Most merchants need access to working capital to fix their cash flow shortfalls.Are you one of them? Do you need operating capital for your business? You might be aware that most business funding options involve selling a slice of your business. Let’s see what other options you have to avoid losing equity. Also, let’s find out who can help you with getting a merchant account with bad credit without challenges.
Getting a Merchant Account with Bad Credit& Funding
As you know, good credit can help you avoid running into obstacles when applying for business funding. Why? Well, your good credit is a sign of being trustworthy in the eyes of lenders.
In fact, good credit is important for not only traditional financial institutions but also for many alternative business financing providers. What if you don’t have good credit and want to get business funding without losing equity? Here’re options to try:
- Consider a line of credit (LOC) or credit line. When getting this type of financing, you enter into an agreement with the bank providing it. You get the highest loan balance you can access.
- Start a side project. This way, you can have cash coming in that can help you sustain yourself.
- Turn to areliable alternative online lender. Many business owners are already choosing alternative online funding over traditional financing. A reputable alternative business funding provider in your field can help you get fast and hassle-free access to the working capital you need.
With a true alternative online lender and payment processor, getting a merchant account with bad credit and bad credit funding can never be a challenge. By the way, a true professional in the field will offer you the cheapest possible rates in the industry.
- Consider turning to private investors for credit lines. Unlike traditional loans, these are much easier to be eligible for and they require less paperwork.
- Business credit is another option to try. It can save the day for your startup at any stage and can help you secure your personal assets.
- Turn to your family and friends. Guarantee them you’ll pay off the whole amount, no matter your business will be a success or not. Make sure to get everything in writing.
- Apply for federal grants, as well as for state and local ones. This type of financing can help you start your business without special conditions.
- Consider applying to finance companies that offer short-term loans by taking into account your cash flow rather than assets. You can get this type of loans for terms up to 3 years and up to a few hundred thousand dollars.
- Crowdfunding or crowdsourcing is another option,with the help of which you can raise small amounts of money from a larger number of people.
To sum up, starting or growing a business requires funding. Some startups choose to bootstrap, others search for other ways out. Getting access to the necessary funds without losing equity is important to all merchants. Surely, you have more than one option to get financing without giving up on equity.
Author Bio : Electronic payments expert Blair Thomas is the co-founder of high risk payment processing company eMerchantBroker that can best help you with getting a merchant account with bad credit. He’s just as passionate about his business as he is with traveling and spending time with his dog Cooper.