Tag Archive | Business Loans

Funding Your Business: Some of The 4 Things To Consider

When it comes to your business the way you get things off the ground is vitally important. The business can start off as just one thought. The thought can be nurtured and once you have your plan in place the next and only step is to actually make the dream become your reality.

But of course, this can often mean that you need some sort of funding to get off the ground. I thought I would share with you some of the options you could consider. I hope it gives you the confidence and knowledge to take the next step yourself.

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Using hedge funds and investment profits

Many people consider hedge funds and investments that they already have in place to fund and push their new business or business expansion forward. It can be a great way to add more exposure to your business and there is even a trading platform could be the way to ensure that you make the right choice when it comes to funding your business for the future. It could also help you to consider further investment for the future.

Finding an investor

The other option to consider would be to think about finding an investor for your business. This means that you can get exactly the cash injection into your business to kick start your plans, buy stock, create products and even expand the business in other ways such as holding stock or finding a business premises.

However, often this means if someone invests they would want to end up having a stake in the business. If this sounds fine to you then it could be a very lucrative way to get not just the investment but also the extra support.

Using loans to fund your dream

You could also consider a loan to fund your dream business venture. There are many different business loan providers out there that could help you secure the amount of funding you need.

It might be just as a loan, it could be put against your business assets as a secure way to ensure that the loan gets repaid in full. Loans are a little easier to obtain and to handle, and they also give you the full control of the business still without needing to give of the equity of your business away. However, the risk is down to you as the business owner, so it may not appeal in that way.

Your savings and hard earned cash

Finally, your savings can be a great way to fund your business. Many people do this option and feel that they have added their own value and hard earned cash. Sort of like backing their own idea. Of course, like anything, there is an element of risk to it as at the end of the day, many businesses do struggle with their first year of trading.

However, you decide to do it, funding your business is an exciting time, and taking something that formed as an idea and making it a reality is a great journey to embark on.

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5 Incredible Sources of Quick Cash to Give Your Company a Boost

 

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One of the main worries of business owners is money. And it’s completely understandable because money is the main lubricant of business success. Without enough money, your business will not be able to survive for too long, and you could end up filing for bankruptcy.

But it’s important that you never get to this point in the first place. If money starts to get tight, there are plenty of places you can turn to for a quick injection of cash. Here are some of the best sources.

Business Loans

If your company hasn’t been doing too well recently, it may be difficult to get a regular business loan from your bank. Thankfully, there are other places you can go for a short term loan. Many business lenders offer a variety of loans to different companies.

Related; Equity or Debt Financing; Which is better for you?

These are easier to arrange than regular credit from your bank, and you will also get the money into your account quicker. Even though these short term loans’ interest rates are usually on the high side, they are easier to pay off as you can only get small amounts.

Merchant Cash Advances

If you’d rather not take out a loan, you can always consider getting a merchant cash advance. This will come from the company who processes your transactions for you on your card terminal provider. Any business which accepts credit card payments is able to get one of these advances.

The best thing about these advances is that there are no credit checks to go through since your terminal provider will have complete visibility of your business’s finances.

Crowdfunding

Over the past few years, crowdfunding has quickly become one of the best modern sources of cash. There are now many different crowdfunding websites that you can use for your project. One of the most popular is Kickstarter.

The whole idea behind crowd funding is to get people to raise money for projects and new products. You will need to think of a project that you need cash for and publish your plan on the website. Then people will invest cash in your project in exchange for rewards and privileges.

Factoring

If you are waiting for a lot of invoices to be paid, you should consider getting a factoring company to help you get the payments. Many financial advisors recommend this method to help companies raise revenue. The company will pay you the amount of each invoice minus its fee. It will then take on the debt and will get the money from your clients themselves.

Slow Down Your Payments

To free up some of your money, be a bit slow when paying invoices. Don’t pay any until their due date. If you need a bit longer to pay them, you could even contact vendors to try and negotiate new payment terms. When negotiating, make sure you do so before you run into payment difficulties. This way, the vendors might be a bit more accommodating.

There are countless ways you can raise extra money for your company. The ones above are just some ideas to get you started!