Trends in Financing Your Business In 2010
Posted on | March 28, 2010 | 2 Comments
Trends change as time passes by and for business owners, being aware of these changes is an essential step to stay on top of the market. In this article, let’s talk about the trends in business financing for the year 2010.
Angel Investment
Angel investors can be individuals or independent groups that are looking for promising businesses to invest in. Angel Investors became very popular in the late 90s and since then, has continued to be one of the most recognized means of business financing, particularly with small business enterprisers.
Equipment leasing is one of the most preferred ways of business financing not only for small businesses but even for big and established businesses. Through leasing, having a limited working capital does not have to be a big hindrance in bringing those bright business ideas to life. Because a lease is paid in installment, a business owner is given the opportunity to obtain all devices or machines needed for the operations without a lot of upfront cost.
Supplier Credit
Many wholesale suppliers offer credit to their small business clients especially if they can present an impressive credit standing. Do inquire from prospective vendors who can supply you with your needed materials and stocks if you can be extended credit.
SBA Loans
If you are having difficulty getting approved for a bank loan or commercial loan, you can seek assistance from the Small Business Administration (SBA). By being backed-up by the SBA, it will be easier to get an approval from your chosen lender. However, take note that the SBA has its own standards in reviewing business loan applications.
Business Credit Cards
Today, an increasing number of business owners are recognizing the advantages of using credit cards for small business. Instead of using their personal credit cards, they are using business credit cards to separate their personal and business accounts, and to build business credit history. In the long run, having a solid business credit will be a huge factor in the future growth of a business and one of the easiest ways to build credit is to use a credit card for business.
Bank Loans
Even today, many small business entrepreneurs still prefer the traditional method of business financing. Why? This is because banks usually offer a larger sum of financing compared to commercial lenders. For homeowners who are willing to use their homes as collateral, a secured business loan gives them the chance to get the financial support they need to start their businesses with lower interest rates and longer repayment period.
About the author: Lai Castillo is a business financing broker that specializes in getting start up business equipment lease financing.
Tags: business financing > equipment lease financing > equipment leasing
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2 Responses to “Trends in Financing Your Business In 2010”
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July 9th, 2010 @ 3:54 pm
Nowadays, you must be super creative to have a good business idea that works.’`:
August 8th, 2010 @ 1:00 am
Dear Sir/Madam:
I am interested in learning about Finacing. I am looking for a Financing company to work with one of our companies in doing Rental Program for a RFID Solutions to the Hospitality. Our Technology is unique both software and hardware we need a financing Group to carry the paper for our clients and do a monthly rental program.
Please contact me.
Thank you
Ghazzali
Managing Director
917 520 1452