Former first lady Rosalynn Carter once said that “there is nothing more important than a good, safe, secure home.” You should keep this in mind if you are thinking of getting a HELOC for your business.
While you may not be building Habitats for Humanity, your home is perhaps the most important place in your own little corner of the world. With such importance, you must think very carefully before putting it at risk by getting a HELOC for your business. Fortunately, you do have other options.
The Advantages and Disadvantages of Getting a HELOC for Your Business
Every business needs cash. When faced with an unexpected expense, you either have the cash or you may have to look for an emergency business loan.
Many small business owners believe that a home equity line of credit (HELOC) is a better option. A HELOC can be ideal for having an extra supply of cash when you need it, but you should also be aware of the drawbacks.
For one thing, a HELOC is actually a second mortgage on your house. Therefore, if you have any difficulties repaying the money, you could lose both your business and your home.
Also, you must consider a HELOC as long term business funding; VERY long term. In most cases, the amount you can draw on typically lasts for 10 years. Then, at the end of the 10 years, you will still be repaying the loan without the ability to use any more of the money.
What Are the Alternatives to Getting a HELOC for Your Business?
If you are thinking of getting a HELOC for your business, consider looking at Financing Solutions (www.financingsolutionsnow.com). They offer an alternative financial product that is easier to obtain and manage than what you can get from a traditional bank.
Unlike a bank, Financing Solutions can provide you with a business line of credit and you don’t need to put your home up as collateral. Best of all, it stays available for 12 months and you can pay back the line as early as 6 days or as late as 26 weeks.
In addition, their decision is super-fast. It takes only minutes to apply and you will receive an answer on your application in a few hours. Once approved, you can have the money in your account the same day.
Getting Smarter about Your Business
As a small business owner, it’s obvious that you’ve got a good business plan and you know what it takes to achieve success. Still, there are steps you can take to ensure you are making the most of your time and getting more done.
Don’t spread yourself too thin. After all, you are only one person and there are only 24 hours in a day. Take care of the tasks that are directly related to growth and delegate or postpone the rest. Yes, it means giving up a bit of control, but when you hire the right people, there should be no worries.
Make use of technology. These days, there is literally an app for just about everything and it’s time you take advantage. Surely, there are some that can help your business. For example, you can find tools that help you handle email, protect sensitive data and organize sales leads.
Contact Financing Solutions for fast business funding. They can help you worry less about money and return your focus to growing your business.
