How To Get Alternative Funding For Your Small Business

There are many small business funding options available to you. Learn how to get funding when the banks say no

  • In this short 6 minutes read article, we cover
  • How to get funding from alternative funding sources
  • Personal loans for business funding

About 95 percent of homeowners have policies to cover theft and damage caused by fires, windstorms, and other natural disasters, but only 41 percent of renters carry equivalent coverage, according to an article by Consumer Reports. Your landlord’s policy does not cover any of your belongings.

Two main myths about renters insurance:

  • I don’t own enough stuff in my apartment to need renters insurance coverage. Take a look around your apartment. From smart TV, laptop computers, kitchen gadgets, couch, chairs, bedroom set, mattresses, hairdryers, books, blinds, and all your clothes, you have a lot of stuff. The average renter in a two-bedroom apartment has about $30,000 worth of stuff.
  • Renters’ insurance is too expensive. For the price of two or three lattes, you can be covered. What is someone gets injured in your apartment, think about the liability that may arise? Let’s look at what renters insurance covers below.

Read: Does a car insurance quote affect your credit score

The Issue of Collateral:

Insufficient collateral falls under the second most common thing after insufficient cash flow that a loan request might be rejected from a bank. However, if insufficient collateral is your only reason for concern then alternative lenders will lend you out. Although we still believe that personal loan would be a better option

The answer is simple, go for a personal loan. Here are a few scenarios in which a personal loan might be a better option than a business loan.

You’re just starting out:

Business lenders like to lend loans where there are high chances of recovery. If your business doesn’t have presentable facilities, high cash flow, and a good history. Chances are that it will get rejected. Hence a personal loan would be a more feasible option.

A Small Amount

If you’re looking to borrow a small amount of $25,000 or less, you may not need to provide a lot of documents. You might just get an unsecured loan. But if you seek a larger amount, then you may have to prove your employment status. Personal loans can be as high as $80,000.

Low-Interest Rate

If you have good personal credit and a low debt to income ratio, you might just qualify for a personal loan with lower interest rates and other fees. You just never know how much you will qualify for until you get started. Being in business will require courage. Go for it.

Do gutter guards work

Do Gutter Guards Work

Do gutter guards work The best gutter guards that work and that require low maintenance. 6 minutes read article What are gutter guards? Gutter guards are any designed piece of

Read More »