Bad Credit Business Financing Options
Bad credit business financing is not something anyone wants to look for. Because it typically means your credit has gotten to the point where you don’t qualify for banking loans. Even if you do, they are going to charge you insanely high interest rates. They will also take their time combing through your business model for other reasons not to lend you the money. To be approved you are going to need to over meet every other requirement of a bank.
Requirements for Bank Loan
- A business plan
- This will have to include a plan of how you plan to use the funds from the bank loan.
- It will also include a three to five-year plan of how you intend to grow your business.
- Collateral
- Having bad credit will require a secured business loan from a bank.
- That will mean you will either have to put up personal or business assets against the loan.
- Extended Business History
- A bank will typically look at the history of a business to make sure it is safe and stable. They will look for at least two years of history to determine if the loan will be approved.
That is why there are alternative lending providers out there that specialize in bad credit business financing options. Small businesses typically don’t meet all of the requirements a bank requires, especially when they are just starting out. This type of funding looks beyond your credit score and focuses on your business’ potential.
The funding option we are referring to is a Merchant Cash Advance
What are the benefits of a Merchant Cash Advance for bad credit business financing?
- We will not hold collateral against our advance.
- Often business owners are less willing to put up personal assets as collateral for a bank loan.
- Typically, a newer business who is looking for funding does not have the collateral in the business’ name to put up to be sufficient to qualify for a small business loan.
- Your credit score is from your past!
- Starting a business is not easy. We don’t feel that as a new business owner you should be punished for the mistakes of your past.
- We want to focus on helping you grow your business’ future, not worry about the little mistakes.
A cash advance can be beneficial to a business that has been declined for a traditional small business loan. Our cash advance application is focused on you and your business needs not the issues in your past. Our goal is to see your business have a long and healthy future. We know that our funding source can help grow your business. Whether you are a start-up and have only been in business six months or you have been in business for years, we are here to help.
Our requirements are simple too. We consider candidates who have been in business for at least six months and companies who do at least $10,000 a month in sales.
After you apply for our merchant cash advance and are waiting for a response (which will be in 24 hours), take a look at ways to enhance your credit score. Bad credit business financing does not have to be for the rest of your business’ life. Consider some of these tips to help improve your bad credit and get on your way to better credit.
- Always pay off your full credit card balance and do not transfer it.
- Aim to keep your credit balance below 30% of your credit limit.
- Stay on schedule!
- Avoid paying your bills late, even a day will make a difference!
- Don’t carry a balance.
- Avoid swiping when you can! Try using cash instead.
Get Started Here
So if you are ready to apply for a merchant cash advance and stop swiping your credit card, contact us today! Complete the contact form on this page or call us now at 305-985-6593.