A Guide to Choosing the Right Loan for Your Company

February 2, 2022 EC Funding

As a business owner, you’re going to need financing for some of your initiatives. But priorities and commercial loan types don’t always align. Now you can find easy business loans for your most important finance needs.

Few small business owners start with their own finances. You may be among those who need debt financing to move forward. You will need to ensure your commitment is right for your long-term success.

There are dozens of sources for business financing. Traditional banks and commercial lenders are where most people look. These groups will help you determine the right business loan for you.

But nobody knows your business better than you. And complex debt options may go beyond your core needs. Traditional financiers will only teach you about the options they offer.

Specialized lenders may have the right solutions for you. Their easy business loans may be the working capital solutions you need. Read on to learn more!

Here’s When to Consider Easy Business Loans

Your company reaches benchmarks which require different types of financing. Sometimes you need financing for core business growth. Sometimes you need to finance a single initiative.

But more often than not, you just need to keep the gears turning. You need working capital to fuel your operations. You need financing to spur asset growth, as well.

Your debt financing is a commitment to a lender and yourself. You’re committing yourself to making your business succeed. That business growth should multiply as it helps pay off your debt.

You might need several types of financing throughout the life of your business. You should prepare yourself for emergency financing needs, as well. You may need easy business loans to prevent a long-term disaster.

Ultimately, taking on debt shouldn’t damage your growth. You need practical applications for all your financing. Your best path to success is to study their details.

5 Reasons You Might Need an Easy Financing Solution

Any bank has details about traditional forms of financing. These are permanent loan arrangements requiring large commitments. This type of financing may be right for certain goals.

It’s harder to know when to get immediate financing. These are solutions that help when you need it most. They can get you through a tough spot or help kickoff new projects, as well.

The following examples show you the best applications for easy financing. Consider these five scenarios in relation to your business. One of these five applications may soon be right for you!

1. Working Capital Loans

It’s hard for small businesses to manage heavy losses. You may not have the capital to support your daily needs. Incomplete jobs and missing payroll could put your whole company in danger.

Working capital loans help otherwise successful companies get through tough periods. These are short-term loans that provide capital fast. Confident business owners can repay as they get back on track.

It’s easy to fall into an easy finance trap. Some lenders charge rates up to 54%. But you can get competitive rates as low as 5.9% if you choose lenders wisely.

Companies use working capital to respond to market changes, as well. Sudden successes can actually turn against businesses. Shortages in inventory and staff can lead to missed opportunities and a damaged reputation.

Easy business loans are a great way to capitalize on sudden growth. You can be confident in your repayment, as well. These loans are about timing and opportunity, so be smart.

2. Equipment Financing Loans

New equipment or equipment repairs are enormous costs to small businesses. You may not have the financial flexibility to handle the costs.

Equipment financing loans help you pay these expenses. New equipment or repaired equipment gets your business on track. Use the results to pay off the financing.

These loans have the added benefit of built-in collateral. The equipment you finance is the collateral itself. This helps you keep rates low as you manage the debt.

These loans are simple and easy to get. They require little in terms of paperwork. They can also be quite flexible.

3. Business Bridge Loans

Companies often manage multiple types of loans. Sometimes companies struggle to repay debts before more financing comes in. These can be solved using business bridge loans.

Several types of financers offer bridge loans. That’s because they’re short-term and often hinge on expected financing.

Companies must pay off old debts before new financing comes in. The bridge loan does this with the expectation of new financing. Companies use the new financing to pay off the bridge loan.

4. Invoice Financing Loans

Like equipment loans and bridge loans, invoice financing loans hinge on a perceived asset. This asset is outstanding invoices with existing clients.

Companies take out these loans when they need working capital that’s stuck in repayment. They are certain they’ll have it but require it quickly. Or, they are struggling with clients who refuse or delay payment.

Like working capital loans, these can help maintain regular business functions. They may have better rates because of greater certainty for repayment. They’re less often used to fund new initiatives, as well.

5. Merchant Cash Advances

Merchant cash advances service businesses that need capital in as soon as one week. These companies need a less stringent repayment model, as well. But these advances may do more harm than good.

These loans provide lump sums with little red tape. But they require daily, automatic payments from every credit card transaction. Companies surrender control of how they repay.

Choosing cash advances is right for some businesses. New initiatives need lump sums and may pay large dividends. Take a strategic approach to all forms of financing and do what’s right for you.

Express Capital Funding Is Ready to Help You

You need confidence in the continuity of your business. You need a dependable partner for future growth initiatives, as well. Express Capital Funding is dedicated to small businesses ready to push forward.

We’re your business loan partner for all your working capital needs. Express Capital Funding loans do not call for collateral. We provide a simple, fast, transparent borrowing process nationwide.

If you have any questions on how Working Capital can help your cash flow or to learn more, please give us a call at 888-513-9937.