“What Payroll?”

Happy belated Cinco de Mayo to all of the Mexicans and Hispanics that celebrated this past weekend. If you are not included in the groups that I just mentioned please research what the holiday is for and stoop using it as another reason to go out and party(……smh).

Image from: Linda Secrist

Beyond that let’s talk about the great Tesla Motors Company and what has been transpiring within their company. The belief and following of their CEO Elon Musk is key to the reason that most have not completely given up on the possibility of long term success for the company as a whole. There have been a numerous amount of close calls for them going out of business, running out of funds, and lately they have been struggling so much with Cash-on-Hand (COH) that they have had to make a very interesting or as some say discouraging decision to save their business overall.

With a plethora of issues occurring in their plants throughout the United States, there is not enough cash within the business to make all of the necessary payroll to their employees. In response to that, Tesla has decided to do something that I have never heard of; making their employees take out a loan with  a bank to be able to pay themselves for their work. In other words read the excerpt below explaining the situation from an CNBC article;

Image from: Cnet

” …,Tesla gives active employees a way to handle their debt and expenses without turning to higher-cost alternatives like a 401(k) loan, credit cards with a high annual percentage rate, or traditional payday loans. That takes some pressure off those who would leave the company in search of higher wages, and could potentially stem attrition…” (Read full article Here)

I mean think about how crazy this is and how they believe that it will help them with attaining their employees for a longer amount of time. What type of employee retention strategy is this? Nonetheless this may be the tipping scale for me and my overall confidence in the ability for Tesla to survive. Even though the stock price is not too discouraging.

(I see a buyout or an acquisition coming in the next 5 years or so for Tesla)

Image from: MacRumors

Time for this weeks News & Topics:

  • Trade war between Trump and China continues to escalate
  • It turns out that Slack is not profitable (more than $138 Million in losses in 2018)
  • Tesla is looking to start their own Auto Insurance Company (Warren Buffet does not like)
  • Apple has made 20-25 acquisitions throughout the past 6-7 months and no one knew (read article here)
  • Boeing 737 has more issues in Jacksonville……. sliding off a runway into shallow water (….jeez Boeing….).
Image from: The Penny Holder

The Financial Seed: Affectionate Credit

Unfortunately, throughout the past few decades there have been a lot of credit repair agencies and consultant groups founded. Based solely on the lack luster ability of the average individual taking the time to learn about what it takes to improve their credit score. Looking for quick fixes by paying a consultant hundreds of dollars to do something you can do yourself just by doing a 15 minute research session and the months of consistency to build the score.

Lucky you, I will be the person that will provide you the information needed to take action and grow your credit the right way (which will increase your chances of long-term growth and consistency). See the below top five (5) factors that impact your overall rate of change on a monthly basis. You will also see the weight of each factor as well.

  • Payment History (35%)
  • Current Debts (30%)
  • Credit History (15%)
  • New Credit Applications (10%)
  • Types of Current Debts (10%)

Instead of going into details about explaining each of the above points I will provide you the link you need to begin researching each. There may be other things that goes into what may change your credit score but this is a start for you! If you are able to understand the above bullet points, I promise you will be able to see a difference in the way that you spend and take on debt.

Use the link to read more; Click Here

I hope all of the above information was beneficial to you and was able to assist you in your journey to increasing your credit score.

See you next week everyone!

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