Tag: Finding

Secret Formula to Finding the Right Business Investor

Using a business investor is a legitimate way to get money for your business. However, there are more ways to do it than you may imagine.

Partnering with an Business Investor

This is one of many ways to get money for your business. Surprisingly, you have a number of options, including:

  • Venture capitalist
  • Angel investors
  • Equity crowdfunding

If you choose to pursue this option, you have your work cut out for you. First, you have to choose the option that will work best for you. Then, you have to find a potential investor and convince them. Still, it may be worth it considering Interest rates are rising and it’s becoming harder to find loans. These are non-issues when you work with venture capitalist funds.

Angel Investor

Angel investors typically invest in early-stage or startup companies for 20 – 25% return on their investment.  Basically, they invest less than venture capitalists, but also require less control.

Equity Crowdfunding

Equity crowdfunding is when potential investors visit a funding portal website and explore different investment opportunities posted on the site.  Potential investors are subject limits based on their income and net worth. Also, they must be 18 years old or older.

Venture Capitalists

Venture Capitalists are investors that give money to build startups. Generally, they are looking for investment opportunities that have both high-growth and high-risk potential. These are fast-growth companies with an exit strategy already in place.

Usually, they expect a recovery time of  3-5 years, often they want to own a large piece of the business, or even controlling stake.

To have a chance, you need to have a:

  • Strong management team
  • Large potential market
  • Unique product or service, and strong competitive advantage

A Winning Pitch Deck to Catch the Perfect Business Investor

Of course, the pitch deck won’t seal the deal immediately.  Yet, it is the first impression investors get of your business. Typically, it is in the form of a PowerPoint presentation.

What is the Goal of a Pitch Deck?

The final goal is to get your business funded. However, the immediate goal is just to get to the next meeting. You want to create interest that entices investors to consider investing in your business.

What to Include in a Pitch Deck

While you do have some creative leeway, there is general information that should be included in every pitch deck.

Company Overview

This is a quick 4 or 5 bullet summary that includes what the company is. So, tell them what you do, how you do it, and why it needs to be done.

Mission Statement or Vision for the Business

Include a crisp, concise statement telling them what you want to become. Honestly, it is the backbone of the presentation.

Your People

This is where you will introduce yourself and the team, including names and pictures. Tell what each person contributes to the company.

The Problem Your Business Solves/ Need it Fills

Of course, every business should solve a problem or fill a need. Now, your job is to show potential investors how your business does that.

What is Your Product?

Obviously, this is where you introduce your product or service. Explain how it’s different from anything else in the market. Consequently, it’s best to have a prototype or at least pictures for this section if you can.

 Is There a Market for It?

First, define your market. For example, who will be using the product? Then, explain the dollar market size.  Do you already have customers?  If so, include them here. Use the logos of well-known customers the audience will recognize. For lesser known customers, include names and testimonials.

Technology

Does the business use any proprietary technology. Include diagrams, graphs, and photographs to show progress if it does. Furthermore, be sure you include proprietary rights like patents and copyrights.

How to Handle Competition

Don’t make the mistake of ignoring competition. In contrast, you will need to address the subject with potential investors. Inform them of who you believe your competitors are. Then, tell them how your business is different. Explain what it is that gives your business a competitive advantage.

Previous Success

This section includes any early sales figures along with:

  • Website traffic
  • App downloads
  • Growth metrics
  • Partnerships
  • Praise from the press
  • And testimonials

Business Model

Tell them how the business makes money, including how a customer retains value long-term. Also, you’ll need to explain what your pricing plan looks like.

Marketing Plans

This is where you talk about marketing platforms and channels.  Don’t forget,  it’s also important to note the cost to acquire a customer, as well as the estimated lifetime value of a customer.

Financials

Here, you’ll include 3- 5 year financial projections as well as complete current financials. In addition, be to include any key assumptions used for the projections.

The Ask

Now, it’s time to ask for exactly what you want. Tell them precisely what you’re looking for, remembering that it is okay to give a range. Discuss how long you think this funding will last, as well as how you plan to use the funds. Lastly, if you have any existing investors, include that information here as well.

6 Bonus Pitch Deck Tips

  1. Make the presentation professional, but visually interesting. If it’s boring, you’ll lose them before you get started.
  2. It also needs to be easy to access. If they have to click through a billion links, they may never see it.
  3. Do not include a date. Chances are you will use the presentation more than once, and that is just one less thing you have to remember to update.
  4. Keep it as short as possible while still including all the necessary information.
  5. Keep acronyms to a minimum. Too many are hard to follow.

Using a Business Investor is Just One Funding Option

Working with a business investor is a totally legitimate business funding option. However, it is not your only option. Find out what other types of funding you may qualify for with a free business finance assessment. What are you waiting for?

The post Secret Formula to Finding the Right Business Investor appeared first on Credit Suite.

On the Hunt: Finding Elusive Recession Startup Business Loans

COVID-19 threw our country into a recession that no one really saw coming.  The drastic turn in the economy was jarring to say the least.  Starting a business now can be scary.  Here’s what you need to know about recession startup business loans and other funding options. 

How to Find Other Funding Options Besides Recession Startup Loans

Small businesses continue to report problems finding credit. About 45% do not apply, most likely due to the fact that they do not need to. Another 20% don’t apply because they are discouraged from doing so. They either feel they will not qualify or they believe the process is too hard, and therefore not worth the time.

Small business owners report that competition among banks for their business came to a head from 2001 to 2006, and that this competition has declined from 2006 to the present.

But Wait, There’s More to Recession Startup Business Loans and the Economy
recession startup business loans credit suite

Even more concerning, according to one report, the number of American banks and thrifts has been decreasing slowly for 25 years. This is coming from consolidation in the marketplace in addition to deregulation in the 1990s, reducing barriers to interstate banking.  What does that mean in layman’s terms?  In short, recession is coming. Will you be able to find funding? 

Assets focused in ever‐larger financial institutions is a problem for small business owners. Big banks are a lot less likely to make small loans. Economic declines usually mean financial institutions will become more mindful with financing. 

The good thing for small businesses is, business credit does not rely on traditional financial institutions. What about recession startup business loans? How do you find them? Does such a thing even exist?

Hit the jackpot and weather any recession with our best webinar and its trustworthy list of seven vendors who can help you build business credit.

In the strictest sense, yes.  I mean, startup business loans do not just disappear during a recession.  They are just harder to get.  Startups are a big risk, and few lenders are willing to take such risks, especially during a recession.

That doesn’t mean you should lose all hope however. There are options that can make it easier for you to qualify, and if you are still not able to get startup business loans, other types of funding do exist.  

The Credit Game? 

Lenders check credit to help determine whether or not a borrower is likely to repay the loan. It is an effort to reduce risk. If you have great personal credit, you are home free. No need to hunt, the loans will come to you whether there is a recession or not.

While credit is a good indicator of likelihood to repay, it is far from perfect. The problem is, for business loans, most owners have to rely exclusively on their personal credit.  This is because, as a startup, they likely do not have any business credit yet.  It is possible to have not so great personal credit and still be able to meet business obligations.

What Else Can Lenders Use besides Credit to Approve Recession Startup Business Loans?

There are a ton of potential borrowers out there that could be great for lenders. Unfortunately, they will never get a second look because of a poor personal credit score or non-existent business credit score. 

Some lenders are willing to take other factors into consideration when they determine whether to approve business loans. They may look at credit, but they look at income, current debt, and length of time in business as well. 

Often a business can get approval based on length of time in business and annual revenue. It is important to remember that startups can be as young as a couple of years. It does not have to be a brand-new business to qualify as a startup.

Most loans that do not require a great credit score do require at least 6 months in business. Some will go with 3 months. Few and far between are the loans that do not have a minimum time in business requirement. 

Some lenders will get as personal as to ask why your personal credit score is low. If there is a personal situation that caused a decline in credit, telling them about it may help. In addition, if your score is low but has increased significantly, you should bring that to their attention as well.

For example, if you can show them that your score went low as a result of a health problem, but has increased 100 points since that problem was resolved, it can only help. 

What Exactly Are You Hunting For?

Loans are hard to come by in a recession, period.  Recession startup business loans may be some of the hardest to find.  The key is to remember you are hunting more for the right lender, rather than the right loans. Not only that, but you may be better off looking for another type of funding all together.  Here are some surprising alternatives to traditional lenders and loans.

Hit the jackpot and weather any recession with our best webinar and its trustworthy list of seven vendors who can help you build business credit.

Alternative Lenders

Alternative lenders are likely the best option when it comes to business loans in a recession.  They are alternatives to the standard banks and credit unions. Many operate solely online. They often process applications in just a few days, and borrowers receive funds quickly. 

The main difference in alternative and traditional lenders is that there are many occasions where they may not even do a credit check. Often, if you can show that you are generating sufficient revenue to repay the loan and interest, you are golden.

You do have to do your research still.  Do not assume every loan an alternative lender offers is what you are looking for. 

The interest rates with alternative lenders are generally higher, and the repayment terms are less liberal. They may also require a personal guarantee or collateral of some sort. 

Despite the often less favorable interest rates and terms, these are a great option for those looking for recession startup business loans. 

Crowdfunding as an Alternative to Recession Startup Business Loans

Crowdfunding is not technically a loan, though some crowdfunding sites offer a lending option. These are more in line with investments. This means you do not have to pay them back. 

It won’t work for everyone.  You have to set a goal for the amount of investment you want. With some sites, if you do not reach that amount, you do not get your funds. Other crowdfunding sites are more flexible, allowing you to take whatever you can get. 

The main reason this doesn’t technically fall into the category of business loans is that the main product is not a loan. You do have to provide in depth information however, and most sites require you to offer backers an incentive for their investment. It is only fair to mention, also, that it may be harder to find those willing to participate in crowdfunding during a recession.

Angel Investors

Again, this isn’t a loan, but it is an option if finding recession startup business loans is proving difficult. The idea is very similar to that of crowdfunding, except you replace the crowd with one investor.  Sometimes it is two or three investors. It is a few, and not a crowd, that provide the bulk of the funding. 

It’s important to note that angel investing in your endeavor can be really informal.  Even your mother can be an angel investor. 

Invoice Factoring

If you have been in business long enough to have open invoices, invoice factoring could be an option. The lender is not concerned with your credit, because they will not be collecting from you.

They will pay you a discounted value for your open invoices and then attempt to collect the full amount from your customers. This is an excellent funding option, but it does not operate exactly the same as traditional loans.

Credit Line Hybrid

A credit line hybrid is the funding option many do not know about, and it is perfectly suited for business funding during an economic downturn. It allows you to fund your business without putting up collateral, and you only pay back what you use.  

How hard is it to qualify?  Not as hard as you may think.  You do need good personal credit.  That is, your personal credit score should be at least 685.  In addition, you can’t have any liens, judgments, bankruptcies or late payments.  Furthermore, in the past 6 months you should have less than 5 credit inquiries, and you should have less than a 45% balance on all business and personal credit cards.  It’s also preferred that you have established business credit as well as personal credit. 

If you do not meet all of the requirements, it’s okay. You can take on a credit partner that meets each of these requirements.  Many business owners work with a friend or relative to fund their business.  If a relative or a friend meets all of these requirements, they can partner with you to allow you to tap into their credit to access funding. 

What are the Benefits of a Credit Line Hybrid? 

There are many benefits to using a credit line hybrid.  First, it is unsecured, meaning you do not have to have any collateral to put up.  Next, the funding is “no-doc.”  This means you do not have to provide any bank statements or financials.  

Not only that, but typically approval is up to 5x that of the highest credit limit on the personal credit report. Additionally, often you can get interest rates as low as 0% for the first few months, allowing you to put that savings back into your business. 

The process is pretty fast, especially with a qualified expert to walk you through it.  One other benefit is this.  With the approval for multiple credit cards, competition is created.  This makes it easier, and likely even if you handle the credit responsibly, that you can get interest rates lowered and limits raised every few months. 

Hit the jackpot and weather any recession with our best webinar and its trustworthy list of seven vendors who can help you build business credit.

Self-Funding with Friends and Family During a Recession

Your friends and family are often your best source of recession startup business loans.  If they believe in your cause and have the funds, they may be willing. They may also be more flexible and generous in terms of interest rates and repayment terms. It never hurts to ask. 

If you have savings or retirement funds available, there is no doubt you will have guaranteed approval with what’s called securities-based financing. An added bonus is that you can repay yourself, and if you choose to do so with interest, even a little, you could end up better off. If you need to take it more slowly, you can do that too. You can be as flexible as you want with yourself. 

Avoid the Hunt for Recession Startup Business Loans

If you are weary of the hunt, start now working to establish and build business credit. Many times, this is an issue for the simple reason that business owners do not understand business credit and personal credit are not the same thing. 

By working to establish a credit score for your business separate from your own, you make it easier to fund your business endeavors in the future. 

First Things First

If you do not currently have business credit and need to get it established, there are some simple steps you can take to get started. 

  • Incorporate your business as a corporation, S-corp, or LLC.
  • Get your business its own phone number and address separate from your own.  
  • List this information under your business name in all the directories. 

These steps establish your business as its own entity separate from you and your finances. This is the essential first step to establishing business credit. 

Build Strong Business Credit

This should be the ultimate goal.  Once your business is its own entity, you can work on building, or repairing, bad credit. When that part is complete, you no longer have to worry about finding funding based on your personal credit alone. You will just be able to apply for a loan and negotiate for the best terms and rates. 

How do you get there? First, make sure you are doing business with vendors that report to the credit agencies. Then, get whatever credit you are eligible for. 

Even if you don’t need credit at the moment, get something. Make your payments on time, consistently. This builds a credit score where there was none before, and it can begin to repair a poor credit score. 

 

A Successful Hunt Many Not Even Include Recession Startup Business Loans

There is always an obstacle to overcome. There is always a problem of some sort. Don’t let the finding recession startup business loans be the thing that keeps you from starting and running a successful business.   

You may be able to find a loan, but if you can’t, there is more than one way to bag the prize. The alternatives to business loans for startup funding are numerous. If the regular weapons are not available for whatever reason, find another way. Take a look at alternative lenders, invoice factoring, merchant cash advance options, Crowdfunding, Angel Investors, or even friends and family.

Recessions come and go.  It is the nature of the economy.  No matter what, it just happens.  It can be counted on the same way as the sunrise and sunset.  Thankfully, it doesn’t have to bring success or progress to a halt.  Explore your options and be diligent to find the funding you need for your business. You have to get creative and seek out alternative methods, and that is okay.  Having a strong business credit score can definitely help also.  Find out more about that here.  

Just don’t give up.  Remember, the key is to put yourself in a better situation so that once you survive the battle, you can win the war. 

The post On the Hunt: Finding Elusive Recession Startup Business Loans appeared first on Credit Suite.

Trainee Loan Consolidation Program – Finding the very best One

Pupil Loan Consolidation Program – Finding the very best One

Pupil Loan Consolidation Program – Finding the most effective One
Using for a trainee lending combination program will significantly profit you. Locate out exactly how to combine your pupil finances the ideal method.
Why combine?
You will certainly be paying off one finance rather of a number of. Settling all your pupil lendings right into one will certainly assist you prevent this.
Second, finance combination can conserve you a whole lot. The rate of interest prices are likewise reduced, than on the fundings prior to debt consolidation.
Does negative debt avoid you from getting financing combination?
If you have a negative credit report background, it normally will not avoid you from being authorized for government car loan debt consolidation program. With personal loan providers negative credit history rating can be a little bit of a trouble. If you have any kind of government lendings, combine them.
Just how to locate the very best trainee finance debt consolidation price?
The price should not worry you due to the fact that according to the government regulation, all personal loan providers need to use precisely very same price as FFELP (Federal Family Education Loan Program). Your specific price will certainly rely on the typical price off all exceptional trainee fundings you presently have.
Some lending institutions market really reduced prices. You have to birth in mind that the majority of loan providers provide specific advantages and also discount rates, and also the price promoted is normally what you obtain after a price cut is used. If you are not qualified for the discount rate, your price will certainly be greater.
The majority of business plainly mention discount rate qualification standards, for instance constantly making your settlements in a timely manner or establishing an automated withdrawal from you account. There can be various other standards as well, not discussed till you really use for loan consolidation with this lending institution. The only reputable method to discover the ideal bargain is to ask for quotes from a number of financial institutions as well as various other exclusive loan providers as well as contrast them.
When you use for a government finance debt consolidation program there will certainly be no added charges. Some lending institutions bill you furthermore for debt consolidation, so you will certainly have to ask if there are any kind of extra charges.
Locating the most effective bargain on your trainee finance combination program may take a little research study, however considering that we are speaking about countless bucks, cost savings can be considerable also. The simplest means to obtain your quotes is to check out loan providers web sites and also request a quote online. And also keep in mind, you are enabled to settle your financings just when, so it is essential to make the best option the very first time.

Using for a pupil lending combination program will significantly profit you. The rate of interest prices are likewise reduced, than on the fundings prior to loan consolidation. If you have a negative debt background, it normally will not stop you from being authorized for government car loan debt consolidation program. When you use for a government car loan debt consolidation program there will certainly be no added charges. Discovering the ideal offer on your pupil lending combination program could take a little bit of research study, however considering that we are speaking regarding thousands of bucks, financial savings can be considerable as well.

The post Trainee Loan Consolidation Program – Finding the very best One appeared first on ROI Credit Builders.

Trainee Loan Consolidation Program – Finding the very best One

Pupil Loan Consolidation Program – Finding the very best One

Pupil Loan Consolidation Program – Finding the most effective One
Using for a trainee lending combination program will significantly profit you. Locate out exactly how to combine your pupil finances the ideal method.
Why combine?
You will certainly be paying off one finance rather of a number of. Settling all your pupil lendings right into one will certainly assist you prevent this.
Second, finance combination can conserve you a whole lot. The rate of interest prices are likewise reduced, than on the fundings prior to debt consolidation.
Does negative debt avoid you from getting financing combination?
If you have a negative credit report background, it normally will not avoid you from being authorized for government car loan debt consolidation program. With personal loan providers negative credit history rating can be a little bit of a trouble. If you have any kind of government lendings, combine them.
Just how to locate the very best trainee finance debt consolidation price?
The price should not worry you due to the fact that according to the government regulation, all personal loan providers need to use precisely very same price as FFELP (Federal Family Education Loan Program). Your specific price will certainly rely on the typical price off all exceptional trainee fundings you presently have.
Some lending institutions market really reduced prices. You have to birth in mind that the majority of loan providers provide specific advantages and also discount rates, and also the price promoted is normally what you obtain after a price cut is used. If you are not qualified for the discount rate, your price will certainly be greater.
The majority of business plainly mention discount rate qualification standards, for instance constantly making your settlements in a timely manner or establishing an automated withdrawal from you account. There can be various other standards as well, not discussed till you really use for loan consolidation with this lending institution. The only reputable method to discover the ideal bargain is to ask for quotes from a number of financial institutions as well as various other exclusive loan providers as well as contrast them.
When you use for a government finance debt consolidation program there will certainly be no added charges. Some lending institutions bill you furthermore for debt consolidation, so you will certainly have to ask if there are any kind of extra charges.
Locating the most effective bargain on your trainee finance combination program may take a little research study, however considering that we are speaking about countless bucks, cost savings can be considerable also. The simplest means to obtain your quotes is to check out loan providers web sites and also request a quote online. And also keep in mind, you are enabled to settle your financings just when, so it is essential to make the best option the very first time.

Using for a pupil lending combination program will significantly profit you. The rate of interest prices are likewise reduced, than on the fundings prior to loan consolidation. If you have a negative debt background, it normally will not stop you from being authorized for government car loan debt consolidation program. When you use for a government car loan debt consolidation program there will certainly be no added charges. Discovering the ideal offer on your pupil lending combination program could take a little bit of research study, however considering that we are speaking regarding thousands of bucks, financial savings can be considerable as well.

The post Trainee Loan Consolidation Program – Finding the very best One appeared first on ROI Credit Builders.

Spend This Veteran’s Day Building Strong Business Credit and Finding Resources to Help You Build the Business of Your Dreams

As a veteran, your country owes you a debt of gratitude.  Unfortunately, it can be difficult to reacclimate to normal life after the trauma of service. Starting a business can be a great way to get back on your feet, and there are a ton of resources that can help.  These resources, coupled with opportunities opened by strong business credit, mean veterans have more support than ever before to help start and run their own businesses successfully.  F

Find Out Where to Look to Find Resources for Veteran Business Owners with or Without Strong Business Credit

Surprisingly, according the SBA findings released a couple of years ago, 2.52 million U.S. businesses are Veteran-owned.  That is 9.1%. To put it in perspective, almost 10% of the U.S. economy is made up of veteran owned businesses.  It seems, not only do veterans deserve our support for fighting for our country, but for helping to keep the economy running as well!

What frustrates you the most about funding your business? Check out how our free guide can help. 

In addition, the same report shows veteran-owned businesses, have 5.03 million people working for them.  What’s more, that’s an annual payroll of $195 billion. What does this mean? Surprisingly, it means that if veterans aren’t given a way to fund new business ventures, a significant section of the U.S. economy will be hurting.

Thankfully, there are loans, grants, and other resources available for veteran business owners.  Consequently, you have to know where to find them. Fortunately, we can help with that. While we can’t list them all, this should get you started.  

Business Loans for Veterans

First, the list of available business loans for veterans could go on forever.  We selected a few of the most popular to help you get your research started. 

Military Economic Injury Loans

This is an SBA loan that helps both veteran and current military reservists that own a business that suffered when they were called to active duty. As a result, if you own a small business that is having financial issues due to active military service on your part, you likely qualify.  The MREIDL, (Military Reservist Economic Injury Disaster Loan) Program will offer 4% interest loans to help the business stay afloat. 

Remember, it is available to business owners that are also veterans for only up to one year after release from active duty.  Terms are available for up to 30 years. Remember, there is a collateral requirement for loans over $50,000. Also, by law the SBA has to make a determination that the business will not recover without help from the government. 

Veterans Business Fund

strong business credit Credit Suite

Another great option, the Veterans Business Fund, is a newer resource for veterans.  Those are looking to fund a new business or an expansion, and those that want to purchase an existing business or franchise, may find help with this fund. 

It’s funded by donors, and seeks to provide veteran business loans with manageable terms. Per their website, these loans are for veterans, and are non-interest bearing to the extent permitted by law.

You cannot finance a business through VBF alone however.  The program offers loans only in conjunction with personal equity and the funding of an outside banking institution.

Streetshares

StreetShares is veteran owned and run.  They have a passion for funding veteran business loans, though they help those who are not veterans as well. Operating as an online auction marketplace, they connect entrepreneurs directly to investors with an interest in small businesses.

They also provide other information and resources for veterans online. They claim to offer funding approvals in just a few hours. Find out more about StreetShares in this review. 

7-Eleven Veterans Franchising

Along with several other companies, including UPS, 7-Eleven is offering benefits to veteran franchisees.  Eligible business owners can receive up to 20% off the franchise fee.  In addition, they may receive up to 65% financing through 7-Eleven, along with other special benefits. 

What frustrates you the most about funding your business? Check out how our free guide can help. 

SBA Express Loan Program

In the past, the SBA’s Patriot Express Loan program was top notch for veterans.  Unfortunately, that program has ended.  However, veterans can still apply for the regular Express Loan program. SBA Express loans are available up to $350,000, and decisions are made in up to 35 hours.  This is a far cry from the 5 to 10 days SBA loans regularly take for decisions.   

One benefit for veterans is that loans through this program, for those who have served, will have their guarantee fees waived. This is part of the SBA VA Program.  

Hivers and Strivers

This is an angel group that specializes in startups run by U.S. military academy graduates. West Point, Annapolis, the Air Force, and the Coast Guard are all involved. Find out more here. 

Other Options for Veterans with Strong Business Credit and Personal Credit

Although the following lenders do not focus specifically on veterans, they offer small business loans that can supplement what is obtained from veteran resources. 

LendingClub

LendingClub works by giving investors a fixed income alternative by investing in personal loans, while offering borrowers loans with investors’ funds.

It’s a simple process. Just enter how much you want to borrower.  Next, choose the type of loan you are looking for. Then, enter some very basic information. You’ll get two different offers at least. One will have a lower payment but a higher interest rate. The other will be vice versa.

Loans range in amounts from $1,000 to $40,000 with an origination fee of 1% to 6%. This fee comes off the top before funds go into the borrower’s account. That means if you have a $1,000 loan with a 1% origination fee, you will only receive $990 in your account. You still have to pay back the full loan amount of $1,000 of course.

Interest rates range from 6.16% to 35.89%. Repayment terms are typically monthly, spanning over 3 to 5 years. After approval, it can take up to a week to receive loan funds.

The minimum credit score for a loan is 600. In addition, you must have a credit history that goes back at least 3 years.  If you do not have the personal credit needed, they may take strong business credit into consideration.

Fundation

The great thing about Fundation is that they will report payments to the business credit reporting agencies.  In return, this helps you build strong business credit. They offer a streamlined, automated process. Originally, they only had invoice financing.  However, now they offer a line of credit service as well. Repayments are automatic, meaning they draft them electronically.  This happens on a weekly basis. One thing to remember is that you could have a repayment as high as 5 to 7% of the amount you have drawn currently, since the repayment period is comparatively short.  

Loans range from $100 to $100,000.  The max initial draw is $50,000 however.   They do have some products that go up to $500,000.  There is no minimum credit score requirement, but they do require at least 3 months in business, $50,000 or more in annual revenue, and a business checking account with a minimum balance of $500.

As I said, they report to Dun & Bradstreet, Equifax SBFE, PayNet, and Experian, which makes them a great option if you want to build strong business credit.

Funding Circle

Funding circle is one of your best options if you are looking for a low APR.  They offer fixed rate term loans. The credit score requirement is 620 or above.  Still, they make take a strong business credit score into consideration if you do not quite meet that.  They do not have a minimum revenue requirement, but they do require at least 2 years in business. Find out more in our Funding Circle review. 

Veteran Funding Options that Do Not Require Strong Business Credit

In addition to loans, there are many grant opportunities for veteran business owners.  They are not all right for every veteran, but if you are eligible, they can be great supplemental funding. 

VetFran Business Grant Fund

This is a grant opportunity for those that have been awarded a franchise through the IFA VetFran program.  Go here to find out more. 

USDA Veteran and Minority Farmer Grant

This is a grant that helps veterans get started in the farming industry. 

StreetShares Commanders Call Veteran Business Award

The StreetShares Foundation offers this award to 3 veteran business owners each year. 

There are three prizes as follows: 

  • 1st Place: $15,000
  • 2nd Place: $6,000
  • 3rd Place: $4,000

To apply, a business must meet the following requirements:

  • The applicant has to be a veteran or reserve or active duty member of a branch of the United States Armed Forces, or a spouse of an armed forces member. 
  • They must be at least 21 years old.
  • The business must be legally incorporated or a formal partnership or sole proprietorship.
  • There must be some sort of social impact on the veteran or military community either in conjunction with or in addition to the primary business function.

In the end, the foundation will choose 5 to 10 finalists.  They base their decision on the social impact of the business idea.  Additionally, they consider how the business will use award funds, and the social impact of that use.  The fit of the product market, the history of the team, and the history of the company also play into the decision. 

Lastly, once the finalists are set, they post a list on the website and the public votes on which businesses will receive prizes!

Resources that Provide Services Other than Funding Veteran Business Owners

Thankfully, there are many resources available to veteran business owners that provide support not related to business funding. 

Dept of Veterans Affairs

This is the government department set up to help ensure veteran business owners get their fair share of the pie.  That includes government contracts. Find out more at: https://www.va.gov/osdbu/programs/index.asp

Veterans Business Services

Veterans Business Services, or VBS, offers the following: 

  • Self-employment pre -feasibility assessment opinion letters
  • VA vocational rehab
  • Business plan development and coaching for service-disabled veterans
  • Feasibility studies for small business concepts

VBS offers all of this and more.  Go here for more about these and other ways they can help service-disabled veterans. 

VetBiz

The VetBiz program helps veterans “transition military skills into small business success” per their website.  Similar to other programs, they offer training, coaching, and consulting. Also, they partner with the Small Business Administration for the Boots to Business program.  More information can be found here.

Syracuse University’s Institute for Veterans and Military Families

Honestly, there are many programs at Syracuse University for veterans and their families.  Read about all of them here. However, one of the newest programs is an outstanding opportunity for veterans that want to start their own business.  It’s called EBV Accelerate, and it consists of 3-phases. 

What frustrates you the most about funding your business? Check out how our free guide can help. 

Self-stated, the goal of the program is to give veterans business tools and coaching to rocket their business to sustainable growth. To qualify, you must be a veteran business owner that has been in business for 3 years or more.  Of course, the veteran must have at least 50% ownership. 

In addition, there must be active duty with honorable discharge or general discharge under honorable conditions. Also, 5 people have to be full time employees.  It’s short, lasting a little over two weeks. The first phase, Phase 1, is 2 weeks of online work. Next, Phase 2, is a 3-day residency course. Phase 3 consists of resources to support business growth.

More Resources for Veteran Business Owners

For more help, here are a few more resources that can help veteran business owners in a number of ways.

How Can Strong Business Credit Help?  

Truthfully, strong business credit can help any business owner, including veterans, get the funding they need.  Consequently, if you don’t have business credit, now is the time to start building it. In reality, even though it is easiest to start at the beginning, you can start at any time.  Find out more about how to start and build strong business credit here.

Strong Business Credit Can Help You Access More Resources for Veterans

There are resources available to help veteran business owners, but you have to know where to look.  Most of them will not work singularly, but rather they will work together to help ensure the business has the funding and other support necessary to be successful. 

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