Showing posts with label small business loans. Show all posts
Showing posts with label small business loans. Show all posts

Monday, February 9, 2015

The State of Small Business Loans

Many American’s hold an entrepreneurship dream in their hearts whether it be a restaurant that makes their favorite food, running a favorite franchise, or a book shop. In most cases these dreams require outside funding. A small business loan is a solution to funding shortages that can be acquired from sources that differ from the traditional bank lender. Many small business owners have limited resources of collateral and are considered a higher risk to lenders. This causes difficulties when trying to obtain a loan so many small businesses chose to apply for a small business loans.

Numerous federal, state, and local governments offer a variety of financing programs to aid small businesses as they start and grow. Small Business Administration (SBA a government organization) provides a loan search tool and even offers a variety of loan programs for very specific purposes. SBA does not lend the money directly but provides a guarantee to banks and lenders for the loans provided to small businesses. General small business loans are the most common and can be used to establish a new business, start up business loan, or to assist in the acquisition, operation or expansion of an existing business. Real estate and equipment loans provide financing for major fixed assets such as operational equipment, buildings or other real estate.

Sometimes business owners are unable to qualify for traditional small business loans due to low credit or bad credit. Fortunately there are many funding options for small businesses loans for those with bad credit. For example, cash flow financing is a form of financing in which the loan is backed by a company's expected cash flows. This differs from an asset-backed loan, where the collateral for the loan is based on the company's assets. The schedules or repayments for cash-flow loans are based on the company's projected future cash flows. Another option is Industry Investing Companies who are willing to invest money in smaller companies. In order to keep their specific market strong they offer small business with bad credit loans. Many suppliers are willing to offer small business loans for bad credit rather than to lose large account clients. Private investors are often looking for small businesses to help or expand especially if the business is local and important to a community. Another choice is a Credit Union which has set up programs that provide business loans for bad credit. There are even Non-profit organizations, called micro-lending institutions, which are designed to exclusively help businesses get small business loans with bad credit.

Women owned businesses now make up 30% of all the companies in the United States. Women are more able to gain financial backing for businesses than previously. The U.S. Small Business Administration or the SBA offers small business loan programs for women. A short application may provide a loan of up to $150,000 and to be eligible you need to be a woman, a veteran, or a minority. Business loans for women are also obtained from the same lenders as small business loans yet often women have a higher chance of qualifying.

Keeping a Small Business Afloat - When Your Credit is Bad

The economic climate of today is not great. Anyone who has simply tried to make a living and make ends meet realizes this. Ask those who are trying to keep their small businesses afloat and they will agree. Ask anyone trying to start a small business, and they will give you a blow by blow of why businesses are failing so drastically in America. What are you supposed to do if  are trying to keep a small business open, but like everyone else, the economy has sliced your finances in half, your cost of living has gone exponentially up, and you have the added bonus of having your credit score slashed as a result of simply trying to keep up? Obtaining a small business loan could be a disastrous, discouraging, lengthy process.

In a world catered to the big business, the corporate hacks, seeking to drive out, drive down, and generally destroy the organic small business, how could you possibly get financing to grow your small business when it is exactly the big corporation in question doing the lending? Small business loans are not impossible to obtain. Here’s why.

Alternative small business loans for bad credit exist for one purpose: to serve you. Help you. Grow you. What is a small business loan for bad credit, you may ask? Is it going to come at a high cost which will complicate your life and jeopardize your business later? Where do such small business loans for bad credit even come from?

The business income you are currently generating is the determining factor to obtaining business loans with bad credit. Or simply a small business loan. Whatever you situation, this alternative style of lending could be the best thing for your success.  Maybe you have a big client or new product that is going to generate a lot of productivity, increase, and income - but you need the resources to initiate and follow through with the process now.

Obtaining your small business loan through an alternative lender is an easy process.  You will need to contact your alternative lender of choice and speak with a lending agent.  Your lending agent will ask a few questions and guide you through procuring the best possible loan based on your qualification and needs.  These alternative companies are interested in your success and value your time, so they do not want to provide you a lengthy, interrogative process like that of a bank.  The faster they get you going, the faster you grow, and the faster you pay down the loan- it is a win-win for everyone!  They may even provide a cash delivery service so you do not need to leave your busy schedule to track down your loan funding.

Because there is no credit check, the process is even further simplified! They will qualify you on a loan based on the revenue you already generate, so you know that it is not going to be an impossible loan to pay off.  What a relief for those of you struggling to maintain and grow. If this is you, apply now.  Get in touch with a loan agent. Your business depends on it, so get the right help from the lenders who care about the small business, and don’t have a dog in the fight for big business.