SunWise Capital 2018: Small Business Short Term Loan Approval and Processing
Small business owners may face financial issues and they also need an immediate source of money in such situations. You probably have experienced being denied for a loan application because of a poor credit due to improper management of your finances in the past, but it should not be a hindrance for you not to get the financial help you need. Even if you have a poor or bad credit, it is still possible to secure a small business loan. There are many alternative lending agencies or lenders offering great loan solutions for those with bad credit scores today. These types of lender don’t just concentrate on the credit score, but more importantly to the operating history and the business’ strengths.
As you probably know, the worse your credit is, the higher lenders perceive risk, so it is crucial to show your lender that you have a good business plan and detailed financial projections. Your options may include microloan, merchant cash advance, business credit card, home equity line of credit, revenue-based loans, or borrowing from family and friends. A microloan refers to a type of loan being offered by credit unions, which is easier to get. The credit requirements for microloans are lower. On the other hand, a merchant cash advance is also referred to as a business card cash advance, which is applicable for those with cash flow issues and needing $10,000 or less. Always make sure to pay your cash advance on time because this is a type of loan that has high-interest rates, and you may end paying more over time than what you initially borrowed.
It is possible to secure a credit card under your business name and make purchases, making sure you pay on-time and begin building a good business credit at the same time. Remember that credit unions and banks may have different eligibility requirements, and there are also varying interest rates, credit limits, and terms of payment. House equity loan refers to putting up your property as a collateral to secure a small business bank loan. When it comes to revenue-based loans, the basic requirements are a credit score of over 550, an annual sales of more than $100,000 a year, and the loan amount should not exceed ten percent of your business revenue. It is best to get a loan from lending agencies or companies than borrow from your friends or family because you don’t want your personal relationship compromised because of money matters.
Do you want to get a small business loan? Come and check our website or homepage now to find out more about small business loans.