A Small Business Line of Credit (SBLOC) is an excellent way to get the capital that you need when working with Small Business. If you’re not familiar, it’s basically like having a credit card dedicated specifically for your business.
This type of Small Business Line of Credit has so many great benefits, but there are some simple steps to get the best use out of them! Here are some ideas on how to use a Small Business Line of Credit:
1. Obtaining a Small Loan:
SBA loans are known for providing low interest rates; however, the Small Business Administration (SBA) may deny your Small Loan Application for several reasons. If you are denied, don’t worry- it doesn’t hurt your credit score and there’re plenty of other Small Loans available via SBLOC from Progressive Business Capital. Small Business Lines often offer easier access to much needed capital; this is because there’s no need to submit as many forms and documentation as with SBA loans.
2. Funding:
As your business grows you may have needs to expand your inventory but being short of cash can limit you from expanding and capitalizing on growth opportunities. A line of credit from Progressive Business Capital can eliminate the cash flow issue.
3. Replenishing Inventory:
Being able to replenish your existing inventory is just as important as expanding inventory. As your business grows having ample inventory on hand is a necessary requirement to being successful.
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4. Expanding Your Brand:
Customers are the backbone of any company. Being able to have the cash to advertise and promote your small business is a necessary tool needed to make customers aware of your business and the products you can offer them. This added visibility may bring more customers into the door which could lead to higher sales; Small Business Lines from accredited agent programs are a great way to finance these purchases.
5. Preparing for an Event:
Many small businesses rely on special events such as holidays and other seasonal events to grow their business. When planning ahead is essential, Small Business Lines provide peace of mind because there is no need to try and forecast how much money your business will need per year. Small Business Line of Credit provides access to funds as they’re needed.
6. Paying Monthly Expenses:
Ebbs and flows of sales can have an impact on revenue in a small business can also bring cash issues that limit paying monthly expenses such as rent and office utilities. Small Business Lines from Small Business Line of Credit-approved agents also provide discounts on services that may not typically accept Small Business Cards. You don’t need to incur costs or wait days for checks in the mail when you have a Small Business Line of Credit giving your business access to cash flow.
7. Cash Flow Management:
Small businesses often operate with negative cash flow, meaning their daily activities actually result in a loss. Small Business Lines can be a tool for allowing a business to make tax payments, pay employees and keep other bills up to date without having to put them off until next month’s revenue comes in. Small Business Line of Credit offers business owners more opportunities to manage their cash flow.
8. Larger Purchases:
Depending on your type of business some equipment may be required to operate your business efficiently. If you are a company that provides deliveries of products you will need a vehicle to transport the products to your customer. These types of large purchases can be expensive and you may not have the revenue to do so but an SBLOC can eliminate this problem.
9. Surprise Expenses:
Small Business Lines allow many types of businesses to obtain additional capital in the event unexpectedly large costs arise – like damage during a flood or other natural disaster. Many business owners use Small Business Lines because there is no limit on how much money they may borrow. Small Business Lines allow businesses to have access to capital when they need it most.
10. When Cash is Tight:
Small Business Lines can be a great way for small businesses with tight cash flow to get additional funding. Small Business Lines don’t require you to put up collateral, such as equipment or inventory, and Small Business Line of Credit agents offer easy application processes that take just minutes from start to finish. Small business loans from Small Business Line of Credit-approved agents offer small businesses the resources they need right when they need them.
Let Progressive Business Capital help you with a SBLOC loan so that you are prepared for all the various issues that can arise to reduce your cashflow. You can find out if you are eligible for a small business line of credit online @ Progressive Business Capital or calling us @ (800) 508-4532. Let us help your small business grow by providing you with the cash needed to be successful.
