Borrowing Strategies To Fuel Your Corporate Operations

For business owners in every industry, securing funding right now can be tough. The financial challenges go beyond the current unpredictability of our economy and lukewarm market temperatures. Right now, many entrepreneurs are also struggling to navigate through sluggish regulatory terrain as well. The rampant surge of VC funding, private equity investments, and initial public offerings have slowed down significantly. Even banks are proceeding with lending caution as the country keeps a careful eye on business climate and uncertainty.

Despite the many financing obstacles currently faced by business owners, successfully obtaining the capital needed for your enterprises is possible for executives willing to think outside of the traditional funding box. Here are three often-overlooked (yet, often surprisingly effective) ways to generate capital for your corporate operations and initiatives:

 

Government Grants

Many business owners don’t realize that their company may qualify for a wide range of available government grants. If your company falls within the biotech or research-based verticals, you may be eligible for a government-funded grant to help infuse your organization with the capital needed to support healthy growth. Additionally, if your company’s production or goals closely align with government agencies, such as the Department of Energy or the Department of Agriculture, you may be able to participate in a U.S. Small Business Administration (SBA) program.

Despite the many financing obstacles currently faced by business owners, successfully obtaining the capital needed for your enterprises is possible for executives willing to think outside of the traditional funding box. Here are three often-overlooked (yet, often surprisingly effective) ways to generate capital for your corporate operations and initiatives:

 

Government Grants

Many business owners don’t realize that their company may qualify for a wide range of available government grants. If your company falls within the biotech or research-based verticals, you may be eligible for a government-funded grant to help infuse your organization with the capital needed to support healthy growth. Additionally, if your company’s production or goals closely align with government agencies, such as the Department of Energy or the Department of Agriculture, you may be able to participate in a U.S. Small Business Administration (SBA) program.

Business Development Companies

If you’ve tried securing funding through conventional lenders like banks or other financial institutions without success, you may want to consider a loan from a business development company (BDC). A BDC can prove an excellent alternative for smaller organizations that have a solid financial history but have still been denied a loan from traditional creditors. A BDC is equipped to offer agile financial strategies and solutions that are often larger than those developed at banks, without linking the loan terms to any your personal assets. Offering a diverse, flexible range of lending options, BDCs help startups and established companies alike earn its position in the market, grow its operations, and ultimately edge out other players within the industry.

Business Development Companies

If you’ve tried securing funding through conventional lenders like banks or other financial institutions without success, you may want to consider a loan from a business development company (BDC). A BDC can prove an excellent alternative for smaller organizations that have a solid financial history but have still been denied a loan from traditional creditors. A BDC is equipped to offer agile financial strategies and solutions that are often larger than those developed at banks, without linking the loan terms to any your personal assets. Offering a diverse, flexible range of lending options, BDCs help startups and established companies alike earn its position in the market, grow its operations, and ultimately edge out other players within the industry.

 

Online Loan Strategies

Web-based lenders have increasingly become a viable option for business owners with companies of every size and scope. Online banks and financial institutions typically offer a higher interest rate than brick and mortar banks and credit unions. However, digital lenders have a higher borrower approval rate, making them a sound alternative at times when the economy and financial markets are less than robust.

 

Online Loan Strategies

Web-based lenders have increasingly become a viable option for business owners with companies of every size and scope. Online banks and financial institutions typically offer a higher interest rate than brick and mortar banks and credit unions. However, digital lenders have a higher borrower approval rate, making them a sound alternative at times when the economy and financial markets are less than robust.

Contact Avid Comercial Today

Avid Commercial develops low cost, flexible financing solutions to business owners across every industry. Our team of lending experts can help you grow your business, without depleting mission-critical cash reserves. Contact us today to learn more about our diverse product and service mix.

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