Why a Business Loan Interest Rate from a Bank is Not the Only Cost to be Concerned About
The difference between worry and concern is that worry sees only a problem while concern works to find a solution. For example, you may be worried about the type of business loan interest rate you will get from a bank while instead you should be concerned with other alternatives to a small business loan.
When it comes to getting funding from a bank, the business loan interest rate should be the least of your anxiety. There are so many other costs and fees that will hit you if you apply for a business bank loan. Learn the facts so you can make an educated decision that is right for your business.
Other Than a Business Loan Interest Rate, What Factors Should You Worry About?
If a business can get a line of credit or a loan from a bank, this is always a less expensive idea. However there are other issues and costs associated with this kind of business bank loan.
Yes, banks are always going to be cheaper than an alternative lender. On the contrary, every business owner should know that any bank will want 100 percent of collateral to cover the cost of the small business loan, such as home equity, stocks, and other assets. Additionally, a bank will take 3-6 months to approve your line.
It’s also important to note that if you credit isn’t above 700, you might run into a lot of problems getting approved. Even after your line is approved, your bank will put you through a labor intensive renewal process each year to keep it in place. When calculating what a bank charges versus an alternative lender, you will need to take into account that banks will require closing costs, application fees, yearly renewal fees and audited financials.
Why you don’t need to be concerned about a Business Loan Interest Rate
Many small business owners believe that a bank is the only place to go for inexpensive business financing. More and more businesses are discovering the advantages of turning to an alternative lender. Financing Solutions (www.financingsolutionsnow.com) can provide your business with fast business funding
At Financing Solutions, you can get short term business funding in about 48 hours. A 15 minute phone interview is all it takes. After sending in some paperwork, you will receive an answer on your application the same day.
Best of all, they don’t ask for personal guarantees and they don’t report to credit agencies. Therefore, getting their instant business financing help won’t affect your credit. You can get a business line of credit, business cash advances and debt help hassle-free.
Things You Must Be Concerned about in Your Business
Corporate social responsibility is important – today’s customers expect a business to care about the world in which they operate. Go beyond dollars, have a mission and stick to it.
Keeping employees happy – they serve as your front line with customers. If they are unhappy, they might take it out on customers and your business will suffer. Always make payroll on time and provide opportunities for feedback and advancement.
Cash is king – without it, your business comes to a standstill. You can solve this problem with quick business funding from Financing Solutions.