Every business can use extra capital, whether it’s to get operations off the launching pad, to grow, to take advantage of a good opportunity, or something else. When seeking a business funding solution, many can look similar on the surface, and exploring the dozens of options available can seem overwhelming. However, there are a few key qualities you should look for in a business funding solution so you don’t find yourself in over your head.
1. Find lender who listens
Many lenders are interested in the bottom line, and will only make approvals based on how much money they can make while trying to force businesses into “one size fits all” funding solutions. Every business is unique, even within the same industry. Before signing up for a funding solution, make sure your lender listens to you and understands your business, your needs, and your goals. This is your business after all, and you shouldn’t settle for a cookie-cutter solution.
Every business funding solution comes with fine print of some form or another, and that’s usually where the hidden fees, charges, and binding contracts reside. A good business funding solution is completely transparent about fees, penalties, and if there are term contracts for any specified length of time.
3. A business funding solution should help entrepreneurs
To build off of the first point above, some lenders only want to make money from loans, which can lead to some fairly predatory practices. The right business funding solution should help your business and encourage you to build a long-term relationship with your lender.
4. You should have some sense of agency
Business owners should not have to accept funding based on a “love it or leave it” philosophy. Entrepreneurs, especially small business owners, often feel they are at the mercy of lenders and arbitrary terms, rates, and approvals. A good business funding solution should not only be transparent, but also flexible, so business owners can decide what funding they get, for how long, and if they need to be indentured to their financing organization.
5. Debt isn’t mandatory
We now live in an age where debt-free funding solutions are quite common. Not all financing programs impact credit ratings or place debt on the books. Explore your options and you’ll find there’s much more to business funding than loans.
New Century Financial offers accounts receivable factoring services which are tailored to your needs. Our team will listen to understand your requirements, and create a strategy tailored to your needs. Our factoring services do not have hidden fees, and businesses can choose which invoices or parts of invoices get factored. No debt. No contracts. No arbitrary terms. Contact New Century Financial today and get a business funding solution designed with you in mind.