Tag: Business

What’s the Best Way to Improve Credit Score for You and Your Business?

If you are thinking of starting a business, you are likely thinking about funding.  Can you afford to start a business?  If you have a good credit score you probably aren’t worried. If your credit score isn’t great, you may be wondering “What’s the best way to improve credit score in time to start a business?”  

Best Way to Improve Credit Score, Both Personal and Business

The thing is, that’s the wrong question. You need to be asking yourself “What’s the best way to improve credit score for myself and my business?”  Whether your business is brand new or fully established, it needs a strong business credit score to thrive. 

Many business owners do not even know that their business can have a credit score.  They assume everything rests on their personal credit.  Others know their business can have credit all it’s own, but do not truly understand how a business gets its own credit score. That knowledge is key to learning the best way to raise your credit score and how to build a strong business credit score.

Keep your business protected with our professional business credit monitoring.

Personal Credit Score vs. Business Credit Score: What You Need to Know

Your business credit profile is the overall picture of the creditworthiness of your business. Lenders look at it to determine whether or not they want to lend to you.

To better understand the best way to raise credit score for your business and how it is different from your personal credit score, you need  to understand some of the differences between business credit profiles and personal credit profiles.  There are many, but these specifically seem to cause a lot of misunderstanding and confusion among borrowers when they get a funding denial. 

How You Establish Each Type of Credit Profile

The biggest and probably most misunderstood difference is in how you establish the two profiles with their accompanying scores. Pretty much everyone knows that with your first debt, usually a credit card, you begin building your personal credit score.  If you handle your credit responsibly, you will have a good score. If you do not, your score will be bad.  

You do not have to do anything to open a credit profile for yourself.  As you pay your debt, the creditor reports your payments, or lack thereof, and your score builds from there.  Such is not the case with your business credit profile. 

You have to intentionally set up your business in a way to establish your business credit profile.  This means fully separating it from yourself as the owner by having separate contact information, an EIN, and D-U-N-S number, incorporating, and opening a separate bank account.  In fact, this is the first best way to improve your business credit score.  Before these things are done your business will have no credit profile or credit score of its own. 

Late Payments

Both business and personal credit reports are affected greatly by late payments. Yet, business credit scores are affected faster and more profoundly. Late payments are not reported to personal credit reports typically until they are 30 days past due. Late payments on business credit accounts are reported if only one day late.

Inquiries

Hard credit checks on your personal credit will lower your credit score. However, business credit reports are different. A credit check on your business credit profile does not affect your business credit score. 

Data Reported

In addition to late payments being reported much more quickly, accounts on your business credit profile are listed by industry.  In contrast, personal credit lists the name of the company that issues the credit.

Also, personal credit reports show the exact amounts of accounts, while business credit reports show rounded amounts. How long data stays on a personal credit report varies, but typically it’s the life of the file. Information stays on business credit reports an average of 3 years.

Keep your business protected with our professional business credit monitoring.

Also, with personal credit accounts,  almost every account reports to the credit reporting agencies. In contrast, only about 7% of business credit accounts report to business credit reporting agencies. This is why you have to intentionally seek accounts that will report to business credit reporting agencies (CRAs), and that is only one of many reasons working with a business credit expert is the way to go.  

One last thing to note about business credit versus personal credit is this. While your business credit profile is totally separate from your personal credit profile and does not affect in any way, the reverse is not true.  Your personal credit information can affect your business credit profile, and in some cases, even your business credit score. 

Best Way to Improve Credit Score: Personal 

Most people know many ways to do this, but what is the best way to improve credit score on your personal credit profile?  Frankly, it’s to pay your bills consistently on-time.  That said, sometimes that isn’t the problem.  Furthermore, sometimes you need to make other improvements while you work on paying on time. 

Personal Credit Score Monitoring

This is easy and free. You can get a free copy of your credit report annually.  The first thing you need to do is look over it for mistakes. If you find any, contact the CRA in writing. Send with your letter copies any documents you have to support your case. This may be receipts, bank statements, anything that proves that what you are saying is a mistake is indeed a mistake. 

After that, look closely for what else could be causing issues.  Is too much available credit being used? Are there too many late payments? The best way to fix this is take a long, hard look at your budget.  Cut wherever you can to start making more than the minimum payments. 

A good strategy is to put all available extra cash on the highest interest debt.  Then, when that is paid off, put that entire amount, extra plus the minimum, on the next highest interest debt, and so on.  This is called the snowball method, and it can help you raise your credit score significantly if you stick with it. 

After that, there are many free apps to help you track your personal credit score throughout the year. This is the best way to get credit score information on a regular basis. Typically, you can get a snapshot of what your credit looks like once a month with these, and if you pay a fee you can see it in real time. This can let you see if your efforts are working, and show you if something is amiss. 

Best Way to Improve Credit Score: Business

Understanding how your business credit score is different from your personal credit score helps a lot. For example, now that you know that a business credit account can report a late payment even one day late, you can plan accordingly.  

Furthermore, knowing that not all business accounts report lets you know that you need to intentionally look for those that will report to raise your score.  

There are a few ways to do this. First, talk to any vendors you already have a relationship with.  Ask them to report your payments to the business CRAs.  They don’t have to, but they may.  It can only help you. 

Next, talk to utility, phone, and internet providers. You pay them monthly already.  Ask them to report those payments.  Again, they do not have to. Still, if they agree, it can only help you. 

After that, actively seek out accounts that report. The problem is, most vendors do not make it publicly known whether or not they report. This is just one of the many ways a business credit expert can be helpful. They have inside information and relationships with vendors to help you get this information and more.

Keep your business protected with our professional business credit monitoring.

Business Credit Score Monitoring

This is a whole other ballgame. First, business credit score monitoring is never free.  You may be able to get a peek as a one time free trial promotion, but for the most part you have to pay to see what is on your business credit profile.  One exception is, if you get a loan denial because of what a lender sees on your business credit report. They have to disclose that, and you can get a free copy of your business credit report as a result. 

While all the major business CRAs offer credit monitoring services, they are pricey. Credit Suite offers business credit monitoring for a fraction of the price. 

Follow the same steps as you would with your personal credit profile. If you see a mistake, contest it.  Each of the bureaus has directions on how to do so on their website. 

There is More Than One Best Way to Improve Credit Score, and More Than One Credit Score to Improve

All the best ways to get your credit score up involve one thing, knowledge. First, you have to know how to see what is one your credit report.  Then, you have to know what to look for so you can know what the problems are. After that, you can fix them. One thing remains true however.  The hands down best way to improve credit score, whether personal or business, is to pay your debt on time.  If you need help on the business side, Credit Suite has you covered. Talk with one of our qualified business credit experts today!

The post What’s the Best Way to Improve Credit Score for You and Your Business? appeared first on Credit Suite.

How to Create the Most Effective Facebook Business Page

With 1.82 billion daily active users, Facebook is one of the most powerful social media outlets in the world. 

Seventeen percent of Facebook users say following brands or businesses is their main reason for using the app, and 78 percent of Americans say they’ve discovered products on Facebook.

Facebook offers businesses new ways to connect with their audience, promote and sell products, and improve online visibility for their brand. The addition of shopping features such as Facebook Marketplace can also be leveraged by businesses to improve online conversions.

With over 140 million business accounts on Facebook, you may think competition is high. However, the right tactics and execution can help you create a Facebook Business Page that drives new revenue for your business.

Let’s review how to create Facebook business pages that increase your engagement, clicks, and revenue.

What Is a Facebook Business Page?

A Facebook Business Page is a stand-alone page that allows you to promote your business on one of the world’s biggest social platforms.

Facebook Business Pages are different from personal pages because they represent a business or brand, rather than an individual. This means the content on your Facebook Business Page needs to be brand-focused and professional.

A Facebook Business Page will let you share content, respond to customers, have conversations with your followers, and promote products within your feed.

You can also invite other people to manage your Facebook Business Page including any partners or outside agencies you may be working with.

Facebook Business Pages can also run paid Facebook ads to further promote your brand and products.

Here is a peek at our Facebook Business Page.

create a facebook business page - neil patel business page example

As you can see, it includes features a personal page doesn’t have, such as a “learn more” button, map, and a Like button.

Why Should You Create a Facebook Business Page?

When you create a Facebook Business Page you are helping people find your business and learn more about what you offer.

Your business page also helps you build an online community and better service your customers. Once you’re set up, your followers can interact with you and ask questions about your products and services in real-time, which is a great way to improve your brand integrity.

Once you create a Facebook Business Page, you’ll be able to get started with Facebook Advertising, which can help you reach 2.14 billion potential customers.

Facebook business tools such as Page Insights and analytics can help you better understand your audience needs and create better customer experiences.

You can also create events, book appointments, hire staff, and sell products directly through your Facebook Business Page.

Facebook Business Pages are free to set up, meaning there is no upfront investment to get your business listed.

With 74 percent of Facebook users visiting the site at least once daily and spending an average of 38 minutes per day, creating a Facebook Business Page can be a great way to improve your organic reach online.

Steps to Create a Great Facebook Business Page

To create a great Facebook Business Page, you need to analyze everything, from your profile picture and cover photos to Facebook ads, target audience, and media planning (types of posts and when it’s time to post).

Here is a six-step guide to creating your Facebook Business Page.

1. Login or Sign-up to Facebook

First, you need to log in or join Facebook. You can create your Facebook page from your personal page if you prefer, or you can create an entirely new account for your Facebook business page.

Once you’re logged in, go to facebook.com/pages/create.

Select the type of page you want to create, either a business/brand or community/public figure, and then click Get Started.

Here, you’ll be asked to supply some basic information.

The basic information you can add includes:

  • Page name: Which should be your business or brand name.
  • Business category: One or two words to describe your business. Facebook will give you options once you start typing. If your business falls under more than one category, try to pick the one your customers will associate with your business.
  • Description: A brief description of what you do, services you offer, and the purpose of your Facebook Business Page.

From there, click Continue. Moving forward indicates you have accepted Facebook’s Pages, Groups and Events Policies so familiarize yourself with these if you haven’t already.

2. Upload Cover Photo and Profile Picture

Your cover photo and profile picture are the main visual assets of your Facebook Business Page.

Many businesses use their logo for their profile picture, but you can choose any photo that represents your business and branding.

When choosing a profile picture, be sure to adhere to Facebook’s sizing guidelines to ensure your photo does not get cropped.

You’ll also want to add a cover photo when you create your Facebook Business Page. Your cover photo should be visually exciting and representative of your business and branding. Refer to the sizing guidelines for cover photo sizing.

Once you complete this step, your page will be automatically published.

How to Create a Facebook Business Page

3. Enter Your Business Information

Now that you have the skeleton of your page setup, it’s time to start adding content.

Your Facebook Business Page contains basic information about your business that you’ll need to fill in. This includes:

  • Description (About): Your About description should be designed to drive leads. Keep it short and use four to five sentences about your business that engage audiences as soon as they hit your page.
  • Contact: Share how your followers can contact your business if they have questions or concerns. This can include your phone number or email.
  • Location: Where you are located. If you don’t have a physical storefront, you can simply input your city and state.
  • Hours of operation: The hours you are open for business or available for customer communications.
  • Username: This is a unique username used in your Facebook interactions. This should be @ followed by your business name. Don’t get too creative here or it can make it difficult for your customers to find your business.
How to Create a Facebook Business Page - Enter Your Business Information

4. Add a CTA Button to Your Page

Now that you have all of your general business information set up, it’s time to build your conversion funnels.

A CTA button is featured at the top right-hand of every Facebook Business Page, just below the cover photo.

It’s important to choose a relevant CTA to ensure you are directing your audience to the most pertinent actions.

For example, if you are a physiotherapy clinic looking to book more clients, your CTA button may say Book Now.

If you are an e-commerce business looking to sell products, then you may want to choose a CTA button that says Shop Now.

To edit your CTA button, click “+ Add a Button.”

How to Create a Facebook Business Page - Add a CTA Button to Your Page

From there, Facebook will give you a list of actions that your CTA could encourage. These include Start an Order, Book Now, Contact Us, and more. Choose your action and follow the steps given to complete your CTA button.

How to Create a Facebook Business Page - Choose CTA Button

If you don’t choose a custom CTA here, Facebook will automatically create a Contact Us button for your page.

5. Publish Your First Post

Before you invite people to your Facebook Business Page, you should make a post so there is content for them to view.

Your first post can be a welcome post that explains who you are and what you do, or it can be something aimed at user-generated content (UGC) to get visitors engaged with your Facebook Business Page right away.

For example, a contest or giveaway can be a great way to drive immediate traffic. You can also promote sales or discounts to encourage your audience to browse and purchase your products.

Whatever you post, be sure to get creative and focus on maximizing audience engagement.

6. Invite Your Audience

Your Facebook Business Page is now ready to get traffic, so you can start inviting your audience to follow your page.

If you used your personal Facebook account to set up your page, you will be prompted to invite your Facebook friends. This group is usually a good base for your Facebook Business Page, so invite as many of your personal friends as you feel appropriate.

You can invite followers by clicking on the three dots “…” below your CTA button and clicking Invite Friends.

How to Create a Facebook Business Page - Invite Your Audience

You can also use other channels to drive traffic to your Facebook Business page, such as your website, social media accounts, email marketing, and paid advertising campaigns.

How to Track the Success of Your FB Business Page

Now that you’ve created your Facebook Business Page, you’ll want to know how it performs and continuously optimize it to get better results.

There are many ways to track the success of your Facebook Business Page. Here are a few metrics you can track with Facebook Insights.

  1. Engagement: Facebook uses an algorithm to show posts in your followers’ News Feeds. Posts that have higher engagement are seen as more popular and relevant, so they are more likely to show up. This means you want more likes, comments, and engagements on your posts to increase your reach. Pay attention to posts that perform well and find ways to mimic that engagement to ensure your Facebook Business Page is successful.
  2. Reach: Reach refers to the number of people who see your content on Facebook. To see this, click on the Reach tab on your Facebook Insights page. Track and analyze your Reach regularly to learn what your audience likes and doesn’t like to better inform your post decisions.
  3. Impressions: Impressions measure the number of times your post was seen, even if it was seen multiple times by a single user. You can find this in Facebook Insights by switching Reach to Impressions. Impressions can show you how viral your posts are and how likely they are to continuously impact your customers. Remember, it often takes a customer hearing about your brand seven times before they’ll convert to a customer.
  4. Page likes and follows: Page Likes refer to the number of people that follow your Facebook Business Page. You can see this number on your Business Page homepage or through Facebook Insights under the Likes tab. While Page Likes are often considered a vanity metric, they are important to track the growth of your audience. If you find your page is plateauing and your Likes are not growing, it may be time to reevaluate your digital marketing strategy.

How to Create a Facebook Business Page

Summary of How to Create a Facebook Business Page

  1. Log in or sign-up to Facebook

    You can use a personal account or set up a new one for your business.

  2. Upload a cover photo and profile picture

    These should represent your branding and adhere to Facebook’s sizing guidelines.

  3. Enter your business information

    This includes opening hours, contact information, location, your About section, and more.

  4. Add a CTA button to your page

    Use a CTA to drive the most conversions for your business.

  5. Publish your first post

    This should be engaging and immediately draw users into your business.

  6. Invite your audience

    Start with your personal friends’ list and then use your other digital channels to grow your audience.

Conclusion

Creating a Facebook Business Page is a great way to improve your revenue and grow your business online.

Once you’ve got everything set up, consider Facebook advertising campaigns alongside your organic content to boost audience engagement.

From there, it’s all about nurturing your audience, delivering relevant, engaging content, and staying true to your brand.

How have you found success when growing your Facebook Business Page?

Improve Your Chances of Getting a Loan with Small Business Lenders

Small Business Lenders Have the Money You Want

Can you improve your chances of getting a loan from small business lenders?

Small Business Lenders, Business Loans, and Funding

Of course you know your business needs money. But business lending doesn’t just come from banks. Still, working to make your business more attractive to lending institutions isn’t just an end unto itself. It will also help your company also become more attractive to nontraditional lenders. It may even help make your business more attractive to prospects. There are factors which are within your control and you can help your business right now.

Start Making it Easier to Get Money from Small Business Lenders

Once you understand what banks and lenders are looking for, you can address their concerns directly. Many of these are actions you only need to take one time, and many of them will also help you to convince prospects to buy from you, thereby helping you recoup any incurred costs.

Working to More Easily Get Money from Small Business Lenders: It All Starts with Fundability

Fundability is the ability of your business to get funding. When lenders consider funding your business, does it appear to them to be a good idea to make the loan? What do they look at to make that determination? Fundability means recognizing what’s important to lenders, and then giving them what they want.

How Does a Business Become Fundable?

You probably already know that a great business credit score is important. But many of the aspects necessary for a strong business credit score work for fundability as well. A potential creditor or lender needs to see your business is legitimate and profitable. Many loan applications get denials due to fraud concerns. Others, simply because something didn’t match up and threw up a red flag.

Your Business Setup

A business must be set up to appear to be a fundable entity separate from you, the owner. The first step is to ensure your business has its own phone number and address. That doesn’t mean you must get a separate phone line, or even a separate location. You can still run your business from your house or on your computer.

Business Phone Numbers

You can get a business phone number that will work over the internet instead of phone lines. This is called a VoIP (voice over internet protocol). The phone number will forward to any phone you want it too so you can use your personal cell phone or landline if you want. Whenever someone calls your business number it will ring straight to you.

Virtual Offices

Use a virtual office for a business address. A virtual office is a business that offers a physical address for a fee. They sometimes they even offer mail service and live receptionist services. There are some that offer meeting spaces for those times you may need to meet a client or customer in person.

But not every vendor will accept a virtual address.

Business Website and Email

A business website can affect your ability to get funding. But a poorly put together website that appears unprofessional will not help you with customers or potential lenders. Spend the time and money necessary to ensure your website is professionally designed and works well.

Along these same lines, your business needs a dedicated business email address. Make sure it has the same URL as your website. Don’t use a free service like Yahoo or Gmail.

Demolish your funding problems with 27 killer ways to get cash for your business.

Improve Your Chances of Getting Money from Small Business Lenders with Business Information and Consistency

All your business information should be the same everywhere you use it. But when you start changing things up like adding a business phone number and address or incorporating, you may find that some things slip through the cracks. This is a problem because many loan applications fail each year due to fraud concerns simply because things do not match up.

Consider all the places where this information could be.

Credit providers won’t stop to consider all the ways you could list your business. If you write Incorporated in one place, and Inc. in another, it can be enough to trigger a denial. Consistent and congruent information makes it fast and easy for credit providers and lenders to find your business and its payment history.

Fix Inconsistent Information by Getting Organized

Consider all the places where your business has a listing. It’s your website, credit applications, even places like Yelp and Google Reviews. Take the time to keep records of all of these places, so Google your business often. Claim your profile on review sites to better control how your business name, address, and other particulars are presented. Copy and paste your information. Don’t chance an error with typing it out. This also means updating info whenever it changes.

Get an EIN

An EIN is an identifying number for your business that works like how your SSN works for you personally. Many sole proprietorships and partnership use their SSN for their business. But it can cause your personal and business credit to get mixed up. When you are looking to increase fundability, you need to apply for and use an EIN. Get one for free from the IRS.

Demolish your funding problems with 27 killer ways to get cash for your business.

Incorporate Your Business

A lot of businesses start off as sole proprietorships. But there’s no separation between the owner and the business with this setup. Partnerships are another entity where the ownership and the business are more intimately connected. With either entity, any other efforts at separating business and personal credit could be all for naught.

Why Incorporate?

A corporate structure truly separates business and personal credit and finances. This is because a corporation is considered to be its own entity. Should you choose a C-corporation, an S-corporation, or a limited liability corporation? That’s up to you to decide. We highly recommend working with a corporate lawyer or an accountant to determine what’s best for your particular situation.

Why Should You Incorporate Quickly?

When you incorporate, you become a new entity. Hence if you haven’t incorporated ASAP, you lose the time in business that you have and must start over. You also lose any positive payment history you may have accumulated.

Hence you must incorporate as soon as possible. It’s not just necessary for fundability and for building business credit. Time in business is also vital. The longer you have been in business the more fundable you appear. That starts on the date of incorporation. This is regardless of when you actually started doing business.

Improve Your Chances of Getting Funding from Small Business Lenders with a Separate Business Bank Account

There are business owners who pay for business expenses with personal credit cards and checks. But a business’s credit file is only supposed to reflect the financial performance of the company itself. Using personal payment methods can muddy the waters. Resist the temptation to pay for any business expenses with personal credit or checks.

Separate Your Business and Personal Finances

Your business must stand or fall on its own financially. Once you get credit from starter vendors or any other business or lender, use it on your business, and stop floating what are essentially interest-free loans to your business.

Get a Merchant Account

Another way to assure your finances get and stay separate is separate bank accounts. Often, a starter vendor will want for your business to have its own bank account anyway. While you’re at it, open a merchant account so you can take credit cards from your customers. Customers will spend more if they can pay with plastic.

Improve Your Chances with Small Business Lenders and Get all Required Licenses

Fundability means being a legitimate business. For a business to be legitimate it must have all of the necessary licenses it needs to run. If it doesn’t, red flags will fly up all over the place. Do  research to ensure you have all the licenses necessary to legitimately run your business at the federal, state, and local levels. Being properly licensed can help assure skittish prospects that you and your business are legit.

Get a D-U-N-S Number

In addition to the EIN, there are identifying numbers that go along with your business credit reports. Some are assigned by the agency, like the Experian BIN. Dun & Bradstreet is the largest and most commonly used business credit reporting agency. Every credit file in their database has a D-U-N-S number. To get a D-U-N-S number, you must apply for one through the D&B website.

Demolish your funding problems with 27 killer ways to get cash for your business.

Business Credit Monitoring

The key to keeping records consistent is to monitor your reports frequently. Monitoring your credit means you know what’s going on with it. You can pounce on errors quickly. Yes, the business CRAs make them, but they are all committed to accuracy and want to correct those mistakes ASAP.

When it comes to business credit reports, you can monitor through the reporting agencies directly. But that’s expensive! Or you can save 90% and monitor through Credit Suite.

Improve Your Chances with Small Business Lenders with a Good Business Credit History

Your credit history has a lot to do with your credit score. It is a huge factor in the fundability of your business. The more accounts you have reporting on-time payments, the stronger your credit score will be.

Your credit history consists of a number of things including:

  • How many accounts are reporting payments?
  • How long have you had each account?
  • What type of accounts are they?
  • How much credit are you using on each account versus how much is available?
  • Are you making your payments on these accounts consistently on time?

Personal credit scores come from several metrics. But business credit mainly depends on one thing, how early or late you pay your credit bills. Paying late will damage your business credit scores at all three of the major CRAs.

Improving Your Business’s Payment History

Here are a few suggestions on how to improve your company’s payment history:

  • Set up reminders to pay – your phone or your business calendar are both fine
  • Set aside money for your credit bills as a part of your budget so you’re not caught short
  • Shop around for better deals and spend less if you can
  • Repurpose older equipment or the like to avoid spending in the first place

Improve Your Chances with Small Business Lenders by Building Business Credit

Business credit is credit in the name of the business, not its owner(s). It’s a measure of how well your business (not you) pays its bills. Properly created business credit separates personal and business credit completely. So if your business defaults on payments or goes bankrupt, it protects your personal assets.

Good business credit is the way to qualify for funding without good personal credit, collateral, cash, or a guarantor. Here are some tips on building business credit to improve your chances for financing from small business lenders.

Buy from Vendors and Other Credit Providers Which Report

While many vendors and credit providers don’t report all payment experiences, they have no problem reporting late and missing payments. So, seek out and mainly (if not 100%) work with vendors which report. These are called starter vendors. Their requirements change all the time. Fortunately, we know which vendors report, and we keep up with their ever-changing requirements.

Spread Out Your Credit Applications Over Time

Asking for too many lines of credit at once signals that you’re desperate and could be overextending yourself. Building a successful business takes time. In the same way, so does building a good business credit profile. As a result, spread your applications for additional lines of credit over time.

Applying for a lot of credit at once also means you’ll have a number of brand-new accounts, which will bring the average age down. Not using your credit can result in credit providers closing inactive accounts. This, too, brings the average age down.

Use Your Credit

Business credit isn’t going to be built if you get cards and then forget about them and never use them. The business credit reporting agencies are calculating your scores based on the credit you use. Using your credit, and paying on time, is positive fodder from business credit scores and reports. You can’t control the passage of time, but you can control card usage and not apply for every credit card you see all at once.

Finally, Apply for the Right Loan

Do you need a traditional loan or a line of credit? Would a working capital loan or expansion loan work best for your needs?  Choosing the right product to apply for can make all the difference. Don’t waste yours and the lender’s time by not considering the best loan product to apply for.

Improve Your Chances for Approvals from Small Business Lenders: Some Takeaways

There are steps you can take to make it more likely your business will get a loan. These steps may also help your business become more appealing to prospects. They also help with building business credit. And applying for the right loan product will also help improve your chances of getting a business loan from small business lenders.

The post Improve Your Chances of Getting a Loan with Small Business Lenders appeared first on Credit Suite.

Is it Possible to Get Flexible Financing for Your Business?

Can You Get Flexible Financing for Your Business?

Absolutely! Flexible financing exists for virtually any business – even startups! You just need to know your strengths.

The 3 Cs Capital Acquisition Formula

When you think like a lender, you realize they just want to be assured that you’ll pay them back. Lenders look at one of three things for loan approval: cashflow, collateral, and/or credit. The more of these “Cs” you have, the more funding options are available. For the many forms of funding we’re showcasing today, we show you exactly what you need to have for approval.

Flexible financing can absolutely be yours.

Fundability and Flexible Funding Options

Fundability is the ability of a business to get funding. It essentially covers all the points a lender or credit provider will be looking at when they’re trying to figure out if you’ll pay back a loan or credit extended to you. These include factors you probably haven’t thought about or might think aren’t so important. But they are!

The fundability of your business will affect your terms and how much you can get. For flexible financing, you want to be as fundable as possible.

Flexible Funding with Good Personal Credit

When it comes to flexible funding, let’s look at what you can get with good personal credit. Good personal credit is always an asset and will always help you out. If you don’t have good personal credit, you can often use a credit partner or guarantor who does.

Credit Line Hybrid

A credit line hybrid is a form of unsecured funding. Our credit line hybrid has an even better interest rate than a secured loan. Get some of the highest loan amounts and credit lines for businesses. Get 0% business credit cards with stated income. These report to business CRAs. You can build business credit at the same time. This will get you access to even more cash with no personal guarantee.

Credit Line Hybrid: Terms and Qualifying

You need a good credit score or a guarantor with good credit to get an approval (a FICO score of at least 680). No financials required. You can often get a loan of five times the amount of current highest revolving credit limit account. This is up to $150,000.

Traditional Term Loans

Traditional term loans are also looking for good personal credit.

Banks are often the first place we think of when we thinking of financing. But big banks only sign off on about 25% of the small business loan applications that come their way. Term loans often have lower interest rates than many other funding options. They also tend to be for higher loan amounts.

Term Loans: Terms and Qualifying

Generally speaking, the companies banks end up funding have very strong financials and near-perfect credit scores. You will most likely have to undergo a personal credit check. These kinds of loans may require collateral. Term loans tend to not be terribly flexible financing. 

Demolish your funding problems with 27 killer ways to get cash for your business

Flexible Funding with Business Credit

Building business credit will always be a good idea. In particular, it can make your funding options far more abundant and flexible.

It should be your goal to build business credit, even if you can get funding elsewhere. Business credit will help your company for years to come. It is credit linked to your EIN and not your SSN.

This credit is available without a personal guarantee. It is available regardless of personal credit. You can get business credit immediately. Business credit is the only way to get money for a business when you don’t have collateral, cash flow, good personal credit, or a guarantor.

Vendor Credit

Starter vendors are open to working with most businesses, even startups. Make sure vendors report to the CRAs – not all do. When they do report, it’s within 60 days. They help you build your business credit profile and score.

Terms vary depending on the vendor, but they tend to be Net 30. And you will not need collateral, good personal credit, or cash flow.

Retail Credit

Retail credit comes from major retailers. Buy everything from office supplies to power tools. Retailers will check if your business information is uniform everywhere. They will also check whether your business is properly licensed.

There can be a minimum time in business requirement. There may even be a minimum number of employees requirement, or a minimum annual sales requirement. Terms can be revolving. You will need at least 3 (5 is better) accounts reporting to the business CRAs.

Fleet Credit

Fleet credit is used to buy fuel, maintain vehicles of all sorts, and repair vehicles. Even businesses which don’t have big fleets can still benefit. These are usually gas credit cards.

There may be a minimal time in business requirement. If your business doesn’t make the time in business requirement, you may be able to, instead offer a personal guarantee or give a deposit to secure the credit.

Cash Credit

Cash credit comes from universal-type credit cards like MasterCard. So they can be used pretty much anywhere. These cards may even have rewards programs.

Terms can be revolving. Usually, you need at least 14 accounts reporting to the business CRAs. There can be longer time in business requirements. And there may also be minimum number of employee requirements.

Flexible Financing with Collateral

Having collateral can help you get many types of financing.

401(k) Financing

This is not a loan. You will not have to pay an early withdrawal fee or a tax penalty. You put the money back by contributing, just like with any 401(k) program. This means you won’t lose your retirement funds. This is a 401(k) Rollover for Working Capital program. The IRS calls it a Rollover for Business Startups (ROBS).

Per the IRS, a ROBS qualified plan is a separate entity with its own set of requirements. The plan, through its company stock investments, rather than the individual owns the trade or business. Therefore, some filing exceptions for individuals may not apply to such a plan. This type of financing isn’t a loan against, your 401(k), so there’s no interest to pay. It does not use the 401(k) or stocks as collateral. Instead, this is simply a movement or change of custodian.

401(k) Financing: Terms and Qualifying

Low rates, often less than 5%. Your 401(k) must have more than $35,000 in it . Can usually get up to 100% of what’s “rollable” within your 401(k).  The lender will want to see a copy of your two most recent 401(k) statements.

Get 401(k) financing even with severely challenged personal credit. The 401(k) cannot be from a business where you are currently employed. You cannot be currently contributing to it.

Equipment Financing

Equipment financing is when you use a loan or lease to purchase or borrow hard assets for your business. It is a business financing option you can use to buy any physical asset. Physical assets can include items like a restaurant oven or a company car. You pay predictable amounts every month. You can build business credit on a program such as this.

Equipment Financing: Terms and Qualifying

All terms are for equipment financing through Credit Suite. Companies must have at least one year in business. You can get approved even with challenged credit. You won’t need financials to secure equipment financing. Approvals take as little as 24 hours.

Equipment Sale-Leaseback

If you already own your equipment free and clear you can use that as collateral for financing. Sell equipment to a lender for cash. Then lease it back from them. You can unlock Section 179 tax savings, and depreciate your entire equipment purchase in the first year.

Equipment Sale-Leaseback: Terms and Qualifying

Term lengths and the amount you can finance will vary. You’ll need at least one larger piece of higher value equipment to qualify. Funding can be in as little as 3 weeks. In general, a lender wants to be sure your equipment does not have any liens against it.

Demolish your funding problems with 27 killer ways to get cash for your business.

Inventory Financing

Inventory financing is a revolving line of credit or a short-term loan acquired by a company so it can buy products for sale later. The products serve as the collateral for the loan. There may be restrictions on the type of inventory you can use. This can include not allowing cannabis, alcohol, firearms, etc., or perishable goods. There can be revenue requirements. And there may also be minimum FICO score requirements.

Inventory Financing: Terms and Qualifying

Get approved for a line of credit for 50% of inventory value, regardless of personal credit quality. Rates are usually 5 – 15% depending on type of inventory. Get funding within 3 weeks or less. It can’t be lumped together inventory, like office equipment.

Shopify Capital

With Shopify Capital, you can get inventory financing with 12-month terms. Pay back with a percentage of daily sales. Borrow between $200 and $1 million. The total owed and daily repayment rate depend on risk profile.

OnDeck

OnDeck offers inventory loans and business lines of credit. Term loans runs $5,000 to $250,000, with 12-month terms paid back daily or weekly. Lines of credit run from $6,000 to $100,000. Pay back over 12 months, with automatic weekly payments.

Demolish your funding problems with 27 killer ways to get cash for your business.

Flexible Financing with Cash Flow

If you can prove your business has good cash flow, several options open up to you.

Cash Flow Financing

A loan made to a company is backed by a company’s expected cash flows. A company’s cash flow is the amount of cash that flows in and out of a business, in a specific period. Cash flow financing (or a cash flow loan) uses generated cash flow as a means to pay back the loan.

Often you will need to have a few years in business. You may need to meet a certain minimum credit score requirement. You will need to prove historical cash flow. Present your accounts receivables and accounts payables. This way, the lender can determine how much to loan to your business.

Account Receivables Financing

Use outstanding account receivables as collateral for financing. Receivables should be with the government or another business. If you also have purchase orders,  you can get financing to have those filled. You won’t need to use your cash flow to do so. Get an accounts receivable credit line with rates of less than 1% with no consumer credit requirement. Receivables should be with the government or another business.

Use outstanding account receivables for financing. Get as much as 80% of receivables advanced ongoing in less than 24 hours. Remainder of the accounts receivable are released once the invoice is paid in full. Factor rates as low as 1.33%. you can get an accounts receivable credit line with rates of less than 1% with no consumer credit requirement.

Amazon Bank of America

Amazon Lending launched in 2011 and partners with Bank of America Merrill Lynch. This allows Amazon to reduce its risk and access capital specifically to provide credit to more merchants so they can get inventory. Amazon Lending is an invitation-only program. Participants get exclusive price and quantity discounts on over 5 million products. See amazon.com/b?ie=UTF8&node=17906292011.

Eligibility is (in part) tied to cash flow). The program makes loans of $1,000 to $750,000. Its terms are for up to a year. These loans are for companies that may have difficulty landing traditional business loans. Within 5 days of being approved, you can get 20% off your first $500.

Amazon Marcus

Currently, lines of credit are offered by Marcus by Goldman Sachs. Get access to loan funds within 5 days. Goldman Sachs will check your creditworthiness. No prepayment penalty. See sell.amazon.com/programs/amazon-lending.html.

If your business is eligible, you will see funding options when you log into Seller Central. Loans come from Amazon Lending – specific terms are tailored to the business. Amazon may review your business credit history with one or more credit bureaus. Get 3-, 6-, 9-, or 12-month term loans for working capital needs.

Amazon Corporate Card

Got an online business? Then you can get a revolving credit line. Enjoy 24/7 Customer Service. For customers with over $100,000 annual spend on their accounts, they can work with an account specialist assigned specifically to the account. Amazon will proactively help you maximize the value of your line of credit and adopt new product features.

Get 55-day payment terms. Pay 12.99% purchase APR (minimum interest charge is $1). There is an option to apply as a personal guarantor to build business credit. You can make minimum payments or pay in full monthly.

Fundbox

Fundbox will connect directly to your online accounting software. That’s all you need to do. You can get invoice financing or a line of credit. See fundbox.com.

Get a revolving line of credit for up to $150,000. Fundbox will auto debit your weekly payment from your bank account. You don’t need to show a minimum personal credit score, and you don’t need to show a minimum time in business.

Merchant Cash Advances

An MCA technically isn’t a loan. Rather, it is a cash advance based on company credit card sales. A small business can apply for an MCA and have an advance deposited into its account fairly quickly. So you can offer Net 30 terms, but not have to wait a month to get paid.

A merchant financing program is ideal for business owners who accept credit cards and want fast and easy business financing. An MCA program is designed to help you get funding, based strictly on your cash flow as verifiable per business bank statements. Hence lenders in general will not ask for any burdensome document requests.

Merchant Cash Advances: Terms and Qualifying

A lender will review 3 months of bank and merchant account statements. They are looking for consistent deposits. And they want to see deposits showing revenue is $50,000 or higher per year. They will also verify time in business of 6 months or more.

Lenders are also looking to see that you don’t have a lot of Non-Sufficient-Funds (NSFs) showing on your bank statements. They want to see you don’t have a lot of chargebacks on your merchant statements. And they want to see that you have more than 10 deposits in a month going into your bank account.

In essence, they want to see that you manage your bank and merchant accounts responsibly. And they want to see that have a decent number of consistent credit card transaction deposits each month.

PayPal

Get a loan from PayPal. Loan amounts and eligibility depend on your sales via PayPal. You will need to be in business for at least 9 months. See paypal.com/us/webapps/mpp/paypal-business-loan.

PayPal Terms and Qualifying

Get from $5,000 to $500,000. The highest loan you can get goes up to 35% of your annual PayPal sales. If you apply for a PayPal loan, credit checks and other public records checks will be performed which may impact your credit score.

Funding from the SBA

The Small Business Administration has several options which could work for you. You usually need to show good cash flow, good personal credit, and have collateral. Having good business credit will also help your cause. But it’s not terribly flexible financing.

SBA 7(a)

This the SBA’s most popular loan. The SBA guarantees 85% for loans up to $150,000, and 75% for loans greater than $150,000. The SBA makes the lending decision, but qualified lenders may be granted delegated authority to make credit decisions without SBA review.

The maximum amount on offer is $5 million. You will have to provide Articles of Organization, business licenses, documentation of lawsuits, judgments and bankruptcy or other pertinent documentation. Lenders are not required to take collateral for loans up to $25,000. For loans over $350,000, the SBA requires that the lender collateralize the loan to the maximum extent possible up to the loan amount.

SBA 504

This is an economic development loan program offering long-term, fixed-rate financing used to acquire fixed assets for expansion or modernization.

Use it to buy currently existing buildings, construct new buildings, and more. See sba.gov/offices/headquarters/ofa/resources/4049.

For corporations, anyone with a 20% ownership stake (or more) must fill out the application. In general, the SBA provides 40% of the total project costs, a participating lender covers up to 50% of the total project costs, and the borrower contributes 10% of the project costs. Under certain circumstances, borrower may have to contribute up to 20% of total project costs.

SBA CapLines

There are four kinds of CapLines: Contract, Working Capital, Builder’s, and Seasonal. For all of them, you can get a loan up to $5 million. Qualification requirements are same as with other SBA programs. Builder’s loans cannot exceed 5 year terms; the others can go up to 10 years. Holders of at least 20% ownership in the applicant business are required to guarantee these loans. Most loans can be revolving or non-revolving.

SBA Contract Line

This loan finances direct labor and material cost, associated with performing assignable contracts.

SBA Working Capital

Borrowers must use loan proceeds for short term working capital/operating needs.

SBA Builder’s Line

This one is for general contractors or builders who are constructing or renovating commercial or residential buildings. It finances direct labor-and material costs. The building project serves as the collateral.

SBA Seasonal Line

Advances against anticipated inventory and accounts receivables, or in some cases associated increased labor costs. It is meant to help seasonal businesses.

SBA Microloans

SBA microloan lenders are nonprofit community-based organizations with experience in lending as well as management and technical assistance. The SBA provides funds to specially designated intermediary lenders. These intermediaries administer the microloan program. It is to help small businesses and certain not-for-profit childcare centers start up and expand.

Get loans for up to $50,000. The average microloan is about $13,000. Generally, intermediaries require some type of collateral as well as the personal guarantee of the business owner. See sba.gov/loans-grants/see-what-sba-offers/sba-loan-programs/microloan-program%20

Grants

Grants are exceptionally competitive but there’s little wonder – you never have to pay them back! But they are also the antithesis of flexible financing – you will need to meet requirements and jump through a number of hoops.

Federal Grants

For urban projects, try HUD (Housing and Urban Development). For rural projects, try the USDA. But federal funding means paperwork. You often must show experience in what you are proposing. See grants.gov.

Grants have varying qualifications. Check information thoroughly, like due dates and any necessary paperwork. Some grants may offer preferences to businesses with minority, female, veteran, or disabled ownership.

Local, City, and State Grants

Your local government also provides grants. See grantwatch.com. Also try city and state websites. These are often less restrictive than federal grants. It helps if you can show you will help the community. Try to partner with a local business.

Just like with federal grants, check all requirements and other information carefully. You may need to be a resident of the state or city or county in question. Or your business may need to be headquartered there.

Funding from Giving Up Part of Your Business

Angel Investing

Angel investors invest in small startups or entrepreneurs. Often, angel investors are among an entrepreneur’s family and friends. The capital they provide may be a one-time investment to help the business get started, or an ongoing injection of money to support and carry the company through its early stages.

Angels are not covered by the Securities Exchange Commission’s (SEC) standards for accredited investors. Angels could be friends or colleagues sitting on home equity, or local professionals who are looking to invest. Consider people you know well and people you don’t know so well.

Angel Investing: Terms and Qualifying

Angels are informal investors so there really aren’t any terms. Technically, there is nothing done for qualifying, although investors may (probably should) insist on a valuation of your business. No matter what, it’s always a good practice to get everything in writing.

Angel investing can practically be the definition of flexible financing, seeing as it’s so informal.

Venture Capital

Venture capitalists give money to help build new startups, if the VCs believe a company has both high-growth and high-risk potential. These tend to be fast-growth companies with an exit strategy already in place. Venture capitalists often look to recover their investment within a 3-5 year time frame.

VCs will also, often, want to own a large piece of a company if not a controlling stake. They want game-changing businesses, so straightforward businesses won’t be on their radar unless it’s shifting the paradigm. VCs often want a larger share of your business than angel investors do.

Venture Capital: Terms and Qualifying

Since venture capitalists are more formal investors than angels, a valuation of your business is likely to be necessary. Specific terms will be spelled out in your agreement with them. The SEC will also have requirements. It is best practices to consult with a lawyer well-versed in business law before you sign anything.

Equity Crowdfunding

Equity crowdfunding is a stock offering from a company that is not listed on stock exchanges. It has been around for less than 10 years. It’s not the same as rewards-based (which comes from places like Kickstarter). Rather, potential investors visit a funding portal website. There, they can explore different equity crowdfunding investment opportunities. But note: there are limits on how much capital an individual can invest based on their income and net worth. Hence equity crowdfunding gives investors a stake in your business.

Equity Crowdfunding: Terms and Qualifying

Equity crowdfunding tends to be covered by numerous federal regulations. See: law.cornell.edu/cfr/text/17/227.100.

Federal law can be complex. It is best practices to consult with an attorney well-versed in federal law, specifically, securities and corporations, when it comes to interpreting terms and qualifications (and any changes that may be made to these aspects of the law in the future).

Flexible Financing: Takeaways

This is an enormous buffet of business funding choices! But how do you select the one(s) that’s best for your particular situation? This is where our Advisory Team comes in extremely handy. Or help yourself with our Business Credit Builder. It’s your choice.

There are all sorts of amazing ways to get business funding. You can find the one which fits your circumstances, including your strengths in areas like:

  • Personal credit
  • Collateral or
  • Cash flow

Or build business credit for even more choices. Now that’s flexible financing.

The post Is it Possible to Get Flexible Financing for Your Business? appeared first on Credit Suite.

How to Decide on a Business Name: Tools, Tips, and Strategies

There are dozens of considerations entrepreneurs have to keep in mind when launching a new company, from the logo to the product to the packaging. The business name, however, may be the most important of all.

There are over 30 million small businesses in the U.S., according to the U.S Small Business Administration. That means you have to go above and beyond to stand out. The right name can help you do just that.

If you’re stuck on what to call your business or just want to make sure your chosen name ticks all the right boxes, I’m here to help.

In this article, I’ll cover my top tips for picking a winning business name, show some examples of what a great business name looks like, and even let you in on a sneaky way to get a load of business name ideas fast.

10 Tips to Pick a Business Name

Your business name can be almost anything you want it to be. As long as it’s legal and isn’t already in use, you’re good to go. However, there are several best practices most legal and marketing experts agree on.

I recommend the following tips to make sure your business gets off to the best start possible.

1. Ensure the Business Name Is Not Copyrighted or Trademarked

The first step in picking a business name is to make sure it doesn’t infringe any copyrights or trademarks. You can search copyright records and trademark records online.

I’d recommend going one step further and make sure it’s possible to trademark your brand name. You never know what the future will bring, after all. Even if you plan to keep your business small, I strongly recommend making sure it’s possible to copyright and trademark your brand.

Not doing so could land you in hot water years down the line. Just look at Apple. When Steve Jobs started the company, he chose Apple’s name because he was a fan of the Beatles (their recording label was called Apple Records).

There wasn’t any conflict initially because the two companies operated in completely separated industries. That was until Apple launched the iPod and the iTunes store, however. When they started operating in the same industry, Jobs quickly found himself saddled with a lawsuit.

2. Ensure the Business Name Isn’t Already Taken

This is a no-brainer, but it’s important to mention. Ideally, your business name will be unique and not used by any other business in existence. At the very least, it shouldn’t be used in any way by other companies operating in your industry.

A quick Google search can help you out here. If any results or domains come up that suggest another company is already using your name, either as a business name or as the name of one of their products, then it’s time to go back to the drawing board.

3. Ensure the Business Name Is Descriptive

You want customers to have an idea of what your business does just by hearing your name. You don’t have to know anything about TripAdvisor to know it is in the travel industry or that Burger King sells burgers.

Don’t be so descriptive that your name is downright boring, however. Seattle Plumber Inc. isn’t exactly inspiring and doesn’t separate your brand from any other plumbers in the city. First Call Plumbing is much catchier and easier to remember.

4. Make Sure the Matching Domain Name Is Available

Coming up with a brilliant business name is just the start. Before you can commit to it completely, make sure a matching domain name is available.

If it is, buy it.

If not, consider coming up with another business name. Having a domain name that is the exact match of your brand can be a real boost, particularly when it comes to SEO.

If your heart is set on a specific name, then all is not lost. There are several strategies you can use if your domain name is unavailable. Adding extra words or extending the name of your brand in your URL is becoming increasingly common.

5. Get Creative

This is your chance to embrace your inner copywriter and let your imagination and creativity run wild. Don’t be afraid to make something up. Almost three-quarters (72 percent) of the best brand names use made-up words or acronyms.

There are a couple of reasons for that. Firstly, existing words already mean something to many of your potential customers. You’ll need to decide whether this is a good or bad thing. Second, competitors may well be using the same or similar words.

6. Don’t Choose a Business Name That Is Hard to Pronounce or Spell

You’ll want your brand name to be accessible for everyone. That means no words that are impossible to pronounce when written down or easy to misspell.

While mixing up the letters or removing vowels from common words may look cool, it doesn’t help your customers find your business online. If customers can’t easily search for your business after hearing your name phonetically, there’s a good chance you’ll miss out on leads. You’ll also spend a lot of time spelling out your URL for customers.

7. Complete a Secretary of State Search

One way to make sure your business name is different from everyone else operating in your area is to complete a Secretary of State Search. Most states have a way to do this easily online, so it’s simply a matter of visiting your state’s website and typing in your proposed name.

If in doubt, ask your attorney for help. I’d also recommend searching in Delaware, even if you don’t live in that state. Delaware is a haven for company registrations, and so searching there helps ensure no businesses anywhere else in the country have similar names.

8. Get Feedback on the Business Name Before Making It Official

Test your business name out on your friends and family and get their feedback before committing to it. While you may think you’ve looked at your name from every angle, there’s a chance you’ve missed something.

If you’re not sure about a business name yet, give people a shortlist of your ideas and ask them to pick their favorite. If everyone agrees on the same one, you may just have found your new name.

9. Choose a Business Name That Isn’t Accidentally Offensive

Make sure your business name doesn’t mean something offensive in another language or as a slang term.

No self-respecting business owner would want to insult potential customers. Yet dozens of businesses do this without knowing it because of their business name.

Just because your business name isn’t offensive in your own country doesn’t mean it’s inoffensive everywhere. Any language or cultural issues can spell bad news for companies wanting to expand abroad.

Luckily, it’s never been easier to check whether your business name is offensive or not. Just head over to WordSafety.com and enter your proposed name. The site will quickly find whether there are any potential issues.

10. Keep It Simple and Easy to Remember

Long, complicated business names are bad news. The shorter, catchier, and more memorable your name is, the better. Try to keep it under 20 characters for the sake of your URL and avoid combining more than three different words.

Examples of Great Business Names

Tips and guidelines aren’t always enough to get the creative juices flowing. That’s why I’ve compiled five examples of great business names below, along with a description of what makes them so good.

Hopefully, these will give you a jumping-off point.

Google

Examples of Great Business Names - Google

In a parallel universe, someone is currently searching for something on BackRub. That’s the name Google was initially called because of the backlinks it used to rank websites. Eventually, they settled on Googol, a mathematical term for a number with a million zeros in it. The final brand name of Google was the result of a spelling error by an employee.

In the end, it worked out brilliantly. The name is catchy, creative, and random. “Google” is also easier to spell, remember and pronounce than Googol too.

Whole Foods Market

Examples of Great Business Names - Whole Foods

Whole Foods Market is the most descriptive name on this list, and that is part of the reason it’s so effective. It sends subtle signals that attract the brand’s target audience.

Choosing the word market rather than grocer or store was a stroke of genius in this regard. Market conjures up images of farmer’s markets and suggests the kind of well-off consumer Whole Foods’ targets.

Lego

Examples of Great Business Names - Lego

Lego is a simplified portmanteau of the Danish words leg godt meaning “play well.” Brilliantly, Lego also means “I put together,” so the name works on two levels.

Not only is the name descriptive for the native Danish market, but it also sounds great in other languages and doesn’t have any additional meanings.

Pepsi

Examples of Great Business Names - pepsi

Caleb Davis Bradham, the inventor of Pepsi, originally called his concoction Brad’s Drink. Thankfully, he rebranded three years later. Pepsi is derived from the word dyspepsia, which means indigestion as Bradham believed the drink aided digestion.

Pepsi is way more creative and memorable than Brad’s Drink. Perhaps most importantly, the new name in no way infringed on Coca-Cola, created just a handful of years earlier.

Verizon

Examples of Great Business Names - Verizon

Verizon was formed in 2000 by the merger of Bell Atlantic and GTE. The business name combines the Latin word for truth, veritas, and horizon to signify the new company’s honest and forward-thinking nature. It’s creative, it has meaning, and it’s definitely memorable!

Use a Business Name Generator to Find Your Perfect Name

If you’re still stuck, help is at hand in the form of business name generators. There are plenty of software tools to help entrepreneurs quickly brainstorm business names.

Here are some to try:

Shopify

Shopify is famous for helping small business owners thrive. Coming up with a brand name is no different. Enter a keyword into the search bar, and Shopify will instantly spit out 100 business names you can create a store from today.

Freshbooks

Bookkeeping software Freshbooks has a pretty comprehensive business name generator that tailors recommendations based on your industry.

Start your search by choosing whether you operate in creative and marketing, legal or business services, trade, and home services, or IT. Enter a keyword, and Freshbooks will serve up three suggestions. You can ask for more suggestions or change your keyword to get a different batch of names.

Namelix

Namelix is a free AI-powered business name generator. Enter one or several keywords to get started, then filter suggestions by name, length, and style. There are hundreds of names to scroll through and a mix of basic and premium names. Premium recommendations come with a logo and domain name attached to make building a brand easier.

Conclusion

The right name can impact your SEO, branding, and customer perception. Would Google be where it is now if it was called Backrub? I don’t think so.

The business landscape is becoming more competitive every day, and a great business name can help your brand stand out.

Take inspiration from some of the great business names already out there, and use a business name generator if necessary. Just make sure your business name sets you up for long-term growth.

What are you going to call your new business? Let me know in the comments!

Virtual Business Address

What is a Virtual Business Address, and Can it Help with Fundability?

A virtual business address is when you pay for a separate address for your company. But, for the most part, you don’t do business there.

Business Credit

Business credit is credit in the name of a business. Correctly built, it doesn’t have anything to do with its owner’s personal credit. With business credit, a business owner can get:

  • Vendor credit cards
  • High-limit accounts with most major retailers
  • Fleet credit
  • Cash credit including Visa and MasterCard

You can get approval for business credit accounts regardless of personal credit quality. When you build business credit the right way, there is no personal credit pull. Building business credit depends on payment history more than anything else.

Learn more here and get started with building business credit with your company’s EIN and not your SSN.

Fundability

Fundability is the ability of a business to be funded. This means, in essence, a business’s chances of getting money. This is money from lenders and credit providers. Building fundability goes hand in hand – and starts – the process of business credit building.

Some fundability elements are impossible to control, like your time in business. But others can be controlled by the ownership. This includes your business address.

Building Strong Fundability

There are a few things you can do to help lenders see your business as one that is fundable. It all starts with how you set up your business. It has to be set up in a very specific way to build fundability. Each step is vital, and if you miss one, it could do more harm that you may think.

Setting Up Your Business to Be Fundable to a Lender

The goal is to make your business a separate, stand alone, fundable entity apart from the owner, and to remove any doubts that it might not be. First, your business has to have separate contact information. This includes a business phone number, address, and email address.

Incorporating

Your business won’t be a separate legal entity from you unless you incorporate. Corporations need to have addresses, and it’s best for your corporation’s address to be in the same state where it’s incorporated. This is better for fundability.

Your Business Address

Your business address is one of the first elements of fundability you should be setting up. Why? Because a lot of the subsequent paperwork you’ll need to fill out will call for your business address. This paperwork is everything from your EIN application to applying for business licenses.

You want all of your business’s paperwork to be right. So if you don’t have a separate address from the very start, you’re only going to have to change it later. And that means everywhere!

Getting a Separate Business Address

Just like a business phone number, your address will go on marketing materials, loan applications, and more. A residential address for a retail establishment can potentially get it flagged as un-established. The same is true if you use a UPS box or PO box. You need a brick and mortar address.

It has to be a place where mail can be delivered. Lenders, credit providers and more will check out your business on Google Street View. If they spot it’s a residential address, then a retail business could be inviting denials. And there’s no good reason to do so!

Learn more here and get started with building business credit with your company’s EIN and not your SSN.

Using a Virtual Business Address as a Separate Business Address

A virtual office is a great solution. It’s far less expensive than renting office space. Here are three virtual office providers we love:

  • Alliance
  • Da Vinci
  • Regus

What is a Virtual Business Office?

According to Wikipedia: “A virtual office is part of the flexible workspace industry that provides businesses with any combination of services, space and/or technology, without those businesses bearing the capital expenses of owning or leasing a traditional office.”

You can often get a great city address. There can be workspaces if you need to use them. And you might get access to conference rooms. Some plans include receptionists. A small business does not have to look small.

Get a Virtual Business Address with Regus

Regus offers:

    • Meeting rooms
    • Drop-in business lounges where you can work if you have a long layover during travel
    • A membership plan
    • Mail forwarding and handling

Options from Regus include furnished offices with high-speed internet. These can be co-working spaces or window offices or interior. Call for pricing on office suites. Co-working spaces cost the least.

They have a presence around the world. Their more popular non-US locations are in several European countries. Costs vary.

Get a Virtual Business Address from Alliance

Alliance offers:

    • A live receptionist
    • Meeting rooms
    • An office address
    • Optional mail forwarding
    • Local or toll-free business number
    • Unlimited local and long distancing calling
    • Voicemail by email, custom greetings, an online control panel, etc.

They have a presence around the world. Their more popular non-US locations are in Mexico, the UAE, the UK, and the Netherlands. Costs for Alliance will run from $125 to $500.

Learn more here and get started with building business credit with your company’s EIN and not your SSN.

Consider a Virtual Business Address through Davinci

Davinci offers:

    • Live receptionists for hire
    • Live web chat services
    • Meeting rooms
    • Event spaces
    • An office address

They have a presence around the world. Their more popular non-US locations are in Mexico, countries in Europe, South Korea, Hong Kong, Japan, and Brazil. Costs for Davinci addresses will vary.

What if Your Area Doesn’t Have Alliance, Regus, or Davinci Where You Can Get a Virtual Business Address?

You may need to improvise. Consider talking with local business owners. Find out what they do. Perhaps there are shared spaces. Or your fellow local business owners may even be interested in going in with you on a shared space. Will never, ever hurt to ask.

It might be fruitful to talk to local computer user groups too. Or you can consider going out of state if you are near a border. For example, Alexandria, Virginia and Baltimore, Maryland are less than 50 miles from each other. So in some cases you may have more options, just by looking past the border.

Fundability Also Means Consistency in Business Information and Fraud Concerns

When addresses do not match, business credit providers and lenders will interpret that to be fraud. Unfortunately, this is regardless of your personal ethics or intentions.

Think about phone numbers, addresses, and even your business email address. Has your business address changed, or have you opened a new location?

You have to make certain any new addresses are listed on all documents. This includes:

    • Insurance papers
    • Business licenses
    • Fictitious business name documents (if your business is a DBA)
    • Incorporation papers
    • Everything!

This is the case whether your business address is virtual or not.

Your Virtual Business Address: Takeaways

A separate business address is ultimately more professional. It’s also more fundable, giving lenders and credit providers a more positive feeling that your business will be able to pay its debts. In turn, that means it’s more likely that you’ll get loans and credit.

The post Virtual Business Address appeared first on Credit Suite.

Get Grants for Women Starting a Business

Grants for Women Starting a Business and So Much More

Looking for grants for women starting a business? Money is always going to be an issue. What if you could get what is essentially free money? That’s what grants are  – for the most part.

Grants for Women Starting a Business

But how do you find the best options for you? How do you know if you need to be looking for grants or business loans for women? We recommend that you explore every option. This is because it will probably take a combination of funding options to fully fund your business.

Plus, there are business loans. But they are often not just for women. But there are other funding choices out there. Loans, crowdfunding, and even angel investors are all viable options. More on those later.

Grants for Women Starting a Business: The Details

The government and private organizations want to GIVE you money! They’re highly competitive and rarely enough to fund a business on their own. Still, grants are a great way to supplement other business funding. And they are still worth the effort to apply. There really isn’t anything to lose except time – it’s free money. Here are a few you can start with.

Amber Grant

The Amber Grant awards one prize of $10,000 per month to a woman-owned business. One of the recipients also gets an additional $25,000 grant at the end of the year. Applicants only need to tell their story and turn it in with a $15 application fee. See ambergrantsforwomen.com/get-an-amber-grant/apply-now.

Cartier Women’s Initiative Award

Cartier has a lot of grants for women starting a business or keeping a company going. The Cartier Women’s Initiative Award has a regional category award and a science and technology award. And the regional award is $100,000 for first place. With $30,000 for second and third place.

The award goes to three women from each of seven international regions. This award is a grant to 21 female business owners from around the world each year. But women business owners who are just getting started may qualify. Look over the complete application for more information. See cartierwomensinitiative.com/about-us.

Find out why so many companies use our proven methods to get business loans.

Cartier Science and Technology Pioneer Award

The Cartier Science and Technology Pioneer award is new as of 2021. Now three more women impact entrepreneurs at the forefront of scientific and technological innovation can get a new thematic award.

Open to women entrepreneurs from any country and sector. This award will highlight disruptive solutions built around unique, protected, or hard-to-reproduce technological or scientific advances. The laureate will get a $100,000 grant. Each of the two remaining finalists will get a $30,000 grant.

Cartier Women’s Fellowship

Cartier also offers a fellowship program. The fellowship is an educational program geared towards the 24 fellows selected each year. This fellowship program aims to equip the fellows with the necessary skills to grow their business.

It isn’t exactly a grant. But while it’s not a monetary award, the mentoring and networking opportunities could be worthwhile to apply for. Hence, see cartierwomensinitiative.com/fellowship-programme.

First Nations Development Institute Grants

The mission of this group is to offer grants that help Alaska Natives, Native Hawaiians, and Native Americans. These are not just grants for women starting a business. They are meant for any gender, so you would be competing against Native Hawaiian, Alaskan, and Native American men. They help in the application process in addition to funds.

First Nations also helps point individuals to appropriate grants offered by other organizations, including the US government. This includes help with writing grant proposals. Therefore, see firstnations.org/grantmaking.

National Black MBA Association Scale-Up Pitch Challenge

Also known as NBMBAA, the Scale-Up Pitch Challenge has cash prizes of $1,000 to $50,000. The association states its purpose is to help newer businesses with an African American ownership. This is a pitch competition for startup businesses. See nbmbaa.org/scale-up-pitch-challenge.

The Native American Business Development Institute (NABDI) Grant

The NABDI Grant is funded by the US Department of the Interior’s Bureau of Indian Affairs. It is not just for women. It provides funding to business owners of Native American or Alaskan Native descent. In 2019, the program provided more than $727,000 to 21 indigenous tribes. It was to support economic feasibility studies for specific economic development projects or business startups.

For 2020, NABDI planned to award 20-25 grants. There is no minimum or maximum amount of funding that can be requested. But most awards run from $25,000 to $75,000. They only fund projects for one year at a time, which is when they expect projects to be completed. To apply for a NABDI grant for your proposed economic development feasibility study, go to bia.gov/service/grants/tedc/apply-nabdi-grant.

Find out why so many companies use our proven methods to get business loans.

Indian Affairs

There is more available via the Bureau of Indian Affairs. Businesses owned by Native Americans can get financing from the federal government through the Indian Affairs branch. These are not just for women. An individual can fill out an application for up to $500,000. But business entities and tribal enterprises may apply for more.

Potential borrowers can apply with any lending institution, they just have to use the application for Indian Affairs. Additional requirements are in place if the funds are used for construction, renovation, or refinancing. In general, a list of collateral, a credit report, and an analysis of business operations are required. See bia.gov/as-ia/ieed/loan-guaranty-insurance-and-interest-subsidy-program.

The Minority Business Development Agency

The Minority Business Development Agency (MBDA) is operated by the US Department of Commerce. It is dedicated to helping minority-owned businesses access the resources they need to grow and succeed. The MBDA is not just for women. But not: grant competitions are regularly changing.

Visit the MBDA’s website for information on all current opportunities. Currently, the MBDA helps its members apply for grants via Grants.gov. This involves help with how to apply for government grants. See mbda.gov/grants.

The MBDA oversees the Enterprising Women of Color (EWOC) Initiative. The initiative works to focus on the fast-expanding minority women entrepreneur population. This population is often a revenue generator for families, communities, and the nation. Minority women are the fastest growing population of entrepreneurs. While many women are making tremendous strides in the business world, they still face obstacles as entrepreneurs.

MBDA serves as an advocate for women’s economic empowerment. They support efforts to advance women’s equality and promote women economic advancement programming. The vision of EWOC is to ensure women worldwide to reach their economic potential. See mbda.gov.

Find out why so many companies use our proven methods to get business loans.

The Verizon Small Business Recovery Fund

The Verizon Small Business Recovery Fund is new. It serves as a response to the COVID-19 pandemic. The fund offers $10,000 to successful applicants. The fund is specifically for providing grants to business owners of color, women-owned businesses, and other underrepresented entrepreneurs. See lisc.org/covid-19/small-business-assistance/small-business-relief-grants/verizon-small-business-recovery-fund.

The South Asian Arts Resiliency Fund

If your business is in the arts, and you’re of South Asian descent, then check out this fund. The India Center Foundation runs the fund. It works to support US-based South Asian arts workers impacted by the COVID-19 pandemic.

The fund will disburse grants up to $2,000, depending on financial need to US-based arts workers of South Asian descent. This includes those in the performing arts, film, visual arts, and literature. You must have heritage from Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. Initial funding for the program is $20,000. But the India Center Foundation is soliciting donations to expand the grant program.

To be eligible, applicants must be of South Asian descent. Plus they must work in the arts and demonstrate loss of income due to COVID-19. Additionally, applicants must be at least 21 years old. They cannot be enrolled in a degree program. And they must be able to receive taxable income in the US. Grant funding could be put toward any artistic project. But the project must be developed, created, and presented within four to six weeks of receiving funding. See theindiacenter.us/artsfund.

Grants.gov

The federal government’s Grants.gov is a running list of more than 1,000 available government grants, including minority business grants. The website compiles grants from over two dozen government agencies, like the SBA, the USDA, and the Department of Commerce. To find a grant that’s right for your business, use the Search Grants tool on the website. You can sort through the list of grants by keyword or opportunity number.

Once you find the grant you wish to apply for, click the hyperlinked opportunity number for more detail. There, you will find more info about the specific grant as well as any associated documentation you might need. To apply for a grant through Grants.gov, you must first register. Then, you can download an application package for the grant want to get. But be ready for a lengthy process. See grants.gov.

Crowdfunding

If you would rather not rely on grants so much to start and run your business, try crowdfunding. But not everyone with a campaign on a crowdfunding site is successful. More unique products and services tend to do better. Kickstarter and Indiegogo are two of the most popular crowdfunding platforms to use. Some platforms may have higher success rates for women than others.

Angel Investors

Angel investors are informal investors. Essentially, you are selling a part of your business to them. They tend to not want a huge percentage of your business. Plus they won’t pass by more conventional businesses, like happens with crowdfunding and venture capital. Hence they can be another supplement or replacement for grants.

Business Center for New Americans

If grants aren’t an option, loans might work for you. If you’re an immigrant, try the Business Center for New Americans. They offer a pilot program for microloans up to $75,000. They work with immigrants, refugees, women, and other minority entrepreneurs. The goal is to help minority business owners who have not been able to get traditional financing. Terms are 3% interest, and your loan repayment term goes up to a year. So see accompanycapital.org.

Grants for Women Starting a Business: Takeaways

There are several options for grants for women starting a business. Apply for whichever grants you feel you are most likely to get. Other options for funding include crowdfunding, angel investors, and loans. Credit Suite can help you get the funding you need.

The post Get Grants for Women Starting a Business appeared first on Credit Suite.

Yes! You Can Get a First Time Business Credit Card

Check Out How to Get a First Time Business Credit Card

Do YOU need a first time business credit card?

We researched lots of company credit cards for you. So, here are our choices.

Per the SBA, business credit card limits are a whopping 10 – 100 times that of personal credit cards!

This shows you can get a lot more money with company credit cards.

And you will not need collateral, cash flow, or financials to get small business credit.

First Time Business Credit Card Benefits

Benefits can vary. So, make sure to pick the benefit you would prefer from this selection of alternatives.

And always check rates on the appropriate website.

Get a First Time Business Credit Card for Fair to Poor Credit, Not Calling for a Personal Guarantee

Brex Card for Startups

Look into the Brex Card for Startups. It has no yearly fee.

You will not need to provide your Social Security number to apply. And you will not need to supply a personal guarantee. They will take your EIN.

Nevertheless, they do not accept every industry.

Likewise, there are some industries they will not work with, as well as others where they want more paperwork. For a list, go here: https://brex.com/legal/prohibited_activities/.

To determine creditworthiness, Brex checks a company’s cash balance, spending patterns, and investors.

You can get 7x points on rideshare. Get 4x on travel. Likewise, get triple points on restaurants. And get double points on recurring software payments. Get 1x points on everything else.

You can have bad credit (even a 300 FICO) to qualify.

Find it here: https://brex.com/lp/startups-higher-limits/

Get a First Time Business Credit Card for Fair Credit

Capital One® Spark® Classic for Business

Have a look at the Capital One® Spark® Classic for Business. It has no annual fee. There is no introductory APR offer. The regular APR is a variable 26.99%. You can earn unlimited 1% cash back on every purchase for your company, without any minimum to redeem.

While this card is within reach if you have average credit scores, beware of the APR. However if you can pay on schedule, and completely, then it’s a bargain.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-classic/

Get a First Time Business Credit Card with No Annual Fee

No Yearly Fee/Flat Rate Cash Back

Ink Business Unlimited℠ Credit Card

Have a look at the Ink Business Unlimited℠ Credit Card. There is no yearly fee for the first year. Then pay $250 per year. There is no introductory APR deal. If you pay your bill early, you get a 1.5% discount, with no cap on what you can earn back.

Earn 5% cash back at office supply stores and on cellular and landline phone service, internet, and cable TV; 2% cash back at gas stations and restaurants; and 1% cash back on everything else.. 5% and 2% cash-back bonus rewards apply only to the first $25,000 spent on the corresponding bonus categories each account anniversary year. You will need exceptional credit scores to get this card.

Find it here: https://creditcards.chase.com/business-credit-cards/ink/unlimited

Score the best business credit cards for your business.  Check out our professional research.

Business Credit Cards with a 0% Introductory APR – Pay Zero!

Blue Business® Plus Credit Card from American Express

Check out the Blue Business® Plus Credit Card from American Express. It has no yearly fee. There is a 0% introductory APR for the initial year. Afterwards, the APR is a variable 13.24 – 19.24%.

Get double Membership Rewards® points on day to day business purchases like office supplies or client suppers for the initial $50,000 spent per year. Get 1 point per dollar afterwards.

You will need good to excellent credit to qualify.

Find it here: https://creditcard.americanexpress.com/d/bluebusinessplus-credit-card/

American Express® Blue Business Cash Card

Also have a look at the American Express® Blue Business Cash Card. Note: the American Express® Blue Business Cash Card is identical to the Blue Business® Plus Credit Card from American Express. Yet its rewards are in cash as opposed to points.

Get 2% cash back on all qualified purchases on up to $50,000 per calendar year. After that get 1%.

It has no yearly fee. There is a 0% introductory APR for the initial 12 months. After that, the APR is a variable 13.24 – 19.24%.

You will need great to excellent credit to qualify.

Find it here: https://creditcard.americanexpress.com/d/business-bluecash-credit-card/

Terrific Cards for Cash Back

Flat-Rate Rewards

Capital One ® Spark® Cash for Business

Check out the Capital One® Spark® Cash for Business. It has an introductory $0 yearly fee for the first year. Afterwards, this card costs $95 per year. There is no introductory APR offer. The regular APR is a variable 20.99%.

You can get a $500 one-time cash bonus after spending $4,500 in the initial three months from account opening. Get unlimited 1.5% cash back with Cash Select.

You will need great to outstanding credit to qualify.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-cash/

Flat-Rate Rewards and No Annual Cost

Discover it® Business Card

Check out the Discover it® Business Card. It has no yearly fee. There is an introductory APR of 0% on purchases for one year. After that the regular APR is a variable 14.49 – 22.49%.

Get unlimited 1.5% cash back on all purchases, with no category restrictions or bonuses. They double the 1.5% Cashback Match™ at the end of the first year. There is no minimal spend requirement.

You can download transactions quickly to Quicken, QuickBooks, and Excel. Note: you will need good to outstanding credit to qualify for this card.
https://www.discover.com/credit-cards/business/

Score the best business credit cards for your business.  Check out our professional research.

Bonus Categories

Ink Business Cash℠ Credit Card

Check out the Ink Business Cash℠ Credit Card. It has no yearly fee. There is a 0% introductory APR for the initial year. After that, the APR is a variable 13.24 – 19.24%. You can get a $750 one-time cash bonus after spending $7,500 in the initial 3 months from account opening.

You can get 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on web, cable, and phone services each account anniversary year.

Get 2% cash back on the first $25,000 spent in combined purchases at gasoline stations and restaurants each account anniversary year. Earn 1% cash back on all other purchases. There is no limitation to the amount you can earn.

You will need exceptional credit to qualify for this card.
Find it here: https://creditcards.chase.com/business-credit-cards/ink/cash?iCELL=61GF

Boosted Cash Back Categories

Bank of America® Business Advantage Cash Rewards MasterCard® credit card

Have a look at the Bank of America® Business Advantage Cash Rewards MasterCard® credit card. Get an 0% introductory APR for the first 9 billing cycles of the account. Afterwards, the APR is 12.24% – 22.24% variable. There is no annual fee. You can get a $300 statement credit offer.

Get 3% cash back in the category of your choice. So these are gas stations (default), office supply stores, travel, TV/telecom & wireless, computer services or business consulting services. Earn 2% cash back on dining. So this is for the initial $50,000 in combined choice category/dining purchases each calendar year. After that earn 1% after, with no limits.

You will need superb credit to qualify.

Find it here: https://www.bankofamerica.com/smallbusiness/credit-cards/products/cash-rewards-business-credit-card/

Get a First Time Business Credit Card  with Flexible Financing

The Plum Card® from American Express

Check out the Plum Card® from American Express. It has an introductory yearly fee of $0 for the first year. Afterwards, pay $250 each year.

Get a 1.5% early pay discount cash back bonus when you pay within 10 days. You can take up to 60 days to pay without interest when you pay the minimum due by the payment due date.

You will need excellent to exceptional credit scores to qualify.
Find it here: https://creditcard.americanexpress.com/d/the-plum-card-business-charge-card/

Unbeatable Cards for Jackpot Rewards That Never Expire

Capital One® Spark® Cash Select for Business

Take a look at the Capital One® Spark® Cash Select for Business. It has no annual fee. You can get 1.5% cash back on every purchase. There is no limit on the cash back you can earn. Also earn a one-time $200 cash bonus as soon as you spend $3,000 on purchases in the first 3 months. Rewards never expire.

Pay a 0% introductory APR for 9 months. Then pay 13.99% – 23.99% variable APR after that.

You will need good to exceptional credit to qualify.

Find it here: https://www.capitalone.com/small-business/credit-cards/spark-cash-select/

Score the best business credit cards for your business.  Check out our professional research.

The Very Best First Time Business Credit Card for You

Your straight-out ideal company credit cards depend upon your credit history and scores.

Just you can choose which features you want and need. So, to do your research. What is outstanding for you could be disastrous for another person.

And, as always, make sure to develop credit in the recommended order for the best, speediest benefits.

The post Yes! You Can Get a First Time Business Credit Card appeared first on Credit Suite.

How to Launch a Business With PPC Ads

You came up with an idea, did your research, maybe even found some funding. You are ready to launch a business — but how do you get people to your website or store?

Pay-per-click (PPC) ads are one of the most effective ways to drive growth for your new business. Unlike brand building, content marketing, and social media, PPC ads can drive traffic today. There’s no need to wait weeks or months for your efforts to pay off.

Even if you have years of business experience behind you and are pretty well-versed in marketing, PPC ads for a new business need to be handled differently. Below, you can learn more about why PPC ads may be the way to go for your business and find tips for to make the most of them.

Why Should You Launch a Business With PPC Ads?

PPC ads can be a great way to launch a business because they allow you to reach your specific target market through keywords and target demographics. 

With PPC ads, you create an ad and pay only when someone clicks on it. The ad should do something to draw the audience’s eye and make them want to click.

This type of ad is for new businesses for a variety of reasons, not the least of which is since they’re paid, you don’t have to wait to get to the top of search engine results organically. They show up at the top of the list automatically. 

Some other reasons include:

Reach Only Your Target Audience

PPC ads are highly targeted. When creating a PPC ad, you get to enter a ton of details about who you want to see the ad. The ad is then shown to people who fit that description. For example, you can target people based on their location, age, income, likes, family status, and even what shows they like.

Budget-Friendly

While the platform requirements vary, you can set a budget limit upfront with PPC ads. You know the absolute max you’ll spend on an ad campaign when you start, then you can track the success of your PPC ad and make alterations for future ones. 

This also makes it easy to scale; when you a ready for more traffic, just up your budget.

Trackability 

Because PPC ads are based on each click or interaction with the ad, you can follow how people respond. If an ad isn’t getting the responses you want—though remember, Rome wasn’t built in a day—you can alter the way the ad looks and see if that works better. 

Being able to track the ROI of your ads directly makes it easier to pivot if things aren’t going well — or spend more money when they are.

How Are PPC Ad Campaigns for Launching a Business Different From PPC Ad Campaigns for Existing Businesses?

Existing businesses have name recognition working in their favor, while new companies don’t. So, your PPC ads need to work a bit differently. While both types involve keyword research and target audiences, your research and focus on both factors need to be more intensive. 

Keywords and PPC Ads for New Businesses

You need to use keywords specific to your brand and products in your PPC ads. Businesses that have been around for a while already know what keywords drive their traffic; you need to do a lot more digging as a new business owner.

Start with a keyword research tool. Search for words relating to your brand, determine which combinations seem to drive the most traffic for other brands, and tailor them for your needs. 

Once you’ve chosen your keywords, make sure they’re in your copy so potential customers know exactly what it is you’re selling, why they should choose you, and call them to action.

Here’s an example. When we search for tomato seeds, we get a selection of ads from various sellers:

PPC Ad Campaigns for Launching a Business - tomato seed PPC ads on Google

The ones that stand out showcase the tomato seeds keywords, as well as related keywords such as heirloom and organic. Unless a user searched for a specific brand, they’re likely to be drawn in by your keywords and not your brand name.

Target Audiences and New Business PPC Ads

Your target audience is the group you want to see your ads. You can define them by location, age, gender, income, and more. Again, this is about being as specific as possible, figuring out who you want to buy your product via intensive research.

Your potential customers are more than just data, though. They like specific things. When you launch your first campaign, you should find out what types of ads they’re most likely to click on and create ads lining up with those details. You also need to find out where they’re most likely to click on them. Are they on Google or social media?

If they’re on social media, use strong visuals to stand out. As a bonus, you can often have a bit more copy with social media PPC ads than with search engine PPC ads. To grab their attention, use your picture and content to make it clear your new business meets your audience’s needs.

Let’s take TapRm. When you see this ad, specially targeted for those who live in NYC, you know immediately what they are all about. The various selling points, such as same-day delivery, may entice you to click and learn more.

PPC Ad Campaigns for Launching a Business - TapRm Facebook PPC ad

5 Tips for Launching a Business With a PPC Ad Campaign

Are you ready to dive into PPC ads to launch your business? Here are some actionable steps.

1. Get Really Focused 

One way to ensure you’re getting the most out of your PPC ads is to zone in on exactly who you are targeting and what you want them to do right now. Don’t get distracted by possibilities down the line. 

Stay focused on the market your business is best designed for and limit your reach to the most qualified buyers. These early days are the time to build buzz among your most potentially loyal customers, who will fall in love with your business. 

2. Decide Where Your Audience Should Go 

Your audience likely found you because they searched for a resolution to a specific problem, so avoid the temptation to send them to your homepage.

Instead, think through exactly where you want them to go when they click your ad. Maybe it’s a product page, sign-up page, or landing page created just for this campaign. Since customers are likely new to your website, you want to keep the conversion journey short and straightforward.

3. Start Small

You could create a wide range of PPC ads when you launch a business, focusing on different aspects of your business and showing up in various online spaces. But in these early days, keep it simple. Choose one of the platforms where your target audience is likely to be, either on social media or search engines, and focus on solving specific problems your customers have. 

Keeping things this focused at first can help you figure out what types of ads people click on to find your site and whether or not they convert. Later, you can use this information to expand your types of PPC ads.

4. Analyze the Data

Once you launch your PPC campaign, keep an eye on how your ads perform. Luckily, most paid platforms track this data automatically, making it relatively easy to see how many people see the ads versus how many click.

Are people seeing the ads but not clicking? Maybe you aren’t speaking to your customers’ needs.

Are people clicking but not converting? Maybe you’re sending them to a page that doesn’t immediately solve their problem.

Keep watching the ads, figure out when and how people are converting, and change tactics accordingly.

5. Build on What’s Working

As you continue your PPC efforts, create campaigns using campaign strategies that worked in the past, making them better each time. If you had a copy-only ad at first, you could take that copy and use it to create a PPC ad with a photo or video, for instance. 

Measuring the Success of Your PPC Campaign When You Launch a Business

Watching your PPC campaign’s metrics can provide the feedback you need so you can create paid ads that actually convert.

The metrics you should pay attention to include:

Impressions 

These tell you how many people see your ads. Knowing how many people see the ad lets you know if your audience is too broad or narrow, particularly when compared to the number who click.

Click-Through Rates

Click-through rates show you how well your ad design and copy are performing. If people are clicking through, you’ve made a good first step.

Conversion Rates

Once you notice those click-throughs, you’ll need to watch for conversion. Are people buying, signing up, or other actions? If not, find out why and change accordingly.

Social Interactions

If your ads are on social media, look for interactions such as likes or shares. With your new business, these metrics may not be about conversions but to show some growth in brand awareness. 

When you launch a business, you’re bound to try things that aren’t going to work. Don’t be afraid to scrap an idea and start fresh. Success in PPC ads involves trial and error until you connect with your ideal target market with a message they respond to. 

Conclusion 

You’ve launched your big idea. As a struggling startup, what’s next? 

It’s time to get out there and start advertising. PPC ads can help you narrow down your focus, provide valuable feedback about how customers respond to your new business, and help you understand how to meet their needs.

What kind of PPC ads are you going to use for your next business venture?

What are the Different Types of Business Loans and How Can You Tell What’s Best for You?

What are All the Different Types of Business Loans?

There are several different types of business loans out there.

All Businesses Need Funding

It’s that simple. You would be hard-pressed to find a business owner that doesn’t know that. What many do NOT know is that there are many more types of small business loans out there than the traditional banks loans everyone knows about.

Choosing Among the Many Different Types of Business Loans Means Knowing What’s Right for You

Knowing the different types of small business loans is only half the battle. You have to know how to figure out which one is right for you. The answer to that will vary based on a number of factors, and it may even change over the course of your business.

But the right type of loan for your business now may not be the right type for your business later. The best way to start figuring out which loan is right for your business is to figure out what’s available. Did you know that traditional bank loans are not the only option?

Types of Small Business Loans

There are many more, including:

  • SBA loans
  • 401(k) financing
  • Merchant Cash Advances
  • Equipment Financing
  • The Credit Line Hybrid
  • Traditional Lines of Credit

Let’s dive in to each one and figure out which one is best for your business right now

Different Types of Business Loans: SBA Loans

Guaranteed by the federal government. Issued by participating lenders, usually banks. They offer a lot of the perks of traditional loans, such as lower interest rates and favorable terms. Due to government guarantee, lenders are able to offer them to those with a lower credit score than would typically be required.

Eligibility for SBA Loans

Lenders and loan programs have unique eligibility requirements. In general, eligibility is based on what a business does to receive its income, the character of its ownership, and where the business operates. Hence even those with bad credit may qualify for startup funding.

Normally, businesses must meet size standards, be able to repay, and have a sound business purpose. The lender will provide you with a full list of eligibility requirements for your loan. See www.sba.gov/document/support–table-size-standards.

More About Eligibility for SBA Loans

General eligibility also includes:

  • Being a for-profit business – the business must be officially registered and operating legally
  • Doing business in the US – the business must be physically located and operating in the US or its territories
  • Having vested equity – the owner must have invested their own time or money in the business
  • Exhausting other funding options – the business must not be able to get funds from any other financial lender

Ideal credit scores for an SBA loan are 680 or above. There are a number of SBA loan programs, each one designed to work for different needs and situations. Some of the most common SBA loan programs include:

  • 7(a) loans
  • 504 loans
  • Microloans
  • Disaster loans
  • Express loans

These are just a few the of the options available. Find out more at SBA.gov.

Demolish your funding problems with 27 killer ways to get cash for your business.

Which SBA Loan is Best?

The thing about SBA loans is that they each have a specific purpose. For example, if your business has suffered due to a natural disaster, you need a disaster loan. If you need $50,000 or less, a microloan may be the best option. But the 7(a) loan program is the most versatile.

SBA 7 (a) Loan Program Details

A standard 7(a) loan can be for up to $5 million. The maximum SBA guarantee is 85% for loans up to $150,000 and 75% for loans greater than $150,000. The interest rate varies but cannot exceed the SBA maximum. The turnaround is 5 – 10 business days. These funds can be used for a number of things, and the minimum credit score is 640. But of course the higher the better.

Who Do SBA Loans Work Best For?

These loans work well for those that are not in a hurry to get funding

The approval and funding process can take a while, especially with the government red tape required for the government guarantee. If you can wait, meet all the requirements, and want a more traditional type of loan, SBA loans are an option.

Demolish your funding problems with 27 killer ways to get cash for your business.

Different Types of Business Loans: 401(k) Financing

If you have an eligible 401(k), you can use those funds to get money for your business. You must not be currently contributing. You must not longer be working for the company that the 401(k) is under. And you must have a balance of at least $35,000.

You can even still earn interest on your account, and there are no tax penalties. Personal credit doesn’t really matter much. Interest rates are usually low.

401(k) Financing Details

In fact, they are  often less than 5%. Close and fund in less than 3 weeks. Can usually get up to 100% of what’s “rollable” within your 401(k). This type of loan works well for anyone that has an eligible 401(k) account.

Different Types of Business Loans: Merchant Cash Advances

Businesses that accept credit cards as a form of payment may qualify for a merchant cash advance. This means your business must have a merchant account in order to be able to accept credit card payments. Your business must bring in $100,000 or more per year in credit card sales. Typical approval is equal to one month’s credit processing volume. The minimum credit score is 500.

Qualifying for a Merchant Cash Advance

They do not ask for a lot of documents. This is not like what most conventional lenders will want. You won’t need financials, business plans, or resumes. You don’t even need collateral.

Your business’s credit card receipts and business bank statements tell lenders all they need to know. These loans work well for businesses that qualify and need funds fast, and those with credit that is less than perfect. It’s a great way to get money for  your business fast with few requirements.

Different Types of Business Loans: Equipment Financing

Businesses looking to buy or lease equipment can use equipment financing. Rates vary widely depending on risk factors. Usually can get approval with a 650 or better credit score. This is for major equipment only, not a combination of a lot of small equipment. These loans work well for those that have good credit and just need to financing equipment. The equipment is the collateral, so that helps out some with rates.

Credit Line Hybrid

It can provide some of the highest loan amounts and credit lines for startups. You can get 0% business credit cards with stated income. There are no financials required. These report to business CRAs; you can build business credit at the same time. This will get you access to even more money without a personal guarantee.

Credit Line Hybrid Details

You can usually get a loan of five times the amount of current highest revolving credit limit account. This is up to $150,000. Easily five times what you could get on your own when applying for cards. You can get cash out on this program as well.

Credit Line Hybrid Benefits

There will be no impact on your personal credit with this type of financing. You need a 680 credit score or a guarantor with good credit to get an approval. In addition, this type of financing report to the business credit reporting agencies. This means you can build stronger business credit while funding your business.

Who Does the Credit Line Hybrid Work Best For?

This is a good option for virtually everyone. Because even if you have bad credit, you can get funding by using a credit partner. Works especially well for those who need to build business credit.  See www.creditsuite.com/business-loans.

Demolish your funding problems with 27 killer ways to get cash for your business.

Different Types of Business Loans: A Traditional Line of Credit

This is similar to a traditional term loan in terms of where you get it, and approval requirements. However, it is revolving financing more like a credit card. Typically have better interest rates that credit cards. They work well for those who qualify for traditional term loans but want revolving credit rather than a term loan.

Which Types of Small Business Loans are Best for Your Business?

If you know what types of business loans are available to your business, you can make a more educated decision about which types of business loans will work best for you. Knowing what’s out there is only half the battle. You also have to understand your own eligibility and funding needs.

The Different Types of Business Loans: Takeaways

All businesses need funding. Traditional term loans are not the only option. Other options exist to help you money faster. Or funding despite bad credit. And you can better rates and terms than you would get with a traditional term loan.

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