Every business is going to need funding at some point. When just getting started, you may have financed your business with your savings or even loans from friends/family. However, to sustain growth, you’ll likely need institutional capital at some point.
However, some small business owners don’t qualify for traditional bank loans or they need something a bit more flexible or short-term. If this is the case, alternative lending may be the best way to go.
Below, we’ll take a look at some alternative lending options for when the bank lets you down.
Alternative Lending Explained
Alternative lending is financing that occurs outside of a traditional financial institution. In most cases, these options have a faster application turnaround and are more flexible than a conventional loan. There are many options available, which means that there is more than likely something that will fit your needs.
Types of Alternative Lending
The alternative lending industry is groundbreaking. There are always new options being offered. This means it’s a diverse industry with many loan types available. Here are some of the most common alternative lending options for small businesses:
Line of Credit
Short-term Loans
Installment Loans
Merchant Cash Advances
Microloans
Invoice Factoring
Bridge Loans
Equipment Financing
Conclusion
If you are a small business owner, at some point, you will more than likely need some sort of financial backing. If you are in a situation where you can’t qualify for traditional lending, don’t panic. You do still have some options. As you can see, there are plenty of alternative lending options available.
At Achieve Capital Advisors, we are here to help you navigate the often-complicated waters of alternative lending. We can help you get the financing you need when you need it. Don’t give up on your dream of being a successful business owner. You can get through this.