If you’ve always been interested in starting a business, it can be disappointed to learn that you have to take out a loan to fund the startup costs. Starting a business is already difficult, but it can be even more challenging if you have bad credit. If you need a bad credit business loan, here are some tips to help you.
Can you get a business loan with bad credit?
The most common way to fund a new business is through a loan. A business owner can apply for a loan through their bank or financial institution, but loans do have requirements. Most loans require a good to excellent credit score and an income report, at the very least. Despite having all these things, receiving a business loan may not be guaranteed.
When applying for a loan for a new business, it’s important to take advantage of everything offered. Instead of applying for a conventional loan, small businesses can apply for small business loans offered by the Small Business Administration. It may be one of the better places if you need a bad credit business loan, but there are still some other places you might consider.
Through our position as a Preferred Financial Services Company, Aspen Commercial Lending can offer small business commercial loans up to five million dollars. Our lending team looks at a couple of metrics. We look at your business’s cash flow and how well your business is being managed.
Not only can we offer competitive rates, but we also offer flexible terms. For our 7a and 504 programs, we have fixed and variable rates, and we have terms of up to 25 years with no prepayment penalties.
Your small business loan can be used in various ways to improve your business, including buying a larger building or advanced equipment. However, the money can be used for anything, from filling purchase orders to advertising.
If you are interested in funding a new business but fear you may have trouble securing a conventional business loan, you can apply for a small business loan. Small business loans are designed for new or growing businesses, and when you apply for a small business loan through Aspen Commercial Lending, you may receive a prequalification within 48 hours.