When it comes to starting a business, there are many factors to consider, including financing. Short for private loan, this is basically the interest paid on your initial loan each year, and all other expenses and fees associated with the initial loan. Remember that advertised interest rates might just be the initial interest rate you’ll be charged; you’ll have to submit more information for a more accurate figure to figure out what you can expect on your business loan. When you’re just getting started, you might not realize the kind of impact having bad credit can have on your financing of your business. Here’s some tips about how to obtain a business loan even with a poor credit rating or with no prior business experience:
Start getting out of the news – If you’ve been reporting to the media about your business, stop now. Your prospective lender or creditors will only want to hear about how fantastic your business is doing. But, if you get into the news too much, you’ll likely find your business difficult to finance because small business owners are often considered unreliable borrowers. Make sure you stay away from the media entirely when you are looking for finance for your business. It will definitely pay off in the end!
Be a savvy business investor – You have to invest in a business, and one of the smartest ways to do so is to get involved with the news. This is especially true for small businesses, which aren’t publicly traded. Small businesses are always in the news, but they are often undervalued until something goes wrong (which inevitably happens). If you make investments in other small businesses, the news will bring about positive recognition, which can in turn result in great returns. If you invest in stocks, the returns you make can either be reinvested or used as capital. If you want to be smart, keep up with what’s happening in business.
Promote your business online – Did you know that almost half of all small business owners use social media to build their business? Social media websites like Facebook and Twitter are a great place to network and spread the word about your business. If you’re not active on these sites, you’re missing out on a lot of free exposure. You may even become “influential” as more entrepreneurs get on board with this powerful marketing strategy.
Have an online presence – You can’t ignore the impact that social media has had on the growth of many small businesses. Just think about how Twitter and Facebook have impacted sales for McDonald’s and other popular brands. Just imagine how big a role social media plays in helping other small businesses achieve their goals. And, it can help you do that even faster. So get involved with this important marketing strategy today.
Protect your employees – Today, small business owners often overlook their employees, which is a huge mistake. When you’ve got people who work for you and your business, they represent a portion of your business. They’re your customers, employees, partners, and clients. It doesn’t make sense to overlook them when you need them the most. A no paycheck protection program can help small businesses stay competitive by providing income protection for employees, just as other types of employment insurance do.
Use online business directories – There are many online business directories available to help you promote your business. Many of these platforms like Small Business dot com provide valuable information to help you get the word out about your business. In addition, many of these directories have built-in search options to help you find businesses within your local area. Plus, you can add business profiles to increase exposure to potential customers. You can also link your business profile to social networking sites, increase its presence on a Google map, and many more.
Monitor your business news site – If you have a personal finance blog, consider adding a business news site to it. Here, business owners can get breaking news stories on their favorite topics. For instance, if you run a small business that installs solar panels, you may want to look at new advances in green technology. This kind of news can keep your readers interested in what’s going on in your industry. You can also add a news tab that highlights some of the most important business stories of the week.