Small Business Loans

What options do you have for funding when a bank denies your business loan?

What options do you have for funding when a bank denies your business loan?

Roughly 80% of all small business owners get denied bank loans for one reason or another, so it’s impossible to say what options are available “for you” without knowing anything about your situation. Industry, time in business, cash flow ratios, debt ratios, loan purpose, collateral, etc. There are many factors that need to be considered to determine why you were denied a bank loan in the first place, and which path to take moving forward. With that being said, you have everything from crowdfunding, VC, private equity, equipment financing, alternative lending, P2P, micro-loans, grants, etc. This list here is endless. Not knowing anything about your business, and/or why you were declined by your bank, it’s tough to pinpoint an answer. However, here are some non-bank small business loans options to consider:

Small Business Cash Flow Loans

Even if your small business is growing, you may find yourself needing extra cash to cover day-to-day expenses such as payroll, rent and inventory, or to pay for short-term projects that could grow your revenue in the long run. Uneven cash flow is one of the biggest challenges of small businesses throughout all industries. In a perfect world, you’d walk into your local bank and walk out with a business loan long before you wound up in a cash crunch. Well, those days are long gone! If you haven’t been in business at least two years, or lack good credit and collateral, chances are a traditional bank loan is never going to happen.

How Do Small Businesses Finance Growth?

In order to deal with this shortfall, a cash flow loan may be your best option. For this type of business financing, lenders provide you funds and use your future expected cash flow as collateral for the loan. You’re essentially borrowing from cash that you expect to receive in the future by giving the lender the rights to a predetermined amount of these receivables. These are primarily used for working capital or take advantage of short-term ROI opportunities. Your credit scores will usually be checked, but they play less of a role. As the name indicates, the lender is more concerned with inspecting your cash flow (usually bank statements) to approve your application. Turnaround time is another great feature of a cash flow loan, as funding usually takes place in a matter of days.

A cash flow loan may be used for any business expense, but some common uses are:

  • Working capital

  • High ROI short-term opportunities

  • Purchasing highly-discounted inventory

  • Payroll

  • Marketing

  • Business expansion

Short-term cash flow loans are best used for short-term projects that would divert money from day-to-day expenses but ultimately grow your business, like taking on a big contract with a major company or adding extra seating in your restaurant. If you need cash fast, a cash flow loan may be your lifeline.

Preparing for Fluctuations in Your Small Business During an Uncertain Economy

Small Business Revenue Based Loan

There’s never been a better time or more choices for small and medium-sized businesses that need capital. And what business doesn't? Expanding, purchasing equipment, and evening out cash flow can all be managed with business financing. But business loans from traditional financial institutions are not the way to go for today’s businesses on the grow.

Today’s business owner is constantly on the lookout for growth opportunities and must move quickly to take advantage of them. An opportunity for an acquisition or expansion can arise suddenly and needs an immediate response and immediate cash. There’s also the need to purchase equipment or inventory. And of course, there will always be emergencies and cash flow gaps that need to be quickly managed with working capital.

That’s why revenue based financing & cash flow loans from LVRG are the fastest growing working capital solutions among small and medium-sized businesses. They’re the most prudent option for business owners needing capital to fuel or accelerate their businesses’ growth.

Traditional bank loans are often made for as long as 25 years and require mountains of documentation and financial statements. And then there’s the waiting period, for both an approval and for funding, which can be weeks or months. Don't forget the collateral you'll need for a bank loan, including your home, life insurance policies and up to 30% of the loan amount in cash. Additionally, among banking institutions, the credit turn-down rate for small businesses is rather high (roughly 80%) and doesn't show signs of improving significantly.

Revenue based financing and cash flow loans offer them distinct advantages:

  • They’re made for shorter terms, usually 6 to 18 months.

  • They require relatively little paperwork and a simple application to start.

  • The underwriting and approval process are designed to provide business owners quick answers.

  • Once approved, business owners have their funds in as little as 24 hours.

  • Payments based on a fixed percentage of sales.

  • Repayment terms are favorable.

  • Poor credit is not a deal breaker.

  • Financing that doesn’t require any equity.

  • Easy qualification process with no personal collateral required

Revenue based financing and small business loans can be used for any legitimate business expense, from remodeling or business expansion to buying equipment to launching a new marketing effort. The key here is growth and our business funding options are the perfect solution for business owners looking to take advantage of growth opportunities. These short-term loans for business are popular across every industry and in every state in the U.S. From manufacturing and transportation companies to restaurants and retail stores; short-term business loans are an efficient and cost-effective source of capital, when you need it.

Short-term financing can help businesses build or accelerate revenue in ways they couldn't otherwise. And at the same time, working capital solutions can help business owners negotiate better discounts or terms with vendors and avoid longer-term charges and fees, saving money in the long run. There’s no question why revenue based loans and cash flow financing are catching fire. They’re the ultimate financial win-win for small and medium-sized businesses.

Small Business Working Capital Loan

Nobody faces more challenges on a daily basis than business owners. In fact, for owners of small and medium sized businesses, handling many different challenges is the source of great satisfaction and some headaches, too.

But when business owners are asked to name their greatest challenge, one thing tends to top the list most often; accessing working capital to manage cash flow. In other words, making sure there is enough capital flowing in to cover everything that needs to flow out.

There are a variety of reasons why cash flow can be a steep challenge for small business owners. Needs can precede revenue. Or perhaps you’re getting paid more slowly than you’d like. Or if you’re a seasonal business, a garden center, for example, or specialize in hardy, cold weather clothing and you have peak sales months which require that revenue to stretch across your off-season months.

Often, business owners can optimize cash flow by negotiating longer payment cycles with creditors and encouraging debtors to pay in shorter time periods. But there are other solutions that can help you sail through the lean months with plenty of working capital on hand: a short term business loan or merchant cash advance.

You can put a small business loan “to work” immediately for your business, whether it means meeting payroll for a few months, negotiating a great deal on inventory for paying in cash or hiring and training those new employees you need. Our business financing solutions for working capital can help you operate without missing a beat or even take advantage of an unexpected or one time business opportunity.

ACH Small Business Loans

For starters, an ACH small business loan can also be referred to as a small business cash flow loan, small business revenue based loan or a small business merchant cash advance. The ACH designation really applies to how the lender is paid. ACH or Automated Clearing House, refers to the lenders ability to withdraw an agreed upon amount directly from your checking account at agreed upon intervals, typically daily or weekly. This is different from factoring your accounts receivable (A/R), because instead of billing your customers and collecting from them, they directly access your checking account in much the same way automated payments might go to you mortgage lender or a utility company from your personal checking account.

An ACH small business loan, much like factoring or an MCA loan, should be considered a small business short-term financing option. The cost of the capital is more expensive, in other words you’ll pay a higher interest rate, but you’ll be able to access that capital much quicker than a traditional term loan from the bank or other financial institution.

Because a small business ACH loan lender will be able to pull your payment directly from your checking account, it reduces risk to the lender making it possible for small business owners with a healthy checking account but less-than-perfect credit to get a loan.

Merchant Cash Advance (MCA)

MCA's or business cash advances can provide business borrowers with an upfront fixed amount of cash in as little as 24 hours. The funding amount is based upon a percentage of the businesses credit card receivables or daily cash balances using historical credit card receipts and bank statements to determine the initial advance. The business pays back the advance, plus a percentage, often referred to as a discount factor, from a portion of their credit card receivables or cash available plus a percentage which is often referred to as a discount factor. The remittances are drawn from the business customer on a daily, weekly or monthly basis until the obligation has been met. An MCA is not technically a small business loan and as such MCA's are not limited in what rates they charge or what terms they establish and therefore often have high interest rates. For this reason it is very important for a business owner to be completely aware of how the MCA product works and how it could affect their business. MCA's are good options for small business owners who may not have strong credit but have lots of credit card activity and need financing quickly.

Although Often Misunderstood, a Small Business Cash Advance or Credit Card Merchant Cash Advance Could Work Wonders For Your Business...If Used Correctly!

There are several financing options available to help your small business navigate short-term cash flow shortfalls and make bigger capital-intensive investments. However, make sure you're getting the right loan or credit option that suits your business's needs. Ideally, a small business loan or line of credit should help you maintain your daily business operations—and set up your company for future growth.

And then there are those costs that no business owner sees coming. The sudden need to replace an important piece of equipment or the need to upgrade technology to improve efficiency and save money in the long run. Repairs, sprucing up the exterior, landscaping, even marketing and advertising can all be critical elements to your brand and your ability to growth the business. In today’s super competitive environment, this is no time to skimp, especially when applying for business funding.

Small Business Optimism Skyrockets: December 2016 Report (Small Business Economic Trends - NFIB)

Small Business Optimism Skyrocketed in December Small business optimism rocketed to its highest level since 2004, with a stratospheric 38-point jump in the number of owners who expect better business conditions, according to the monthly National Federation of Independent Business (NFIB) Index of Small Business Optimism, released today.

“We haven’t seen numbers like this in a long time,” said NFIB President and CEO Juanita Duggan. “Small business is ready for a breakout, and that can only mean very good things for the U.S. economy.”

The Index reached 105.8, an increase of 7.4 points. Leading the charge was “Expect Better Business Conditions,” which shot up from a net 12 percent in November to a net 50 percent last month.

“Business owners who expect better business conditions accounted for 48 percent of the overall increase,” said NFIB Chief Economist Bill Dunkelberg. “The December results confirm the sharp increase that we reported immediately after the election.”

The other two big movers in the survey, “Sales Expectations” and “Good Time to Expand,” jumped by 20 percentage points and 12 percentage points, respectively.

“This is the second consecutive month in which small business owners reported a much brighter outlook for the economy and higher expectations for their businesses,” said Dunkelberg. “In this month’s report, we are also finding evidence that higher optimism is leading to increased business activity, such as capital investment.”

Sixty-three percent of respondents made capital outlays, an eight-point increase over November. Also, the net percent of owners reporting inventory gains increased six points.

“Business owners are feeling better about taking risks and making investments,” said Duggan. “Optimism is the main ingredient for economic expansion. We’ll be watching this trend carefully over the next few months.”

Despite sharply higher optimism, hiring activity remained flat in December. Job creation increased by 0.01 workers per firm and job openings dropped two points. According to the NFIB Jobs report, released last week, finding qualified workers remains a persistent problem for small business owners.

“The labor market is getting tighter,” said Dunkelberg. “That’s good news for workers because they can command higher compensation, but many small business owners aren’t yet confident enough to raise prices to offset the higher labor costs. Owners are still in a pinch, but the overall picture for December was very positive.”

INVENTORIES AND SALES

The net percent of all owners (seasonally adjusted) reporting higher nominal sales in the past three months compared to the prior three months improved 1 percentage point to a net negative 7 percent. The surge in consumer optimism did not produce a noticeable improvement in sales at small businesses, perhaps because of the growth of internet sales which might detract from retail holiday business.

Seasonally adjusted, the net percent of owners expecting higher real sales volumes rose 20 points, after a 10 point rise in November, to a net 31 percent of owners, the highest reading since October 2005 with a reading of 40 percent. The reduction of “policy anxiety” is surely responsible for some of the remarkable improvements in sales expectations and rising consumer sentiment. The expectation of important cost relief from deregulation and tax reform is strong among small business owners and consumers, all of which is yet to be accomplished and has a hard political road to travel. But the data indicate that business owners are indeed very optimistic.

The net percent of owners reporting inventory gains gained 6 points to a net 3 percent (seasonally adjusted), a rather strong report, as long as those inventories are built to meet rising consumer demand and not a result of weakening sales.

The net percent of owners viewing current inventory stocks as “too low” improved 1 point to a net negative 3 percent, still more feeling stocks are too high than too low. The surge in expected sales gains should absorb some of these “excess stocks”. The net percent of owners planning to add to inventory improved was unchanged a net 4 percent, a good number reflecting expected stronger demand.

CAPITAL SPENDING

Sixty-three percent reported capital outlays, up 8 points from November and the highest reading since January 2013. Reports of expenditures tend to rise late in the year reflecting tax driven outlays (expensing), but this is a solid number even if weak compared to other expansions and is the second highest reading in the recovery. Of those making expenditures, 46 percent reported spending on new equipment (up 10 points), 23 percent acquired vehicles (down 2 points), and 17 percent improved or expanded facilities (up 2 points). Six percent acquired new buildings or land for expansion (up 1 point) and 13 percent spent money for new fixtures and furniture (unchanged). Overall, a nice pickup in spending.

The percent of owners planning capital outlays in the next 3 to 6 months jumped 5 points to 29 percent, the highest reading since December 2007, the peak of the last expansion but well below the high readings in the mid-90s of 40 percent. Seasonally adjusted, the net percent expecting better business conditions rose 38 percentage points to a net 50 percent, adding to the19 point gain in November. The seasonally adjusted net percent expecting higher real sales rose 20 points to 31 percent of all owners, after a 10 point gain in November. This optimism appears to be transitioning into strong spending plans as well as increases in actual outlays, a component of growth that was missing in the recovery.

Source: NFIB - http://www.nfib.com/surveys/small-business-economic-trends/

 

Small Business Loans to BOOST Holiday Sales. Fast, No-Nonsense, Funding for your Small Business!

The holidays are just around the corner and consumers seem to start their shopping earlier each year, so what plan do you have in place to tackle the holiday rush? Do you have the funds to survive the rush? Here are 3 BIG ways a loan can help you be more profitable than ever this holiday season:

Inventory
It takes money to make money. If you don't have sufficient inventory to last through the holiday rush, then you risk missing out on thousands in revenue. Take time to do an inventory review and account for what you'll need the most of. Then, consider getting a loan to help you supply your business with the necessary inventory so you are fully stocked and ready to go.

Extra Staff
Did you know that 20% of annual retail sales are generated during the holiday rush?! If 20% of your potential annual sales all occur within 4-6 weeks, you certainly don't want to be unprepared. Stores get busy. VERY busy. If you don't have enough staff on hand, it will force your customers to wait in very long lines. Some won't even enter your store if they see too long of a line.

Don’t be afraid to look into hiring a few extra hands during the busy season, seasonal staffing is nothing new and there are always plenty of people willing to take seasonal jobs. If you don't have enough funds to hire seasonal staff, this is another way a loan can really help you prepare for the holiday rush that is about to begin.

Equipment
Do you have any current processes that are slower than you'd like? Is there a piece of equipment that will speed it up significantly? An equipment loan may be exactly what you need to get through the holiday rush successfully. Maybe you want to upgrade your point-of-sale system to reduce the line wait. Or perhaps that new espresso machine is exactly what you need to ramp up your coffee shop. If you know upgrading or adding equipment will help you boost those sales, the time is now to obtain capital. 

Why LVRG? Simple! Funding Offers Often 5X Other Lenders, No Credit Restrictions, Lower Rates, Longer Terms & Faster Funding. $15,000 to $2,000,000 in 24 Hours. 

Small Business Funding Options:

Small Business Loans - Get up to $2 Million to grow your business in as little as 24 hours. From purchasing inventory and equipment to remodeling and advertising, small businesses need capital for many reasons. Our small business loans may be used for any business expense, even if you just need an influx of capital to boost your cash flow. We offer both fixed and flexible repayment options, customizing your funding to meet your business's cash flow model. 

Revenue Based Financing - Instead of a business being required to pay fixed interest payments like a typical bank loan, a revenue based loan is paid with a percentage of revenues. With loan amounts up to $2 Million dollars and funding in as little as 24 hours, it helps you grow your business and it does not saddle you down with long-term, highly encumbering debt. 

Cash Flow Loans - Type of debt financing, generally for working capital, using the expected cash flows that a borrowing company generates as collateral for the loan. You’re essentially borrowing from cash that you expect to receive in the future by giving the lender the rights to a predetermined amount of these receivables. Get up to $2 Million in as little as 24 hours, regardless of credit!

Working Capital Loans - At any stage of growth, fast, flexible funding is essential to the continued success of your small business. Our working capital loans feature 6 to 17 month terms and fixed payment options to accommodate your specific needs, so you can focus on what you do best, running and building your small business.

Business Expansion Loans - Designed for prime businesses with better risk profiles, our business expansion loan is an extended-term loan with rates ranging from 9.99% - 36%, terms of 18 to 24 months, multiple payment options, and loan sizes up to $250,000. It’s large-scale growth capital if you're looking to invest in bigger projects, with the same speed and simplicity LVRG is known for.

Business Cash Advance - If your business needs cash quickly and has a readily ascertainable history of credit card receipts, or a constant flow of cash deposits, a business cash advance may provide the funding you require. A business cash advance can provide small business owners with an upfront fixed amount of cash in as little as 24 hours. Business cash advance is a great option for small business owners who may not have strong credit but have lots of credit card activity, or cash deposits and need financing quickly.

Small Business Growth Capital, Explained. And When Your Business Needs It.

Capital is so important to growing a business. If you don’t have what you need for your business’s development, all you’re doing is paying your bills and just getting by. Having enough working capital to pay those bills on time every month is important, but to take your business further, it’s growth capital you should be paying close attention to. To do that, you have to understand how growth capital works, what it does, and how it helps your company develop from a small business to something much larger and stronger.

There are three primary sources of growth capital for a small business:

1. Equity capital from the founder(s) and/or outside investor(s).
2. A combination of operating cash flow and profits left in the business, aka, retained earnings.
3. Borrowed funds, typically from a lender or bank.

It can take time to see a business develop, but with the right amount of growth capital, that development is certainly possible. Too many business owners fail to understand the difference between working capital and growth capital, which can mean that they don’t spend enough time developing their growth capital the way they should. When it comes time to expand the business, there isn’t any money available for that expansion, so the business can’t develop the way it needs to in order to keep up with the competition. That can have devastating effects on a company that would otherwise be very successful, and it’s something any company needs to avoid.

What Is Growth Capital?

Unlike working capital, which is used for bills and basic, cyclical expenses, growth capital isn’t tied to any particular business cycle. Instead, growth capital is designed to provide long-term health for the business. It builds up over time, and can ensure the business’s well-being. Once a business decides that it is going to make a major change, like an expansion, adding another location, or a merger with another company, growth capital will come into play and be used. These kinds of changes are very expensive, but they are not recurring expenses that are going to be seen every month. Since they aren’t recurring, they don’t come out of working capital.

Without a growth capital fund to pull from, however, a business can’t really accomplish anything beyond its day to day operations. There will not be any expansion when there isn’t any growth capital to use, this generally comes about from poor financial planning and can be profoundly damaging to a small business.

Probably the single most common method for funding business growth is by obtaining a small business loan. However, there are a number of different options that come with small business loans, and in order to choose the right one, you need to understand which loans work best with what type of enterprise. You should take into consideration the type of operation, size of the business in terms of staff and assets, and overall monthly or yearly return. Exploring options for loans can even clue you in to loans that are specifically designed for your type of enterprise. Loans can be either long-term or short-term, and each have their particular uses. Small business loans are usually very reliable, making them a great option for business financing available to small business owners. You can put a small business loan “to work” immediately for your business, whether it means meeting payroll for a few months, negotiating a great deal on inventory for paying in cash or hiring and training those new employees you need.

Many small businesses owners are hesitant to issue equity or take out loans to fuel business growth. However, businesses may find that operations stagnate without an extra capital injection. When your competitors continue to expand and develop and your business can’t do the same, you can quickly end up without enough customers to keep your doors open. A lack of growth capital can translate into a lack of working capital, because the business is not able to keep up with the kinds of things it should be doing in order to compete in its market.

As a company continues to gain a higher level of working capital, it should take that money and invest it back into the company. This is done on a long-term basis, so the investment becomes growth capital and is stored (earning interest) until the company decides that the capital needs to be used for a specific thing. If there isn’t enough money available, the company can wait until it has more, but sound investment strategies shorten that wait considerably. Remodeling the company’s building, adding new equipment, and other large expenses are a big part of a business’s development, and growth capital is the heart of that development. Keeping it separate from working capital is also important, to ensure that it isn’t used for business cycle expenses that could deplete its reserves.

How Does Growth Capital Help Your Business?

When people begin to operate a business, they may not be clear on the major differences between working capital and growth capital. If they don’t begin planning for both types of capital right from the beginning, they may not get what they really need from their business. They also have to be careful that they don’t try to expand too fast, because that can deplete all of their growth capital at once. If it is used up and then more is needed, it can leave a company in a precarious position and stop them from continuing their expansion. If that happens in the middle of growth, it can be highly detrimental and could even spell the end of the business.

In some cases, access to capital is a great way to take advantage of new opportunities. In others, however, it can be a good way to pull a struggling company out of a pit of poor circumstances. Despite the potential for risk, capital can be the saving grace when trouble comes to call, providing the means to bridge the gap between failure and success. A few extra dollars today may mean an empire tomorrow, and can be the necessary protection against closing up for good.

A business loan or any of the funding options mentioned above, whether for a few thousand dollars or a few million, can make previously unavailable opportunities obtainable, providing a customized solution in a time of need and keeping the lights on even when the going gets rough. With ready access to business capital, the possibilities are literally limitless, offering the assets you need to promote a positive trajectory and inspire healthy growth.

Getting into a cash-poor position should always be avoided, because it’s difficult to recover from. It makes sense that companies want to grow as fast as possible, but those companies must be very careful that they avoid the pitfalls of burning up their entire growth capital fund. Instead, it is better to focus on slower growth, so the fund stays strong and the company builds strength at a more sustainable rate.

Companies such as LVRG specialize in providing growth capital to small business owners accross the country, doing so quickly and efficiently. For a small business looking at growth, LVRG is definitely a good place to start. Call toll free (855) 998-5874 or click below.

Small Business Growth in Real America. LVRG Fuels America's Small Businesses on Mainstreet.

Small Businesses and Real America

Small businesses hearken back to a time when the American Dream was alive and well, fueled not by plastic products from China, but by honest, dedicated work. There are still people that conform to these ideals, and these people make up the basis of America's small businesses. Innovative ideas from a number of different catchment areas means that you can open up a business dealing with almost any type of good or service. Throughout America's main streets are new manufacturers, coffee houses, barbershops, craft breweries, bike shops, boutiques, bars, restaurants, entertainment centers, etc. These businesses are what fuel America's growth and help it to withstand times of economic uncertainty. By keeping true to the values that business owners before them have espoused, these local small business owners serve as the platform that supports the American economy.

Securing capital is something that comes in time with virtually every business, whether it's in the initial exhilarating stages of transforming an idea into a company or later on, once operations begin to normalize. Generating the amount of liquid cash necessary to scale appropriately, build inventory, or expand marketing efforts can be a challenge for businesses of any size, making additional cash flow a significant benefit.

Remember the old days, where you'd walk into your bank and walk out with a small business loan? Well, keep them in memory because that sure doesn't exist today. Securing capital can be what it takes to motivate growth and truly seize the proverbial day. But what type of capital is available today and what type of loan makes sense for your particular business? 

Financing a small business usually requires a lot of creative means in order to come up with a viable financing strategy. There are a number of ways that small business owners can finance his or her business. Depending on the type of business, the expected return on investment and the complications that may arise financially, finding funding can vary. A few of the available options for financing growth are:

Small Business Loans - Probably the single most common method for funding business growth is by obtaining a small business loan. However, there are a number of different options that come with small business loans, and in order to choose the right one, you need to understand which loans work best with what type of enterprise. You should take into consideration the type of operation, size of the business in terms of staff and assets, and overall monthly or yearly return. Exploring options for loans can even clue you in to loans that are specifically designed for your type of enterprise. Loans can be either long-term or short-term, and each have their particular uses. Small business loans are usually very reliable, making them a great option for business financing available to small business owners. You can put a small business loan “to work” immediately for your business, whether it means meeting payroll for a few months, negotiating a great deal on inventory for paying in cash or hiring and training those new employees you need.

Cash Flow Loans - Type of debt financing, generally for working capital, using the expected cash flows that a borrowing company generates as collateral for the loan. You’re essentially borrowing from cash that you expect to receive in the future by giving the lender the rights to a predetermined amount of these receivables. Even if your small business is growing, you may find yourself needing extra cash to cover day-to-day expenses such as payroll, rent and inventory, or to pay for short-term projects that could grow your revenue in the long run. Uneven cash flow is one of the biggest challenges of small businesses throughout all industries. In a perfect world, you’d walk into your local bank and walk out with a business loan long before you wound up in a cash crunch. Well, those days are long gone! If you haven’t been in business at least two years, or lack good credit and collateral, chances are a traditional bank loan is never going to happen. In order to deal with this shortfall, a cash flow loan may be your best option.

Revenue Based Loans - Instead of a business being required to pay fixed interest payments like a typical bank loan, a revenue based loan is paid with a percentage of revenues. A revenue based loan could be your businesses lifeblood and provide it with several financial benefits. When your business is growing, chances are you'll need an injection of cash to continue its growth. Bank loans are often times too restrictive and near impossible to obtain these days. In this situation, a revenue based loan may be the best solution. If you use it wisely, a revenue based loan could do wonders for your business. Without being capitalized, chances are you will wind up in a growth stalemate.

Bad Credit Business Loans - Owners of small and medium-sized businesses often face a common challenge: They need capital to grow and strengthen their businesses, but bad credit may be holding them back. Forget trying to get a loan or line of credit from a “traditional” financial institution. A poor credit history will nearly always result in rejection for funding. Bad credit business loans cater to business owners that have cash flow issues or a history of liens, judgments, and bankruptcy.

Merchant Cash Advance (MCA) – A merchant cash advance can provide business borrowers with an upfront fixed amount of cash in as little as 24 hours. The funding amount is based upon a percentage of the businesses credit card receivables or daily cash balances using historical credit card receipts and bank statements to determine the initial advance. The business pays back the advance, plus a percentage, often referred to as a discount factor, from a portion of their credit card receivables or cash available plus a percentage which is often referred to as a discount factor. The remittances are drawn from the business customer on a daily, or weekly basis until the obligation has been met. MCA's are good options for small business owners who may not have strong credit but have lots of credit card activity and need financing quickly.

In some cases, access to capital is a great way to take advantage of new opportunities. In others, however, it can be a good way to pull a struggling company out of a pit of poor circumstances. Despite the potential for risk, capital can be the saving grace when trouble comes to call, providing the means to bridge the gap between failure and success. A few extra dollars today may mean an empire tomorrow, and can be the necessary protection against closing up for good.

A business loan or any of the funding options mentioned above, whether for a few thousand dollars or a few million, can make previously unavailable opportunities obtainable, providing a customized solution in a time of need and keeping the lights on even when the going gets rough. With ready access to business capital, the possibilities are literally limitless, offering the assets you need to promote a positive trajectory and inspire healthy growth.

Moreover, the growth of online lending has resulted in the introduction of sub-optimal lenders that engage in less than ethical practices. Unfortunately, some lenders push small business owners to take on more credit than needed, or initially promise unsubstantiated terms and rates in a bait-and-switch scenario.

Yet, there is some hope. Reliable and experienced lenders have begun to focus on dealing with specific groups of small business customers, so as to provide a more prudent and specialized financing advice in supporting businesses’ initiatives for success. By better understanding the characteristics of industry-relevant financial statements and business models, such loan provider offers optimized funding solutions in a more efficient manner. Small business owners are finally coming around, realizing that those cookie cutter, one size fits all small business loans being sold all over the internet are counterproductive and potentially detrimental to their business. Small business owners face unique challenges that require the partnership of an experienced funding firm; not product pushers, boiler room salesmen or overseas telemarketers who can hardly speak English. Indeed, for small businesses, whether receiving funds from an investor or a small business loan from a group like LVRG, business owners will benefit from finding a lender that knows their businesses, and has their best interest at heart. For a small business looking at growth, a company such as LVRG is definitely a good place to start. Call toll free (855) 998-5874 or click below.