Getting a new business off the ground requires a ton of capital. Money doesn’t grow on trees; so new business owners often have to result to business loans. However, this is entirely dependant upon your credit score. With a bad credit file, getting approved for a business loan is next to impossible. Lenders don’t want to put their trust into someone that has a bad credit file or no credit history at all for that matter.
This doesn’t mean you should give up on your dreams of starting a new business. There alternative ways that you can get funds to start a business even if you have a bad credit history.
Social Lending
The internet is a wonderful place. It’s not only for watching funny videos and catching up with family members on social media networks. There are tons of popular sites such as CrowdFunding that allow you to collect funds. Although it may not always be as successful as you may like, it’s worth giving it a try.
Cash Advance
It’s not entirely impossible to get a cash advance with bad credit. There are many sites such as First American Merchant that make it easy for you to get a cash advance even if your credit history is damaged. This essentially provides you with a short-term loan. Many cash advance sites don’t even verify your credit history, which makes it even easier to get approved.
Grants
New businesses provide new employment opportunities for people searching for jobs; new jobs mean more people paying taxes. The government loves this. Government grants are often made available for start-up businesses. The great thing about grants is that you don’t have to pay it back. It’s definitely worth checking into whether or not your business is eligible for any grants.
Equipment Loans
In most cases, new businesses need to get equipped with a ton of machinery and other types of equipment. Whether you’re in need of computers, printers, niche machinery or any other type of equipment for your business, many manufacturers and resellers provide loans. These loans are made specifically for start-up businesses that need the equipment to get off the ground, but can’t necessarily afford them right at the starting point.
Work on Your Credit
Finally, it’s important to constantly work on your credit score. Even if you’re able to find alternatives, you’ll only benefit from increasing your credit score. You never know when you’ll need another loan and nothing compares to having an impeccable credit report. Work on paying off your debts and keeping your credit cards low.
Get a cash advance with bad credit
