Having access to working capital is crucial for small business owners. When an opportunity to grow presents itself, entrepreneurs need to seize it immediately. Taking advantage of certain growth opportunities will require a business owner to obtain cash in a hurry.
Failing to take action and secure fast cash when needed can get in the way of business growth. Are you looking for a way to get your hands on cash in a hurry? If so, check out the effective methods below.
1. Consider Using an Auto Equity Loan
Getting the funding needed to expand a business can be difficult if you have bad credit. If you find yourself in this situation, you should entertain the idea of an auto equity loan with bad credit. When assessing the amount of money to offer you, the lender will assess the value of your vehicle versus what you still owe on it.
Once a lender has this information, they will make you an offer. Before using a lender for this type of loan, do your homework. Ideally, you want to find a lender that offers low-interest rates and flexible repayment terms. The time invested in researching the various auto equity loans at your disposal will be worth it in the long run.
2. Microloans Might Be a Good Option
Around 29 percent of businesses fail because they run out of working capital. Rather than allowing the lack of capital to lead to small business failure, you need to work hard to obtain the cash you need quickly. Over the past few years, microloans have become extremely popular among entrepreneurs in the United States.
These loans are generally under $50,000 and are offered by several companies. In fact, the Small Business Administration has a microloan program. This program works with over 150 lenders to provide microloans to worthy business owners.
3. Use Business Cash Advances
Most business owners fail to realize that they can use future credit/debit card sales to get their hands on fast cash. A growing number of merchant account companies now offer business cash advances to their customers. In the past, these cash advances were viewed as an expensive way to get working capital.
However, modern merchant account providers offer entrepreneurs attractive terms and competitive interest rates on these cash advances. Some of these companies offer hybrid programs that are labeled as a line of credit or a working capital loan.
4. Sell Unused Business Assets
If you’re serious about making your business profitable, you need to learn how to use the assets currently in your possession to generate working capital. If you have lots of unused business assets, you should sell them to generate some revenue. There are many businesses operating in your industry that would pay top dollar for this equipment. By doing some research, you can figure out what the equipment you want to sell is currently going for.
Clearly, there are many things you can do to get your hands on cash in a hurry. Hopefully, these tips will help you find the necessary cash quickly.
