Refinancing, when done correctly, can significantly boost your business. It can save you money, allow you to repay your loan more quickly, give you access to additional cash, or even free up your assets for other use.
Getting the capital, you need to run your business is a daunting task. Banks can be frustrating to work with and finding a loan on your own can seem impossible. Commercial loan brokers can be a middle ground between the strict requirements of a bank and an overwhelming challenge of going it alone.
Accounts receivable financing, also known as factoring, is a less familiar form of commercial financing for many business owners. This unique solution uses money owed to a company as collateral to secure the financing. There are a variety of options, so let’s see how the pros and cons line up for each.
Hard money loans are a unique source of capital for small businesses. They offer very rapid funding and don’t rely on your credit history, so they might be a great fit. But they also carry higher fees than many types of financing, so it’s important to make sure they really are the right option for your needs.
Inventory financing is a form of asset-based financing. This financing keeps businesses growing by providing the funds needed to purchase inventory for future sale. The value of the inventory is then used as collateral to secure the loan.