How Do Business Loans Apply Now?

Business Loan

In today’s stricter financial markets it is much harder for new companies to obtain the funding they require. Many companies are looking towards large-scale investors, Angel investors, and traditional venture capitalists in order to fund their future business needs. In this landscape you must ask us how business loans apply now. Is it still a viable for a new company to borrow money from a traditional lender such as a bank? We will try to answer this question in today’s discussion.

As mentioned above many new companies must take on partners with greater financial resources then their own. This can be a very useful option in that you do not have to worry about loan applications or we payment which includes interest. The obvious downside to this however is that you will be giving up partial ownership of your company and you may potentially lose control of the decision-making process if you give up more than 50% of the ownership. So for many it is still considered more advantageous to seek out a loan.

But is it still possible to fund your company in this way seems that it is much more difficult to obtain funds. There are some special programs for new small businesses which may apply to you which you should consider. The small business administration of America is a very powerful tool for new business owners in that they can provide consulting services to assist you in business planning as well as finding lenders who specialize in providing loans to less established companies. Most traditional bank loans require a business history of 10 years or more and revenue over $100,000. These requirements are simply not realistic for many new business owners and as such they seek out special consideration and the SBA can help you find lenders which will provide this consideration.

So in answering the question do business loans apply now the answer has really two parts. First it may be more realistic for you to fund your new venture through some type of outside investment which does not involve lending as the financial markets have become much less accessible to small businesses. So having said this it is still an option to borrow if you use resources such as the SBA to help you find less traditional lenders who are willing to work with new small company such as your own. As always I suggest you consult with professional accounting personnel before making any large-scale financial decision.

For more information, go to business loans apply now at

How Do Business Loans Apply Now? was last modified: September 30th, 2011 by Amit Kraidman
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2 Responses to How Do Business Loans Apply Now?

  1. Eel says:

    Articles like this really grease the shatfs of knowledge.