celebrity is suddenly obsessed with bitcoin

cryptocurrency

From A-list celebrities to social media personalities, the highly engaging nature of the bitcoin community is ever growing.

It wasn’t until recent years that the popularity of cryptocurrency wholly captured the public interest at large, when most of its founding years were reserved almost exclusively to engineers, developers, and entrepreneurs around the globe.

In early January of 2021, Bitcoin hit one of its newest highs, reaching approximately $42,000 per mined coin. Needless to say, it’s one of the most liquid investments to date. And with its surge in prices, comes the re-emergence of the Bitcoin fever we knew all too well dominated the 2007 market.

More than just a niche investment, bitcoin has become one of the most sensationalized financial trends – and even an obsession – shared not only by common traders but influential figures alike.

Here are some of the reasons why.

Fan culture

Mark Cuban, a billionaire entrepreneur and television personality, told Forbes in December that bitcoin “is more (of a) religion than a solution to any problem”. This phrase alone is telling of the sort of cult-like devotion to which applies the followers of this cryptocurrency, who have taken on idealistic views of its success and domination in the financial market and spend countless encounters convincing everyone else it is so.

There is a fan culture dedicated around bitcoin, as their enthusiasts have their lingo and jargon-filled with acronyms and phrases only those in the trade would understand. For example, “HODL” basically means “Stay strong, HODL even when the price drops”. Or “whale” which symbolizes “someone who owns a lot of cryptocurrency”. If you would like to HODL bitcoin, use one of these celsius referral codes to store your bitcoin.  

These tidbits of bitcoin-exclusive references and inner colloquial terms attract a sense of community between its traders, building a rapport amongst all no matter where in the world they are trading from.

“The culture around bitcoin is part of the appeal,” says Finn Breton, professor of science and technology at the University of California Davis. “When you buy bitcoin, you’re actually buying into a whole scene,” Breton continues. “And it’s a scene that can be a part of your identity.”

Though bitcoin is getting more attention from some serious investors and mainstream financial institutions, it’s still a somewhat subversive concept, so people who invest in it can view themselves as radical or participating in the counterculture.

A sense of gratification

The process of checking stocks regularly is an activity that can quickly grow tiresome and boring, but this is not the case with bitcoin. When it comes to cryptocurrencies in general, it can be exciting because no one hour is the same and something is constantly changing and shifting within the charts. You can check the graphs ten times a day, and the prices can still vary wildly.

Young people especially those who have grown up with video games and social media are conditioned to want instant gratification and fast-paced cycles. Being drawn to high-risk high-reward investments like bitcoin makes perfect sense for those seeking instant thrills.

Branding

Over the years, celebrities have undoubtedly attracted some attention to the crypto sector.  With a considerable number of public figures already investing their fortunes in cryptocurrency, more seem to be jumping on board with cryptocurrency for business ventures and more.

Madonna, along with Bill Clinton, is also one of many public figures involved in spreading the word about how easy and secure cryptocurrency is as a payment method. The Queen of Pop teamed up with Facebook and Ripple for an online fundraiser to benefit her Raising Malawi foundation where she raised thousands for the cause.

Because of the niche nature of this financial subsector that has not been as recognized as traditional payment schemes, it’s also a way for these influencers to set themselves apart from the mold. Being associated with bitcoin gives them an air of eclecticism and sophistication.

The overall bitcoin excitement, particularly among young people, illustrates that people feel locked out of the ability to have the kind of assets that would let them generate any form of wealth.

Looking at the fever surrounding bitcoin begs people to see it in part as a demonstration of the financial innovations surrounding our fast-changing modern world, but also at the magnitude to which things are changing. These celebrities are in the know, and they are sowing their oats while bitcoin is still accessible only to the select few who can indulge in it before it completely takes over.

SEO, Importance of Search Engine Optimization

SEO
Figure 1Search Engine Optimization (SEO)

Search engine optimization which is commonly known as SEO is fixed and will always be one of the effective online marketing strategies today even though digital marketing the landscape has changed dramatically from year to year. It has become an important factor to consider for a company, expanding into digital marketing. It can help with gaining feedback from customers about a business. Not only are the options to build a relationship with them, but also improve their experience and loyalty. As an online technique, it impacts the search volume and customer experience for websites and content material, among other factors. SEO company in Auckland will assist you in acquiring the proper business practices for expansion in today’s market.

There are many advantages that we can get from search engine optimization. In the following, SPOTLIGHTSEO team summarizes 5 basic benefits of SEO.

  1. Increase visitor traffic to the website.
  2. Increase ROI (Return on Investment) – Return on Investment
  3. The cost is more affordable.
  4. Increase the usability of the website.
  5. Increase brand awareness (brand awareness)

To find out more explicitly and more comprehensively, our team will describe in detail the five benefits of search engine optimization.

1. Increase visitor traffic

Having a website that occupies the top position on the search engine results page will bring you multiple benefits, especially in terms of the number of visitor traffic. If your website is in a good position, your site will automatically receive most impressions and clicks. Being in this top position can result in a significant increase in traffic for your website.

Website Traffic
Figure 2Website Traffic

SEO also focuses on making title tags and meta descriptions relevant to keywords that will be displayed on the search results page. Having optimized tags and descriptions will help increase the click-through rate which in turn influences increasing quality visitor traffic.

2. Increase ROI (Return on Investment)

Search engine optimization has a positive effect and impact on the ratio of growth in return on investment. According to SPOTLIGHTSEO team, one of the best Indian SEO agencies, SEO delivers results that can be tracked and measured, regardless of whether your website is an e-commerce or non-e-commerce site so there is no doubt when it comes to ROI. Professional SEO agencies can track almost every aspect of their strategy, such as increased rankings, visitor traffic, and conversion rates. Comprehensive analytics also provides the ability to search at a granular level and view demographic information as well as other engagement metrics for individuals or visitors who have interacted with your website. It’s important that whomever is managing your SEO to be clear about SEO KPIs and how you will improve those results.

ROI
Figure 3ROI (return on investment) – Return on investment

In the case of an e-commerce site, an SEO agency can look at the path users took to complete a sale, down to which keywords they used to search for you before buying. For non-E-commerce sites, you can attribute value to your lead’s conversions, such as filling out a ‘contact us’ form, and that way you can calculate the value of your SEO strategy.

3. The cost is more affordable

Search engine optimization is one of today’s digital marketing strategies. This is due to the SEO work system that targets users who are actively looking for your products and services online. The inbound nature of SEO helps businesses save money compared to outbound strategies like cold calling. While cold calling can still be an effective strategy, leads generate 61% more cost than leads generated by inbound strategies like SEO.

Hand writing on blackboard - Cost effective
Figure 4Cost-effective (more affordable costs)

SEO also targets users who are actively looking for products and services that are similar or like yours so that the traffic generated from SEO is of higher quality than many other marketing strategies. This then has an impact on cost savings for the company.

4. Improve the quality of website usability

Search engine optimization has a huge influence on the usability quality of a website. To increase the usability of your site by implementing an SEO strategy, your website will be easier to navigate on search engines such as Google, Yahoo, Bing, etc. Internet users or visitors to your website will feel impressed with the quality of your website and thus they will also feel comfortable and will spend more on the pages of your website.

usability word cloud
Figure 5usability of the website

In short, search engine optimization makes it easier for search engines to crawl your site and find pages but also makes it easier for users to find the information they are looking for on your website as well.

5. Increase brand awareness (brand awareness)

As it should be, a website that has a good ranking (the top position on the first page of search results based on keywords) will generate significant impressions. Therefore, placing your website in the top position will have an impact on increasing the number of exposures for your website.

The text Brand Awareness appearing behind torn brown paper
Figure 6Brand awareness

Being on the first page for your targeted keywords not only helps users associate your brand with those keywords, but also instills trust because companies on the first page are generally considered to have a good reputation and can be relied on.

A good and natural SEO strategy can maintain a good website ranking based on keywords for several months, a year and even more. Many people involved in digital marketing prefer to apply SEO tactics because the results are more promising.

7 Reasons To Invest In Birmingham City Centre Apartments

real estate

One of the best places to invest in real properties today is Birmingham, a so-called “second city” of London. Birmingham has seen a fair share of improvements and foot traffic throughout the years, making it a hotspot for budding businesses and investors.

If you want to take advantage of that growth, investing in Birmingham City Centre Apartments is something you should be considering. And if you want to reap the benefits of investing in apartments but not sure if it’s something you can handle, it’s best to ask for help from property consultants.

Property consultants always keep an eye on what’s available in the real estate market and are knowledgeable about the demographics, market trends, and other things that affect the selling and buying process. So, if you want to include apartments to improve your Birmingham property investment portfolio, look for a property consultant.

However, if you’re still not convinced if you should start investing in Birmingham or not, below are some of the many reasons why it’s always a good idea:

1. Dependable Income Stream

One of the main reasons to invest in Birmingham apartments is that the assets are secured to several months of leases. With this in mind, it provides a dependable and regular income stream that can generate positive cash flow higher than the usual dividend yields.

2. You Can Control The Value

With apartments, you have more control over their value. Once you maximize the rent and minimize your expenses, you can boost the net operating income and this will improve the apartment’s overall value. It makes apartment investing more stable, predictable, and consistent.

3. Easy To Finance

Whether or not you’re just getting started with real estate investment, another reason to invest in apartments is that they’re much easier to finance since they’re less risky compared to single-family rental properties. This is because owners can also rely on their rental income from various tenants to pay off the mortgage.

4. A Valuable Physical Asset

Apartments are an income-producing type of real estate property that’s considered in the hard asset category. Aside from the building itself, the lot also comes with its own valuation—especially if the location is a prime spot. Also, the income it generates has value to future investors. Other than that, real estate investors who maintain apartments don’t have green and red days, unlike stock market investors.

invest

5. Great For Portfolio Diversification

Apartments are perfect for investors who want to diversify their portfolio with rental properties. Investing in stocks, bonds, and cryptocurrencies are relatively easier than investing in real property. However, these investments are also volatile. Since commercial real estate tends to be more complicated, it can be challenging at first. However, it’s a rewarding investment once you’ve nailed it successfully.

For instance, when you’re managing or acquiring single-family homes, you have to deal with various sellers and conduct separate inspections on the properties that are located in different places. Aside from that, you may need to refurbish or renovate the property to make it attractive to tenants. But once you have the apartment rented out, the income would be huge.

6. Tap A Growing Young Population

The location of Birmingham makes it an attractive alternative for young people to settle down in the area. Aside from students, the city attracts many fresh graduates from different places who are looking for work, either in Birmingham or nearby London. Since this demographic is most likely to rent, it only makes sense to invest in apartments because there’s a huge demand for them.

7. Easy To Manage

If you’re only investing in a single-family home, you might end up looking after multiple properties in various parts of the city. With apartments, you can own a unit and rent the rest in just one convenient location. Keeping all your units in a building enables you to manage your property easily.

If you do end up with multiple properties in various locations, you can hire a property manager to help you handle your units instead. Having professional assistance can be the key to a smooth building operation. Running apartments will be a hassle-free process if you have a reliable property manager on your side.

Conclusion

There are other reasons why it’s always a good idea to invest in Birmingham’s real estate properties. However, before you invest in one, make sure to do your research and seek professional consultants who can refer you to good prospects and give good insights about a potential investment. This is how you can make the most out of your hard-earned money.

How to Profit From Investing in Art: 5 Tips

art

It is true when they say that there pretty much is a market for everything in this world. That being said, you have to ensure that you are playing the market correctly if you want to make some money off of it. Art is no exception to this and there are plenty of people who collect art solely for the reason of making money off of it in the future. While it might seem like a no brainer, there are plenty of things that you have to consider if you are planning on investing in art. Small subtle things can either make the difference of a piece being worth thousands if not millions of dollars, and being completely worthless. Here are some tips on how you can profit from investing in art.

Find A Platform

The first thing you are going to want to do if you plan on investing in art is find a platform where you can talk and deal with other like minded people. If you don’t know where the market is, how can you go about exploiting it for your own personal gain? There are plenty of websites out there that allow you to not only list your own art onto the website, but also allow you to get part ownership of pieces of art. That’s right, with some major pieces of art, you don’t even have to purchase the whole thing. Websites such as Masterworks art investing allow you to find a piece of art that you are interested in and then purchase a part of it. Why is this useful?

There are major pieces of art out there that people know are going to increase in value over time. The only thing stopping people from making these purchases is the high barrier to enter in regards to the price. By being able to buy a partial bit of a painting, you can cash in on the fact that it is done by a big name and generate profit off of it. While you won’t make as much money as you would if you owned the whole thing, you will still show some profits.

Although there are plenty of marketplaces out there for art investing, you do have to expect to wait a while before something of yours sells. Paintings can sometimes be on the market for several years before they are purchased by another investor. This means that while you have the potential for massive earnings, you have to remain patient and calm throughout all of this. Find a platform to invest with if you are planning to profit off of art.

Watch Out for Fakes

Art is one of those mediums that are heavily faked. At any given point there might be a few fakes of a famous painting circulating in the world gallivanting as the real thing. To the untrained eye, it can be almost impossible to spot a fake. The only thing you have to go off of is a signature, and even that can be forged perfectly with technology that people have today. If you are ever planning to purchase a piece of art, especially a major one, you need to have it inspected so that you can verify that it is the real thing. 

There is nothing worse than spending thousands of dollars only to find out you now have something that is completely useless. This happens more often than you would think in the artworld, therefore you have to be extremely careful whenever you are purchasing art from a seller. Always ask for a certificate of authenticity as these are handed out to prove that they are the real piece of art. With so many fakes out there, you need to make sure that you are buying the real thing.

Invest For the Long Run

2021

If you are thinking getting into the art business is going to be similar to day trading, you should look elsewhere. The art market is slow moving, and while things will increase in value over time, it will take years for you to show any meaningful profits. Don’t instantly try to flip art you have, instead let it sit and collect. After a few years, you can list it on the market for a higher price and wait for someone to purchase it.

Be Careful

When it comes to valuing art, people often look at who the artist is and how much similar works of art have been going for in an auction. Be careful with this as there are many things out there that can influence an auction price and result in it being heavily skewed. That does not mean you should throw out the price you see, but it is just a reminder that there is more to a piece of art than the auction price eludes to. First time buyers might overpay causing an inflated value, while a piece of art simply might not be popular at a certain auction resulting in it being undervalued Always be cautious and ensure you are doing your research regarding art.

A Lack of Volatility

With many investments in today’s day and age, there is a degree of volatility and risk to them. Look at the stock market for example where prices rapidly fluctuate depending on what is happening in the world. With art, you are picking a safe investment that is always going to have some value. As mentioned earlier, the low volatility means that it will take some time to accumulate value, but it is something where you don’t have to worry about your money disappearing. Sometimes safe investments can be the best investments to make.

These are all things that you have to know if you plan on investing in art to make a profit. There are oil paintings for sale to find pieces of art that you are generally interested in as well, as they can help to add atmosphere into your own home while you wait for them to accumulate value. After a few years, you might want to try your luck at an auction or online to find a seller. How do you plan on making money investing in art?

Business Rescue During the Covid-19 Crisis: Is a CVA a Viable Option?

Business Rescue During the Covid-19 Crisis

By Hasib Howlader

Business rescue options may be on many company directors’ minds during these unprecedented times.

It is undeniable that the business landscape has been heavily impacted by the 2020 coronavirus pandemic. 

Company directors from across the country have been contacting us for advice. We’ve recognised a steeply increasing trend: the difficult reality that, due to coronavirus, previously healthy businesses are now facing the threat of insolvency.

Is my company insolvent?

If you are concerned about the current or future viability of your business, there are several key indicator tests to clarify whether your company could be defined as insolvent. 

The most useful warning sign to consider in the current economic climate is whether your business is able to pay its debts as they fall due in the near future. This is known as the cash flow test. 

Due to the decrease in trade as a result of Covid-19, companies that have otherwise demonstrated a strong, positive history of being able to meet their liabilities on time are now wondering how they will continue to do so.

You may recognise that this particularly applies to your company if:

  • You are tied into a long-term liability, such as a lease, which until recently made sense but now is unnecessary and a financial burden.
  • You have lost a significant proportion of your client base and are now faced with the prospect of attempting to reduce your outgoings proportionately.
  • You trade in one of the sectors (events, entertainment, travel, hospitality, construction) that have been left in limbo for an as yet undetermined period of time.
  • Your company has recently made financial investments to secure growth, but this is now no longer sustainable and the costs can’t be reversed.

What are the possible business rescue options?

If you believe your company is facing insolvency at present or in the near future, it’s crucial to act sooner rather than later. 

There are a wide range of options available for directors to consider, including:

A CVL or ADM can be a favourable option in some cases. However, these options can have certain disadvantages when used for companies that have only recently become insolvent, in comparison to a CVA. We’ve outlined these disadvantages below.

Is an ADM the right option?

An ADM is a business rescue option that provides protection from creditor threats and legal action as the Insolvency Practitioner attempts to restructure the company. 

However, ADMs can be  expensive, and therefore may not be feasibly affordable to a company that is struggling to meet its liabilities. 

In addition, an ADM needs to fulfil a statutory ‘purpose’.

How about a CVL?

CVLs provide an affordable option in which the Insolvency Practitioner manages creditor claims and the orderly winding down of a company. 

The specific downside here, in comparison to a CVA, is that entering liquidation could impact on the brand, affect relationships with stakeholders and break existing contracts.

In addition, any elements of the business that could be transferred to another entity by way of a sale agreement would be less likely to survive.

How could a CVA help me?

For businesses that have previously been able to stay up to date with liabilities but are affected suddenly by a significant event – like the coronavirus pandemic – the best business rescue option could be a CVA.

A CVA is a formally contracted repayment plan that typically lasts for up to five years, whilst allowing the business to continue trading. 

This would enable a business to survive the negative impact of Covid-19, operating in a smaller, more streamlined state. 

In this state, debts would be more easily managed and there would be opportunity to review any operational or management issues that contributed to the company’s insolvency.

Further advantages of pursuing a CVA include:

  • Control: You are able to remain in control as a director and therefore have a higher level of involvement with the business rescue.
  • Lower costs: The set-up and ongoing costs are often lower than those of an ADM. There is also no requirement for a cash lump sum for asset buy-back.
  • Higher returns: Creditors can expect to achieve a higher return in the long-term than they would from a CVL in the short-term. Whilst major creditors do have the ability to reject a CVA proposal, the higher estimated return should ultimately improve company/creditor relationships.
  • Reputational benefits: As the CVA is a private matter between the company and its creditors, there is no requirement for a company to inform customers that they are in one, although the CVA will be registered at Companies House.
  • Benefits for directors: Unlike in Administrations and CVLs, directors are not investigated or subject to the same level of scrutiny under the insolvency offences regime. Overdrawn directors’ loan accounts are not compelled to be repaid by an Office Holder (unless it is part of the proposal), whereas an Office Holder would seek to have this repaid in a CVL or ADM.
  • Protection from legal action:  Historic debts and obligations are compromised and bind all creditors that would have been entitled to vote in the CVA (most ordinary creditors – otherwise known as ‘unsecured’).

Pulling together during the coronavirus crisis

The coronavirus crisis has affected us all, and creditors may be sympathetic to companies that have suddenly become unable to meet their liabilities due to the impact of coronavirus on their trading.

As a result, they may be willing to accept a well-structured CVA debt repayment plan in order to return to a positive company/creditor relationship.

The government has also put business rescue measures in place to aid the increasing number of insolvent businesses, and announced amendments to aspects of insolvency law to provide further support. 

Most notably, wrongful trading provisions have been temporarily suspended. This gives directors more time to consider their options around insolvency whilst continuing to run their business, without the threat of personal liability.

What are my next steps?

If you think your company may be facing insolvency as a result of Covid-19, we’re here to help and advise you. 

Please don’t hesitate to contact us by email at [email protected].

We want to help.

This article was originally published by Hudson Weir.

Tax and Accounting Treatment for Website Development Costs

Tax and accounting treatment for website development costs

Planning on building or updating the website for your company? Not sure how to account or tax the website development costs? Does it go under profit and loss and count as an expense? Or does it go on the balance sheet and count as an asset? Haven’t a clue how to answer those questions? Don’t worry, you’ve come to the right place.

Before you can start determining the tax treatment for your website development costs, you need to determine what you use your website for. You need to decide if your website is more of a brochure that publicises your brand, or if the purpose of your website is to sell goods.

If the purpose of your website is to publicise your brand

If your website isn’t for the direct purchasing of goods, and more about publicising your business, then the answer is pretty simple. The entire website development goes on your profit and loss statement.

For those of you who are unsure about what a profit and loss statement is – it’s a document that shows a company’s financial progress over a certain period. To show this progress you have to add up all the sources of revenue and the subtract all the expenses related to that revenue.

Generally speaking, having your website development as a profit and loss expenditure is good for tax because the smaller your official profits are, the less you’re taxed on.

The example of Adam the greengrocer

To illustrate, Adam owns a greengrocers. His customers don’t buy anything online – they all come to his shop. He made £100,000 profit this year. During that time he also built a website that cost him £10,000.

Because he doesn’t sell anything directly from his site Adam needs to put his website development costs on his profit and loss statement. He will therefore only be taxed on £90,000 (£100,000 profits minus the £10,000 he spent on the website). The taxman is happy and so is Adam.

If Adam had put his website on his balance sheet by mistake, he’d have been taxed on all his £100,000 profits. That’s why it’s important to get the tax treatment for your website development costs right!

If you’re unsure of what a balance sheet is – it’s a statement of the assets, liabilities and capital of a business.

If the purpose of your website is to sell goods

If the purpose of your website is for customers to buy things through it and to make a profit on those items, then the tax treatment of your website development gets a little bit more complicated. You can no longer simply stick your website development under profit and loss. Now at least part of it needs to go on the balance sheet. But which part?

According to the International Accounting Standards Board (via IAS 38 and SIC 32), different stages of the website build should have a different accounting treatment. The initial planning stage is an expense and goes on the profit and loss statement. The building of the website should be capitalised as an asset on the balance sheet. Any subsequent updates you make to the content of the website is treated as an expense.

The HMRC sums this up nicely: “the cost of a website is analogous to that of a shop window. The cost of constructing the window is capital (an asset on the balance sheet); the cost of changing the display from time to time is revenue (an expense on the profit and loss)”.

This also shows that the HMRC’s tax treatment for website development costs follows the accounting treatment.

So what does this do to your tax bill?

The planning and website maintenance costs are considered an expense. This means they can be deducted from your profit and your tax bill.

The building of the website counts as capital and goes on the balance sheet. How this affects your tax bill will depend on whether you are an unincorporated business or a limited company.

If you’re an unincorporated business then the website build costs are eligible for capital allowances.

Capital allowances are an amount based on your capital expenditure that you can deduct from your taxable profit, in the same way as expenses.

Capital allowances vary from year to year depending on the Chancellor’s budget – hence the amount of your website build costs that are deducted from your taxable profits depends on the year.

Depending on the allowances for a particular year this might give a full deduction for your website development costs. This would give the same result for tax as if it had all been expensed. Alternatively, it may take a number of years to get a full deduction.

If you’re a company there is a special treatment that is the same as the accounting treatment stated earlier.

In your accounts, the asset on the balance sheet will have to be depreciated over the useful life of the website.

So, for example, if you think the website will last 3 years before you need a replacement, then you should depreciate it in equal instalments over 3 years on your profit and loss statement. The depreciation amount will also be deducted from your taxable profits.

If capital allowances would give you a better result than the special treatment above – in other words, if it will allow you to get the deduction more quickly – then you can choose to use capital allowances instead.

This blog covers a lot of technical details and it would be completely understandable if you feel that you need more assistance or that you need to look into this further. That’s what Howlader are here for and we’d be more than happy to help, so don’t hesitate to get in touch today.

This article was originally published by Howlader & Co.

The Effects of African Leaders’ Preference for Foreign Medical Care

leader

By Olusegun Akinfenwa

During his campaign for the 2015 general elections, President Muhammadu Buhari of Nigeria pledged to end medical tourism if elected. However, just like many of his other campaign promises, the 78-year-old leader of Africa’s most populated country has broken this pledge several times. Within his six years as president, Buhari has spent over 175 days in the UK on medical vacation.

For years, the patronage of foreign medical service has become a common pattern among African leaders. From the southern to the northern part of the continent, the situation is the same, and this has left the healthcare system in many African countries in a sorry state. In 2017 alone, President Buhari spent 152 days on medical vacation in the UK. Just about the same time, his Republic of Benin counterpart, President Patrice Talon, also went to France for surgeries. During his time as Zimbabwe’s president, the late Robert Mugabe was also another regular visitor to hospitals abroad. The list includes President Ali Bongo of Gabon, former Presidents Jose Eduardo Dos Santos of Angola and Abdelaziz Bouteflika of Algeria.

In the past few years, many African leaders have died in foreign countries while seeking medical attention. They include Ethiopia’s Meles Zenawi, who died in Belgium in August 2012, Guinea Bissau’s Malam Bacai Sanhá in France in January 2012, and Zambia’s Michael Sata in the UK in October 2014.

While the 2020 coronavirus-induced lockdowns prevented them from flying abroad on medical tourism, the trend seems to have resumed in 2021 as countries ease their travel restrictions. On March 30, Buhari embarked on yet another London medical trip and is billed to return to Nigeria in the second week of April.

The reason for this vicious cycle isn’t farfetched. Many African leaders obviously lack confidence in the health system they provide and oversee. They understand the deplorable condition of their countries’ medical sectors and will not risk having themselves and their families cared for by the poor system. For instance, in 2015, former governor Godswill Akpabio built and commissioned a “world-class” $76 million hospital in his oil-rich state Akwa Ibom of Nigeria, only to seek medical treatment in London four months later after a car crash.

The Effects

Unfortunately, this practice costs the continent billions of dollars annually. In 2016 alone, Africans spent over $6 billion on outbound treatment. Nigeria accounts for Africa’s highest foreign healthcare expenditure, as its citizens spend $1 billion annually. Unfortunately, medical tourism is a luxury that can only be enjoyed by a small minority of the over 1.2 billion African population due to the abject poverty that ravages the continent. Sadly, the poor citizens are the ones bearing the brunt of this selfish and shameless act of their leaders. Its numerous effects include:

  • Huge Gap in Healthcare Funding

The year-long negligence and meagre budgetary allocation have left a huge investment gap in Africa’s health system, which will require billions of dollars. Sub-Saharan African is the worst. The region has about half of the countries in the world with an acute health financing gap. In Nigeria, for instance, the latest World Bank data shows that public spending on health care accounts for just 3.89% of the country’s $495 billion GDP. The figure shows a huge difference when compared to developed countries like United States, Germany, and Canada with 16.89%, 11.43%, and 10.79 respectively. According to a recent report from a real estate agency, Knight Frank, Nigeria would need $82 billion of investment in healthcare real estate and 386,000 additional beds to meet the global average of 2.7 beds per 1,000 people. In Ethiopia, a 2015 report showed that there were just three hospital beds per 10,000 population, compared to the United States and Europe with at least two dozen per the same population size. In Zimbabwe, there have been cases of bare-handed surgeries by doctors due to lack of gloves, just as the whole of the Central African Republic’s health sector could only account for three ventilators at the peak of the COVID-19 pandemic in 2020. Africa accounts for 16% of the world population and is ravaged by 23% of the global disease burden. Contrastingly, the continent accounts for just 1% of total global health expenditures, a 2015 report showed.

  • High Rate of Preventable Diseases

It is also sad to note that the continent is burdened with the greatest infectious diseases in the world. Since mid-1970, the world has witnessed the emergence of 30 new infectious diseases, and many of them originated from Africa, according to Paul Epstein, associate director of the Center for Health and Global Environment at Harvard Medical School. Malaria, tuberculosis, diarrhoea and various other preventable diseases remain some of the highest killers in Africa. The latest WHO’s World malaria report shows that Africa accounts for 90% of the global malaria cases. While the continent has managed to reduce its overall annual malaria death toll by 44% (680,000 to 348,000) since 2000, some African countries still record alarmingly high annual rates. Six African countries (Nigeria, the Democratic Republic of the Congo, Tanzania, Niger, Mozambique, and Burkina Faso) account for 50% of all malaria cases globally. Africa also has the highest diarrhoea disease cases in the world. Whereas diarrhoea rates are below 5 per 100,000 population in most countries across the world, many sub-Saharan African countries have 50 to 150 per 100,000 population. For instance, in Chad and the Central African Republic, the rates are estimated to be over 150 per 100,000.

  • High Maternal Mortality, Child Mortality, and Low Life Expectancy

The continent also grapples with high child mortality ratios, high maternal mortality rates, and low life expectancy, owing to its healthcare system’s poor state. According to a recent report from the World Bank, 54% of child mortality in 2018 (deaths among children under 5 years of age) occurred in the sub-Saharan region. 1 in 13 children in the region die before their 5th birthday. In Nigeria, the maternal mortality ratio is 814 per 100,000 live births, making it the country with the highest rate globally. In most developed countries, the lifetime risk of a woman dying during pregnancy, childbirth, postpartum or post-abortion is 1 in 4,900. But in Nigeria, the risk is as high as 1 in 22. The inadequate medical care and general living condition have also reduced the life expectancy in many African countries. Africa is home to the world’s 10 lowest-ranked countries in terms of life expectancy, with Lesotho, Nigeria, and Sierra Leone being the lowest three on the list.

  • Shortage of Medical Professionals

The system is also very frustrating to medical professionals, leading to a high emigration rate among African-trained physicians. Already, Africa struggles with the shortage of health professionals across its various medical practices. Ideally, the WHO’s recommended doctor to population ratio is 1:1,000. But in reality, Africa can only boast of 1:10,000, and by 2035, the shortage of physicians is expected to reach 4.3 million. A report from The Lancet showed that almost one in 10 doctors in the UK are from Africa. Many of these professionals are on indefinite leave to remain status in the country – an indication that they would rather see out their career years there than ever returning to work in their home country. Many other developed countries, such as the US, UAE, Australia, and Canada, have also sustained their high population-to-physician ratio by employing foreign-trained doctors from developing countries, including sub-Saharan Africa, where there is the highest shortage.

This is another area where Africa loses greatly to these developed countries where its medical experts migrate to in droves. It is estimated that African nations spend between $21,000 and $59,000 to train each doctor. A 2011 study found that nine sub-Saharan African countries, including Ethiopia, Kenya, Malawi, and Nigeria, suffered an estimated loss of $2.1 billion from investments for all their physicians working abroad. Watching these professionals ply their trade overseas indicates a huge loss to the entire continent and a great financial gain to other countries. The study also showed that the financial benefits to the UK amounted to $2.7 billion, $846 million to the United States, $621 million to Australia and $384 million to Canada.

  • High Out-of-Pocket Cost of Medical Care

The lack of adequate funding makes Africans living in Africa grapple with a high cost of medical services, considering the high poverty rate in the continent. According to a 2016 report, more than 37% of all Africa’s health spending is from out-of-pocket payments. Given the low-income status of most African countries, this situation puts a dire financial burden on many households. Findings show that at least 11% of people experience catastrophic healthcare spending yearly, and 38% delay or forgo healthcare needs due to high costs.

The Way Out

For the continent to experience a transformation in its healthcare, African leaders need to lead by example and start using the country’s medical system. This will go a long way in building their citizen’s confidence in the system. Lawmakers across the continent may also need to enact laws ending the use of taxpayer money for medical tourism by leaders. They shouldn’t stop at making the laws; they should also enforce them diligently. Also, African-trained medical professionals must be encouraged to ply their trade at home. This can be achieved by putting in place improved remunerations and favourable working condition. Lastly, it’s high time Africa’s healthcare experienced a massive investment to bridge the system’s year-long funding gap. While private sectors and donors have made significant contributions over the years, governments across the continent need to also start playing their parts effectively.

About the Author

Olusegun Akinfenwa

Olusegun Akinfenwa is a political correspondent for Immigration News, a news organization affiliated with Immigration Advice Service London. IAS is a leading UK immigration law firm that helps people migrate and settle in the UK.

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