Building a small business is not an easy task, and few can get started without the help of finance companies. These organizations, often banks or other financial service firms, can offer funding for businesses that are starting up or are in need of a financial infusion. Learn how financial institutions can help small business owners achieve their goals.
Finance Companies: How They Help Small Businesses
Financial institutions make credit or capital available to small business owners who are starting a new business or growing an existing business. Often, finance companies help entrepreneurs buy assets such as real estate or equipment or help them prepare for unexpected expenses. The availability of these loans aid in the smooth operations of the business.
Finance companies provide alternative funding sources for small business owners. These companies are an option for small business owners who choose not to go through brick-and-mortar banks. Here are two common scenarios where these companies may be better:
- If a business owner needs funding but does not qualify for a traditional bank loan
- If they do not have a good credit profile and need to improve it
Compared to banks, these institutions provide funding within a shorter period of time and typically without the hassle of heaps of paperwork.
Types of Finance Company Loans
There are a number of financing companies that are ready to lend to small businesses like yours. The loans available have a variety of repayment terms and can range from years to just a few months. The different types of finance company loans include:
- Short-Term Installment Loans — for business owners to meet unexpected costs, often repaid over a short period of time
- Small Business Association (SBA) Loans — Government-sponsored loans perfect for new businesses and for borrowers who need to improve their credit
- Equipment Financing Loans —help businesses acquire equipment right away using this equipment as collateral
- Inventory Loans — a short-term loan that allows businesses to buy products to then sell
Financing with First Bank
There’s no one-size-fits-all financial solution. Finance companies and banks offer many options for business owners. Luckily, the experts at First Bank can answer your questions and help you find the financing that fits your needs.
Loans Subject To Approval