Business Financing Services – A Brief Introduction

For small business owners the going can be quite tough when it comes to financing but not an impossible task. Savvy businessmen find out the best sources of finance and leverage them to grow using the basic principle of “other people’s money”. The trick is to get finance at the lowest rate and on the best terms, which means looking at various business financier and their services.

There are different kinds of business financing services that small business owners can turn to for their requirement of funding. One is the secured funding for which a borrower usually furnishes a guarantee and collateral. The interest rate is low and repayment may be extended over 3 to 5 years but it takes time for applications to be approved. Banks may even reject applications. The second type of business funding service is one that offers unsecured business loans and cash advances.

Small Business Loans

Even in this category, there are differences. One financing service for small business may offer unsecured advance or loan but repayment may be strict, the interest rate may be cripplingly high and they may add their own “fixed” charges. More reasonable services offer flexible repayment terms, affordable interest rate and may even waive fixed fees. After all, they are making money from interest are they not?

There is more flexibility in financing services for small businesses. Lenders may advance a lump sum amount. Repayment may be linked to daily credit card sales as in the case of MCA, or one can negotiate a fixed monthly interest. The Rate of interest may be fixed or may be variable. Borrowers can also seek alternate funding methods from such services. This can be in the form of invoice credit. Invoices may be outstanding and lenders will advance cash against such outstanding invoice, which, when paid, are credited to the borrower with the lender taking back the amount he advanced plus charges.

Business Financing

Borrowers can even look at various other options if they are not in immediate and dire need of cash from business lending organizations. For instance, one can arrange a line of credit, which means the borrower need not withdraw the amount sanctioned immediately but has it on hold should ever need it such as making payments for purchases as and when required. Borrower benefits since he does not have to divert funds from routine cash flow to fund purchases and he can make payment in installments or pay the entire amount after a fixed period during which time he can utilize his funds for revenue generation. Business advances also consider requests for cash to finance marketing campaigns, renovation of premises, purchase of equipment and other needs. The cost of money is high in unsecured methods but, if a savvy business owner plans it right, he can well afford it and also make a profit by the infusion of cash.

One can get small business financing services from wscapnow.com, with access to expert consultation to help plan a business better and grow.

apply now for Business Financing

Apply now to water street capital. Just fill in the form online and initiate the process. For more details contact us, email us info@wscapnow.com or call us: +1-800-589-4161.

Blog Source: http://www.wscapnow.com/blog/

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s