No matter what year of business you are in, businesses require a lot of financing. If you are working on your business’s budget and you find that you need additional money, you may be wondering what kind of financing you can get for your business. Let’s talk about the types of financing you can get for your Denver-based business.
What types of financing should you get in Denver
As a business owner, there are only three types of financing you can get. You can get debt financing, equity financing, or a mix of the two.
The major type of financing is debt financing, which comes from banks, government loan programs, or any other institution that can lend money. Debt financing is designed to be repaid over a period of time with interest. You will receive a lump sum to spend on your business and then have monthly repayment amounts until the debt is completely repaid.
Equity financing is the money you or an investor puts into the business. It represents an ownership position in the venture. People who invest with equity are usually repaid through dividends taken from profits. Sometimes they can be repaid through the sale of a successful business.
The best way to find a business is by doing a combination of these two methods of financing. Equity financing may not be available or an ideal choice for everyone, but debt financing is usually available to most people.
If you are interested in debt financing for your business, you can contact Aspen Commercial Lending. Aspen Commercial Lending is a lending company that can help you secure funding for your business endeavors, whether they are to expand a real estate property or purchase new equipment. Whatever your goals are, Aspen Commercial Lending can help you achieve them.