If you’re thinking about how to get your business funded, you are definitely in the right place. I know that starting and running a business can be an expensive endeavor. Whether you’re opening a restaurant, running an e-commerce business, or selling arts and crafts at a local fair, a little extra cash could definitely give you a boost! A small business loan could help you get supplies, equipment, employees, or even open up additional locations as you grow.
Gone are the days where you had to go all the way to a bank branch with a binder of paperwork, and IF you got approved, wait months for underwriting and processing. There are scores of ithinkie options for you to get the funding you need today—online. We have outlined some of the options for how to get the funding you need to be a successful entrepreneur.
Let’s Explore the Merchant Cash Advance
If you need fast funding for your small business and you have high credit card sales volume, a merchant cash advance may be a great option for you. Merchant cash advances require minimal paperwork and usually give you the funds you need within 1-3 business days, often the same day! If you’re thinking about how to get your business funded, this is a good consideration. To qualify, you generally need to complete a one page application, share a little about your business goals, send 3-6 months of business bank statements.
After that, you’ll usually be required to connect your business bank account via Plaid (or a similar service). You’ll typically get a response (and often even funding) the same day. Bad credit? No problem! Since merchant cash advance providers are mostly interested in your sales volume and bank account balance, many times you can qualify with credit scores as low as 580.
While merchant cash advances come with lots of conveniences, they come at a bit of a higher cost than some other business financing products. Merchant cash advances have higher interest rates for shorter terms and will require a daily or weekly auto debit for repayment.
It’s important to weigh the pros and cons, but if your business needs and quick infusion of cash, a merchant cash advance may be the right choice for you.
Consider Applying to Grants Starting Now
Grants are a great way to give your business a boost. It’s cash you can use to support your small business, but you don’t have to pay back! Grants differ from merchant cash advances in that the underwriting/selection process often takes longer—months or even up to a year. They also usually require more paperwork, like tax returns, accounting statements, etc., but if you can secure one, it’s certainly worthwhile endeavor!
Crowdfunding is a Great Option for You
Crowdfunding can be a fun one! With crowdfunding, you can present your product or idea to your existing network or a new network you build and earn investors, with a promise of product or equity (like your own Shark Tank). It may seem daunting, but you’d be surprised how many people would be excited to get behind a solid business idea and a hard worker.
These are just a few, and the tip of the iceberg, but I hope we got your gears grinding on how to take your business to the next level. Be sure to check out our other articles on business, student, and personal finance!
That’s what ithinkie!
