Before you start applying with lenders to fund your startup or existing retail business in Florida, you should definitely understand what options are available and weigh those options. There are a variety of different ways to fund your startup or existing retail business in Florida, so it’s important to know what they are and how they work so you can determine if they are right for you. All retail businesses are not created equal so what funding option works for you, may not work for another business owner (and vice versa). I suggest consulting with an expert (like the experts here at LenCred), who know and understand the different type of business financing options available and can guide you in the right direction. In the meantime, here are 3 ways to fund your startup or existing retail business in Florida:
- Unsecured Business Credit – Unsecured business credit (aka unsecured business lines of credit) can be used to fund startup and existing retail businesses in Florida. Lenders will require you to provide a personal guarantee to secure the funding. This means you can use your personal credit history to obtain funding (without pledging collateral or having a business track record). If you have an exceptional personal credit history and don’t mind providing a personal guarantee for the business, you could have up to $250,000 or more in unsecured business credit in as little as 30 days to fund your retail business.
- Unsecured Business Loans – Unsecured business loans are similar to unsecured business credit (in terms of providing a personal guarantee and being available to startups). The only major difference is that unsecured business credit has revolving terms (which means you can have access to the credit lines for the life of your business as long as they are properly maintained and the lender wants to continue their relationship with you). On the other hand, unsecured business loans have terms that end within 2, 3, or 4 years etc. This means an unsecured business loan is required to be paid back within a specific frame. Once paid back, you will have to reapply to obtain another unsecured business loan (and there is no guarantee you will be approved). To avoid this, try applying for an unsecured business line of credit instead.
- Merchant Cash Advances – This type of funding is best for retail businesses that have a high volume of daily credit card sales. Startup retail businesses in Florida will not qualify for this type of financing (most likely because the business won’t have enough sales yet). I usually only recommend this type of financing to established retailers with a significant amount of credit card sales because it can be expensive. If your startup retail business hasn’t had very many credit card sales, unsecured business credit or unsecured business loans may be a better option.
Whatever option you choose, it’s best to speak with an expert before making your final decision. The experts here at LenCred have been trained to help you determine whether unsecured business credit, unsecured business loans, or merchant cash advances are right for your startup or existing retail business in Florida. Contact them today for more information.