Owning a business is the American dream for many people. It can lead to self-sufficiency and some believe a more relaxing life. However, becoming an entrepreneur can be stressful, mostly for financial reasons. If you are already wealthy, or have investors, starting a company can be easy. Most of us are not that lucky, and have to look for other sources of funds, and a ban loan typically is not the best idea. This is because banks are hesitant to offer loans to new entrepreneurs; for fear that their loans will not be paid back due to business failure.
New businesses have a higher risk of failure; however, this should not be a deterrent if your heart and mind are set on moving from employee to employer. One of the best, but overlooked, ways to obtain funding is to look for an ACH business loan. With an ACH business loan, you are able to obtain your funds from your merchant account processor, and it is paid back when you start to make money. The payments are automatically taken from your account, on a specific day of the month that has been previously agreed upon. Yes, this is a loan, but it is a loan that is easier to deal with than a bank loan.
With an ACH loan, you are dealing with your merchant account provider, who you typically deal with anyway. By obtaining an ACH loan from a high-risk merchant account provider, such as FAM, you are able to rest easy if your business is not making money from the start. Most do not, and bank lenders do not care – they want their repayments, regardless. A provider, such as FAM, knows that your business is fragile, and it is in everyone’s best interests to wait until your business begins making money to collect their loan.
For more information about obtaining an ACH loan, contact FAM today