Business Loans Made Easy

2007-03-08 10:33:40

( Financial )



You have it all planned out: your product line, your company name, your own business tagline. Yet your dream business is still unreal because you lack the money to start it. Business loans could just be the key to realizing your business dreams.

Local banks
Make your local bank your first stop. Local banks with whom you have long-standing investments are more likely to approve your business loans application. Some local bank managers may personally know you and may confidently lend to you without thoroughly scrutinizing your business plans.

Franchising loans
If franchising is what you have in mind as your initial business, tap the resources of franchisors. Some franchisors provide franchise loans. Or they could be flexible in dealing with you: offering to finance a part of the franchise fee, the initial setup costs or the equipment you will need for your business to take off. They may even provide incentives, in order to bring you into the family. There are also franchise finance lenders, which offer franchise loan to those whose business plans are appealing to them.

Other sources
Some borrowers who have saved up quite an amount take out simpler-to-get personal loans or credit line through non-bank lenders. However, these non-bank lenders ask for higher interest rates or additional fees to offset the increased risk they take on.

Whatever source you choose, ready up a lot of information about you and the business you want to start. Lenders of business loans want concrete proof that you can pay your debt or that you have enough collateral. They also want to know how much debt you already have, how often you borrow money, and whether you pay your bills on time. You need to show that you're a good manager and you have a solid plan for your start-up business that spells out your goals for its growth and profitability.

Having your own business could be one of the most difficult yet satisfying things you'll ever do. Despite the troubles you may go through to get business or franchise loans, the success is still worth it all.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.