To make reasonable assumptions or decisions, you need to know the true facts: at least, as much as possible. So, to reach this, you need to know the truth behind the myths: in this case, the myths about small business funding.
Small Business Funding Myths Debunked
Let’s go through several common myths associated with small business financing to reveal the truth:
1. New Businesses Can’t Get Financing
Who said? You can still apply for a variety of options. Specifically, the rise of alternative online lenders has created a perfect opportunity for young businesses.
2. Venture Capital Is Fine for Funding Businesses
In reality, venture capital financing is scarce. Only a few high growth companies with powerful management teams take advantage of this opportunity.
3. Bad Credit Won’t Allow You to Qualify for Business Funding
The truth is that you’ll have difficulty with traditional banks and financial institutions, but not with alternative business financing providers.
4. It’s Too Hard to Get Additional Working Capital
Today, it’s easier than ever to get the necessary funds for your business. You just need to work with the right alternative online lender to get easily approved for the business funding you need. This is also true of payment processing services: just turn to the right payment expert in your field.
5. Small Business Debt Is Too Risky
You can use small business financing to leverage additional capital to raise more money. So, you can benefit from this type of opportunity that you couldn’t otherwise afford.
6. You’re Most Likely to Get Approved for Bank Loans
That’s not true. That’s the reason why alternative online lenders and merchant services providers have been gaining traction in recent years as a more accessible option, especially for high risk businesses.
7. Financing Is Too Expensive to Afford
Apart from expensive options, there’re also cheaper ones, including some microloans, bank loans, SBA loans, crowdfunding, some business lines of credit, some credit cards, and, importantly, funding from respectable alternative online lenders.
Even the healthiest businesses may need access to additional working capital at some point. So, be equipped with the right knowledge about business financing and reveal the truth behind the common myths.
Author Bio: Blair Thomas has been a music producer, bouncer, screenwriter, and for over a decade has been the proud Co-Founder of eMerchantBroker, the highest rated high risk merchant account processor in the country that offers exceptional business funding in the space. He has climbed in the Himalayas, survived a hurricane, and lived on a gold mine in the Yukon. He currently calls Thailand his home with a lifetime collection of his favorite books.