Need a 24 Hour Small Business Loan
To succeed in business, you need a plan, the right people and the courage to do what must be done. You might also need a 24 hour small business loan. If so, you should know that a line of credit might be a better way to go.
All businesses need different types of funding. You may believe that a 24 hour small business loan is your only option. On the contrary, you should try a line of credit (LOC) instead. This is especially true for small businesses, due to the ups and downs of cash flow.
The Advantages and Disadvantages of a 24 Hour Small Business Loan
A 24 hour small business loan is good for a long term purchases or for an investment opportunity. It represents the best way to borrow large sums and stretch out the payments over a long period of time.
However, with so much money at stake, a business bank loan is hard to come by. In fact, a majority of small businesses are unable to qualify.
For one thing, they want you to demonstrate that your business is already successful before they will lend you money. They ask for several years’ worth of tax returns and expect you to have an excellent credit history.
You also have to pledge tons of collateral. The truth is that if you have all that, you probably don’t need a small business loan in the first place. Additionally, if anything component is not perfect; they will deny your application.
The Pros and Cons of a Line of Credit
On the other hand, a LOC is best for short term cash flow issues. These typically occur during certain situations, such as a delay in payment from a big client but you must still meet payroll on time.
When you are experiencing an accounts receivable gap or seasonal slump, this can be a scary time. Having a line of credit in place will make everything less stressful. Knowing you have a supply of cash that you can draw from makes a big difference.
Still, there are drawbacks. One of the biggest is the temptation to withdraw funds too often or for the wrong reasons. It’s vital that you have a plan for how you will use the money and how you will pay it back.
Where to Turn for a Line of Credit
Financing Solutions (www.financingsolutionsnow.com) has a great LOC program. It costs nothing to set up your line and there is no charge of the line until you actually use it. This makes it a great back up plan in case of any emergency or surprise expense.
Most importantly, it is very easy to get in place, requiring very little of a busy small business owner’s time. You can start by answering 10 simple questions online.
Then, they will ask you for a few easy to obtain documents to support your application. This might include a driver’s license or the most recent tax return for your business.
At Financing Solutions, getting immediate business funding is straightforward and practically effortless. Even if your credit is less than perfect, you are still eligible.