Start Up Financing for Small Businesses

Many individuals would like to start up a new business to claim their rewards as an entrepreneur. Choosing the type of business for some is easy, while others know they want to start a business but are unsure of what or where to begin. In either case, obtaining start up capital is a common denominator. It is rare for an entrepreneur to have savings sufficient for their start up business. For this reason banks are often approached for start up financing for small businesses.

One of the biggest risks for a start up is the unknown ability and capacity to repay a loan. Some individuals will keep their day jobs as a source of repayment while the business proves it’s feasibility. This can be a prudent way to start a business; but, not all businesses can be operated effectively this way. Many start up businesses require the full time attention of their owners.

There are many ways to mitigate the risk of a start up business. It is best to review your case specifically with a professional to determine whether start up financing is available for your small business. One thing that will be required by all lenders is money down from the business owner. Typically this will float between 20%-30%. Your business will not obtain conventional or bank loans without some skin in the game.

We are anxious to review your case and give you our outlook for commercial financing. We have looked at thousands of loan requests and know the appetite the lenders currently have. If you have been turned down recently for a loan, let us give you a second opinion. The last 5 loans we have funded were previously denied by another lender.

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