Who says you can’t find business startup loan no credit check? In fact, this is quite possible, and there’re more ways than one! In the modern world of business, you can find striking business financing options to grow your business with ease. This article is here to help you find the best option for you.
Business Funding With No Credit Check
Why do you need a small business loan with no credit check? Maybe you have bad credit or no credit at all, haven’t you? In fact, many Americans don’t even know their credit score. Be aware that your Social Security number isn’t the only important number to bear in mind. You should also know your credit score.
The reality is that your credit score plays a crucial role in granting you eligibility for business funding. Besides, your credit impacts the interest rate you’ll be charged.
FICO scores are the most popular ones in the industry. As of April 2016, the average FICO score throughout the country made up 699. FICO scores vary from 300 to 850. If your score is below 550, it’s considered poor. If you have a score above 800, it’s regarded as excellent. As for the people with 850 scores, they don’t represent a large number.
If you’re considering funding for your business, remember that lower credit implies higher interest rates. So, if you’re not in a hurry, you can improve your personal credit and qualify for financing with better rates.
Business Startup Loan No Credit Check
Merchants interested in business startup funding with no credit check have a number of options to consider:
- Crowdfunding
Thanks to the collective efforts of friends, family, customers, and individual investors, you get an opportunity to raise capital for your business.
- Bootstrapping
This is when you fund the development of your startup through internal cash flow and avoid making unnecessary expenses.
- Equipment Financing
Equipment financing enables you to obtain new business equipment right away by using that equipment as collateral.
- Friends and Family
Another option to try is to turn to your family and friends to get capital for your business. This is especially true of starters.
- Invoice Financing
This allows you to obtain the cash you need now, and pay back the amount (with fees and interest) as soon as your client pays you.
- Merchant Cash Advance (MCA)
A merchant cash advance is a lump sum of capital you pay back using a portion of your daily credit card transactions. The great thing is that bad credit is acceptable for an MCA provider. Besides, MCAs are a perfect option for those who need funding without delay. In fact, many business owners prefer a merchant cash advance over business loans these days.
MCAs have become a highly popular type of small business funding. With a reputable alternative online lender like First American Merchant, be sure to enjoy the lowest rates, the best security, and the most hassle-free application. Your bad or no credit isn’t an issue for FAM. First American Merchant, rated A+ by the BBB, boasts progressive thinking, a dedicated support team, and offers fast approval to merchants of any type and size.
- Small Business Grants
Federal, state, and local governments offer various grants to small businesses. With small business grants, you don’t have to pay back the money obtained. Only, they’re extremely selective, so it can be rather challenging to qualify for them.
As you see, even if you’re just starting, or you have low credit scores, there’s still a way out! Just find the best and the right option for you and start growing!