Having a better understanding of what loan options you have can help you increase your chances of getting access to the capital you need for your business. Small business loans from a reputable alternative online lender are one of the main options to consider.
Small Business Loans for Women
When lenders approve you for a loan, they take into account various factors, such as credit history, financial profile, what you’re going to spend the money on, and overall business goals. Where can you get business funding for women entrepreneurs?
1. Alternative Online Lenders
Did you know that the highest approval rate for loan applications in the United States as of June 2021 was registered among alternative lenders? Alternative financing providers approved almost 1/4 of the loan applications received.
Reputable alternative online lenders like FirstAmericanMerchant.com work not only with low-risk but also high-risk borrowers. If you’re looking for reliable and low-rate small business loans for women, consider applying to FAM, an award-winning business funding provider and processor in the high-risk field. The rates are among the lowest and approval is hassle-free.
2. Small Business Administration
The SBA 7(a) loan allows women entrepreneurs to borrow up to $5 million. The typical repayment term ranges from five to ten years. In the case of a real estate purchase, the repayment term can take up to 25 years.
Microloans are smaller funding solutions under $50,000. These can be ideal for those women entrepreneurs who are just taking their business off the growing, don’t need a large loan amount, or are operating as a sole proprietor.
4. Line of Credit
You can receive a line of credit from a bank or credit union. The amount limit ranges from $2,000 to $250,000. The APR can be from 10% to 99%. You’ll be charged the interest on the portion of the line of credit used instead of the entire available balance.
5. Banks and Credit Unions
You can apply for a bank loan or funding from a credit union. In these cases, the approval varies from lending guidelines to lending guidelines of these lenders.
6. Providers of Small Business Grants
If you’re just starting or need capital to grow your operations, you can consider applying for a small business grant. This type of financing focuses on helping specific types of businesses such as women-owned businesses. Specifically, small business grants don’t require repayment. In addition, you won’t be charged fees or interest payments.
Small Business Funding for Women
There is more than one business funding opportunity for women entrepreneurs. Financing from alternative online lenders is one of them.