A small business loan can help you to fund your start-up business or to expand your existing business. Lending norms have become tougher due to the economic downturn and banks are cautious about offering loans to small businesses. Small business owners are also hesitant about borrowing, even though interest rates are very low. They want to see signs that the economy is turning around and sales are growing before they apply for loans.
You will find it much easier to get a small business loan if you’ve built a good relationship with your bank. Take time to create an application package that exceeds the requirements of your bank. Better communication with bank executives can help you to get approved for a small business loan.
You can apply for a small business loan within minutes from your home or office. To obtain a free, no-obligation quote from a reputable lender who specializes in providing small business loans, please fill out our brief online form now.
Long-term small business loans
You can get a lump-sum, long-term business loan to purchase fixed assets, like real estate, equipment, or a vehicle. You can also get a secured loan to obtain permanent working capital, which will help to improve cash flow. You will have to make regular fixed monthly payments to pay back the loan.
You may be able to borrow up to 100 percent of the purchase price of a vehicle or equipment. You can opt to buy a new or used vehicle. A real estate loan can be used to buy, build, or refinance a business property that’s occupied by the owner. It can also be used to remodel or expand existing facilities.
Business line of credit
A business line of credit or business credit card will allow you to draw funds whenever you need short-term financing. You can use the funds for emergency funding, cyclical or seasonal cash flow requirements, or for working capital needs. You will only have to make payments when you utilize the line of credit.
Small Business Administration (SBA) loans
SBA loans have longer periods and lower payments than other loans. These loans are guaranteed by the government and are meant to help small businesses that may not be able to qualify for credit. SBA loans offer more flexible terms and higher loan-to-value ratios than other small business loans.
Small businesses may even be able to qualify for 100 percent of their financing requirements. An SBA loan can help you to meet working capital requirements, to finance ongoing requirements, to renovate or purchase real estate, or to buy fixed assets, like equipment or machinery.
A business lease can help you to finance up to 100 percent of the full purchase price of new equipment and vehicles, including some soft costs. This option may help you to reduce your taxable income, and you may have the option to purchase the equipment or vehicle at the end of the term. To obtain a free, no-obligation quote from a reputable lender who specializes in providing small business loans, please fill out our brief online application form now.