A Glimpse over Various Finance Options Available for Small Businesses

Posted by Rakesh Kumar on April 3rd, 2018

Starting up a new venture is a very tough job. It not only demands full dedication, commitment and dedication but also requires lots of cash to meet daily finance needs. From giving away salaries to employees, clearing your clients’ invoices to meeting daily raw material, production or packaging needs; there is lot more for which you might require finance funding. All thanks to the various finance options that are available in the market, it has made business financing much easier. From applying for working capital loan online to getting SBA approved loans; there are now lots of options to choose from. And among so many options, here we are throwing some light on some of the most popular types of business loans.

Take a look:

• Term and short term loans

As the name itself explain a term loan is the loan which you will payback along with the applicable interest within a specified term time. And the short term loans are the ones that are scheduled for small period of time which are generally less than a year. These types of loans are generally taken by the SMEs to meet temporary or small working capital needs.

• Equipment financing

It is an extended version of working capital loan which is solely dedicated to help businesses for buying new machines, equipments and tools only. This loan can be used to purchase any physical asset that may cover equipments from the computer to a car to any other big manufacturing machine.

• Business credit cards

This is yet another very popular way of funding your business for daily financial needs. A business credit card works just like your personal credit card only with a difference that you can only use it for business purposes.

• Working capital loan

This is one of the most common types of business loan for which now you can apply online also. Almost all banks and other financial institutes now offer the facility of working capital loan online also as this is the most obvious option to choose to meet your business’s daily working capital needs.