It is inevitable for a small business to eventually seek out financing options. We are here to help you be prepared for when that happens. It’s not always easy to know where to begin when looking for options, especially if this is your first time doing so as a small business owner.
Do you know if you would need an equipment lease, or a working capital loan*? These are just a few options of ways you can finance as a small business owner. How do you know which one is the best choice for you and your business?
You have to figure out which option best fits your needs. We, at Direct Capital, have put together some tips we hope you will find helpful.
– Always use equipment leases to finance equipment
If you are looking to finance an equipment purchase your first stop should ALWAYS be to a financial provides that is able to set you up with an equipment lease. Why? Well the major reason is because it will almost always cost you less if you go with an equipment lease.
– Use a working capital loan to make money
Working capital, aka opportunity money, is flexible which makes it a great resource to help you take advantage of all the opportunities that come your way. Working capital would be ideal for a bulk inventory purchase, buying in bulk will help you save money. Or you can use working capital to hire and advertising agency to help get your name out there to potential customers.
Remember this is just the tip of the iceberg to help get you started in your search for the right financing that works best for your unique situation.
*Working capital not available in the following states: AK, DE, ND, VT