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When your small business needs funding, where do you turn? Whether you’re looking to expand your business, cover expenses during hard times, or simply gain more financial flexibility, there are all sorts of circumstances in which getting a small business loan could give your business an advantage.

If your particular small business is in need of additional funds, here are four of the best small business loans you can find in 2024.

Fundera

Fundera is a marketplace that has helped more than 85,000 small businesses secure more than $2.5 billion in total funding to date. Fundera offers a wide range of loan products, from SBA loans to lines of credit to term loans and everything in between, and allows businesses to compare top loan options through one simple online application.

Loan amount: $5,000 – $5 million

Loan terms: Varies by lender

Monthly revenue: Varies by lender

Minimum credit score: 550

Why we like it: Plenty of small business loan options, funding in as soon as one business day, no borrowing or origination fees.

Additional features: Advice and comparison technology, single online application form.

Kabbage

Kabbage is a company that provides businesses with small business loans — most notably, lines of credit up $250,000 that give small businesses quick access to funds as needed. Kabbage is perhaps the most convenient lending option on our list, as it is accessible to many businesses that have bad credit.

Loan amount: Up to $250,000

Loan terms: 6, 12, or 18 months

Monthly revenue: $4,200

Minimum credit score: No minimum requirement

Why we like it: Fast funding for businesses with bad or average credit, no draw fees.

Additional features: Speedy, straightforward online application process.

What Are Small Business Loans?

A small business loan is exactly that — a loan designed for small businesses to get immediate funding that can be paid back over a specific term.

Although small business loan terms vary from lender to lender, most lenders require that you make routine payments until the full amount of the loan has been completely paid off.

Types of Small Business Loans

When looking for the right small business loan, there are multiple types of loans for you to consider:

• Installment loans: These loans are paid back with equal monthly payments that cover both principal and interest over a specific term.
• Short-term loans: These are installment loans that, as the name suggests, are required to be paid off over a shorter term — typically, 1 – 3 years.
• Long-term loans: These are installment loans that are required to be paid off over a longer term — generally, 3 years or more.
• Microloans: These installment loans typically have much lower dollar amounts and shorter payoff terms.
• Secured loans: These loans are backed by collateral—assets you own that may be used as payment if you aren’t able to pay back your loan.
• Unsecured loans: These loans are not protected by any kind of collateral, and instead, are approved solely on creditworthiness.
• SBA loans: These loans are government-backed, meaning the lender is either fully or partially guaranteed repayment of funds. This often allows lenders to offer better terms and interest rates.
• Line-of-credit loans: These short-term loans provide businesses with financial flexibility, allowing them to pull funds as needed and pay them back quickly.
• Balloon loans: These loans require that only the interest is paid during the life of the loan, with the principal due on the last day of the term.
• Equipment loans: These loans are designed to help small businesses purchase expensive equipment.
• Commercial real estate loans: These loans are designed to help small businesses purchase new real estate or improve their current real estate.
• Construction loans: These loans are designed to help small businesses finance the construction of a building or home.
• Working capital loans: These short-term loans allow businesses to cover everyday line items such as operating expenses, payroll, and rent.
• Accounts receivable loans: These short-term loans allow businesses to receive funds that are relative to their outstanding payments.
• Merchant cash advances: While not exactly a loan, a merchant cash advance allows a business to get cash upfront in exchange for future revenue.

Common Reasons for Applying for a Small Business Loan

There are a few different reasons why your business might consider applying for a small business loan:

• Expanding your business
• Improving cash flow
• Making new hires
• Buying equipment or inventory
• Covering operating expenses
• Refinancing a previous loan
• Expanding/purchasing real estate

How to Apply for a Small Business Loan

First, you’ll need to visit your potential lender’s website and check out of your loan options. This will involve answering a few questions about your small business. After completing this step, you’ll be presented with all of your small business loan options in one place.

From there, you’ll need to fill out the lender’s application form and wait for a response. Typically, this occurs within 48 hours of applying. If you’re approved for your small business loan, you shouldn’t have to wait very long at all for your funds to be deposited!

Why Online Lenders?

Online lenders present a handful of advantages for borrowers. First, the use of online tools and applications reduces the time needed to apply for, review, and offer a loan.

The use of these tools also results in fewer overhead costs on the lender’s part, and typically, this also means lower fees on the borrower’s end.

Questions to Ask About Small Business Loans

If you’re strongly considering a small business loan, you should be aware of the financial responsibility you’re about to take on. You’ll want to give your loan plenty of thought before signing the dotted line and this process involves asking a handful of important questions.

Ask yourself the following questions:

• What do I need the money for?
• How much money do I need?
• How quickly do I need it?

Then, ask your lender some of the following questions:

• Do you lend to business like mine?
• What is the interest rate and total cost of the loan?
• What does my payment schedule look like?
• When would my first payment be due?
• How should payments made?
• Do you report payment history to all credit bureaus?

What Is the Average Interest Rate on a Small Business Loan?

A small business loan allows businesses to get quick funding with reasonably fair repayment terms and fees. The average small business loan interest rate varies by lender, but generally speaking, a loan’s interest rate is relative to the amount of risk that the lender is taking on.

What Is the Average Term for a Small Business Loan?

Different types of loans tend to offer different terms. An SBA loan, for example, may have terms as short as three years or as long as 25 years, whereas loans from non-bank lenders typically have terms between one and five years.

Is Now a Good Time to Get a Small Business Loan?

If your business is facing hardship during these turbulent times, you may have no option than to take out a small business in order to keep your business alive.

But even if your business isn’t desperate need of immediate funding, you may still want to take advantage of low interest rates if you sense that you may need funding down the road.

Get the Funds You Need with a Small Business Loan

With some information about the different types of small business loans that are offered and a handful of the best small business loans currently available, the ball is now in your court.

Thanks to online lenders and quick application processes, you can apply for a loan online today and get much-needed funds for your business in no time!

The post Best Small Business Loans In 2024 appeared first on Wall Street Insanity.

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If your business has taken a hit in recent weeks, one thing is for sure — you’re definitely not alone.

Businesses all over the country have felt the shockwave of this pandemic. Non-essential businesses have had to temporarily shut their doors, and many have even had to lay off workers.

Those that are still trying to stay afloat during these turbulent times find themselves under immense financial pressure as they search for ways to pay employees, rent, and other bills.

And now, relief is here.

The federal government has provided relief loans during this time to help small businesses in need.

And guess what? With Fundera, you can apply right now for free.

Fundera is a small business loan marketplace that is helping to get Paycheck Protection Program and other relief loans to small business owners.

Its super simple, user-friendly application form ensures your application gets seen as quickly as possible.

Fundera will return pre-approved relief loan offers from up to 25 lenders, with funding as fast as 24 hours.

Paycheck Protection Program (PPP)

With the Coronavirus Aid, Relief, and Economic Stability Act (CARES Act), the Paycheck Protection Program (PPP) authorized $349 billion in federally guaranteed loans.

This allows small businesses to borrow up to $10 million to cover permitted payroll costs, which include salaries, health insurance premiums, rent, utilities, and interest on debt obligations.

Your business can borrow up to 2.5x of its average monthly payroll costs. For example: if your monthly payroll is $20,000, you can borrow up to $50,000.

And get this — these loans have an interest rate of just 1%. No, that’s not a typo!

The term of the loan is two years with the first payment deferred for 6 months. There is no collateral, no personal guarantees, and no borrower or lender fees payable to SBA.

But check this out — PPP loans also have a loan forgiveness program.

This means businesses that use the Paycheck Protection Program are eligible for complete loan forgiveness for the amount they spent on payroll costs, rent on a leasing agreement, payments on utilities, and additional wages to tipped employees.

PPP loans have eligibility requirements that your business must have been in operation on February 15, 2020.

How Do I Apply for a Relief Loan Through Fundera?

To apply for a PPP loan, fill out the simple application form on Fundera’s website. Fundera charges no fees and it’s completely free to apply.

Once you submit your application, you can sit back and relax while Fundera searches through products from dozens of top lenders to uncover your best offers.

A Fundera lending specialist will even help you compare your offers and select the best loan for you.

The post Here’s How To Get A Coronavirus Relief Loan For Your Business appeared first on Wall Street Insanity.

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No investors that take royalties and equity in your company. No perfect business or personal credit needed. Just fast funding when your business needs it.

So, what’s the catch?

Get this — there isn’t one. Fundera makes it simple for businesses of all shapes and sizes to get the funding they need.

The company offers a wide range of products, from small business loans to startup business loans, and lines of credit, to name just a few.

Have you already been turned away by investors, or denied by banks? You’re in good company.

When Options Were Few, This Startup Got Fast Funding with Fundera

When Shayna Ferullo and Manuel Ainzuain decided to turn their passion for coffee into Snowy Owl Coffee Roasters in 2015, they had enough capital to get their fledgling business up and running in the Cape Cod community.

But as many entrepreneurs often do, they underestimated just how much capital would be needed to keep up with demand and grow their business.

Funding opportunities were actually dead ends. Shayna and Manuel applied at a local development organization, as well as a bank, and were either denied or never got a response.

That’s when they found Fundera.

They connected with one of the company’s account managers, who helped the couple get quick funding to sustain the business’s first seasons of highs and lows.

Thanks to Fundera, the small-batch coffee roaster doesn’t have to worry about merely surviving.

They are looking to future, where huge milestones, like bottling their cold brew and expanding into Boston, are very much on the radar.

How Do I Get Funding Through Fundera?

If your business is at a point where it needs an extra boost or has hit a rough patch, Fundera may offer the help you need to get funding!

And the process of getting funds is simple. Fill out one short application form, providing some basic information about your business. From there, you’ll receive all of the lending options potentially available to your business.

Fundera will then connect you with a lending specialist. That person will help you break down your options, walk you through all of the number-crunching, and become a personal resource for you!

Ready to pull the trigger on a loan? Once you receive an approval, you’ll receive your funds as soon as one business day!

What’s more? Fundera is not only free to use, but completing an application and comparing lending options will have no impact on your credit score whatsoever!

More than 35,000 small businesses have secured over $1 billion in total funding through Fundera.

Check out your lending options through Fundera today and get your business the funding it needs to thrive!

The post Here’s How To Get Up To $5,000,000 In Funding For Your Business appeared first on Wall Street Insanity.