Alternative Lending Provides Many Advantages Over Traditional Financing
Struggling to secure financing is an unfortunate reality for many businesses. Startups and small businesses often face this problem due to having no established credit.
If you find yourself in need of business financing but can’t get a traditional lender to help, you may want to consider alternative lending. This can open doors and provide much-needed funding. Plus, it has many advantages over traditional options.
Faster Moving Process
Securing a traditional loan is a lengthy process. Lenders require a lot of information and seem to take their time going over it.
When your business has a need for cash right now, you don’t have time to go through the traditional process to secure financing, an alternative lender can move things along more quickly.
They streamline the process and relax the rules to allow more people and businesses to qualify. This translates into a faster way to secure funding. Usually, you have one simple application and provide only basic financial information to get your loan.
Far Less Paperwork
Along the same lines of a faster application process, there is also far less paperwork. You will not continuously have to supply documents or proof of every little financial detail to an alternative lender.
They simply need an overview of your financial situation, which you can provide with a few documents. The reduction in paperwork makes the process much easier for you.
One of the nice things about alternative lending is it is much more flexible than traditional options. You will find that you can more easily shape your loan package to meet your specific needs.
The customization allows you to seek a loan package that is exactly what you need and easier for you to pay back. The options available may be varying interest rates and repayment plan choices.
In addition, you may have more options in the type of financing you can get. If you don’t need a loan, you could get a line of credit, for example. If you have a tough time putting up collateral, you may even get an offer for a no-collateral loan. These lenders also may provide cash advances and other options that are outside of the traditional loan.
The flexibility also means that you can shape terms that make it easy for you to manage the loan. You may be able to set your own repayment schedule according to your business. For example, if you have most of your sales in summer but secure the loan in the fall to prepare for your busy season, then you may be able to defer repayment until the summer income starts coming in.
Seek the Funding You Need Today
If alternative lending seems attractive to you, then you should seek out a lender today. You deserve the benefits offered and can do a lot of good for your business with a no-hassle loan offered by an alternative lender. Contact us today to find out how we can help you.