Is small business financing available?
Small business financing has been available since the beginning of traditional commerce. Today, more than ever there are many options available to small business owners. All small business owners know that the first option is the banks. There are some many other options available in this day and age.
If you are just starting out you may want to try out accion usa. Accion USA is one of the largest micro lenders in the U.S. Believe it or not Accion USA initially started in Venezuela. Today, there corporate headquarters are in New York City. P2P lenders are another option if you have been in business for less than 2 years. A P2P lender is known as peer to peer funding. This means that a bunch of people will invest their money to fund one loan. Propser.com, lendingclub.com, bestegg.com are some of the options you can turn too.
There is also crowdfunding. Portals like kickstarter.com have been funding businesses for several years now. Crowfunding requires a lot of work from your part in terms of social media. You need to promote your project or your funding request as much as poosible on the social platforms. If you don’t have a strong followership base, you need to start developing one. Also, crowfunding may not be the best for service based businesses. If you are launching new products, a new concept or something different this is an ideal platform. Some businesses have been able to raise $1 million dollars on these platforms.
For most established business that need capital fast or that were turned down by the bank, you can turn to alternative lending. The world of small business financing in the alternative world is vast in nature. You have daily payment lenders, merchant cash advances, invoice financing, asset based lenders and other options available to you. While many people have criticized these lenders for charging high interest rates, they serve their purpose and also fill a gap. If you have a recent bankruptcy will your bank give you a small business loan? More than likely, No. Some of these lenders will finance you even if you had a recent bankruptcy.
There is no scarcity of capital today in the U.S. Money is all around us. Small business financing available for your business has never been as vibrant as it is today. Simply look around and determine the best option for your needs.
If you’d like to learn about inventory financing at Lendinero, click here.
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By Gil Zapata
Miami, FL October 6th 2017