Every new merchants wants a successful business. Some dream of being in Forbes Magazine, and other dream of being the most successful in town. Regardless of your dream, you don’t have to wait for success. You dream it, and you can build it. While it seems easy – and parts of it are – there are things that are not so easy that all small business owners must do. First, small business funding.
The range of funding options for small businesses seem endless, from government grants to local grants, and even “GoFundMe” accounts. While the latter might be good for those with large (and wealthy) social ranges, grants and loans fuel the majority of small business start-ups. While grants are great, there are catches. Not everyone is eligible for small business grants. Some are geared toward minority business owners, and some toward women in non-traditional fields. Some are even geared toward those opening businesses in impoverished areas. If you fit one of the genres, that is great and you should apply. However, if you do not, you may feel like your only option is to find a small business loan.
While small business loans can work for some, they are not the best option. With a small business loan, requirements are strict when it comes to being accepted. You need to have a good credit score, and even with one, you are still facing a high interest fee. Your repayments start almost immediately, regardless of the shape your business is not. There is also a long waiting time for small business loan acceptance. This can leave you scrambling in the short term to find funding. And lastly, tax filings can be overwhelming with a small business loan.
While that description may leave you feeling desperate, you do have another option. Instead of turning to a bank loan, you should consider a merchant cash advance. With a merchant cash advance, you learn whether or not you have been accepted within 72 hours, which leaves time for you to go elsewhere in case of a denial. However, those with credit scores below 500 can be approved, so this should be your first stop when looking for business funding. There are also no tax forms to file at the end of the year, because a merchant cash advance is not a loan, but rather a purchase on your future credit card payments.