Each of the funding options below has pluses and minuses, so it’s important to research them thoroughly to decide which is the best fit for your business.
Business line of credit: A line of credit is an arrangement with a financial institution that establishes a maximum loan the lender will allow the borrower to take. You can withdraw any increment from the line of credit at any time, as long as you don’t exceed the maximum set in the agreement. A business line of credit is similar to a credit card: you use it as you need it. You make payments on a regular, predetermined schedule and you can borrow or use more as your principal is paid down.
Revolving line of credit: Revolving credit is a flexible method of borrowing money. Instead of borrowing a fixed amount of money all at once, revolving credit allows your business to borrow working capital in increments that you need, up to a pre-approved limit. Revolving credit is an important way for small business owners to keep operations going smoothly with the ups and downs of sales, seasonal changes and occasional cash flow shortages. Getting revolving credit can enable your business to pursue opportunities quickly, even when you don’t have funds available to invest. As long as you make your minimum payments and limit your debt to what you can reasonably pay back or afford, revolving credit can be an effective cash flow management tool for your business.
Peer to peer loan: Peer to peer lending is an online forum where a platform matches borrowers with investors. Borrowers complete an application and receive an offer for credit, typically from the banking partner of the platform. Companies can then invest in the loans that have been offered to borrowers. Some typical characteristics of peer to peer loans include:
- Interactions are facilitated through a third-party, online lending platform
- Investors can select with which borrowers they will engage
- No prior relationship between investors and borrowers is necessary
Short-term business loan: Short-term loans are designed to meet immediate financing needs, like bridging gaps in cash flow, dealing with unexpected needs for extra funding and taking advantage of new business opportunities. Rather than pulling funds from other parts of your business, you can cover your costs with a short-term loan while keeping your daily accounts payable intact.
Business credit card: A small business credit card is one way that business owners can pay for the various business-related expenses they incur. Small businesses can help conserve cash flow by using a small business credit card instead of cash for the items they need.
Working capital loan: Working capital is the cash available for the day-to-day expenses of running a business. This helps measure a company’s efficiency and short-term financial performance. Net working capital is a calculation of current assets minus current liabilities. A working capital loan allows you to continue your daily operations without tapping into your cash flow.
Microloan: Microloans are small loan amounts, generally offered to those without stellar credit or the collateral typically required for a traditional loan. The Small Business Administration created a Microloan Program to foster growth for small business owners. Microloans are provided to small businesses through nonprofit organizations across the U.S. Microloans are available for up to $50,000, with the average amount granted being around $13,000.
A small business loan for women can be used to cover expenses related to establishing and maintaining your small business. Popular ways women use business loans include:
Purchasing more inventory: If you win a big contract or are just looking to stock up for your busy season, you can often negotiate better pricing with vendors when you order in bulk. Having a small business loan can give you peace of mind and buying power as you invest in inventory you know will yield a big return.
Expanding office space or locations: When your business is growing, investing in more space or another location can increase your revenue exponentially. With extra working capital, you can expand your business without having to rely on existing cash flow.
Launching a new marketing campaign: Whether you’re using online tools like Google AdWords or YouTube or sticking to email marketing or more traditional methods, getting the word out about your business can be one of the best ways to see a return on a small business loan.
Upgrading your equipment: From buying new equipment to entering a new lease or just updating your existing equipment, getting a small business loan for equipment can help you ensure your business runs efficiently and effectively.
Hiring and training new employees: When your business gets too big for you to manage on your own, having a small business loan to hire and train new employees can give you breathing room to focus on growing your business.
It is very simple. You just have to click on the link that says Apply Here and Now and fill in the small application that opens there. That easy. Then send us the last 3 bank statements of your business account to Documents@MaraidFastCapital.com.
Very important … please send all the pages including the ones that are blank. Send also the statements of the bank of your credit card processing center if in your business your clients buy with credit or debit card.
Send also any license that your business has. And copy of your Driver License. If you have questions, call us, send us a text or an email.
Step #1: To fill the application made click here: Apply Here and Now
Step #2: We review your application and we let you know if we need any other information from you.
Step #3: Get Approved and Funded.
It’s that simple.
When you’re an entrepreneur starting your own business, you’ll likely need financing from outside sources from time to time. You need cash for essentials like inventory, payroll, equipment and marketing. Rather than dipping into your profits, using a business loan can help you cover your costs while keeping your cash flow intact.
Business loans can be extremely beneficial to smooth fluctuating cash flow during a growth period or to prepare for a busy season. If you’re looking to borrow money for your business, carefully consider how you will use the funds. If you know that taking the loan will put you in a position to pay back the funds quickly, a MaraiD Fast Capital could be a great small business loan for women to explore.
- The Business has to have at least 3 months of operation, although we have a different program for those businesses that have only one month established (Start Up Program)
- Minimum FICO Score: 500
- Minimum bank deposit per month: $ 3,500
- Minimum deposit amount per month: 2
- Maximum deposits without funds per month: 3
- Average daily balance must be greater than $250
Note: The larger and more frequent the deposits, the greater the amount of capital approved.
Invoice financing is a general term used for asset based lending products that allow companies to finance slow-paying accounts receivable. There are two ways to finance invoices. The first way is through a sale. Invoices can be sold to a factoring company in exchange for an immediate payment. The second way is using receivables to secure a revolving line of credit through an asset based loan.
Invoice factoring is a form of invoice financing that allows companies to sell their accounts receivable to improve their working capital. This financing provides the business with immediate funds that can be used to pay for company expenses.
Factoring is easier to get than conventional financing because you are technically selling an asset rather than getting a loan. The most important requirement to qualify is to have invoices from creditworthy commercial clients. As a result, factoring is available to small businesses that don’t have substantial assets or a long credit history.
Equipment financing is the use of a loan or lease to purchase or borrow hard assets for your business. This type of financing might be used to purchase or borrow any physical asset, such a restaurant oven or company car.
Businesses commonly get equipment financing in these situations:
- You need expensive equipment, but can’t afford to (or don’t want to) purchase that equipment up-front,
- You need to replace your equipment frequently because it has a short lifespan or you always need the latest in technology, or…
- You need some combination of the above.
A line of credit (LOC) is an arrangement between a financial institution – usually a bank – and a customer that establishes the maximum loan amount the customer can borrow. The borrower can access funds from the line of credit at any time as long as they do not exceed the maximum amount (or credit limit) set in the agreement and meet any other requirements such as making timely minimum payments.
A line of credit has built-in flexibility, which is its main advantage. Borrowers can request a certain amount, but they do not have to use it all. Rather, they can tailor their spending on the LOC to their needs and owe interest only on the amount they draw, not on the entire credit line. In addition, borrowers can adjust their repayment amounts as needed, based on their budget or cash flow. They can repay, for example, the entire outstanding balance all at once or just make the minimum monthly payments.
A cash advance is a short-term cash loan taken against the credit line on your credit card. A cash advance allows you to use your credit card to get a short-term cash loan at a bank or ATM.
Unlike a cash withdrawal from a bank account, a cash advance has to be paid back — just like anything else you put on your credit card. Think of it as using your credit card to “buy” cash rather than goods or services. It’s convenient, but it’s quite expensive.
If you carry only credit cards for day-to-day spending, you could find yourself in a pinch when confronted with a cash-only situation, such as buying lunch from a street vendor, veggies at a farmers market or a sandwich at a mom-and-pop deli. In that case, a cash advance might be tempting. Some people also turn to credit card cash advances when they need paper money but don’t have enough in their bank account.
If your credit card has a PIN, you can get cash advances directly from an ATM. Otherwise, you can take your card to a bank that offers advances through your card’s payment network, such as Mastercard or Visa. You’ll have to show ID.
Be aware that most credit card companies won’t allow you to take your entire credit line in the form of a cash advance. For most people, cash advances are capped at a few hundred dollars. This means that you can’t rely on your credit card to provide you with very much cash in the event of an emergency.
Pay bills on time and avoid disruption of services. Some people consider having running water, and/or electricity more of a priority than being charged a service fee for obtaining a cash advance.
Avoid late fees or penalties. Oftentimes, cash advance fees are less expensive than the late fees or penalties put into effect by the credit card companies or other lenders.
Most businesses that offer cash advance services do not require an in depth credit check; therefore people with bad credit are more likely to get approved for cash advances. You are charged a one time fee for borrowing the money. And you have a specific amount of time to pay back the cash advance, otherwise additional fees will apply.
Generally speaking, the better your business financials and credit score, and the longer you’ve been in business, the lower the small business interest rates will be, and the more desirable your terms will be. Since there are no federal regulations that set fixed qualification standards for small business loans, it is up to the banks and other lenders themselves to create their own set of requirements for approval.
Traditional lenders including banks are known to set generally higher standards for approval. While this results in financing options with more desirable terms, it also means that the vast majority of small business owners do not match these requirements, and thus denied funding.
Choose alternative business financing for easier approval, with financing options that offer the same if not better terms than banking and traditional lending offers.
All you need to qualify through MaraiD Fast Capital is:
- 3+ Months in Business
- $3,500k in Monthly Gross Sales
- Minimum FICO: 480
Any loan specialized exclusively for small business use is considered a small business loan. Ironically, you don’t need to own a small business in order to obtain most of them. This excludes loan types such as SBA loans, which can only be obtained by small business owners.
If you would like to see if your business is considered “small” by the U.S. Small Business Administration (the SBA loan originator) and the North American Industry Classification System, click the link here to find out: What is a Small Business?
Other types of small business loans include:
- Business Term Loans
- Fast SBA Loans
- Small Business Equipment Loans
- Accounts Receivable Financing
- Revolving Business Line of Credit
- Merchant Cash Advances
- Purchase Order Financing
- Commercial Mortgage Loans
- Franchise Financing
- Secured Small Business Loans
- Unsecured Small Business Loans
- Startup Business Loans
- Medical and Dental Practice Loans
- Minority Small Business Loans
- Small Business Loans for Women
- Veteran Small Business Loans
Small business loans act in very similar ways to personal loans. However, small business loans can only be used for business use. If you’ve ever took out a mortgage loan, student loans, or any other type of loan for personal use, then you already have a good idea as to how they work.
A business financier lends money to a business owner, who can then use the capital to fund their specific needs. The loan is then gradually paid off over time until all lended funds are depleted. Different types of small business loans are paid off in different ways. Some come with fixed payment terms, in which a certain amount of capital and interest must be paid in regular predetermined intervals.
Others come with payment terms that offer flexible deadlines that are affected the nature of each small business loan itself, and not by predetermined payment periods. Similarly, business loan interest rates also differ depending on the type of small business loan you obtain.
The term “small business loans” encompasses all small business financing options available. Although, technically your business doesn’t have to be “small” in order to get one. Each type of small business loan is unique in addressing different specific needs.
One type of small business loan helps entrepreneurs get new equipment. Another helps make unexpected purchases. Others help business owners with fair to bad credit scores, etc.