Tag: Possible

Delaware police investigating possible abuse of special needs students at elementary school

Special needs children at a Delaware elementary school may have been abused inside the classroom by three teachers, according to police.

Families in Smyrna, Delaware, met with school administrators after learning their special needs children may have been the victims of abuse inside the classroom.

Smyrna Police are investigating the possibility that three teachers at Smyrna Elementary engaged in professional misconduct. Police are working with the state Attorney General’s Office Special Victims Unit, which is common for these kinds of investigations, according to Fox 29.

“Your child’s school is the last place you’d think something like this would ever happen,” parent Leslie Thomas told Fox 29. “It has to be a different school. My son is traumatized, even turning on the street leading to Smyrna Elementary, so I could never force him to go somewhere where he was traumatized.”

TEXAS AG KEN PAXTON SUES SCHOOL DISTRICT AFTER PRINCIPALS ACCUSED OF VIOLATING ELECTION LAWS

The Smyrna School District released a statement Wednesday saying a report was made on February 16 of possible professional misconduct.

“As part of our multi-faceted approach to keep our students safe, we have taken all precautions, including contacting law enforcement and providing alternative staff to instruct students,” the statement said. “The investigation is active and on-going.”

“While I cannot go into detail, due to the ongoing investigation, I can assure you that the professional misconduct being investigated is not sexual in nature,” the district said in a follow-up statement. “District staff were at the school to support students, employees, and affected parents.”

Some of the families spoke with police and were told the details of the allegations, including the children being locked in bathrooms and having objects thrown at them.

CHICAGO SCHOOL BOARD VOTES TO REMOVE UNIFORMED POLICE OFFICERS FROM SCHOOLS

“They were being locked in the bathroom in the dark by themselves,” parent Tierre Thomas told Fox 29. “Their hair was being pulled. Objects were being thrown at them. They were being put in timeout physically and being held there.”

Leslie Thomas said she previously raised concerns to the district after observing changes in her son this school year. She and other parents are petitioning the district to move the students to another elementary school.

“We’re seeing aggression in him, hitting, something he has never done before. He flinches. He’s afraid of the dark. These are all behaviors he has never exhibited before but consistent with the allegations that have been made,” she said. “Most of the parents have agreed on North Smyrna, so for right now I would like to see them create that setting and of course we all would like to see the charges coming very soon.”

The police investigation could last several months.

Kent State's surprise onside kick to start game backfires in worst way possible

Kent State wanted to gain immediate momentum in their game Saturday afternoon – however, they got anything but.

The Flashes were set to kick to Eastern Michigan, but to the Eagles’ surprise, Kent State went for the onside kick instead.

It didn’t work out, as Eastern Michigan’s Kendric Nowling was able to recover it. And he gained possession of the ball standing up with room to run.

CLICK HERE FOR MORE SPORTS COVERAGE ON FOXNEWS.COM

So, he took off, and instead of what Kent State thought was the worst-case scenario in simply just playing defense at their own 45-yard line, Nowling took it all the way to the house for a game-opening kick return for a touchdown.

APP USERS VIEW THE PLAY HERE.

NO. 7 WASHINGTON BEATS NO. 8 OREGON WHEN LAST-SECOND FIELD GOAL MISSES WIDE

That was the beginning of Kent State’s 28-14 loss to the Eagles, as they fell to 1-6 on the season.

Kent State was held scoreless until the end of the third quarter. In their first nine drives, they punted five times, turned it over on downs twice and fumbled once. The other was the end of the first half. The Flashes also lost fumbles on two of their three final drives as they tried to come back.

It was an ugly game in ugly weather overall, as both teams combined for 18 punts. Kent State actually outgained EMU, 343-218, but they were unable to fight back from their attempt at immediate satisfaction.

After their fourth consecutive loss, Kent State will host Buffalo next week. Saturday was Eastern Michigan’s second-straight win, and they will head to Northern Illinois next week.

Business Financing with Bad Credit is Possible: 5 Business Loans You Can Get Even With Bad Credit

Bad credit business loans are kind of a mystery. You probably aren’t going to find them at a traditional bank. Rather, business financing with bad credit generally comes in the form of alternative types of financing and from alternative lending sources. 

Is it Possible to Get Business Financing With Bad Credit?

If you have collateral, you may be able to get a loan, even with bad credit. Still, there has to be something to mitigate the risk to the lender. So, here are 5 options to consider. 

business financing with bad credit credit suite 4#5 Business Financing with Bad Credit: Cash Flow Financing or Merchant Account Financing

To get cash flow financing, your cash flow must be positive and well managed. That means, you must spend it wisely and avoid taking on more debt than you can handle. 

In essence, you are borrowing from part of future expected cash flows. Consequently, the payment schedule is based on projected cash flows and an analysis of historical cash flows. There may be a minimum credit score requirement.  However, it will usually  not be as limiting as with other types of funding. 

Merchant Cash Advances

A merchant cash advance is like cash flow financing.  Yet, the amount of funding and repayment is based on credit card sales. Therefore, the business needs steady credit card sales to qualify. Similarly, repayment is a percentage of daily credit card sales. Rates may be much higher than other types of funding, but credit score minimums are lower.

business financing with bad credit credit suite 8

#4 Business Financing with Bad Credit: Equipment Financing

Equipment financing is a great option for purchasing hard assets for your business. The time in business should be at least one year, and there is no requirement to provide financial statements. 

 

business financing with bad credit credit suite 7#3 Business Financing With Bad Credit: Other Collateral Financing

The amount available depends on the value of the asset being used as collateral. For this type of funding, open invoices and accounts receivable are considered assets that can be used to secure a loan.  

Inventory Financing

The inventory itself serves as the collateral for the loan. There may be revenue requirements and a minimum FICO score.  However, it will probably  not be as limiting as with a traditional loan. 

Invoice Factoring

This is an advance on open invoices, with lenders buying outstanding invoices for less than they are worth.

Honestly, the difference in what they are worth versus what the lender pays is the price you pay for getting the cash up front.  It’s not technically interest, but similar. As a result, you do not get the full amount of the invoices, but you will get the cash faster. The lender will collect the full amount and keep it. 

Account Receivable Financing

Accounts receivable financing is lending that uses unpaid invoices as collateral. Thankfully, there is no personal credit check.  Instead, credit providers consider the payment history of your customer to determine the likelihood they will pay you. 

#2 Business Financing with Bad Credit; Securities Based Financingbusiness financing with bad credit credit suite 6

This is a type of collateral financing that can take many forms. The security is investments like stocks, bonds, and investment funds. 

IRA Financing

In this scenario, the borrower invests part of retirement funds into the business. It allows more control over retirement plan assets as well as working capital for the business. 

Stocks Financing

This type of financing uses securities as collateral, providing ready access to capital. The only restrictions are that you cannot use this for other securities-based transactions.

Bonds Financing

This type of funding is usually for a large business acquisition or real estate purchase. The value of the loan is based on the borrower’s investment portfolio. The best part is, if stocks or bonds have value over $25,000, you can get approval even with bad personal credit.

#1 Business Financing with Bad Credit: FinTech Lendingbusiness financing with bad credit credit suite 5

This is lending from alternative lenders. Generally, they operate online and offer less stringent lending requirements. As a result, they also have higher interest rates. 

BlueVine

BlueVine offers invoice factoring and lines of credit. For invoice factoring, there are no reserves or minimums. There is a minimum personal credit score requirement of 530. 

They also offer a revolving line of credit for up to $150,000. To get this, a business must have revenues of $10k or more per month, and the borrower must have a consumer credit score of 600+.

OnDeck

At OnDeck, you can get  short-term loans and lines of credit. To do so, there must be annual revenue of at least $100,000. In addition, the time-in-business has to be at least 12 months, and you need a personal credit score of at least 600. 

To get a line of credit the revenue and credit score requirements are the same, but the minimum time-in-business is 9 months. 

Fundera

Fundera offers term loans to businesses with at least one year in business and $90k in annual revenue. The minimum credit score is 600. 

They also offer business lines of credit if you have at least 6 months in business and $50k in annual revenue. Collateral may be necessary in some cases, and borrowers with lower credit scores will have higher interest rates. 

To get invoice financing from Fundera, there must be at least 6 months in business and $50k in annual revenue.

Bonus: 401(k) Financing

This type of financing is not a loan. Rather, it is a 401(k) Rollover for Working Capital program. The IRS calls this type of program a Rollover for Business Startups (ROBS). 

To qualify, the plan must have more than $35,000 in it, and it cannot be a plan you are currently contributing to or with a company where you are currently employed. Better yet, there are no credit score requirements. 

Business Financing with Bad Credit Is Possible

It is possible to get business funding with bad credit, though it may not be the traditional type loan you are used to. These options can look different, but they all serve the purpose. If you have bad credit and need funding now, these are good options. However, to get the best rates and terms in the future, work on improving your personal credit score and building business credit. Want to know how to get started? Get a free Business Finance Assessment today!

 

The post Business Financing with Bad Credit is Possible: 5 Business Loans You Can Get Even With Bad Credit appeared first on Credit Suite.

Here Comes Luka, a UNC-Duke Showdown, and Possible NFL Sleepers With Rob Mahoney, Jay Caspian Kang, and Warren Sharp

The Ringer’s Bill Simmons is joined by Rob Mahoney to discuss the playoff seeding for the Western Conference, the increasingly scary Mavericks, the steady Suns, the stumbling Warriors, Clippers rumors, and more (7:26). Then Bill talks with Jay Caspian Kang of the New York Times about the upcoming Final Four showdown between Duke and UNC (31:49). Finally Bill is joined by Warren Sharp to discuss the current NFL landscape for the 2022 season, the wide-open NFC, the super-competitive AFC, big trades and free-agent signings, the top five easiest and hardest 2022 schedules, what to look for in NFL futures bets, and more (56:10).

Host: Bill Simmons

Guests: Rob Mahoney, Jay Caspian Kang, and Warren Sharp

Producer: Kyle Crichton

Learn more about your ad choices. Visit podcastchoices.com/adchoices

The post Here Comes Luka, a UNC-Duke Showdown, and Possible NFL Sleepers With Rob Mahoney, Jay Caspian Kang, and Warren Sharp appeared first on Buy It At A Bargain – Deals And Reviews.

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.

Is it Possible to Get Business Funding for Bad Credit?

Do you need business funding for bad credit? You may feel that – or you may have heard – that you can’t get business funding for bad credit. 

The best, easiest, and fastest way to do so is to build business credit. Because then your bad credit won’t matter quite so much.

Any Small Business Can Get Business Funding for Bad Credit

Company credit is credit in a small business’s name. It doesn’t connect to a business owner’s personal credit, not even if the owner is a sole proprietor and the sole employee of the small business. 

Consequently, an entrepreneur’s business and consumer credit scores can be quite different.

The Advantages of Business Funding for Bad Credit

Considering that business credit is separate from consumer, it helps to secure a business owner’s personal assets, in case of court action or business bankruptcy.

Also, with two distinct credit scores, an entrepreneur can get two separate cards from the same merchant. This effectively doubles purchasing power.

Another advantage is that even startup businesses can do this. Going to a bank for a business loan can be a formula for disappointment. But building business credit, when done the right way, is a plan for success

Consumer credit scores depend on payments but also various other components like credit use percentages. 

But for business credit, the scores really merely depend on if a small business pays its bills on a timely basis.

The Process 

Establishing company credit is a process. It does not occur automatically. A company must actively work to build business credit. 

Having said that, it can be done readily and quickly, and it is much swifter than developing personal credit scores. 

Merchants are a big part of this process.

Accomplishing the steps out of order results in repetitive denials. No one can start at the top with business credit. For example, you can’t start with retail or cash credit from your bank. If you do, you’ll get a rejection 100% of the time.

Business Fundability

A small business must be fundable to loan providers and vendors. 

Therefore, a business needs a professional-looking website and email address. And it needs to have website hosting bought from a vendor like GoDaddy. 

In addition, business phone numbers need to have a listing on 411. You can do that here: http://www.listyourself.net. 

In addition, the company phone number should be toll-free (800 exchange or the like).

A small business also needs a bank account devoted only to it, and it has to have all of the licenses necessary for running. 

Licenses

These licenses all have to be in the identical, correct name of the small business. And they must have the same business address and telephone numbers. 

So note, that this means not just state licenses, but possibly also city licenses.

Business Funding for Bad Credit Credit Suite

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

Working with the Internal Revenue Service

Visit the Internal Revenue Service web site and get an EIN for the company. They’re free. Pick a business entity such as corporation, LLC, etc. 

A business may get started as a sole proprietor. But they absolutely need to switch to a sort of corporation or an LLC. 

This is to lessen risk. And it will maximize tax benefits.

A business entity matters when it involves tax obligations and liability in case of a lawsuit. A sole proprietorship means the owner is it when it comes to liability and tax obligations. Nobody else is responsible.

The best thing to do is to incorporate. You should only look at a DBA as an interim step on the way to incorporation.

Kicking Off the Business Credit Reporting Process

Begin at the D&B web site and get a cost-free D-U-N-S number. A D-U-N-S number is how D&B gets a company in their system, to produce a PAYDEX score. If there is no D-U-N-S number, then there is no record and no PAYDEX score.

Once in D&B’s system, search Equifax and Experian’s websites for the company. You can do this at www.creditsuite.com/reports. If there is a record with them, check it for accuracy and completeness. If there are no records with them, go to the next step in the process. 

By doing this, Experian and Equifax have activity to report on.

Starter Vendor Credit

First you ought to establish tradelines that report. Then you’ll have an established credit profile, and you’ll get a business credit score. 

And with an established business credit profile and score you can begin to get credit for numerous purposes, and from all sorts of places.

These sorts of accounts often tend to be for things bought all the time, like marketing materials, shipping boxes, outdoor work wear, ink and toner, and office furniture.

But first off, what is trade credit? These trade lines are credit issuers who give you starter credit when you have none now. Terms are in most cases Net 30, rather than revolving. 

Therefore, if you get approval for $1,000 in vendor credit and use all of it, you need to pay that money back in a set term, such as within 30 days on a Net 30 account.

Details

Net 30 accounts must be paid in full within 30 days. 60 accounts must be paid fully within 60 days. Unlike revolving accounts, you have a set time when you have to pay back what you borrowed or the credit you made use of. 

To start your business credit profile the proper way, you ought to get approval for vendor accounts that report to the business credit reporting bureaus. As soon as that’s done, you can then make use of the credit. 

Then pay back what you used, and the account is on report to Dun & Bradstreet, Experian, or Equifax.

Vendor Credit – It Makes Sense

Not every vendor can help in the same way true starter credit can. These are merchants that grant approval with minimal effort. You also want them to be reporting to one or more of the big three CRAs: Dun & Bradstreet, Equifax, and Experian.

As you get starter credit, you can also start to get credit from retailers. This is to continue to validate you are trustworthy and pay promptly. Here are some stellar choices from us: https://www.creditsuite.com/blog/5-vendor-accounts-that-build-your-business-credit/ 

Accounts That Do Not Report

Non-reporting trade accounts can also be helpful. While you do want trade accounts to report to at the very least one of the CRAs, a trade account which does not report can also be of some value. 

You can always ask non-reporting accounts for trade references. Additionally, credit accounts of any sort can help you to better even out business expenditures, thereby making financial planning less complicated. 

Store Credit

Store credit comes from a variety of retail service providers.

You must use your SSN and date of birth on these applications for verification purposes. For credit checks and guarantees, use the business’s EIN on these credit applications.

Fleet Credit

Fleet credit is from companies where you can purchase fuel, and fix and take care of vehicles. You must use your Social Security Number and date of birth on these applications for verification purposes. For credit checks and guarantees, make certain to apply using the company’s EIN.

Business Funding for Bad Credit Credit Suite

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

More Universal Cash Credit

These are companies like Visa and MasterCard. You must use your Social Security Number and date of birth on these applications for verification purposes. For credit checks and guarantees, use your EIN instead.

These are usually MasterCard credit cards. With more credit, these are within reach.

Monitor Your Business Credit to Help Yourself Get Business Funding for Bad Credit

Know what is happening with your credit. Make sure it is being reported and fix any inaccuracies as soon as possible. Get in the habit of checking credit reports. Dig into the details, not just the scores.

We can help you monitor business credit at Experian and D&B for 90% less than it would cost you at the CRAs. See: www.creditsuite.com/monitoring. 

At Equifax, you can monitor your account at: www.equifax.com/business/business-credit-monitor-small-business.

Update Your Records to Make it Easier to Get Business Funding for Bad Credit

Update the data if there are errors or the details is incomplete. At D&B, you can do this at: https://iupdate.dnb.com/iUpdate/viewiUpdateHome.htm. For Experian, go here: www.experian.com/small-business/business-credit-information.jsp. So, for Equifax, go here: www.equifax.com/business/small-business.

Business Funding for Bad Credit Credit Suite

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

Fix Your Business Credit to Increase Your Chances for Getting Business Funding for Bad Credit

So, what’s all this monitoring for? It’s to challenge any mistakes in your records. Errors in your credit report(s) can be fixed. But the CRAs typically want you to dispute in a particular way.

Get your small business’s PAYDEX report at: www.dnb.com/about-us/our-data.html. Get your company’s Experian report at: www.businesscreditfacts.com/pdp.aspx?pg=SearchForm. And get your Equifax business credit report at: www.equifax.com/business/credit-information.

Dispute Any Errors to Improve Your Chances to Get Business Funding for Bad Credit

Disputing credit report mistakes generally means you mail a paper letter with copies of any proofs of payment with it. These are documents like receipts and cancelled checks. Never mail the originals. Always send copies and retain the originals.

Fixing credit report inaccuracies also means you precisely detail any charges you contest. Make your dispute letter as crystal clear as possible. Be specific about the problems with your report. Use certified mail to have proof that you mailed in your dispute.

Dispute your or your business’s Equifax report by following the instructions here: www.equifax.com/small-business-faqs/#Dispute-FAQs. 

You can dispute inaccuracies on your or your small business’s Experian report by following the instructions here: www.experian.com/small-business/business-credit-information.jsp. 

And D&B’s PAYDEX Customer Service telephone number is here: www.dandb.com/glossary/paydex.

A Word about Building Business Credit and How to Get Business Funding for Bad Credit

Always use credit smartly! Don’t borrow beyond what you can pay off. Track balances and deadlines for payments. Paying promptly and completely does more to boost business credit scores than almost anything else.

Establishing business credit pays. Excellent business credit scores help a small business get loans. Your loan provider knows the business can pay its debts. They recognize the company is for real. 

The company’s EIN connects to high scores and lenders won’t feel the need to ask for a personal guarantee.

It is the simplest way to get business funding for bad credit.

Getting Business Funding for Bad Credit: Takeaways

Business credit is an asset which can help your small business for many years to come. It is the most surefire way to get business funding for bad credit. And, while you’re at it and improving your business credit, you may want to work on improving your personal credit. It is a similar process in the sense that you need to pay your bills on time, correct any errors, and add any missing information.

Because one way around trying to get business funding for bad credit is to stop having bad credit in the first place.

Learn more here and get started toward growing company credit.

The post Is it Possible to Get Business Funding for Bad Credit? appeared first on Credit Suite.

Is It Possible to Get Vendor Credit for New Businesses? Yes!

Vendor credit accounts, also known as business tradelines, are vital to the business credit building process. However, getting vendor credit for new businesses can be tricky.  It doesn’t happen overnight, but if you follow the process, it can happen.

Yes!  It’s Possible to Get Vendor Credit for New Businesses

First, we have to define what a new business is in this context.  When we discuss vendor credit for new businesses, we mean businesses in operation for less than a year. You can get starter vendor credit if you have been in operation for less than a year, but most require you to be in business for at least 6 months. There are a few that do not have a time in business requirement however. 

Then, we have to define vendor credit.  Vendor credit is credit from vendors that you make purchases from for your business.  When it comes to vendor credit for new businesses, you need those that will offer credit without a credit check. This is because, as a new business, you have not yet had time to sufficiently build business credit. 

When it comes to new businesses, some vendors will extend net terms and report your payments to the business credit reporting agencies (CRAs).  For new business, they generally do not offer revolving credit, but that’s okay. That can come later. The whole point of vendor credit for new businesses is to help you build your business credit score so you can qualify for more types of funding. 

Check out our best webinar with its trustworthy list of seven vendors to help you build business credit. 

What is a Business Credit Score and Why Do You Need One? 

If the point of vendor credit for new businesses is to build your business credit score, it can be helpful to understand exactly why you need one.  A business credit score is a credit score similar to your personal FICO credit score, but in the name of your business. It is not associated with you as the owner, or with your personal credit score. 

The problem is, it doesn’t matter how much vendor credit you get, it will not count toward your business credit score if your business is not set up to be a separate entity from you as the owner.  If it isn’t, any credit you get will just be applied to your personal credit report. 

Set Your Business Up As A Separate Entity from Yourself

Here are some practical steps to take to create separation between your business and yourself. 

Do Not Use the Same Contact Information

Make sure your business has its own phone number, fax number, and address.   That’s not to say you have to get a separate phone line, or even a separate location.  You can have a business number forwarded to your current phone. You can even still run your business from your home or on your computer.  It’s not even necessary to have a fax machine.

EIN

Next, get an EIN.  This is an identifying number for your business that works similar to how your SSN works for you personally.  Some business owners use their SSN for their business transactions such as opening credit accounts. This is what a lot of sole proprietorships and partnerships do.  However, it really doesn’t look professional to lenders, and it can cause your personal and business credit to get all mixed up.  To be fundable, you need to apply for and use an EIN.  You can get one for free from the IRS.

Incorporate As Soon As Possible

Incorporating is an absolutely necessary step. Not only does it play a huge role is separating a business from the owner, but it also lends credibility to your business as one that is legitimate. In addition, it offers some protection from liability. 

Which option you choose does not matter as much for being fundable as it does for you budget and needs for liability protection.  The best thing to do is talk to your attorney or a tax professional.  If you do not do this from the beginning, there will be some issues to work through. When you incorporate, you become a new entity.  This means you lose any time in business you already have. You basically have to start over.  You’ll also lose any positive payment history. 

This is why you have to incorporate as soon as possible.  Not only is it necessary for fundability and for building business credit, but so is time in business.  The longer you have been in business the more fundable you appear to be.  That starts on the date of incorporation, regardless of when you actually started doing business. 

Separate Business Bank Account

A separate, dedicated business bank account is also a must.  There are a few reasons for this.  First, it will help you keep business finances separate.  This is good for a lot of reasons, but the big one is tax purposes. 

However, there are also several types of funding you cannot get without a business bank account.  Many lenders and credit cards want to see one with a minimum average balance.  In addition, you cannot get a merchant account without a business account at a bank. That means, you cannot take credit cards payments.  Studies show consumers spend more when they can pay by credit card.

Proper Licenses

If anyone were to check to see if your business has all of the licenses it needs to operate and finds that you do not, it will cause a massive hit to your credibility with that person.  For a business to be legitimate, it has to have all of the necessary licenses it needs to run.  If it doesn’t, warning flags are going to start waving. Research what licenses you need to ensure you have all of those necessary to legitimately run your business at the federal, state, and local levels. 

Check out our best webinar with its trustworthy list of seven vendors to help you build business credit. 

Business Website

I am sure you are wondering how a business website can affect whether your business is separate from you as the owner.  Here’s the thing.  These days, a business doesn’t even really exist if there is no business website. Of course, that isn’t technically true, but practically is could be.  The website is the first impression you make on many, and if it appears to be unprofessional it will not bode well for you with consumers or potential lenders. 

Spend the time and money necessary to ensure your website is professionally designed and works well.  Pay for hosting too. Don’t use a free hosting service.  Also, your business needs a business email address that is different from your personal one. That goes along with separate contact information.  Make sure it has the same URL as your website.  A free service such as Yahoo or Gmail will not work the same way. 

Why is Vendor Credit for New Businesses So Important?

After you have all these pieces in place, you can start applying to get vendor credit from starter vendors.  These are those vendors we discussed earlier that will offer net terms and report payments. This is important because, if you have your business credit set up properly, those payments will start building positive credit history on your business credit report, and your business credit score will start to grow.  With a strong business credit score, all kinds of funding options will be open to your business. 

Where to Start to Get Vendor Credit for New Businesses

That’s the big question, right?  Sure, you know you need vendor credit, but which vendors will actually extend these terms without a credit check?  There are more than you may think, but here are a few to get you started. 

Behalf.com 

Behalf is way of getting paid through an app, but they also offer funding. The more you have your customers pay you through Behalf, the more likely Behalf is to offer you favorable terms when it comes to funding.  

Funding can be through purchase financing or a virtual Mastercard option. Terms run from Net 30 to 180 days, and they report to Dun & Bradstreet, Experian, and Equifax. This fact alone, that they report to all the major credit reporting agencies, makes them an extremely valuable tool in building business credit. 

Wells Fargo Business Secured Credit Card

This card is only available to Wells Fargo Online customers.  Credit lines are available from $500 to $25,000, and there is a $25 annual fee.  The grace period to pay is 21 days, and they offer purchase protection. You can apply for a Wells Fargo Business Secured Credit Card online, in a store, or by phone. They report to Business Experian. 

Uline Shipping Supplies

Uline sells shipping, packing and industrial supplies. This means you can use them to purchase things you would use in the everyday course of business. You will need two trade references and a bank reference to get approval for net terms.  In addition, they will usually only report payments on orders of over $50. They report to Dun and Bradstreet, so you will definitely need a D-U-N-S number before opening an account with them. 

Also, your first few orders might need to be prepaid.  It’s easy to apply. Just add an item to your cart, go to checkout, and choose the open an account option.  Then, select the option to receive an invoice.  

Quill Office Supplies

Quill is similar to Uline in that they sell packaging supplies.  However, they also sell office and cleaning supplies. You have to have an established PAYDEX or place and initial order before you can apply for net terms.  They report to D&B as well. If you place an order each month for 3 months you can usually get approval. Their application process is similar to Uline’s. 

Grainger Industrial Supply

Grainger will approve almost anyone that has a business license for credit of less than $1,000.  If you need over $1,000, they will ask to see trade and bank references. You can fax your application or apply over the phone. 

What Happens After You Get Vendor Credit for New Businesses?vendor credit for new businesses Credit Suite

These are great to get started with, because it is super easy to get accounts reporting with them.  That will get your business credit score started and allow you to get even more accounts reporting. Once you have several of these accounts, maybe 8 or 10, you can apply for different types of accounts.  

The next credit tier after this vendor credit tier is the retail credit tier.  This is commonly referred to as store credit.  Retailers like Office Depot and Lowe’s offer these cards, but you can only use them at those particular stores or on their specific websites.  However, after you get 8 or 10 of those reporting, you can move on to the next credit tier. 

That would be the fleet credit tier.  These are credit cards that companies like Shell and Fuelman offer to use exclusively for fuel costs and auto repair and maintenance.  This is the last step in the business credit building process before the cash credit tier, which is the last tier.  

This tier consists of those standard credit cards that are not regulated to a specific store or specific types of purchases.  Generally, they have better interest rates and terms, and often they offer nice rewards. 

Vendor Credit for New Businesses: A Word About Business Credit Monitoring

Pretty much the only way to start building business credit is with vendor credit from starter vendors.  However, you have to be actively involved in the process. You must monitor your business credit reports on a regular basis for more than one reason.  

Check out our best webinar with its trustworthy list of seven vendors to help you build business credit. 

First, you have to see which accounts are reporting.  This is the only way to know when you have enough accounts reporting to qualify for approval for cards in the next credit tier.  In addition, you need to keep an eye out mistakes and information that needs updating. Take action on this quickly, in writing, to keep them from affecting your fundability. 

Vendor Credit for New Businesses Is Necessary for Building Business Credit

Unlike personal credit, you have to actively work to build business credit.  After setting up your business to be a fundable entity separate from you as the owner, the next step is to find vendors that will extend credit and report payments to the business CRAs.  Once you do that, if you handle your credit responsibly, the snow ball will only keep building.  

The post Is It Possible to Get Vendor Credit for New Businesses? Yes! appeared first on Credit Suite.