Business Funding From The Business Backer

Find the funding that’s best for your business.

Amount:

Up to $200,000

Term:

4 – 18 Months

Amount:

Up to $200,000

Payment Options:

Daily, Weekly or Semi-Monthly Payments

Amount:

$5,000 – $100,000

Term:

1 – 2 Years

Actual offers vary based on your application information and lender.

Business Funding

Business funding can come in many forms and fill a wide variety of needs. Commonly, funding is used for hiring staff, buying inventory and leasing equipment; or just for working capital needs such as rent, payroll and office supplies. What you need the funding for will typically determine how much you need, and how much you need, will help inform the type of funding you may want to pursue.

Popular Types of Business Funding

Business Term Loan

Term loans are perhaps the most traditional and common form of business funding. They are structured so that a business can receive a lump sum of cash up front (after approval) and pay the loan back (plus interest) with recurring payments over an agreed upon “term”/payment schedule. Term loans can be long-term or short-term depending on the amount of the loan and the ability of the business to repay it.

SBA Loan

Despite the name, an “SBA Loan” doesn’t actually come from the Small Business Administration — it is just backed by the SBA. This makes lending to a business considerably less risky, which in turn allows lenders to offer qualified businesses great rates. The application process can be difficult, however, and the approval criteria is more stringent than other types of business funding.

Line of Credit

A line of credit is a lot like a business credit card. Once approved, a credit limit is determined, and you’re able to draw funds up to that amount. As you repay, your money is available again without having to reapply for the loan. Lines of credit can be handy because you only pay interest on the funds you take out — that means they can cover many of the everyday ebbs and flows of the business without a hitch.

Business Credit Cards

Business credit cards are just like personal credit cards, but they rely on a different set of information to determine available credit, APR and other factors. Business credit cards are good for working capital needs, but they aren’t as optimal for longer-term borrowing.

Equipment Financing

Equipment financing is unique in that it’s used for a specific need, and that need is then used as collateral to secure the loan. This allows business owners to receive the equipment they need to run (or improve) their business while paying it back at a lower rate than they would normally receive from an unsecured business loan.

Merchant Cash Advance

A merchant cash advance provider looks at a business’s daily credit card receipts and determines how much that business can repay in a timely manner. Then that business sells a portion (cost expressed as factor rate) of those credit card sales to the lender to acquire a cash advance.

Where to Get Business Funding

Now that we’ve gone over several popular types of business funding, we should look at what types of institutions and resources exist that can provide business funding. While this is not a comprehensive list of business funding sources, these four are among the most common.

Banks

Traditional banks are often the first place businesses think to look when they’re in need of business funding. Borrowing from a bank can be a good option for well-established businesses with a strong credit history, but it can be difficult for newer businesses to get loan approval from a bank.

Credit Unions

Credit unions are money cooperatives where members can borrow from pooled deposits at low interest rates. Business owners typically must join the credit union, but that can be beneficial for a business’ needs and reputation — particularly if you’re a community-based enterprise.

Small Business Grants

Small business grants are a great way to obtain business funding — you don’t have to pay them back! Typically offered by non-profits, government agencies and corporations, business grants are generally offered for specific business owners, such as minorities, women and veterans.

Alternative Lenders

For business owners with less-than-perfect credit, alternative online lenders have become a popular choice for business funding. These lenders typically offer a number of funding options with varying amounts and repayment terms so business owners can find the best funding for their situation.

Business Funding From The Business Backer

The Business Backer has been providing small businesses across the country with business funding since 2007. Through The Business Backer and its affiliated company, we are proud to offer three core products: a cash advance, a small business loan and a business line of credit.

If you’d like some personal guidance to help with your search for business funding, our Funding Advisors are here to discuss your business goals and help match you with the best funding solution possible. Ready to start the discussion? Just click below to get started on your application. It only takes minutes to get an offer, with no cost, no obligation and no impact to your credit!