Entrepreneurship opens a wide range of opportunity and offers a whole new experience. The benefits are countless, however, getting started isn’t as easy as it sounds for aspiring small scale entrepreneurs. Investors are reluctant when it comes to funding a small-scale business and the fact that your business is still an idea doesn’t help. There are ways you can obtain loans if you need a loan now.
To help you in your journey through entrepreneurship, here is a list of where to get a loan for a small business:[/nextpage][nextpage]
1. Microloans from nonprofits and SBA loans: obtaining loans from nonprofits is straightforward, especially if you are Where To Get A Loan For A Small Business Quick And Easy financially disadvantaged or you belong to the minority group.You can also obtain a loan of up to $50,000 from the U.S. Small Business Administration. On the average, the SBA microloan is around $13,000. The only negative about this loan is that they are usually not enough to fund a business but it will do enough to get things up.[/nextpage][nextpage]
2.Family and Friends: this is probably the commonest way of obtaining loan to start a business. The most important thing is convincing your loaner that your business idea is credible and you will be able to repay them. They have to believe in you before they can give up a part of their money. Think of all your friends and family who would buy into your idea and convince them to give you a loan.[/nextpage][nextpage]
3.Credit cards: you can obtain a loan through your credit card if your credit is good. It is not a good source of fund you should consider if your credit is bad.[/nextpage][nextpage]
4.Personal loans: this is one of the easiest way to obtain loans for starting a new business. With a good credit score, you can obtain a personal loan from companies such as Vouch and Peerform. However, loans from this source have a very high APRs which would put pressure on the small business owner. Obtaining a personal loan should come last in your list of where to get a loan for small businesses.[/nextpage][nextpage]
5.Crowdfunding: This is a whole different platform to obtain fund to start your small business. You can obtain funds from donors without actually repaying them. There are different websites such as Indiegogo, and Kickstarter, where you can ask people to donate fund to your campaign. Rewards crowdfunding allows you to give your donors gifts as against returning the money you raised. Equity crowdfunding give your donors equal ownership in your business. You can consider any of the above crowdfunding systems to get considerable fund to start your small business.[/nextpage][nextpage]
6.Grants: Obtaining grants is one of the dreams of most small business owners, since they wouldn’t have to pay back. However, grants are very competitive and difficult to obtain. But that shouldn’t stop you from trying out. You can apply for government grants and private foundation grants. There are many grants for women who would like to become small business owners. Also, you can obtain veteran grants if you once served in the military.
The list of places where you can obtain a loan for your small business goes on, but the above are the common and easiest ways of obtaining a start-up fund. Research into the one that fits your situation and applies for it.[/nextpage]