3 Reasons Alternative Lending is Right for Your Company
Ever since the financial crisis of 2008, approvals for bank loans have dropped through the floor, and it has become extremely difficult to secure funding from traditional lenders. That fact alone makes it important for you to consider alternative lending as another source for the capital you need, to keep your business going and to promote the growth you envisioned when you first got started. However, there are additional concrete reasons why you should consider alternative lending as a viable option for securing funds needed for your business.
Even when traditional lenders like banks were approving more applications, they could never supply the funding in a timely fashion. This is partly because the banking industry is so tightly regulated by government organizations, and partly because there is literally a ton of paperwork involved. When you need money to meet payroll or to buy inventory, you can’t afford to wait weeks or months – you need funding quickly, and that’s where alternative lenders really excel. Usually in a matter of two or three days, alternative lending products can put cash in your hands to keep your business running smoothly.
Higher approval rates
Many small businesses which would be denied approval on the basis of their credit history would still be considered viable candidates by many alternative lenders. Many of the products offered through alternative lending do not require stellar business credit for approval. Depending on the type of alternative lending product being sought, there might be very little emphasis placed on your business credit history, so even poor-credit companies can be approved.
Interest rates can be quite favorable
In some cases, alternative lenders have been given a bad name by unscrupulous companies who sought to prey on companies in dire need of funding. However, the vast majority of alternative lenders in business today understand that they won’t be in business long unless they offer legitimate financing products at reasonable rates. If you have any doubt about the legitimacy or honesty of a particular lender, all you have to do is check out testimonials from previous customers, to be sure you’re dealing with a reputable firm.
Alternative lending through FinCentral Capital
Conventional lenders may not be able to help you and your small business, but FinCentral Capital can. As one of today’s premier companies for alternative lending, we can make the difference in keeping you going. Contact us today to find out how we can help you stay competitive in your market.