When the banks say ‘NO’ you need options…
It is never any fun getting denied a business loan from a bank or a credit union, but YOU are a Business Owner, and as the saying goes: ‘The Show Must Go On!’
But ‘The Show’ can not ‘go on’ if you do not have the cash… so, what can you do?
There are many alternative funding options, but let’s be honest, alternative funding is not going to be cheap.
However, when you have a business idea, that you believe is going to help your business to grow, and then help your business get to the next level, you have to ask yourself… does the potential BENEFIT outweigh the COST?
After careful consideration and planning, thoughtful analysis, and crunching the numbers, you must ask yourself and your team…
“is our business idea, whether it be to grow or expand the business, with more employees, more inventory, more equipment, or a new location… does the BENEFIT that our business may receive from the funding, outweigh the COST?”
If the answer is ‘YES’, and you will BENEFIT MORE than what the money will COST YOU, then approaching alternative funding, may be well worth your time.
For example, if you are going to borrow $10,000 for 6 months, and it will cost you $3000, you would be paying back $13,000 in 6 months.
However, if you intend to invest the funding into the growth of your business, or some other business related opportunity, and you project to make back $20,000 in 6 months, or less, then you would have gained a $7000 dollar BENEFIT.
If this were the case, then accessing alternative funding MAY NOT COST all that much, because without getting your hands on $10,000 dollars in funding, you may not have been able to take advantage of the growth opportunity, and you never would have earned the BENEFIT of $7000 dollars.
The Fact of the Matter is This:
That though alternative funding may COST MORE than your local bank or your credit union, the money from alternative sources is readily available… now, and the process of getting your hands on this money is quicker and easier.
Now ‘COST’ is relative to YOU, your business, your particular opportunity, and how much of a boost in revenue you are projected to receive for the use of the funds.
The answers to these queries can only be answered by YOU and your team.
So, if your business needs growth money right now, then alternative funding may be a good option for you to consider.