Small businesses are thriving these days, but that doesn't mean that there aren't going to be rough patches here and there. This is especially true if you are offering a seasonal service like heating and air conditioner repair. You will probably be flush in the summer and a little slower in the winter. In an unstable economy like the current one, it is not uncommon for many small businesses to find themselves in similar situations. In order to keep your light on and stay in business, you have the option of taking out a business loan. Despite what you have heard, with the following tips you can secure a loan quickly and easily.
Take Advantage Of The Short-Term Loan
When it comes to quick cash, you simply cannot beat the short-term loan. This is a type of loan that is issued by a private institution. This means that you can forgo all the credit checks and lengthy paperwork. There will be some paperwork involved with the process, but not as much as if you went through a traditional banking institution. These types of NeedMoneyNow services provide the quick relief that you need when you need. However, it should be noted that with these types of loans that are usually only for small amounts of money. The most you will probably be able to get from a short-term loan is $2,500 to $5,000 and the loan will have to be paid back in full on an agreed upon date.
Accounts Receivable Financing
Another type of handy and quick loan that is available to small businesses is the accounts receivable loan. This is a good option for small businesses that have a lot of pending customer debt. If you have customers that owe large amounts of money but are only making minor payments, you can get access to the full amount of their debt through a financing company. Basically, with this type of loan, you finance your accounts receivable to another company. You will get cash immediately and the line of credit is paid down as the customers make payments.
A Small Business Line Of Credit
A small business line of credit is an excellent option for any company that is seeking large funds. This is because, with this type of loan, you have the ability to access funds from the lender as needed. However, there will be a cap on the funds available. This is usually determined when the line of credit is granted. This will vary from lender to lender, so this is something that you will want to consider when you are choosing a lender. There will be a fee with setting up the line of credit, but you usually don't have to pay any interest until you actually take out the funds. Interest will be paid on a monthly basis. This is a great quick and easy option for any company that is looking to expand or undergo major renovations.