Business loans today are quite special. Loans, in general, are a means through which people help realize their needs like buying a new home, buying a new car, paying for education or going on holidays. But with business loans, everything is completely different. This is because business loans are not bought for things, they are borrowed strictly to fulfill business needs. A business is not things, a business is not the building of your office, it’s not all the machinery and computers that are inside it, it is not even the products that the business produces and sells.
A business is it’s owners idea, its managers are the soul of the business, and workers the backbone itself, making working capital essential to not only to buy things, but to ensure that the workers are satisfied.
Business loans today mean much more than they ever have before. This is because it has become much more of a gamble where you are betting on your business, and hard work instead of actually receiving financial help. In the end, due to the entropy of the world, you will also have to unfortunately rely on luck, in a world which functions on a fiat currency, and a marketplace that works at lightning speed with a trend that is completely unpredictable. So, how can a business man in a world of random disorder such as this, get a good business loan that can help him/her survive the hardships and intangible nature of business? Bank loans might be the first and probably the only choice that might come to your mind, but trust us; it is neither the only, nor the best choice for business loans. So, through this article, we would like to answer just that, and also give you our pick of all the better ways to obtain Business loans today.
Business loans today with banks
The problem with banks today is that they have long since lost their commitment to serve business owners. In the world of commerce, the only good commerce is when both parties in any kind of business deal are on a similar level and are able to accommodate each other’s demands. Sadly, with Business loans today from banks, that is no longer the case, since all banks have refused to change and adapt to the internet age and give up their tedious bureaucracies.
They will not let you negotiate on your terms, and you will have to sign the contracts that they create for you, regardless of whether you agree with them or not. This does not let the bank and the businessman ever establish a relationship on equal grounds. On top of that, banks also add many big restrictions over the usage of the money that you will not even get in a lump-sum, but instead, will receive in many installments. Your loan request will not be accepted if you have a bad credit rating, and you will also be asked to provide collateral.
So, let us take a look at a few better ways to get business loans.
Business loans today with Credit Unions
Credit Unions were also established around the same time as banks had. They work in the sense of a democratic system. Inside a credit union, every member is a trustee of the entire Credit Union. This allows Credit Unions divide the profit and give better deals to every member.
For centuries Credit Unions have been small community or group based institutions and that is the reason why they have never really caught on mainstream as banks have. But that has changed since the time of the internet age. The widespread connection of internet has allowed the Credit Unions to grow internationally and give out great Business loans today.
All the business loans with Credit Unions come at better rates than banks. Due to your relationship with the Credit Unions, it is possible to get business loans with bad credit history or even without any collateral. But you need an invitation to join a credit union since their entry is not just open for everyone.
Business loans today with Angel funding
Angel funding, is a method of getting business backing from large investors and business owners in exchange for your future profits for life. Companies like Facebook, Google, and Tesla are some of the biggest Angel funders today.
Even though once you find an Angel investor that agrees to provide a business loans, complications may arise in the future. You will have to abide by all the conditions set upon you by your funder. And they can even cut the funding if they are unhappy.
Business loans today with Merchant Cash Advance
Merchant Cash Advance has become one of the best ways through which business owners can get business loans. Essentially the financial capital that you get through Merchant Cash Advance are not loans in the traditional sense, since you are not borrowing this money. Instead, you are selling your future credit card sales in exchange for money today.
The way, this process works is that the business owner and the independent lender comes together and establishes their terms after negotiations and then sign the contract. Afterwards, the lender transfers the complete set upon the amount of the business loan is transferred to the business owner in a lump-sum. And there are no restrictions on the business owner on how to spend this money, and the repayment of this Business loans today is especially convenient. Since Merchant Cash Advance uses your credit card to automatically transfer a portion of every single one of your credit card sales directly to the lender. The whole process is faster, safer, and more transparent than all other business loan options.
According to us, Merchant Cash Advance is the best method of getting business loans in the market today. So consider learning more about them!