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How to Qualify for a SBA 7 (a) Loan for your Small Business?
SBA 7(a) Loans are a form of funding for small business owners and entrepreneurs. The SBA 7(a) loan program provides long-term, low-interest loans to qualified borrowers who demonstrate an ability to repay the loan within the terms of the agreement. A typical SBA 7(a) loan is used to start or expand a business venture, purchase…
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Is Merchant Cash Advance Right For Your Small Business?
A Merchant Cash Advance (MCA) is a financial solution for small businesses that provides quick access to capital. It’s a lump sum loan that is repaid from the future credit card sales of the business. The repayment rate is flexible and tailored to fit with the cash flow of your business, meaning you can pay…
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How Do Interest Rates Affect Small Businesses?
Interest rates have a significant impact on small businesses. When interest rates rise, it can become more difficult and expensive for small business owners to borrow money. This means that the cost of borrowing funds for expansion or investment in new products and services is increased. Additionally, rising interest rates can make it more difficult…
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What are the differences between Installment Loans and Revolving Credit?
The terms “installment loans” and “revolving credit” refer to two distinct types of credit facilities that businesses can use when financing their operations. An installment loan is a lump-sum loan with fixed repayment periods, while revolving credit is an ongoing line of credit with different payment schedules. Understanding the differences between these two forms of…
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Debt Restructuring: What It Is and How It Works
Debt restructuring is an important tool for small businesses to manage their debt. It allows them to negotiate with creditors, or lenders, such as banks and other financial institutions, on repayment terms that better suit their current needs. With debt restructuring, a business can make changes to their existing loan agreement or create a new…
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What Risks Does Your Small Business Face When Applying For a Loan?
When applying for a loan, small businesses must be aware of the risks involved. Not assessing the potential risks can put your business in jeopardy and cause lasting damage to its reputation. Too Much Debt One of the most common risks associated with applying for a loan is taking on too much debt. Small businesses…
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Understanding Secured and Unsecured Business Loans.
Secured and unsecured business loans are two types of financing solutions available to small businesses. Business loans provide the necessary funds needed to purchase equipment, start new projects, hire employees or expand operations. Understanding the differences between secured and unsecured loans is important when deciding which type of loan best suits your business’s needs. Secured…
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Ways to Keep Your Small Business Alive After Getting a Loan?
Getting a loan for your small business can be one of the most crucial decisions you make. It is important to understand that while loans are an excellent way to jumpstart your business, they can often come with unexpected challenges. Therefore, if you’re going to take on a loan, it pays off to have a…
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Why is Cash Flow Important to a Small Business?
Cash flow is essential to small businesses. Without it, small businesses will struggle to pay regular bills and could fail if a major expense occurs. It is important to distinguish between cash flow and revenue as they are not the same thing. Revenue vs Cash Flow Revenue is the total amount of money that comes…