Business Loans – Do They Actually Still Exist?
The times of simple credit are going, going, going Gone! Also, business loans may just as well have gone the road of the Tooth Fairy. Maybe, some thousands of years ago there was some basis in truth for such a generous, albeit slightly creepy benefactor as a Tooth Fairy.
The truth of current times, still, is that working capital has to come from some place, which most often happens to be from Mom’s and Dad’s pocket. Even with organizations such as the Small Business Administration (SBA) looking at loan applications, lenders often don’t have the financial power, or the desire, to participate in the SBA and other similar programs.
This leaves entrepreneurs with less choices for sources of financing for growth, or for short-term cash-flow issues. Nevertheless, even if any collateral owned by you or your business already has liens against it, there is a method with which you can get the working capital you need without the necessity for collateral, or the necessity to use any more credit, even if you can get it.
If you process a sufficient stream of Visa-MasterCard sales, you can actually sell a percentage of your future receivables in order to obtain a lump sum of funding immediately. It is called a business cash advance, and since it is not a loan, but an advance on cash that your business takes in every day, you do not need to go with hat in hand to a traditional lender.
Once a merchant cash advance agent agrees to purchase, at a lower price, a percentage of your future receipts, you can receive your funding within a couple of business days. Then, during the normal course of running your business you pay back the advance, in addition to a predetermined fee, without having to arrange for a set monthly repayment schedule.
Business cash advances are not exactly similar to business loans, but they are not like that unsavory old Tooth Fairy either, and way more realistic.
Dating back to early 2008 Daniel Samoohi has assisted thousands of business owners in finding reputable providers in order to compare quotes for business loans. By making providers compete with each other, Daniel aids businesses in finding great deals for business loans.