Funding for Small Businesses, How the Options Work


Jeffrey Bumbales

Funding for small business comes in all shapes and sizes. But when your small business needs money fast, it pays to look at alternative business financing solutions such as funding from Credibly to bridge a cash flow gap.

Alternative financing for small business is big these days, according to David Sederholt for Entrepreneur magazine. Commercial lending is no longer the sole domain of banks and other traditional lenders.

Helping Mom and Pop meet short-term needs is its own tidy niche in the great big world of finance and alternative lenders are more focused on satisfying their pain points than traditional financial institutions.

Credibly Financing Doesn’t Require a Lot of Paperwork

If you apply for a traditional loan, you’ll spend about 35 hours putting together your application. You might also need proof of collateral, previous years’ tax returns, proof of liquidity, and a business plan explains Shindy Chen, Huffington Post contributor and author of “The Credit Cleanup.”

A small business cash advance is different from a loan. Because your obligations are based on a percentage of future receivables, this financing option is more focused on your potential than your history.

With Credibly, there’s a one-page application, and you’ll also need to provide a few bank statements, but t that’s about it. Your credit history isn’t what’s important: the health of your business is.

Lower Funding Minimums Keep Costs in Check

Traditional funding has its limits. While you can only borrow so much, you can only borrow so little. Do you really need $100k and all of the interest and payments that go with it? (That’s the least you can borrow with many small business loans.)

Credibly realizes that small businesses may only need a little cash to meet a certain goal, so the minimum that you can borrow is $5,000. A new computer or a cushion to counteract a slow week or two won’t add up to 6 figures, and you shouldn’t have to borrow more than you need.

One-Day Approval Means Money in Hand Much Quicker

When a minor emergency happens, the last thing that you want is to wait for a resolution. The clock is ticking, but a small business loan could take weeks or months to go through underwriting. A minor emergency might become a major one by the time you know whether it’s approved or not.

With a Credibly business cash advance, approval usually happens in one day. After approval, you’ll have the cash that you need within about 48 hours. That’s just about as close to immediate help as you can get.

Find Repayment Terms That Are Based on Your Business

By nature, loans come with repayment terms that include interest. The better your credit, the less you’ll pay in interest. Payments typically span at least a year, so that becomes a debt against your business.

Credibly business cash advances aren’t loans, and there’s no interest. Repayment is based on your business. When you have a great week, more is paid back toward the advance. But on a slow week, the percentage-based terms adjust accordingly so you’re never left high and dry.

There’s no need to tie your business to a long-term loan with a fixed interest rate if you only need short-term financing. If you need quick cash to boost your business, pre-qualify now by submitting our online form. It’s free and easy and will not hurt your credit.