Many small business owners wish they could ask “What is the Top Financing for Small Business?” and receive an honest answer. But will they receive the right answer, or will the consultant or banker look answer according to selfish reasoning? It is “natural” to look out for the interest of oneself. This is why consultants need to become “supernatural”. To think long-term, spiritual.
Consider the Golden Rule found in the Bible:
“Therefore, whatever you want men to do to you, do also to them, for this is the Law and the Prophets.” – New King James Version
Those are words directly from Jesus Christ. A great standard to live by. He says that we should look out for the interest of others. Think of how we would like to be treated in the circumstance that someone is in. Unfortunately, many consultants and bankers look out for their own interest. They do not always consider the impact on the client, customer, etc. Some withhold better programs, while others focus completely on more expensive options because their commission is higher.
Pointing to Top Business Funding
Even at Lower Commission
It is better for a business owner to prepare for financing. To take time to examine personal credit and business credit scores prior to pursuing financing. This will help a business owner save their credit profile from unnecessary hard credit pulls. It is also essential that you know the requirements of financing before submission. Applying for financing that your business does not qualify for is useless. Applying wastes time.
Business consultants should point clients to business funding that they are able to qualify for. Many do not. They put them into expensive (toxic) financing programs that cost way too much. A prudent business consultant or banker should apply the “Golden Rule”. They should seek long-term relationships and referrals by pointing the business owner toward healthy financing.
Small Business Corporate Credit
Top Financing Choices
A little advice to small business owners, real estate professionals, and real estate investors is to know all the facts. Invest time into knowing the facts and surrounding yourself with financing professionals that hold to the “Golden Rule”. If you are going to maximize the opportunity during the “Golden Age of America”, you must be decisive in your approach toward financing. Research, learn, plan and then act.
Some tips are as follows:
- Personal Credit. Most lending sources will pull personal credit. Soft pull or hard pull, the results will be brought into the decision-making process. Minimum score for premium financing is 680. Target score for lower rates is 720+.
- Unsecured Business Credit. Unsecured business credit is very valuable. Avoiding reporting on personal credit and limiting UCC filings is extremely valuable. This provides more working capital to get projects done.
- Credit Building. Every seems to look down on credit improvement or credit repair. Why? There are errors on most credit reports. Errors that cause harm to consumers and drive-up interest rates and shorten terms. This costs then tens of thousands of dollars over the price of a loan term. Get credit checked and improved.
- Long-Term Strategy. Take time to build a long-term strategy. A strategy that will allow you to be approved for top financing for small business. If the requirements for financing are not feasible, do something else short-term and start building a profile that will help the business meet the requirements of top funding in the future.
- Toxic Financing. Sometime MCA financing is the only option. But so many people go toward this type of financing before they thoroughly investigate other options. MCA financing is generally short-term and may cost up to 50% of the amount borrowed. Not always the right decision for a project or business. In fact, this type of financing can crush a business and the dream of the business owner’s family.
Please do not hesitate to establish a free consultation with BB Bookwork’s Inc of Tampa, Florida. We love to help small business owners with meeting the financing objectives.