Are you a small business concerned about qualifying for a bank loan? You do not have to worry about obtaining a bank loan, as there are many other business financing options available to you. Business can be hard if you do not have the right amount of capital to invest into your business.
Getting a small business loan is not always an easy process. Do not despair, as there are small financial institutions that can offer up to $300,000 in capital to help your business reach its full potential. In addition, the criteria is very simple. You have to be a Canadian based business running for at least 6 months with an average monthly sales revenue. If you meet these requirements, in less than 24 hours you will receive the funds you need to move forward with your business. Funds are approved without collateral commitment or reviewing your credit history.
Here are the many benefits of considering an alternative financial lender:
1. Less requirements and stringent qualification process
For a small financial institution, all you have to do is prove that you are capable of paying back the loan amount. The lender will probably review your financial statements for past months to see your cashflow and sales revenue position. They may not look at credit history or personal financing unlike traditional financial institutions.
2. Loans are not determined on the amount requested
Many of the big financial institutions are looking to issue loans greater than $100,000 or more. They are not interested in smaller loan amounts. With alternative and smaller financial lenders, you can obtain the needed amount without being obligated to take more than the required funds.
3. Quick approvals
Alternative loans often take less time to be approved. Obtaining an approval in 24 hours can save time and the preparation of paperwork that are usually associated with traditional financial loans. The submission only takes a few minutes to complete and requires a minimum amount of paperwork.
Even bad credit will not affect your approval, as the financial institution will base it simply on your sales performance. Therefore, your credit history is irrelevant and you can receive the funds in as little as 24 hours. Moreover, you can submit an online application instead of visiting the branch with a briefcase of paperwork and financial statements.
4. Lower interest rates and flexible payments
Traditional lending methods are not flexible with the interest rates or payment methods. However, with a small financial lender, you have the option to control your payments through a fixed payment method. These lenders also offer lower interest rates that make it easier for you to pay back your loan within a shorter timeframe.
5. No collateral needed
You can obtain the required funds without offering any of your assets as collateral. Not having collateral commitment is important for business owners in the exploratory stage of their business. A big advantage of considering small financial lenders is that they do not request for any collateral or personal assets as a guarantee to pay back your loan. This reduces the stress on meeting the monthly loan payment and allows you to focus on generating revenues that will improve your overall business financial position.
6. Better customer service and personal attention
With smaller financial lenders, you build a relationship with the representative. The representative can support your request, help you through the approval process and determine the best payment plan that will work for you. They will take a personal interest to see your business succeed. Also with the immediate funds, you can make it through the bumpy road of your business thanks to the alternative financial option.
