Your business may be able to survive with fewer employees, less space or no one to give you a pat on the back. However, it cannot exist without cash. If your business needs fast cash, you may be wondering about the best bank to get a business line of credit with.
In business, you can’t carry your mistakes around with you like scars. Instead, you should use them as stepping stones on the way to your goals. One mistake you must never make is running out of cash. That’s why you need to know the best bank to get a business line of credit with so you can achieve success faster and easier.
What You Should Know about a Business Line of Credit
- Unlike a small business loan, a line of credit can be used for any business purpose, at any time.
- With any financial institution, do your homework. Find the best approval requirements, terms and repayment schedule.
- It’s best to apply for one before you need it. When your business is in dire straits, you are not thinking clearly. Therefore, you are more vulnerable to selecting the wrong company for fast business funding.
Is a Business Line of Credit the Only Option for a Small Business?
There are numerous types of small business funding options. You must do your homework to choose the one that is right for the unique needs of your business.
From business term loans and invoice factoring to merchant cash advances and business credit cards, there are many choices. Perhaps your best opportunity is a business line of credit.
Banks that You Can Get a Business Line of Credit With
To manage cash flow and fund daily operations, nothing beats a business line of credit. Many banks say they offer this option, but it’s vital to choose wisely.
Bank of America, PNC and Wells Fargo all offer a business line of credit. Each promises some type of low rate, discounts and business rewards for both secure and unsecure lines of credit.
The truth is that most businesses cannot qualify for a line of credit from these banks. They have strict criteria and lots of rules that you just won’t be able to meet. In addition, they ask for lots of paperwork and collateral.
Sure, they provide unsecure lines of credit. However, that’s only for businesses that can afford lines of credit of $250,000 to millions of dollars.
Is There an Alternative to Banks for Getting a Business Line of Credit With?
If your business has under $10 million in sales you might as well forget about getting a bank LOC. Over the last 10 years companies like Financing Solutions (www.financingsolutionsnow.com) have been replacing commercial banks for small businesses or nonprofits looking for a LOC without collateral.
Unlike commercial banks, alternative financing companies like Financing Solutions will give you an immediate approval letter without any paperwork. Additionally, they do not require collateral to back up the line, and do not charge you anything until the line is actually used.
In most cases, a line from Financing Solutions is also less expensive. Therefore, the best bank to get a business line of credit with is not a bank at all. It’s Financing Solutions.