Category Archives: Business Loans

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.

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.

How Cash Can Help You Diversify Your Business

There’s no doubt that the market today lays much emphasis on diversification. Many businesses have survived and even grown despite all the turmoil, solely due to their ability to diversify or their pre-existing diversity, from times before the pandemic even started.

How Cash Can Help You Diversify Your BusinessCash can often be considered as a tool when it comes to diversification. If you plan on diversifying your business (and there are many different ways in which this can be done), cash can be of great help. A strong cash flow and healthy availability of liquid funds can help your business safely and efficiently implement various parts of a diversification plan.

In What Ways can a Business Diversify?

Traditionally, when one thought of business diversification, it was seen as a largely macro subject where a business served multiple industries. Today however, diversification is much more than that and there are many ways in which various degrees of diversification can be achieved by a business. Let’s look at some effective ways in which a business can be diversified.

  1. Diversify to serve multiple industries: This is perhaps the most traditional form of business diversification. Oftentimes however, such an option is only available to larger businesses with huge turnovers. For example, a steel manufacturing company could diversify into automobiles and military equipment.
  2. Reaching a new market: Another rather traditional option, this often works for businesses of smaller turnovers too. For example, a consumer goods business can consider diversification into the B2B market or vice versa.
  3. Reaching a new audience: With the help of a good marketing strategy and some fine-tuning of the existing products and services, most businesses can consider such a diversification. For example, a kid’s retail store can diversify the business by simply restricting retail to just kids, or, a restaurant can consider adding food delivery partners.
  4. Evolving services and products in new ways: In a response to new circumstances, needs, wants and customer priorities, a business can diversify its services and products. For example, a daily needs store can add OTC drugs to their inventory.
  5. Add distribution channels: Most businesses tend to have limited distribution channels. However, distribution channel options in many industries and sectors are constantly evolving and opening up new opportunities which can be utilized by various businesses. For example, a clothing store can open an online store and also take up partnerships with various other online stores.

6 Ways in Which Cash Can Help Your Business Diversify

Working towards business diversification can serve a business in the short and long run. One of the tools that can ease the implementation of most diversification plans is cash. Liquid availability of funds can be a great difference maker and here are 6 ways in which most diversification plans can see cash being helpful:

  1. Procuring material that implementing diversification plans may require: In most cases, a diversification plan shall require for added inventories and various other materials, such as promotional material.
  2. Upgrading infrastructure: Most diversification plans may require businesses to consider upgrading their existing infrastructure to some extent, in order to be able to implement the plan effectively.
  3. Investing in new outlets: If the plan features new outlets in a different location or perhaps online outlets, there’s a quite certain need for funds to be allocated towards the outlet.
  4. Training and hiring team members: These are often an absolutely essential investment when a new product or service line is introduced by a business. Training or recruiting can also be critical when an entry in a new market is being considered by a business.
  5. Marketing and advertising: When a diversification plan involves reaching out to new markets, audiences or creating awareness about new services or products, marketing and advertising can be a great investment.
  6. Hiring consultants: Many business experts would agree that consultants can add much value when a new project is being considered – especially one related to which the existing team within a business may not have much expertise in.

Need Extra Cash? A Business Loan Could Help

Many businesses that see a need for extra cash for implementing their diversification plans and projects, choose loans as the source. If you’re in such a need, feel free to get in touch with our team and we shall be happy to assist you and work towards a suitable solution.

Advantages, Disadvantages & Uses of Merchant Cash Advances

Businesses see rises, falls, challenges and struggles throughout their life. Many situations and circumstances can create the need for borrowing quick loans. While quick loans can be crucial and helpful, they can also come with challenges of their own. Understanding the advantages, disadvantages and ideal uses of any loan can help a business reduce risks and also utilize loans better.

Through today’s article, our team of experts seeks to guide readers about the advantages, disadvantages and purposes of one of the most frequent choice of a quick business loan option – the merchant cash advance, which is made available by alternative business lenders such as us, at Business Advance Funding. As you read ahead, you shall be able to understand ways in which your business can best utilize merchant cash advances while minimizing risk and maximizing the potential of its uses.

Uses of Merchant Cash Advances

Advantages of a Merchant Cash Advance

Depending upon what your lender offers, the advantages of merchant cash advances can be many. Here, we share a set of benefits that tend to be common to almost all merchant cash advances available through many of the best reputed alternative business lenders.

  1. Easy Application Process: Alternative business lenders do not require the vast amount of paperwork and cumbersome application processes to be completed the way a traditional business lender like a bank would. A few simple fields and basic documentation followed by a signed agreement typically suffices for the purpose of application.
  2. Easy Eligibility Terms: Typically, such a loan would only require that the business is registered, safe from bankruptcy and has a healthy cash flow since over a period of 6 months.
  3. Short Turnaround Times: Most established direct lenders of alternative business loans are able to approve and credit merchant cash advances in less than a week. At Business Advance Funding, we typically release most loans in roughly 2 working days.
  4. Flexibility: Many lenders tend to offer flexible repayment terms for merchant cash advances – i.e. they may offer convenient ways to customize deadlines, loan tenures and other such features of the loan.
  5. Acceptance of Bad Credit Scores: If you need a quick business loan while you have a bad credit history or score, chances are that one of the few options available to you is a merchant cash advance.

Disadvantages of a Merchant Cash Advance

Knowing the advantages of a loan can help you understand how it could benefit your business. Knowing its disadvantages can help you understand how to safeguard your business from its limitations and potential threats, so they your business doesn’t take a hard hit from any of the disadvantages.

  1. Higher Interest Rates: Alternative business lenders approve loans that may fall under higher risk categories. Loans with higher risks associated, tend to have higher interests associated with them.
  2. Shorter Loan Tenures: Alternative business loans tend to have short tenures – typically from 3 months up to 2 years. Traditional loans may extend even up to 20 years in some cases.
  3. Limited Verification and Stringency: Not as much of a disadvantage as it is a potential threat, the ease of the eligibility and application process directly reduces the stringency of the loan approval. This may lead at time to a loan being offered to a business that is at higher risk than the owner may realize. And in some cases, it may also lead to a business spiraling into a debt cycle. This risk can be reduced by ensuring strong business forecasting and choosing loans of amounts that pose less risk to the business.

Uses

A merchant cash advance can be used with much flexibility. While most lenders do not limit the usage options of the loan, here are the most common purposes that businesses tend to borrower merchant cash advances for:

  1. Working Capital: The availability of a healthy amount of cash can be very crucial in the smooth operating of a business. Some businesses use a quick loan like a merchant cash advance when the availability of liquid funds goes low.
  2. Equipment Financing: Purchasing, hiring or renting our business equipment can be expensive but it also can bring good returns. For this reason, many businesses choose such loans for this purpose.
  3. Repairs and Refurbishment: Businesses often invest amount borrowed from loans towards repairs and refurbishments of their infrastructure, equipment, vehicles and more.
  4. Maintenance Contract Renewals: Maintenance contracts often prove to be worth more than their face value and many business owners find value in investing loaned amounts towards this expense.
  5. Diversification of Products, Services and Distribution Channels: Off-late, diversification has been a key for businesses to survive and grow amidst the turmoiled times. For businesses hadn’t foreseen what came with the pandemic, preparedness was hard. Loans have widely helped many businesses with the funds needed to diversify products and services and also the distribution channels of these products and services
  6. Marketing Plan Implementation: Once a marketing plan is drawn up, funds may be required to implement it. Since investing in marketing is considered as one of the best investments across all industries, many businesses borrowing quick loans tend to utilize the funds borrowed by investing them towards implementing marketing plans.
  7. Business Sustenance: Another very important aspect of a quick loan is that it is often used towards supporting business sustenance through tough times, like low seasons, disaster-hit periods, relocation periods, etc.

Often times, business owners tend to invest funds borrowed through a merchant cash advance, towards more than just one such use.

Apply for a Swift Online Merchant Cash Advance

Once you have understood the above facts related to merchant cash advances, it becomes easier to take decisions related to the loan. It also becomes likelier that the decision of taking the loan shall end up being a good one. We at Business Advance Funding, are dedicated to ensuring that our borrowers get a swift service through our online business lending platform. Applying for a business loan with us in simply a matter of filling up the online application form and submitting the details, which enable us to process a quick pre-verification and get in touch with you so we could work with you towards designing a loan offer to suit your business’ needs.