4 Reasons to Apply for Alternative Financing Instead of a Bank Loan
If you’re a small business owner, you know that there is always an opportunity to improve your company in some way. Whether it is an urgent matter, like failing equipment, or an idea you have to perfect your operations, such as hiring more employees, you may need additional funds to succeed. Most business owners think of bank loans when looking for extra cash, but don’t realize that alternative financing could be a better option. Check out these four reasons why you should forgo applying for a bank loan, and check out alternative financing instead!
1. Slow = no go – Many banks require strenuous applications and long decision processes. If you’re in need of fast cash, prepare to wait if you’re applying for a bank loan. In comparison, a merchant cash advance or small business loan can be in your bank account quickly after being approved.
2. Better check your score – Is your credit score less than stellar? If so, the chances are high that you won’t get approved for a bank loan. Most alternative financing lenders will be more lenient in this regard, and will not focus solely on your credit score. Instead, they will look at your overall business when considering your application.
3. Don’t get personal – When applying for a bank loan, don’t expect funding tailored directly to your needs. An alternative financing lender will be more likely to work with you, and provide an amount that is applicable to your company’s goals.
4. Or specialized – Let’s face it; banks probably won’t care about each small business’ needs like an alternative lender will. At Fora Financial, we specialize in providing small businesses with the cash necessary to thrive. Since banks don’t provide loans solely to small businesses, the process isn’t modified to fit the urgent timeline that most businesses need working capital in.
A mistake that many small business owners make is assuming that bank loans are the only option they have for funding. Alternative financing from Fora Financial will allow you to attain cash quickly, with an amount tailored to your business’s goals. Plus, with a simple application process, you could be funded as soon as 72 hours after approval.
When it comes to working capital management, your small business will be more likely to receive funding than if you applied for a bank loan. Although applying for a bank loan might seem like a good option to get financing for your business, it often will end in disappointment. Apply for alternative financing and watch your business grow!
Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.