4 Small Business Loan Myths Debunked
Accessing capital can sometimes feel like an impossible task, and misinformation, coupled with commonly accepted myths about small business lending certainly doesn't help. But what if we told you it's not only easier for small business owners to qualify for a business loan, but easier than ever to apply now, too?
So even though you might think you know all there is to know about small business loans, what we have to say may just surprise you!
Here are four myths that may be getting in the way of you acquiring a loan:
Myth #1: It Takes Too Long to Get a Small Business Loan
If you're going the traditional route - applying for a loan through your local bank - then, yes, expect to fill out a hefty amount of paperwork. Not to mention, you may wait for months before you receive any funding. But getting the financing you need for your business does not have to be this way. We can have a formal approval in a few hours and have your loan funded in as soon as 24 hours.
Myth #2: I Need Perfect Credit to Get a Loan
Does a great credit score make the process easier? Sure. However, a less-than-perfect score doesn't equate to automatic disqualification. A small business loan can still be in the picture for you. Traditional lenders like your local bank look at your credit score through a different lens than many online lenders do. Ultimately, what a lender wants to know is that you will repay any loan they provide; your credit score is one indication of your ability to do so.
While every lender will want to know your credit score, there are lenders who don't think your FICO score is the most effective way to gauge the health of your business. They also take into consideration other factors like cash flow and regular, consistent deposits into your business checking account.
Myth #3: I Can't Get a Loan if I've Been Denied by a Traditional Bank
Gone are the days when your traditional brick and mortar banks were the only option for financing your business. A denied loan application doesn't mean you are out of options.
Myth #4: I Can Get a Loan from the SBA
The SBA does not make loans - they are not a lender. Rather, they are a government organization that helps banks make loans, guaranteeing a portion of qualifying loans for banks and other approved SBA lenders.
Ignore The Myths
The lending game has changed for small business owners as a whole. If you're willing to think outside the box and ignore the myths, you'll see that there are more options now than ever before.
Call (561) 525-5497 or visit Click-N-Loans.com to speak to one of our funding specialists today!