Sign In/Sign UpTRENDING BASIC MONEY MANAGEMENT TIPS
TRENDING BASIC MONEY MANAGEMENT TIPS
09.08.2020 / Borrowing « Back to all articles
Smart Tips for Navigating Online Loan Options
When it comes to financing a business, the smaller and newer it is, the greater the difficulties you can expect to face. Traditional companies often create several hoops for entrepreneurs to jump through, which can feel like too much for some. This opened up a niche for online lenders to fill by offering more accessible loans. Here are some online loan tips to help you navigate the many options available.
1. Prepare Business Records
Some small business owners maintain excellent records, but they are a rarity. Most companies take it day by day and reconcile accounts when they need to. If you want to secure an online business loan, the lender will want to see proof of revenue and expenses to judge your cash flow and money management skills. You can use spreadsheets to accomplish this, but accounting software is far more useful.
2. Maintain Separation
When you own a small business, it might become difficult to separate your personal and business income and expenses. One way to accomplish this is to pay yourself a salary, even if it is not a regular one. Then, use that money for personal expenses. You should also consider keeping a separate checking and credit card account for the business. This makes it easier to substantiate your accounting records.
3. Do Research
One of the greatest things about online lenders is how easy it is to gather information about the company. The company will provide information about itself online, but you should also check reviews and online loan tips from customers on independent platforms. If you have concerns, look for these specific issues to see if they come up. If the company has a calculator on its website, use this to estimate what your monthly payments might look like and see if your business can afford it.
4. Check the Fine Print
Online lenders know that ambitious people are often desperate for capital to move on to the next step. This can cause people to overlook many of the finer details. Try not to fall into that trap. If you want information that’s missing, contact and ask. Read the contract before you sign and query anything that is not clear. Try to get responses in writing.
5. Prioritize Security
Not everyone promising to lend you money online is worth working with. Even if they have great terms and awesome customer reviews, how established is the business? How secure is the website? Great, well-meaning businesses can still put your personal and business information at risk by failing to take the necessary precautions and not providing proper safeguards for you.
There are several loan offerings for entrepreneurs to choose from. These loans can help you fill small gaps in your business until you can qualify for larger loans and expand.
Credit Talk
09.08.2020 / Borrowing « Back to all articles
Smart Tips for Navigating Online Loan Options
When it comes to financing a business, the smaller and newer it is, the greater the difficulties you can expect to face. Traditional companies often create several hoops for entrepreneurs to jump through, which can feel like too much for some. This opened up a niche for online lenders to fill by offering more accessible loans. Here are some online loan tips to help you navigate the many options available.
1. Prepare Business Records
Some small business owners maintain excellent records, but they are a rarity. Most companies take it day by day and reconcile accounts when they need to. If you want to secure an online business loan, the lender will want to see proof of revenue and expenses to judge your cash flow and money management skills. You can use spreadsheets to accomplish this, but accounting software is far more useful.
2. Maintain Separation
When you own a small business, it might become difficult to separate your personal and business income and expenses. One way to accomplish this is to pay yourself a salary, even if it is not a regular one. Then, use that money for personal expenses. You should also consider keeping a separate checking and credit card account for the business. This makes it easier to substantiate your accounting records.
3. Do Research
One of the greatest things about online lenders is how easy it is to gather information about the company. The company will provide information about itself online, but you should also check reviews and online loan tips from customers on independent platforms. If you have concerns, look for these specific issues to see if they come up. If the company has a calculator on its website, use this to estimate what your monthly payments might look like and see if your business can afford it.
4. Check the Fine Print
Online lenders know that ambitious people are often desperate for capital to move on to the next step. This can cause people to overlook many of the finer details. Try not to fall into that trap. If you want information that’s missing, contact and ask. Read the contract before you sign and query anything that is not clear. Try to get responses in writing.
5. Prioritize Security
Not everyone promising to lend you money online is worth working with. Even if they have great terms and awesome customer reviews, how established is the business? How secure is the website? Great, well-meaning businesses can still put your personal and business information at risk by failing to take the necessary precautions and not providing proper safeguards for you.
There are several loan offerings for entrepreneurs to choose from. These loans can help you fill small gaps in your business until you can qualify for larger loans and expand.
