Tag: business loan

Many young and growing businesses need business loans to take their companies to the next level. However, these fledgling firms may not have the collateral traditionally usually employed to secure a standard small business loan. Or they may be unwilling to pledge those assets. In this situation, an unsecured loan may be the right choice. Although no business collateral is required, often a personal guarantee is. Here is what you need to know about this clause before signing: A personal guarantee […]

When your business needs some capital, a small business loan can be an excellent source of funding. If you have no collateral to offer or do not want to tie the loan to any collateral, lenders will look for other guarantees of repayment. There two possible choices: a personal guarantee or a business lien. A personal guarantee is usually the choice when there is only business owner or the company is new and un-established. Business liens can come in a variety of forms and are generally tied to the […]

When you apply for a business loan, you may feel like the bank’s approval process is like a black box of secretive decisions. While every lender may have a few unique lending criteria, in general all lenders will take four factors into account when choosing which loans to approve. Cash Flow Lenders are going to decide if your business is worthy of a loan based on the inflow and outflow of cash from your business bank account. The bank will want to see a high average daily balance, a significant […]

No new business is devoid of setbacks and challenges. Even companies that go on to make millions of sales and find great success often make many mistakes in the early stages. While some business knowledge can only be learned the hard way, there are a few mistakes that can be avoided by learning from others’ experiences. Here are a three of the top financial mistakes to avoid as a fledging company: 1. Not Having a Cash-Flow Plan Becoming successful takes more than just opening the doors or placing […]

For young and rising companies in search of business funding, there is no one-size-fits-all option. Venture capital and business loans are two of the most desirable choices, but they are not equally beneficial choices in every situation. There are significant differences between when each is a good fit for a growing firm. Venture Capital Seeking out venture capital is best for businesses that are young but also have the potential to become huge both geographically and financially. Venture capitalists […]

Small businesses are often in need of funding for everything from new equipment and inventory to real estate space to hiring new employees. The traditional sources of business financing include bank loans, venture capitalists, friends and family and just plain boot-strapping. Some entrepreneurs also turn to their credit cards or short-term online loans to fill their working capital gaps. There may be yet another option that while rarely used can be sometimes fit the bill – inviting employees to […]

The following are four of the best ways to strengthen your credit profile in order to get your firm the funding it needs

In order to devise a solution it is essential to understand the difference between four key business finance terms

Having a stellar idea for a product or service is the first key ingredient to building a successful business. Putting sound financial strategies into place is possibly the next key piece to making sure your company thrives. Without a financial plan of how to manage business expenses and earnings, there is a good chance that soon there will be no money left to manage. Here are three of the most important rules for putting your business finances on a safe and secure path. Bootstrapping Often Beats […]

When it comes to growing or sustaining your business, outside help is often needed to provide the required cash. Traditional lenders offer two helpful products for business owners: business loans and business lines of credit. Each has its own distinct merits for developing companies. Here’s what you need to know about them before making a decision: Loan Payout With business loans, a borrower receives one lump sum of money at the outset of the loan and will never receive more for the duration […]