Business funding provides a small business with the financial capital it needs to pay for equipment, repair damages in an unexpected event or emergency, fund a business relocation, etc. One of the credit services that we provide here at Webb Street Financial is business funding, as well as establishing small business credit. We will help you find information and resources about how, where, and when to fund your small business.
There are multiple business funding options that are available for small businesses. Before you make a decision on how to fund, it’s important to know your options and how each of them work.
Angel investing is pretty straightforward. An angel investor will give your small business money in exchange for equity in the company. The amount of money the investor invests generally goes hand in hand with the percentage of ownership they are receiving in return. This option is beneficial for businesses who are out of the startup phase, but who are still fairly young and have the need to grow business capital.
The SBA (7) Loan Program
From the U.S. Small Business Administration, this funding option is their most common program aimed at getting small businesses the financing they need. The SBA does require that the business owner provides yearly financials. The loans involved in this process could have hefty fees, and the loan will be secured with property the business owners owns.
Alternative Business Loans
Alternative business funding loans are flexible and generally does not require the business over to have a perfect credit score. Rather, the lender may analyze a business by their level of risk. These loans are less rigid, and depending on the situation, repayment could be flexible.
Webb Street Financial, a Top Rated National® business funding and credit service, specializes in credit services and funding for small businesses. If you are needing further information on funding for a small business, contact Webb Street today to schedule a free consultation.