Don’t let funding hold you back. Learn how to apply for easy-to-get business loans with our tips on online lenders and fast approvals.
Let’s cut to the chase. Whether you’re launching a unique business idea or boosting a small business, one challenge looms: cash flow. Many entrepreneurs dream of hiring extra workers, but without money to invest, it’s tough. Traditionally, stepping into a bank means wasting time on unnecessary paperwork just to access the funds you need.
Fortunately, there’s a better way. Business loans can give you the money you need quickly and efficiently. In this guide, you’ll learn how loans work and how to take full advantage of them. Forget the tedious forms banks require—think of this as a step-by-step roadmap to secure funding, invest in your business, and grow without the unnecessary hassle.
Shaking Off The Old-School Bank Blues
If you are a small business owner, you probably remember getting a business loan. You would need to plead to a bank’s loan officer dressed in your sunday best. You would always end up getting rejected. The process took months to complete and it was traumatic to say the least.
Well, that’s not the case anymore. Forget the loan officer and sit back. You can apply to a business loan online and give a short business a plan. Surely a small business’s backbone is an economy in need. Small businesses can now apply for an online loan and get an answer in a matter of hours. The wait time has been slashed down massively.
Funding Options That are Easy and Fast
Where can you find capital that is both accessible and affordable? This is found in a combination of modern funding options that are agile. If you are looking for business loans that are easy to obtain, here are some options that are likely to serve you best:
Online Term Loans: If you ever wondered if there are faster and more agile forms of traditional bank loans, this is it. Online lenders are willing to grant you a lump sum of cash which you payback in regular installments over a set repayment period. Their application processes are more straightforward, often only requiring a few months of bank statements for them to decide. Approval can happen within a day.
Merchant Cash Advances (MCAs): Do you process a lot of credit card sales? Then MCAs are likely to serve you best. MCAs are technically not a loan; it is a cash advance based on sales you are yet to make. A lender gives you cash upfront which you payback with a percentage of your daily card sales until the advance is paid off. These funds are accessible within a very short period of time. Your credit score is far less important than the sales volume you make. Payments on the advance also vary with cash flow: on a slow day, you pay back less.
Invoice Financing (or Factoring): This is great for B2B companies that operate on a 30, 60, or 90-day invoice payment schedule from clients. Rather than waiting, you can sell those invoices to a factoring company for a cash advance (generally 85% of the invoice amount). When your clients pay the factoring company, you receive the rest, minus some fees. You’ve just turned accounts receivables into working capital. That’s it.
Business Line of Credit: Think of it as a business credit card, but much better. With this option, a lender approves a business for a certain credit limit, and the borrower can draw on the funds as needed. Like a business credit card, you only pay interest on the amount drawn, which is great for unplanned costs or taking advantage of sudden opportunities.
Gearing Up: What You Actually Need to Apply
Having business loans that are easy to get does not mean you can avoid effort. However, with some reasonable—not hair-tearing—effort, you can meet the requirements. Moreover, with some simple preparations—most of which you probably already have—you’ll be ready to apply successfully. When starting with easy-to-get business loans, it’s clear that you need to meet certain requirements to get started.
Forget the lengthy business plan. Here is everything you actually need:
Basic business information, which includes the name, address, and tax ID (EIN).
Recent bank statements. Lenders need access to your cash flow and bank statements. Usually, 3-6 months of statements will do the trick.
Proof of Sales. For options such as MCAs, businesses will need to showcase their credit card processing statements.
Time in Business and Revenue. Most online business lenders will require 6-12 months of operation and a certain monthly or annual revenue.
Often, you can complete these documents by the time your morning coffee is ready.
Pro Tips For Nailing the Yes
Dividing your attention and filling in forms while multi-tasking may cost you, readiness with these tips will guarantee a Yes:
Measure the amount you need and plan the time you will use it. Taking a business loan is often a lengthy process, best cleared if you explian each step in the process.
Pay attention to the outlined terms in iTunes—this time no one is lying, and the document may include terms that differ from what is stated elsewhere. Loaning on easy terms is the worst trap, interest rates and fees are usually the silent culprits.
Avoid Mass Applications: Submitting applications indiscriminately increases the chances of triggering hard credit inquiries from several lenders, which can decrease your credit score. Do your research first and select 2-3 lenders that suit your needs.
Finding the right financial resources shouldn’t feel like an exhausting and painful odyssey. Things are different now. With the right information and some planning, you can apply for business loans with ease and access the funds that transform your dreams into reality. The resources you need are available and attainable now more than ever. The great idea that’s floating in your head, the ambitious growth plan you wrote on your whiteboard? It requires some fuel. Now you know where the gas station is. Go and grab it.
