Last updated on November 9th, 2017 at 11:41 am -
Hey guys this is Sean Mory here again, Senior Advisor here at LenCred.
I want to thank you guys once again for submitting your questions about small businesses and financing in general. Today our topic of question is specifically from Micheal out of New Jersey. How do you get a small business loan to start your business?
This is one I get a lot, first and foremost guys if you dont know the major differences between a loan and a line of credit. I would would strongly encourage you to do some additional research before deciding if a loan is what makes the most sense. (You can find out the differences between a loan and line of credit by downloading the free eBook 16 best business financing options for your small business at www.lencred.com).
Now that being said, getting a loan for your business, the most logical option is going to be SBA. The Small Business Administration. So with an SBA, what is important to know is they are going to more than likely request money down and collateral. Now maybe not in every situation as the industry changes.
But for the most part if you are looking for a loan for your small business, it is going to have to have collateral and money down. If you are in that startup phase and maybe you do not have either of those, so again, that is why it is so relevant to make sure that you know the differences (between a loan and a line of credit) and the products. So you can decided what is going to make the most sense for your business.
I hope that helps answer your question, Mike from Jersey. Again my name is Sean Mory, Senior Financial Advisor, with LenCred. If you have additional questions please visit our website www.lencred.com. Thank you!