Finding the Best Business Line of Credit
Starting a business can be rough when you don't have the capital to start one up. What you can find out when you look into the history of
other businesses is that many businesses out there started out with next to nothing. They took the plunge, created a business, and borrowed the money. Over time, they were able to pay the money back to those that gave them it in the first place.
Sure, the economy is starting to improve, but what you're going to find out today is that banks are still hesitant to loan to those that don't have the best credit in the world. Heck, I just had a major bank close my account down because of no reason at all and my credit score is well above 750! Sometimes the banks just don't make any sense.
Now, when you're looking for the best business line of credit, I wanted to give you some tips that you can use when you're looking to get some credit for your business. Most of these tips may work for you. It doesn't hurt to try it out, because the worst thing that can happen is that you're going to get a "no" from them.
Try a business credit card: The first thing that I would try is a business credit card. The APR is fairly high on some cards but it's a great way to get a small business line of credit. Plan on getting lines of $1,000+. Don't purchase things that you don't need, because the last thing that you want is for it to get out of control.
Try your local bank: Your local bank can often give you a credit line if you sit down and talk with someone. You may also find out that you can get lines of credit from local credit unions as well. Many people skip over the idea of credit unions, but they can give you a lot more money than you would have ever imagined.
Friends and family: If you go this route, let them know what it is in it for them. If you're going to borrow $1,000, don't give them back $1,000 but instead, give them that plus a percentage of your profits. You want them to loan to you. To make them feel comfortable, let them know that you will be willing to sign a contract.
Peer to peer lending: Sites like LendingClub and more are a great way to find loans. Again, you will ask for a loan, but you may find that the interest rate is very high. Only apply for a loan if you're in desperate need.
These for steps can help you get on the right path. A great, motivated business owner will never give up. Be creative and find something that will work for you.
Now, when you're looking for the best business line of credit, I wanted to give you some tips that you can use when you're looking to get some credit for your business. Most of these tips may work for you. It doesn't hurt to try it out, because the worst thing that can happen is that you're going to get a "no" from them.
Try a business credit card: The first thing that I would try is a business credit card. The APR is fairly high on some cards but it's a great way to get a small business line of credit. Plan on getting lines of $1,000+. Don't purchase things that you don't need, because the last thing that you want is for it to get out of control.
Try your local bank: Your local bank can often give you a credit line if you sit down and talk with someone. You may also find out that you can get lines of credit from local credit unions as well. Many people skip over the idea of credit unions, but they can give you a lot more money than you would have ever imagined.
Friends and family: If you go this route, let them know what it is in it for them. If you're going to borrow $1,000, don't give them back $1,000 but instead, give them that plus a percentage of your profits. You want them to loan to you. To make them feel comfortable, let them know that you will be willing to sign a contract.
Peer to peer lending: Sites like LendingClub and more are a great way to find loans. Again, you will ask for a loan, but you may find that the interest rate is very high. Only apply for a loan if you're in desperate need.
These for steps can help you get on the right path. A great, motivated business owner will never give up. Be creative and find something that will work for you.
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