how can the debt crushers Get Funding for your Business?
Learning about Business Funding
What is Business Funding?
Sometimes new companies need a little extra capital when they’re first getting started: that’s where business funding comes into play.
The Debt Crushers offers liaison services between our clients and external credit card companies, banks, and lenders. As these sources can potentially extend loan or grant offers to small business owners, it’s important to have a qualified team – like The Debt Crushers – in your corner.
The Debt Crushers
How Can We help?
The Debt Crushers will act as a mediator when it comes to negotiating business or general funding with potential lenders.
Complimented by our financial services and experience in the industry, The Debt Crushers can help small business owners get access to the best lenders and offers in the business.
Interested in learning more about business or general funding?
Click the button below to get in contact with The Debt Crushers regarding Business and General Funding options and services.
Looking for more options?
Loans & Funding Programs for Small Business Owners
Traditional Term Loans
One of the best options for small business owners in need of funding is the Traditional Term Loan.
Term Loans are a set amount of money, to be paid over a specific time period in set installments. The main advantage to the Traditional Term Loan is it’s consistency. For those businesses looking to borrow a large sum of money, and rather quickly, will find the Traditional Term Loan to be the best option for their business.
Small Business Credit Cards
Most consumers will be familiar with the inner workings of a credit card. When used responsibly, small business credit cards can give owners cash on an as needed basis, while allowing them to pay off the debt in monthly payments. The advantages to a credit card is that there is a constant revolving line of credit that can be utilized by the business whenever necessary. As long as the minimum monthly payments are made, no penalties or fees will accrue on this card. Keep in mind, however, that most credit cards have much higher interest rates than other funding options, and can typically only be used for smaller purchases.
Merchant Cash Advance (MCA)
Unlike the Small Business Credit Card, Merchant Cash Advances are a less well-known option for business owners. Merchant Cash Advances, or MCAs, are large sums of capital advanced to borrowers from lenders. This option is one of the best for borrowers with average to below-average credit, as credit score plays a very little part in the application process. In return for the loan, the lender will receive a percentage of all credit card sales through the borrower’s business. MCAs are delivered to borrowers fast, and should be paid back to the lender as quickly as possible. All in all, they are a great option for businesses looking for a lump sum of money, that can be paid just as quickly as it is borrowed.
Business Lines of Credit
Business Lines of Credit are another very popular way to gain funding for a small business. Although similar to Small Business Credit Cards, Business Lines of Credit can be taken out for large sums of money and are paid out in monthly installments similar to a Traditional Term Loan. The disadvantage here is that there is no set percentage of interest for Business Lines of Credit. Depending on you credit score health, these rates can fluctuate at an alarming rate. For larger amount of money borrowed, this can be a big problem for borrowers. However, if the borrower has a relatively good credit standing and able to make consistent payments on the line of credit, this can be a very beneficial option to business owners.
Small Business Administration Loans (SBAs)
Small Business Administration Loans, or SBAs, are funds made available to businesses through participating lenders. Typically sourced through banks, these loans have some of the lowest interest rates and most flexible repayment terms. Unfortunately. SBAs do have some major drawbacks.
In most cases, it can take months for a Small Business Administration Loan to go through, if at all. Credit history, both for the business and personally, plays a major role in the application process. Those with less than ideal standings will likely not be eligible for Small Business Administration Loans.
Small Business Grants
Small Business Grants are some of the most highly sought out and competitive forms of small business funding. Essentially this option is free money, so competition is extreme. Many times federal, local, or non-profit agencies will offer funding to small businesses that fit certain criteria or follow specific guidelines. These businesses are eligible to qualify for funding at no cost to the business owner. The drawback here is that these grants are few and far between. They also often have very specific terms to the grant, and are only awarded to businesses benefitting specific groups of people or movements. However, this is still a viable option for many small business owners if the criteria is met.
Venture Capital
Venture Capital is an extremely popular form of funding for small business owners. When a company offers a percentage of ownership or share of a company, in exchange for funding, this is considered Venture Capital. Although a great option for thriving business owners, it can be difficult to find investors if your business is small or indistinct.
Angel Investments
Angel Investments are similar to Venture Capital, in that investors seeking out promising new or small businesses will offer a large sum of money, or “seed money”, to help the business take off. Although this may seem like the most ideal option for business owners, Angle Investors typically seek out businesses that can potentially offer returns on their investment, once the business is successful.
Friends & Family
Another rather popular means to gain funding, looking to friends and family can be one of the best (and worst) ways to acquire capital for your business. Your friends and family already believe in you and see your vision, so more often than not, they won’t hesitate to be part of your dream. However, borrowing money from friends and family can be messy and lead to resentment and unnecessary animosity. Although good for owners looking to borrow smaller sums of money, which they can pay back over time, we would not recommend borrowing large unattainable sums from friends and family members.
Crowdfunding
Last but not least is the funding option of crowdfunding. Made popularized by platforms such as Kickstarter or GoFundMe, crowdfunding is the act of using online platforms and resources to raise capital. Crowdfunding can be a great option for new business owners, but may not provide the exact amount needed. Many times owners are receiving funds from friends and family making online “donations” to the cause. Although this option does not require any exchange of equity or returns, it can also take time and may not even prove to be lucrative.
Although The Debt Crushers does not offer any of these loans, grants, or programs; we are able to advise our clients on their best options while acting as a guide through the application process. As many of these funding options require above average credit, The Debt Crushers can assist in improving your credit in preparation for these applications.
We Solve Real Problems
what Else can we do for you?
Student Loan Forgiveness
Check your eligibility for student loan cancellation, discharge, or forgiveness.
Tradeline Processing
A thorough explanation of tradelines and how they can positively impact your credit history.
