Do you have a less-than-stellar credit score but must get funds for your business? Well, poor credit can really be an issue, but not for those who turn to a reputable high-risk business funding provider. This is how you can obtain small business loans no credit check. Just go on reading below to learn how to get them easily.
Businesses with Bad Credit
In 2017, 40% of business owners in the US applied for a loan, as Federal Reserve reported. The number of business owners that got approval for the full sum they’d requested was larger as compared to 2016. What about those who have bad credit?
Beyond any doubt, gaining access to the necessary working capital is harder for those who don’t have excellent credit. However, being tricky doesn’t mean impossible. Let’s start with the major credit scoring company FICO (Fair Isaac Corporation) scores:
- 800-850: Exceptional
- 740-799: Very good
- 670-739: Good
- 580-669: Fair
- 300-579: Poor
Well, business credit has an immensely important role in enabling you to get the capital with favorable terms you need for your business. Be aware that if you work on improving the situation like paying your bills on a regular basis, avoiding high credit utilization ratios, etc., good credit will be guaranteed. Overall, having only stellar credit so to qualify for financing is just a myth.
Small Business Loans No Credit Check
Obtaining small business loans no credit check can’t be a problem if you work with a reputable alternative online lender in the industry. In fact, high credit scores aren’t the only factor to decide your eligibility. Here’re several no credit check financing options for bad credit merchants:
- Short-Term Loan
This is great for those in need of quick, one-time infusion of capital for various business wants and needs.
- Invoice Financing
Those who invoice customers can take advantage of this type of funding solution.
- Short-Term Business Line of Credit
This is how you can get quick access to flexible funds for your business.
- Merchant Cash Advance from a Reputable Alternative Online Lender
An MCA from a true professional in the field can be the best option for bad credit merchants. A merchant cash advance is ideal for those looking for quick and easy access to working capital. B the way, an MCA isn’t a loan: it’s just a sale.
- Secured Credit Card-Secured credit cards are called to satisfy the financial needs of bad credit businesses.
- Friends and Family
Borrowing from your family and friends is another option to opt for. Many business owners who have poor personal and business credit have no other choice better than this.
Bad credit can’t drag your business to its end if you find a reliable business funding provider to apply to. What’s more, you can improve your situation by getting your credit report for free at AnnualcreditReport.com to know your score and searching for a respectable online lender that can meet your bad credit business loan needs.
Author Bio: As the FAM account executive, Michael Hollis has funded millions by using small business loans no credit check solutions. His experience and extensive knowledge of the industry has made him a finance expert at First American Merchant.