Different Sources of Business Funding
Getting fund to carry out business ideas/plans or even support for the existing one has been indeed a severe problem for many people today. But then there are a lot of sources where you can help with business funding today. Knowing these different sources will help you discover the best funding options you can access for your business.
Let’s take a look at a few sources where you can get business fund today.
1. Credit Cards: credit card companies are one of the fast sources where you can access cash for your business quickly. They can give some money you can use for any purpose. Interestingly you can be approved for business credit with no personal collateral or credit check. A lot of merchants can accept you for individual credit cards up to $10,000 or even more.
2. Angel List Investors: These agencies have been responsible for the funding of over 40,000 small businesses every year. With more than 250,000 active angels in the United States, it may be better if you consider an angel investor network to make things easier for your search. These investors are a great source of business funding when banks are unwilling to approve of you. They are perfect for projects where you need big cash.
3. Asset Based Funding: This is another ideal source of business funding if your business has collateral like accounts receivable, equipment, or real estate. These assets can be used as collateral to secure the business financing you need. You can even secure asset-based funding if you don’t have good credit.
4. Tradelines: With Tradelines, you can get help to get PAID for your business. Tradelines helped customers to fix their credit score by purchasing the other Person Tradeline history and to add them into the other person credit score who ran out of that credit height. Visit https://prioritytradelines.com/tradeline for more on this.
5. Bank Loans: although this source of business financing may have become tougher to get approved. A lot of big banks tend to be much more difficult in lending, but you can consider community banks or credit union for small business funding.
5. Equipment Leasing: This source helps when you need to lease costly equipment.
6. Factoring: This source of funding business is excellent if you have high amounts of account receivables. You can get financing up to 25 million, and you can have your advance within a day or two days in most cases. With factoring, you trade your business's accounts receivables to a company (known as a factor) at a discount, to free up your money. The firm that buys the receivables then assumes the responsibility for collecting them. It's a great option as they don't care about your credit.
8. Lines of Credit: this is another perfect source of business funding. This line of credit is like a revolving credit card accounts but with much lesser interest rates and higher available credit restrictions. You can get credit lines of over $150,000 and write checks from the account or use a debit card to cash out the fund or use it for purchases.
10. Microfinance Loans: this source of funding your business is less hard and time intensive to qualify for with loan sums ranging from $500 to $35,000. A lot of companies use microloans to get cash for their business against applying for one larger loan due to the stress-free criteria for getting qualified.
11. SBA backed Loans: this source is still one of the most popular funding options available today for businesses. SBA insures about 80 percent of the loan while the lender lending the fund takes on about the remaining percent or of the risk. Due to the lesser threat to the bank, many major banks are more apt to lend cash using SBA backed loans than regular loans.
The above mentioned and many others are different sources you can access to secure business funding.
Browse through our tradeline section for business funding.
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