You may feel a sense of panic when you apply for a business loan at a bank and the lender declines your application. After all, you wouldn’t have applied if you had the money to start or grow your business on your own. While disappointing, there really is no need to panic since you have many alternative lending options available to you.
Try to Attract an Angel Investor
Angel investors are experienced or retired business professionals who earn money by investing in startup businesses. Grecco Capital can help you locate angel investors or you can research them through the Small Business Administration. You need to prepare a business plan before meeting with angel investors since they will want assurance that investing in your new or growing company will eventually pay off for them.
Look into Crowdfunding
This is one of the newer options for alternative lending that is growing in popularity all the time. The idea is to create an online campaign describing your idea for a product, service, or new business. The term crowdfunding comes from the fact that several people or businesses can choose to give or loan you the money you need to meet a specific business goal. As with angel investors, you need to take your time to ensure that your presentation inspires people to take a chance on your business.
Obtain a Business Loan through a Finance Company
Typically, the qualifications for a business loan through a finance company are not as strict as they are with a bank or credit union. You may also be able to arrange for more flexible repayment terms. Although the interest rate will likely be higher, you can consider paying extra on the loan each month to reach repayment faster if your contract terms allow it.
Greco Capital can also offer you many alternative lending options. Please contact us today to learn more.