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How Do Online Business Loans Help Doctors?

A lot of people believe that just like God sent mothers because he couldn’t be everywhere when talking about their emotional and caring nature, even doctors were sent by God to take care of the health-related aspect. If we fall ill, whether physically or mentally, the first thing that comes to mind is to fix a doctor’s appointment. We, as humans, rely on this specific group of professionals to the extent that even though they may be strangers to us, we completely believe that they want the best for us. It is the hope that doctors may be able to take away our pain, that gives us the strength to go through difficult times with reference to the same.

Online Business Loans for Doctors

When speaking about growth, every professional looks at it in a different way. Even with doctors, some choose to climb their way up by doing great work and being part of multi-specialty hospitals, while others may choose to start hospitals of their own. Some may even prefer practicing privately, but contrary to the fact that today a lot of doctors are misunderstood regarding their morals, majority still wish to do good work and help people in need in their own unique ways of healing people. As mentioned earlier, doctors give hope to patients who are in need of treatments irrespective of what illness they may be facing, and it is that fact that makes us want to help doctors who aspire to start businesses of their own.

Certainly nobody prefers calling a hospital a “business” and if the two terms are put together, it is looked at rather negatively. However, when speaking factually, there is no denying that to start a hospital, irrespective of whether a businessman or a doctor runs it and irrespective of whether the owner is business oriented more than wanting to help people and vice versa, it does cost quite some money and time that one may need to invest in order to succeed.

A doctor starting from scratch, without having much savings of his/her own or ancestral money, may need to start smaller as compared to a business man who may already have enough. It may therefore be difficult for a person starting from scratch to get a loan from a traditional
lender.

However, the good news is that you can now get a business loan being a doctor from online business loan lenders, who offer small business loans to small and medium sized businesses. When we say businesses, even tiny hospitals and clinics are included. Online loan lenders understand that everything needs a decent amount of money to be invested in, which is why they offer business loans to doctors as well.

The best part about these loans is that they help people who wish to start small, offer their talents to the world by pushing them to start their business without much thought and confusion. When it comes to doctors, every good doctor deserves to grow since the world needs more people like them, to help them get through their tough times. It could be harmful to deprive the world of such massive talent and empathy, which is why online loans for small business owners including doctors who just start practicing may be the right choice to make.

Business Loans for Skill Development can Help Boost Customer Satisfaction

The skillset of your employees can be very helpful in developing a good relationship between your brand and your customers. When it comes to business, it’s all about “selling” your product or service, irrespective of what it is. It may be a spa offering rejuvenating experiences in many ways, or a car dealership showroom selling the best brands.

Irrespective of what your business has to offer, the relationship built between your brand and your clients is an important one, as a good one can go a long way.

Business Loans for Skill Development

Building a good relationship with your clients can turn them into loyal customers, and can also help boost your brand value and gain more clients through word of mouth. When a salesperson is rude or discriminatory, the brand can develop a bad image thus eventually leading it to a river of losses.

On the other hand, if your employees (especially those ones who are in direct contact with your customers) make a good impression, your brand will certainly grow and can also eventually see a mountain of profits. In order to be in the latter situation over the former, it is important to train your employees well and continuously work on development of their skills.

It could be implementing skills related to knowledge about what they are selling, communication, marketing and more.

Let’s take a look at how business loans can be used for skill development of your employees:

1. Communication Skills

Most people who step into a store, look for a salesperson to help them out as they believe that the salesperson could possibly lead them to what they are looking for. Of course, there are buyers who visit a store to purchase a specific item, but those cases are rare. When a buyer interacts with a salesperson, he expects him to be knowledgeable and polite too. If the person selling the product seems disinterested, even the buyer may give up and want to visit another brand instead.

It is therefore quite important to help improve the communication skills of your employees, since that could make for 50% of the reason as to why a buyer chooses to buy or not buy a product of your business.

In order to do so, investing in communication and behavioural classes, holding workshops and more can help to a large extent, and since it may require investing in a number of employees, you could always opt for a small business loan for the funds needed to do so.

2. Knowing the Product

It is very important for your employees to know what they are working on and what they are selling. If they don’t, you may be unintentionally giving them a blank slate to work on, and they may be verbally selling an item that doesn’t actually exist, just to their knowledge and understanding. This can create a lot of trouble in many cases. Misinformation by your employees can hamper your brand’s image thus reducing the number of buyers, and can sometimes also get you into legal trouble. We don’t want that, do we?

Take a small online business loan to invest in the knowledgeable aspect of your employees, when it comes to knowing every little detail about your product or service.

3. Understanding the Market

This is a very important aspect of any business- to understand the market. One has to understand their target market, their competition, potential buyers and more, and in order to do the same they must be knowledgeable about the market segment that they may be dealing with. It is important for every employee of the company to understand this, so as to be able to efficiently explain things to consumers. Workshops, meetings, etc. can be used to train your employees regarding the same. But it all does cost money.

Business loans for skill development can come handy in such situations as well.

Here is How Skill Development Loans Can Help your Business:

When one chooses to start a business of their own, it is imperative to invest well in every aspect of the business in order to succeed. Skill development, even though not necessarily part of production, is quite an important area to invest time and money in, in order to do better. Here are the various ways through which it can help your business earn profits:

Brand Image: If you have a bunch of employees who do not know how to behave well, who cannot communicate well and who may be disinterested in their job, it can majorly hamper growth of your business. A disinterested employee is the result of a disinterested customer. Nobody today has the time to go through a ton of research before they invest in a product, and if the person selling it cannot explain the same in a short and professional manner, a potential customer may end up losing interest and hop onto another brand instead.

On the other hand, an employee who is good at communication, body language and is also knowledgeable about what he is selling can convince even just a person strolling on the road to buy his/ her product. This helps generate profit and build brand image since people may spread the same by word of mouth.

Growth: It is inevitable that if your employees know how to sell a product, your brand shall grow and well. Investing in the skillset of your employees, helps them sell more of your products, thus helping you achieve your goals in a time much lesser than you had imagined while setting up your firm. You can now achieve a breakeven point months before you had thought you would.

Apply for a Business Loan for Skill Development

At Business Advance Funding, we serve as an alternative lender of business loans and are happy to assist you loans to invest in the skillset of your employees. Applying with us is as easy as it can get, with the entire process being online. Even our eligibility terms are very simple, which makes it easy for all small business owners to get funded by us.

5 Great Ways Your Spa Can Benefit from a Business Loan

Spas across the world are seeing steady growth in demand and supply. With an average growth of 2.7% annually, the past decade has been fruitful for most spa owners. In a steadily growing market which faced challenges during the heavily impacted days of the pandemic, the stability has only just returned to the industry while a lot of spas are re-establishing their strengths and, in some cases, regaining their foothold over their competition. Loans, have in the past and continue in the present, to help spas sustain and grow. Here we present 5 proven ways in which spas across the globe have benefited through loans and you could use one or more of these to help your spa business cross previously unattained milestones. So, let’s dive right in!

5 Great Ways Your Spa Can Benefit from a Business Loan

1. Marketing and Promotions

Broadly considered as the single most potent use of business loans – with potential for great returns on each dollar spent – marketing and promotions are often seen as the best investments towards the growth and development of a business, no matter what the industry may be. Spas are no exception. Spas across the globe have seen benefits of marketing and promotion and today thanks to the strength of online tools, marketing and promotions have the potential to give returns like never before.

2. Adding New Services

Diversification is considered as one of the best ways to make a healthy model of a business with potential for lasting progress. Adding new services is one of the easiest ways in which a spa can diversify. Oftentimes, spas use business loans to fund adding new services such as:

  • Salon and beauty
  • Swimming pools
  • Fitness facilities
  • Additional spa services
  • Sauna and steam rooms
  • Yoga, Pilates, martial arts and other such facilities and training

3. Managing Cash and Capital

Cash and a healthy rotation of it, can make the difference between a healthy, profitable business and one that’s unable to keep up its profits – even when there’s ample revenue flowing in. Cash and a healthy working capital are absolutely essential in virtually all kinds of business models that spas can have. At times when business situations bring about challenges in maintaining a healthy cash flow, a business loan can be employed to help.

4. Creating a Franchise Model

If your spa business has progressed well and you’ve created a brand that’s secured a good reputation, chances are that your next endeavor in the growth story of your spa business is to create a franchise model and work on giving out franchisees. Such a plan is likely to come with initial costs that later pay off well over time. Compromising in costs of creating a franchise model often leads to disaster. If added funds are needed for creating a franchise model with limited or no compromises, a business loan can help you with the funds you need.

5. Business Expansion

There are many more ways in which a spa business can expand using funds from a business loan, some of which may be:

  • Adding new offerings
  • Adding real estate space
  • Adding new floors
  • Opening new outlets
  • Moving to larger facilities
  • Partnering with other businesses
  • Adding stores and eCommerce facilities
  • Acquiring a competitor or a complementing business

Should You Consider an Alternative Business Loan?

Business loans can be procured from traditional sources like banks and SBA lenders or less traditional sources like alternative business lenders. As a spa business owner, you should consider alternative business loans if one or more of these scenarios applies to your business:

  • Your business/personal credit scores are unhealthy
  • Your need for funds is urgent and there is little room for compromise
  • You don’t have enough documentation for a traditional loan
  • Your business is ineligible for a traditional business loan or has been rejected before
  • Your business has faced multiple loan rejections
  • You do not wish to wait for a time-taking loan approval or go through the tremendous formalities that are needed for a traditional loan

Apply for a Spa Business Loan

At Business Advance Funding, we serve as an alternative lender of business loans and shall be happy to discuss funding your spa business with the loan it needs. Once you ascertain your need for a business loan and choose us, the easy part is to apply for the loan, as the application process is simple and starts with just a brief online application. Once you fill and submit all relevant details, our team works to get in touch with you and create a loan offer to suit your needs.

6 Ways a Loan can Help Your Business Grow in the New Year

A new year for many businesses marks a new beginning or a new season. While in some cases it may just be a psychologically influencing factor, in many cases, it actually makes a seasonal and financial impact. As the new year dawns in and as a lot of businesses rise through turbulent times, to get back into their stride, we discuss easy ways in which a loan or a business financing plan can help steer a business towards success. As you read on, you shall find 6 practical ways in which a loan can help your business grow in the coming new year. But first, we shall delve into why a loan could be good for your business in the first place.

6 Ways a Loan can Help Your Business Grow in the New Year

Why Choose a Loan for Your Business

A business loan can serve many needs at various stages. In some way or the other, most businesses use loans for one or more of these:

  • Starting a business
  • Funding growth
  • Sustaining a business

Typically, businesses tend to procure such funding, or loans for purposes like:

  • Equipment rentals, purchases and maintenance
  • Manpower hiring and salaries
  • Paying utility bills
  • Paying real estate expenses
  • Purchasing inventories
  • Maintaining healthy cash flow
  • Managing emergency expenses
  • Insuring the business and/or employees
  • Investing in marketing and sales
  • Managing expenses related to outsourcing
  • Expanding operations
  • Diversifying the business
  • Acquiring another business
  • Credit consolidation

Oftentimes in business, it takes money to make money. Loans today serve as a reliable way to procure money when needed and many businesses fuel their growth in practical ways using loaned funds. Here are 6 ways which are virtually universal and applicable to perhaps every business that exists.

1. Transitioning into Profitability

Turning a business into a profit is not always very simple. It may be that a business is in its early days, is facing a low season or has turned into a loss-making one. But turning profitable can take a combination of many things going right. One of the key things, can be the supply of enough money and for this, a loan can be one reliable source as long as a business is eligible for it. Yes, loans have costs associated with them, but many businesses profit significantly beyond the costs of a loan, using the funds borrowed. Some investments of loans that often lead to profitability include:

  • Marketing expenses
  • Efficient cash flow management
  • Supply chain management
  • Logistics management
  • Distribution management
  • Business acquisitions
  • Inventory procurement
  • Market investments

2. Helping with Equipment Hire and Maintenance

Equipment often is the key to business success – virtually every industry can stand as a testament to this truth. Being able to afford the right equipment can be absolutely crucial in the growth of a business. Many businesses today use loans and funding solutions in order to be able to afford hiring and maintaining the right equipment for their operational needs.

3.  Managing Cash and Capital

One of the most important factors that keeps a business going and growing, is the effective management of cash and capital flow. Cash can be critical at almost any time in the life of a business. Oftentimes, challenges and turmoiled times can pose threat to the cash flow of a business and should anything go wrong, a downward spiral can easily be the result. On the other hand, efficient cash management turns many less profitable businesses into more profitable ones. Loans can help temporarily add cash to the rotation and the right timing of such an action can be worthwhile for a business in many situations.

4. Acquiring the Right Businesses

One of the most crucial moves in the journey of a business, can be an acquisition. Acquiring the right business at the right time and at the right value, can have virtually unmatched consequences and can be a strategic decision like none other. However, using the funds available with your business may not always be a good idea or even feasible, when it comes to an acquisition.

Debt is an instrument often used for business acquisitions and there are many reasons behind this:

  • Debt can help keep the cash flow undeterred
  • It can allow a business to acquire an otherwise unfeasible acquisition
  • It can help keep the acquired business healthy in its capital and cash availability
  • Sometimes, it can help secure the acquisition deal itself.

Hence, most businesses today take advantage of debt in the form of loans for acquiring other businesses that are seen as key to their journey.

5. Marketing and Promotions

Largely considered amongst the potentially most powerful investments toward the growth of a business, marketing and promotions are also probably the most valuable ways in which a business can use a loan. It can safely be said that the best use of business loans in recent times – in terms of return per borrowed dollar – is indeed marketing and promotions. Many businesses that invest well towards the right marketing moves or partners, often reap great benefits, which are often unmatched by the return on any other investment. Many of the world’s largest businesses have reached where they are, largely thanks to a combination of right marketing moves. Loans can help provide the funds it takes to get the right marketing and promotion going.

6. Diversification

Considered by many business experts as the best way to ensure lasting success, business diversification can help grow a business while also reducing risk in the business. Diversification can be across multiple market segments, industries, locations, distribution channels and more. Businesses with higher diversification are often well-protected from threats caused by seasonality, market trends, catastrophes, and so on. Diversification is likely to require funds and loans are often used by businesses when investing in diversifying their products, services, markets and industries.

Christmas and Business Loans – How to Make the Best

Business and Christmas have had a lot to do with one-another. This is best shown by some of the famous impacts that they’ve had upon one-another, like:

  • The big red suit of the modern Santa Claus figure that was developed by Coca Cola for it’s promotions
  • The 30 million odd Christmas trees that sell each year in the US alone
  • The fact that only 1 out of every 3 Christmas cards sold in the US has a religious message
  • Credit cards see a jump of over 3-times the typical usage on days close to Christmas.

As most businesses see a sharp rise during the season, there are some that see almost no change and some that see a slowdown. In either case, a business loan can be a tool at one’s disposal, that can help sail through Christmas, serving to address financial needs that a business may have.

How Businesses Typically Use Christmas Loans

Christmas loans are typically taken out by businesses that are either positively or negatively impacted by Christmas, and this is no new trend. Loans for Christmas seasons have been offered by lenders for decades, but it’s only now that there is a shift in focus from an unorganized form of lending to an organized one as the demand grows and as various state and federal regulations help make lending safer.

Christmas and Business Loans

Typically, businesses tend to use Christmas loans for purposes like:

  • Stocking up inventories
  • Strategizing and implementing marketing plans
  • Advertising and promotions
  • Renovation and refurbishment
  • Rending added spaces or equipment
  • Hiring temporary staff
  • Distributing gifts
  • Thematic décor
  • Launching new products or services
  • Procure added materials, permissions, etc.
  • Sustain through a period of slow business
  • Manage credit more efficiently
  • Manage working capital needs
  • Manage emergency purchases and other emergency expenses

Businesses of all kinds may be eligible for a Christmas business loan, and in today’s market, there is no need for a fixed purpose of a loan, considering that many alternative lenders allow loans to be used flexibly once approved.

Does Your Business Need a Christmas Loan?

A few factors can help you determine whether or not your business needs a Christmas loan. Here are some signs that can help:

  1. Previous years’ performance: If in the past, there was a performance that indicated the need for added inventories, equipment, etc beyond what your available funds can cover for, there is likely to be a use for a loan to manage the expenses.
  2. Forecasts: If your forecasts indicate a requirement that your cash reserves may not be able to cover, a loan could be useful.
  3. Financial situation: If your business is not in a financial position to smoothly deliver all customers their Christmas expectations, a loan could be the way to go.
  4. Inventory and equipment needs: The most important things to consider while looking forward to a season of change in demand, is the inventory and equipment. Loans are often utilized towards managing expenses on these items.
  5. Potential for marketing: Marketing and related expenses can serve as an invaluable tool when it comes to making the best of a season. Typically, loans invested in marketing at the right time tend to provide the best returns.
  6. Other factors: Many other factors such as manpower needs, working capital needs, cash capital availability requirements etc. can govern whether or not your business needs a loan for Christmas.

Can an Unsecured Loan from an Alternative Lender be the Answer?

At Business Advance Funding, we are an alternative lender and we provide loans that are:

  • Quick to procure
  • Easy to qualify for
  • Easy to apply for
  • Reliable
  • Available to bad credit borrowers
  •  Unsecured i.e. require no collateral

Typically, a traditional business loan would require you to guarantee repayment against a valued asset (collateral). Such loans can be slow at getting approved as determining the value of assets can take time. Furthermore, the chances of approval of traditional loans aren’t always high, while a loan from us comes with a rate of approval of above 90%.

Hence, many businesses choose our unsecured loans for their Christmas needs, considering the benefits that we provide.

Growth in Revenue vs. the Cost of Loans

When understanding loans and their value for a business, one of the key factors that needs to be considered, is the comparison in the potential growth in revenue that’s forecasted to be a result of the loan, versus the cost of the loan itself.

Typically, this is done via the process of business forecasting. Many businesses make two forecasts – say ‘A’ & ‘B’, where ‘A’ is the forecast with the loan and ‘B’ is that without. Let’s say ‘I’ is the cost incurred for the loan. If A-B>I, it is likely that opting for the loan is a good idea. This method typically works for businesses that tend to see a rise during the Christmas season, and doesn’t necessarily bear validity for those that don’t.

Five Great Ways to Utilize the Loaned Money

Loans can be used in an efficient manner, but also in a very inefficient manner. Offering you loans for your business, we also feel it is a part of our responsibility to offer you friendly advice, so if you’re rather new to business loans, here are five great ways in which your business could utilize loaned money this Christmas season:

  1. Purchasing inventory: Christmas brings a rise in demand for purchases for many businesses across many industries. The rise in demand that your business incurs, can be well-met when you’ve stocked up well enough.
  2. Purchasing/hiring equipment: A rise in demand may also mean a rise in the need for equipment. This can mean purchases or hires and loans can cover both, depending upon the source of your loan.
  3. Day-to-day expenses: Working capital loans are a great solution for such needs where day-to-day expenses are to be addressed.
  4. Marketing and promotions: When there’s potential that is to be tapped, nothing can beat the value of effective marketing and promotions and loans are often used towards such expenses.
  5. Hiring staff: Manpower is indeed an invaluable asset and Christmas can be the time one truly realizes this. A loan can help your business with the funds needed to hire added manpower during the season.

Get a Christmas Loan for Your Business

Having thrown light on some interesting facts about Christmas and business and having shared how business loans for Christmas could make a difference to your business, it is time for us to offer you our Christmas business loan. Featuring a simplified application system, easy qualification terms, quick processing system and a transparent offer, each Christmas loan from Business Advance Funding is designed to suit the borrowing business’ needs. The application process starts as soon as you fill and submit our online form. Shortly after, a customer service expert from our team shall connect with you, to assess your eligibility and requirements, and work towards a suitable loan offer for your business. We wish you a Merry Christmas and lots of luck ahead!

Getting Loans for Unusual Businesses & Entrepreneurs

Having a business with a unique model and an unusual structure isn’t something unheard of. Infact all models and types of businesses would have had a first, naturally! But what if your business is currently a first and unique? Does it impact the chances of getting funded? Debt is often considered an invaluable tool in business, but what if the doors to debt seem closed? Are there alternative options to the traditional business loan?

While the answers to these questions can vary with the frames of reference in certain cases, in most general terms, what we discuss ahead can be of use to owners and other stakeholders of various businesses that have unusual business models including entrepreneurial ventures of various kinds.

Loans for Unusual Businesses

No matter what the business model or the structure may be, today’s debt market is equipped to serve virtually all viable businesses that are setup legally and meet various other requirements that the lenders maintain as their eligibility terms. Read on, and you could find a solution that fits your business.

Challenges with Traditional Loan Options

Traditional loans for businesses such as bank loans and SBA loans play a great role in the economy. While such loans are known to be affordable and for some businesses, easy-to-get too, what many people do not discuss is that traditional loans are often suitable only for traditional businesses. For an unusual business model or an entrepreneurship, it often happens that a traditional loan is simply not an option. Traditional lenders often reject loans when one or more of these factors are present:

  • The industry is considered risky
  • Not enough collateral can be provided
  • The type of business isn’t one that’s accepted by the lender
  • The debt utilization of the business is either too high or too low
  • There isn’t enough paperwork available to evidence all the various requirements of the loan
  • The business hasn’t been operational long enough
  • The business model doesn’t seem acceptable

Some of these factors are normal for businesses that aren’t traditional and hence traditional loans are often a challenge or simply out of reach of such businesses.

Startups Face Different Challenges

If your unusual business is also a startup business, you’re likely to face even more challenges as you look for a suitable financing option.

Firstly, startups have very few SBA and bank loan options available. Secondly, any option available is likely to have stringent requirements and qualification terms.

If your startup is one of the few that passes those requirements, there may be chances for you to secure a traditional loan, but the usual challenges that come with traditional loans as discussed before, shall also apply to your business.

And for a younger business, some of those challenges are fairly difficult to overcome. However, there are business loan options today that could serve you despite these hurdles.

How Unsecured Business Loans Can be Easier

One of the biggest challenges faced by many borrowing businesses today, is the requirement of collateral to secure business loans. Typically, the value of the collateral needed for a business loan tends to be 20-60% higher than the value of the loan, which helps the lender cover for the loan, expenses related to the loan plus an estimate of the potential expenses related to converting the collateral into money. This is, because the collateral is after all there only to cover for the loan, in the event of a non-payment thereof.

Unsecured business loans are those that need no such collateral and these loans are typically offered based upon a personal guarantee. In the case of unique business models and entrepreneurship loans, it often is the case that such loans (that are offered by alternative lenders) with easy qualification terms and broader acceptability, are the easier choice for owners of such businesses.

Alternative Loans for Entrepreneurs and Unusual Businesses

Alternative lending is one of the go-to solutions for most businesses that are unique in various ways that makes it hard for them to secure traditional loans. Loans have been playing crucial roles in the sustenance, growth and development of businesses since they exist. Alternative lending is made available to allow for less stringency for those businesses that require it to be that way. Yes, costs associated with the loans tend to be higher, but many find value in the services that’s beyond the cost of the loan.

The Debt Advantage in Business

Loans, financing for various purposes and business funding are considered virtually irreplaceable tools. Many small businesses, large firms and even whole economies – including the entire US economy – often credit much of their growth to the debt industry. Used effectively, debt has been seen to help businesses reach unseen heights.

Amongst many other uses, loans can help businesses:

  • Keep a healthy cash capital
  • Afford the right infrastructure
  • Sustain during times of struggle
  • Acquire stake in other businesses
  • Invest in expansion plans and projects
  • Purchase inventory
  • Hire and train employees
  • Spend on marketing
  • Purchase property
Get a Loan for Your Business, No Matter What the Model

If your business model is making it a challenge to secure a traditional loan, or if your entrepreneurial venture is ineligible for other types of funding for such a reason, you’re in the right place. At Business Advance Funding, we are an alternative lender and our loans are available with enhanced flexibility. As long as our simple eligibility requirements are being met, we welcome you to apply for the loan that you seek for your business. Our team is here to work with you on a suitable loan offer.

Unable to Pay a Business Loan? Here are Your Options

Being unable to repay a loan is not unheard of. Even in the business world, it indeed does happen and oftentimes, the outcome can be quite devastating, while in some cases, it may not be that way. Many factors add up and influence what unpaid business loans lead to, and what options are available in such a situation. Your business type and the type of loan your business has taken are two primary factors that control this.

Typically, your business type determines the extent of liability and whether or not a part or whole of the liability shall be personal, ultimately, it is the type of loan you take, that shall determine what options you shall have available to you.

Unable to Pay a Business Loans

1. Non-Repayment of Secured Loans

Secured loans typically are settled by claiming ownership of the security that’s used as collateral against which such a loan is issued.

In some cases, a compromise can be discussed and mutually agreed to, between the lender and the borrowing business. The best way to handle a non-repayment of a secured loan is hence to communicate well with your lender after refreshing your understanding of the loan agreement and carefully examining and understanding your loan terms.

2. Non-Repayment of SBA Secured Loans

Typically, a portion of your loan shall be guaranteed by SBA and the remaining against a valuated collateral. In most cases, the collection process shall include taking possession of the collateral. Thereafter, a claim is filed with SBA that pays the lender the amount. This debt is hence now transferred to SBA. The SBA shall request for the payment to be done to cover their expenses. Should you be unable to cover the expenses, a compromise offer from your end may be accepted.

However, if a resolution can’t be found, the SBA shall submit your account to collections officials at the Treasury Department. The Treasury Department has the authority to take various actions to get the money they are owed, which may include wage garnishing, personal asset cease, etc.

3. Non-Repayment of Unsecured Loans

Such loans are typically high-risk loans and lenders offering these loans compensate for the lack of collateral, by offering lower dollar amounts, higher interest rates, and shorter repayment terms. A personal guarantee is associated with the loan for processing it. While this isn’t technically collateral, there’s a similar impact if you default on an unsecured loan. The lender would come after your assets and/or finances to recoup the money involved with the financing.

In many cases, compromises in repayment amounts and relaxation of liability are seen to be the outcome. Communicating closely and well in time with a lender often impacts the decisions related to such issues.

Other Issues Related to Defaulting a Business Loan

When you skip a single payment of a loan, it shall impact your business credit scores, and depending upon the setup of your business, it may also impact your personal credit scores. However, non-repayment or defaulting business loans have many far-reaching impacts that may include:

  1. A substantial impact on your business credit scores
  2. A substantial impact on your personal credit scores depending upon the setup of your business
  3. Various issues linked to a bad credit performance, e.g. difficulty getting good deals on loans, ideal rental options, etc.
  4. Legal consequences of defaulting the loan
  5. Added liability due to additional charges of defaulting the loan (as applicable).

Get a Flexible Business Loan from Business Advance Funding

One of the qualities of an unsecured loan that makes it friendly is flexibility. At Business Advance Funding, we provide business loans which (subject to eligibility and further terms) offer you the flexibility through:

  • Early loan closures without penalty
  • Extension of loan tenures and payments upon request
  • Changes to loan payment plan upon request

Your business can get a loan from us easily, through our online application system. Simply apply and we shall guide you with the further steps and requirements.

Disclaimer: This article is aimed at providing insight and ideas that are general in nature to most loans of whatever type are described. It does not guarantee the availability of any option in your particular loan deal/agreement/contract with your lender. The terms and conditions applicable to any business loan you may have received may or may not feature such options or features as described in this article.

Business in Turmoil? Try Investing in Marketing

No matter what it is that your business sells to whom, the right marketing can always help a business worth it’s salt. If your business is facing challenging times in terms of sales, revenue, or profitability, a fresh and valid marketing strategy and its implementation can be one of the best ways to improve the situation.

Business-in-Turmoil

Every Business can benefit from Better Marketing

No matter what the industry, who the customer and what the products or services are, there is likely to be no business that sees no benefit from the right marketing. Oftentimes, businesses and business owners employ certain marketing tactics and teams that have much room for improvement but that isn’t even evident to the decision-makers within the business.

Marketing Evolves Rapidly in the Digital Era

Today, much of marketing is dependent upon online channels and services. The digital era has, however, comes with one significant trait – it evolves rapidly. Whatever works now, is not necessarily going to be as significant a few months down the line. Trends are of key importance and keeping up with trends can be a challenge. Understanding this and learning to embrace it or taking advantage of it can be helpful for a business today.

Making a Marketing Strategy

Reviewing the existing marketing strategy or starting afresh when there isn’t one, is very important. Without a strategy laid down, marketing often loses its importance, focus, and purpose. A strong marketing strategy that is reviewed periodically, is likely to be one of the best reasons behind a troubled business’ recovery and growth.

Implementing the Strategy

A strategy isn’t of significance without its implementation. Effectively implementing a marketing strategy can be a huge difference-maker in a business’ performance. Implementing a well-defined marketing strategy is usually very fruitful and can offer unparalleled benefits to the business.

Reviewing the Performance

A marketing strategy isn’t a destination – it is something a business has to evolve and improve upon. A key task is to review the performance of the implemented marketing strategy, to strengthen and update the strategy to meet the future needs of the business.

Outsourcing Marketing

Oftentimes, businesses that aren’t willing, able, or equipped to handle a part or all of their marketing tasks, activities, and/or even planning, outsource what their team cannot well address. Outsourcing marketing can be very useful. However, at times it may be counter-productive too. Outsourcing is a decision that must be taken only after much care, consideration, and thought is given to it, especially in the case of an already troubled business.

Get a Business Loan for Marketing Expenses

Need added funds for marketing? No matter in what way your business plans to utilize the funds, we are here to support you. If your business meets our qualification terms, a loan isn’t far away. You can begin by simply filling up our online form and our team will be in touch with you shortly, working on a suitable business loan for your marketing needs.

5 Tips to Get a Safe Business Loan with a FICO Score Below 500

A FICO score below 500 is considered a bad credit score and if you look for a loan for your business, you may encounter challenges and find most doors of borrowing to be closed. Bad credit business loans are likely to be the only dependable solutions within your reach.

Safe Business loans

Credit products such as loans that are designed for bad credit score holders or bad credit performers always have a higher risk associated with them. Such loans typically feature higher interest rates too. Businesses however can take advantage of such loans in many ways. It is fair to say that caution must be exercised while choosing to take such a loan for a business. Enhancing the safety in such a loan decision and transaction can in fact help make the loan safe and this can be key to the business’ health in a situation in which the loan is considered a must or otherwise potentially advantageous.

As a direct lender of bad credit business loans with years of experience in lending, we at Business Advance Funding present 5 practical tips that can enhance make such loans safer for your business.

What is a Bad Credit Business Loan?

A bad credit business loan is a loan product specifically designed to serve businesses with a bad credit history or rating, as well as businesses, the owners of which have a bad credit history or bad credit scores.

Such loans are typically offered by select alternative business lenders that are willing to overlook credit performances and instead base loan approvals on other financial indicators. Also typically, such loans feature shorter tenures in order to limit certain risks associated with the loans.

At Business Advance Funding, we offer convenient online short term business loans for bad credit. These loans are designed to be reliable and have an approval rate of above 88%.

The 5 Tips that Shall Enhance Loan Safety

1.  Avoid Long Term Loans

Most lenders may already offer only short-term loans for bad credit businesses. However, certain lenders do offer bad credit loans with longer tenures. Since one’s credit score is less than likely to be an indication of just the past credit performance, getting tempted towards a long term loan could be a significant potential risk. Furthermore, any improvement in your credit scores may not help you secure a better offer as the tenure of the loan continues to weigh you down with the more expensive deal that you would’ve locked into at the time of the loan application.

2. Assess the Financial Risk

There is always financial risk associated with virtually any business transaction. With loans however, the risk is certain yet typically finite as long as the loan is repaid on time. It is essential for a business to clearly understand the risk and the repayment pattern properly and consider them in every relevant financial calculation and estimate.

3. Identify the Right Lender

When choosing a bad credit business loan, you’re certain to be working with an alternative business lender. It is hence important to know that you’re choosing the right lender whose services are legitimate. A well-constructed website, good reviews, prominence on the internet and transparent lending terms can be upfront indications of the legitimacy of a lender.

4. Plan Your Finances Right

The right financial planning including strong assessment, forecasting, budgeting and plan implementation can help a business offset most risks that relate to loans and calculate a path that makes the loans most useful rather than a burden.

5. Repay the Loan on Time

Repaying a loan on time is absolutely essential. Loans can get drastically expensive as delays in repayment occur. Typically, alternative business loans for bad credit are already expensive loan products and adding cost to such a loan due to a delay in payment is not likely to be healthy for any business. However, in the event that you are unable to process a repayment due to any issue, you must have a good understanding of your agreement terms and approach your lender for the best solution at the earliest time of such knowledge.

Apply Online for a Business Loan for Bad Credit

Need a bad credit business loan? Business Advance Funding is here to help you with flexible offers and a loan that’s convenient, fast and reliable. Our loans need no collateral and involve no hard credit checks. You can query for a loan by contacting us or simply filling in the short online application form and our team shall be happy to assist you.

Providing Service Continuity during Business Remodeling

Providing business service continuity is often a topic discussed when a business remodeling plan or project is under consideration. There are many ideas and initiatives that can help a business provide continued services to customers while remodeling to various extents, is carried out within the business.

Providing-Service-Continuity

Here, we discuss certain points that can be used as a ready referral in such situations.

Why Consider Service Continuity?

There are lots of advantages that service continuity can provide to your business as well as your customers, especially if your business is likely to benefit from customer retention in the long run – which is probably going to be true for most businesses. Here are some of the top advantages:

  • It can save your business from losing customers permanently
  • It can create or increase trust within customers
  • It can help employees stay efficient and in-touch
  • It can provide additional exposure and a new experience to employees
  • It can help maintain cash flow

Providing Services through Alternate Channels

One of the ways in which many businesses provide continued services during remodeling, is to provide services through one or more alternate channels. Businesses often consider these options:

  1. Providing services through online channels: One of the most preferred solutions for both businesses and consumers today, is online distribution. Moving services online is possible today, across most industries.
  2. Providing Services on Call or In-Person: Another solution that is preferred by many businesses is to move to telephonic or in-person service provision.
  3. Using Facilities of a Business Partner: If you have a business partner whose infrastructure or facilities can help you continue providing services to your customers, considering such a move can be a great decision.
  4. Using Facilities of a Friendly Competitor: Some businesses may choose to move their customers to a friendly competitor when the understanding and relationship is good enough for it not to be an absolute business threat. Any such decision must only be taken after a careful consideration.

Temporary Business Continuity Set-Ups

Some businesses consider setting up temporary facilities that are dedicated to provide continued services to their customers while their existing facilities are undergoing remodeling. Such facilities may not provide full services or may simply be makeshift solutions designed to be cost effective but perhaps having less longevity. Where feasible, such a set-up may provide multiple advantages to both the business and the customers.

Funding for Business Remodeling and Service Continuity Projects

A good business remodeling plans as well as a service continuity plan always defines the source of funds that shall make the whole plan feasible to enact. While it is typically clear where expenses towards business remodeling can be allocated, here a brief list of where funds towards service continuity are often allocated:

  • Communicating with customers
  • Investing in the facilities required
  • Investing in the distribution channels
  • Performing marketing activities to create awareness

Once you have understood what funds are needed, you may need to consider a funding solution. At Business Advance Funding, we provide simplified and easy-to-apply business loans which you can use towards the remodeling as well as service continuity project of your business. A simple online loan application is all it takes to get you started towards a suitable business loan.