A small business finaces success is often attributed to the quality of its manufacturing or services. However, you may need to become an expert in other critical business aspects, such as financial management.

It can be difficult if you have little experience managing small business finances, but it’s also critical to your company’s survival. Here’s how to develop sound financial habits that propel your company forward.

Tips for managing your business finances:

1. Invest in Growth:

Investing in your company’s growth is critical to its long-term success and survival. Consider earmarking funds for continuing education, future investments in your company, and any monthly payments you set aside for yourself as a business owner.

For example, you may expand your company into new areas, locations, or both in the coming months or years. Perhaps you intend to launch new products or services, expand your customer base, hire more team members, etc. Whatever your objectives are, you must work hard to achieve them.

This may necessitate a commitment from you and key personnel to participate in continuing education programs, attend industry events, and capitalize on appropriate investment opportunities. Long-term business loans may be worth considering.

2. Create a budget:

To succeed, most small businesses must stick to a strategic budget. In the same way, that poor budgeting habits can lead to debt problems and financial shortages in your household, failing to create a budget for your small business can lead to a slew of financial issues for your company.

An adequate business budget will balance all anticipated business expenses with anticipated revenue. This method enables a company to assess its financial position at any time. A well-planned budget can also enable a company to set realistic goals and generate the motivation to achieve them.

3. Keep track of your expenses:

Tracking your business expenses once you have created a budget is critical. To achieve this goal, consider recording and categorizing every purchase, from petty cash to recurring subscription fees to raw material purchases.

When it comes to expense tracking, avoid the future trap. Create a system that allows you to track purchases in real-time or manually enter them as needed.

4. Keep your personal and business need separate:

Small business owners frequently mix personal and business accounts. Personal credit cards are used by 46% of small businesses, according to the SBA. Even though using personal credit cards for business is common, it is a risky bookkeeping mistake.

Keeping your personal and business finances separate is the best way to protect yourself and your business. Open your company’s dedicated business bank accounts and business credit cards and use those accounts solely for business purposes.

This practice reduces bookkeeping confusion, makes budgeting more accessible, and can aid in developing your business credit rating. Maintaining separate finances also helps protect you from personal liability if a creditor sues your small business.

5. Build a good business credit:

Lenders use credit scores to assess the risk of credit applicants. A good credit score indicates to a lender that an applicant is more likely to repay the money they request to borrow on time. A low credit score indicates to a lender that the applicant is more likely to default on their debts.

Lenders frequently evaluate personal and business credit scores when applying for business financing because credit scores help lenders predict risk. You may need more time to establish business credit scores if your business is new.

6. Utilize your business funds:

Many small business owners invest personal funds in their startups; some seek loans from friends or family. However, one of the most common ways entrepreneurs finance their businesses is to seek outside financing. Business financing, as opposed to personal investments or funds from loved ones, can help you build your business faster and with less risk or stress.

There are numerous kinds of business financing available. For assistance in starting the research process, consult our guide to locating and securing funding.

It is also critical to consider the timing of your application for business financing. Many business owners believe the best time to take out a loan or line of credit is when their company is cash-strapped.

In reality, applying for financing when your company is flush with cash is usually preferable. When your business is thriving, lenders find it more appealing as an investment because they can see from your financials that your company can repay its debts.

Conclusion:

Small businesses, particularly startups, can face numerous financial challenges. As a result, small business owners should take the steps outlined above to prepare themselves for financial difficulties before they occur.

Small business owners with a long-term mindset and a close eye on company spending can provide their companies with a path to future growth and success. Building good business credit, investing in growth, and taking advantage of business financing opportunities are also beneficial.

Pandemics, recession, and natural hazards leave an impact on the global economy. The recent, Covid-19 pandemic has had a significant impact on the global economy, and many countries have experienced a reduction in economic conditions as a result. The pandemic led to widespread lockdowns, business closures, and disruptions to supply chains, which resulted in significant declines in economic activity. Many industries, such as travel, hospitality, and entertainment, were particularly hard hit by the pandemic, as consumer spending in these areas dropped significantly. Continue reading →

Both outstanding and corporations may require additional funding, but what distinguishes a personal loan from a business loan? While there are many variations in the loans themselves, the main distinction is the party liable for paying back the debt: firms pay back business loans, whereas people pay back personal loans.

It is important to understand what each of them means and essential to dive into the details of the differences.

 Business Loans:

Business loans are supplied for specific purposes, as opposed to personal loans, which are sanctioned for the borrower’s use. Your company’s financial history will typically need to be carefully examined to receive approval for a business loan.

What advantages do company loans offer? Personal loans are divided into secured and unsecured categories, whereas business loans are tailored for specific uses, giving them more diversity. To avoid dangerous lending practices, lending institutions will seek to offer a financing option that meets the loan applicant’s financial demands.

 A financial product called a business loan, created especially for enterprises, enables them to borrow money for company expenses. Entrepreneurs use business loans to cover costs associated with launching a new company, growing an existing one, or buying inventory or equipment.

Compared to personal loans, corporate loans often have longer payback terms and higher interest rates, and they are frequently secured by the company’s assets, including real estate or inventory.

Personal Loans:

The purpose of personal loans, also called consumer loans, is to provide borrowers with funding for their personal needs. There are two types of personal loans: secured and unsecured.

If the loan is secured, the lender will demand that you or a co-signer who stands as a guarantor for you guarantee the total amount of your assets. In other words, if it’s a secured loan, the lending institution will have the right to seize your assets or contact your guarantor and demand payment for the unpaid sum if you don’t make payments and default on the loan.

A personal loan is given to a person for personal purposes, such as debt consolidation, house improvements, or wedding funding. Personal loans typically have a shorter repayment duration and lower interest rates than company loans since they are unsecured or not secured by any kind of security.

The term “signature loan” is also used to describe unsecured loans. With unsecured loans, the lender determines whether to approve the requested loan amount based on the borrower’s ability to repay the debt.

Lenders generally take on more risk when making unsecured loans than secured ones. Whether secured or unsecured, repayment is often given over a predetermined period that the borrower and the lender have already agreed upon.

Financial institutions such as banks, credit unions, and online lenders frequently offer loans for both personal and business purposes.

Business and personal loans: How are they different?

Business loans are created especially to assist firms in meeting their financial demands and objectives. For instance, a business loan might be used for working capital, to finance a startup, to expand an existing business into new markets or real estate, to buy goods or equipment, to buy an existing company, or even to hire new personnel.

Personal loans are types of finance used for personal needs instead of company needs. Personal loans can be used to support a variety of charges, including paying off credit card debt, covering medical bills, or covering educational fees. Unlike many commercial loans, personal loans are unrestricted, allowing the borrower to allocate the money any way they see fit.

Another significant distinction is who is accountable for loan repayment. A business loan is linked to your company; if you can’t repay it for some reason, that will reflect negatively on your company’s credit history. On the other side, personal loan repayment problems will impact your credit.

Business Capital USA helps you get business loans for small businesses in case you need more funds. Get short-term funding here ahead of the upcoming holiday season and help your business ring as planned.

The holiday season is here!! Starting from ‘Black Friday’ to Thanksgiving holiday in the USA marks the start of the Christmas shopping season. People are always on the lookout for Black Friday shopping deals. It is when they grab the products for themselves, or to gift others. They also dole up their household by taking advantage of huge shopping discounts from businesses.

Make the Most of Black Friday, Christmas, and New Year

The holiday shopping season begins with ‘Black Friday’ and lasts till December, covering both Christmas and New Year. While for customers, it is a great moment to buy; for the sellers like you, it is the best time to rake in maximum cash into your business by offering great deals.

This ensures maximum footfalls into your stores, and your small business can clear out old stocks and fill them up with new inventory or supplies as the Christmas and New Year festive season arrives when people go out shopping even more.

However, it may happen that sometimes you aren’t able to stock up your business with inventory well before the start of the crazy shopping season of Christmas and New Year. It may happen because of the: –

1. Less liquidity due to lack of sales.
2. Increase in cost of new stocks.
3. Increase in the shipping cost.
4. Inability to book orders in advance.

All this creates a situation where your business is staring at a potential loss during the Christmas and New Year festive season, ostensibly the most profitable time of the year for your small business.

Get that Much-Needed Funding for Your Small Business

Stop breaking your head thinking about how your small business can avert this precarious situation. The only way to do that is you go for short-term funding. This funding from business finance providers will help you get the necessary funds for your businesses to buy the much-needed goods to stock up your stores with inventory before the festive season starts. How much finance you get for your small business depends on the: –

1. The term length of your financing decides the interest rate or how you repay.
2. Status of your business leading to the need for funding or why you need it.
3. Time frame within which you need funding or when you need it.

Features of Short-Term Finance

1. Use – when you suffer from cash flow issues, emergencies like equipment breakdown, or immediate hiring needs.
2. Rates and Affordability – short term loans have high-interest rates in some cases; with a shorter repayment period, you can cut interest to be paid.
3. Eligibility– you can opt for finances as it is less stringent, although whether to lend you is a lender’s discretion.
4. Time to Funding – once you apply for short-term finances, lenders typically clear payment within minutes if applied online, while some may release funds for you in 1 to 3 business days.

Why Do You Need Short-Term Funding

After going through the above, consider whether your small business needs short-term funding/finance. The truth is, you need to shore up your finances before the holiday season starts to stock up on inventory for your small business, among others. As such, broadly, three distinct reasons can help you favour short-term funding. These are: –

• Paying Salary to Seasonal Workers

A holiday season that sees a spike in sales for your business usually comes once a year. As such, you need to be very well prepared to handle the rush of shoppers during the holiday season. Besides stocking up on inventory, the best way to prepare for the anticipated rush is to recruit seasonal workers before the holiday starts. Seasonal or part-time workers help handle the rush of customers trooping into your business alongside full-time employees.

As sales take time to turn into profits, the sudden rise in part-time staff numbers, which are usually paid daily or weekly, can affect your business’s cash flow. Don’t worry!! Short-term funding can help you pay off the salaries of your temporary staff during the holiday season.

• Stock Up on the Necessary Inventory

The holiday season is the most awaited time for a business when it sees a huge spike in sales. So, it is best to plan for the holiday season by stocking up on inventory in advance. This can be expensive if your business didn’t have great sales in previous months, resulting in a strained cash flow. Short-term funding can help you stock up on seasonal inventory and ensure that your business runs well-spent during the holiday season.

• Make Shoppers Notice You by Marketing Your Business

The best way to reach more customers during the holiday season is to market your business. As such, you need to have a concrete marketing plan in hand before the anticipated rush of the holiday season. As part of your marketing plan, you can print flyers, develop brochures, start a social media campaign, and even promote/sponsor events before the start of the holiday season.

But this additional marketing expenditure, on top of regular inventory and staffing expenses, will put a lot of strain on your business, driving up expenditure. Short-term financing can provide the necessary funding to implement your desired marketing plan without stressing your business cash flow. If you need money to execute your goals for your small business during the holiday season, get in touch with us.

Business Capital USA will help you tide over fund shortages in your small business. Apply for short-term funding here and prepare for the upcoming holiday season rush, hoping it helps set the cash registers ringing as per your plans.

Airbnbs are the best holiday rental options for large groups of travelers, including families, groups of friends or a combination of the two.

A decade ago, a single hotel room could fit no more than 3 individuals. This made it difficult for a large group to spend a gala time together while vacationing. Airbnbs have solved that problem for those longing to have a private space to themselves along with their near and dear ones. These days, the trend is to hangout and chill together till late, which cannot be done in cities that shut down after midnight. Airbnbs are thus the much needed solution to that problem.

After all, who doesn’t like to unwind with their friends and family by their side, especially when on vacation?

Airbnbs offer many bedrooms and bathrooms. They also have common areas like a living room and kitchen. This offers a space that has both privacy and liveliness.

These are properties given on rent to groups of people who want to vacation together, without having to say goodbye for the night to each other at a time when there’s no place to be after midnight. They can instead choose to hang out together after the day, in a common room, and those who wish to crash before the night ends for their peers always have the option to head to their room as and when they feel like it.

Another advantage of renting an Airbnb is the fact that a huge group of people can enjoy with each other, without any kind of external interference. Since airbnbs are more or less rented houses, some of them may even come with more activities like swimming, basketball and more. The group of people currently staying there can use these features to have a great and fun time together with each other, and to avoid any unwanted comments, stares or judgement.

The last yet most important feature of an Airbnb is the fact that they are way cheaper than hotel rooms. So, even if a traveller wishes to travel solo, he/ she can rent an Airbnb instead of a hotel room, which can in turn help him/ her also save more and spend it on other necessary or wishful products and services. This also works well for those who are travelling on a budget, and for those who are travelling to education and need a cheap yet comfortable option to live in.

For a business as progressive, comfortable, flexible and affordable as this one, could one get a business loan to offer better services and more spaces?

The answer, indeed, one can! There are plenty of options to get business loans for Airbnb business. The best option is to apply for an online business loan. This is especially true if applying for one with a traditional lender seems difficult.

Online Business Loans for Those Wanting to Invest in an Airbnb

The concept of an Airbnb is a rather new one, and isn’t as expensive as that of a hotel business. That’s why it may be difficult to get the funds you need for such a business from a traditional lender.

Wondering where can you get a business loan for Airbnb? Your worry ends here. Since you can always get a loan from a trusted online loan lender like BusinessCapitalUSA, offering business loans to people who choose to start small businesses.

We only need a few simple documents from you. Traditional lenders ask for things like credit scores and collateral. All we need you to have is proof of revenue and for your business to be at least 1 year open from its commencement.

As long as you meet the basic criteria asked for by us, you must receive the funds that you need for your business without any hassle.

The one thing that human beings cannot survive without is food. As we all know, food is the fuel that our body needs, and irrespective of what kind of diet we choose to follow, we can’t emphasize on the fact that the body needs it at the end of the day. Even if one is on a liquid diet consisting solely of fruit juices, detox teas and water, they still need a source from which to get their required edible items. Continue reading →

A disabled person, irrespective of what the disability may be, can find it harder to handle situations and needs when compared to a fully able person. However, at some level, it may be safe to say that the majority of people are handicapped in some way or the other. Where some people may have physical issues, others may have difficulty dealing with emotional situations due to their own share of stress and anxiety. Everybody comes with their own baggage, so who’s to say that a physically disabled person cannot work as well as or even better than an abled one?

While taking that aspect into consideration, the world has started looking at people with physical disabilities more equally than they used to at one point. That’s why, it isn’t all that difficult for a handicapped person to get hired for a certain job role. Take Stephen Hawking for example- a man who was bound to a wheelchair his whole life, but never let his sufferings come in the way of his success.

There are many such great examples of physically unfit people becoming renowned across the world, due to their own capabilities, proving that physically fit people are not even a patch on them.

Now, let’s talk business- Can Physically Disabled People get Business Loans?

The answer- sure!

There’s no reason for a lender not providing funds to an individual as long as that applicant meets the basic criteria required to be fulfilled. With online business loans that are easier to get as compared to traditional loans, the main criteria that makes or breaks an application is the revenue aspect of a business. As long as the individual requesting for funds for a business meets this particular criteria along with some other basic qualifications, there shall be no reason at all for a lender to sent funding.

Whether a borrower is bound to a wheelchair, is a victim of panic attacks or is completely stable both physically as well as mentally, has got nothing to do with whether or not his business shall be funded by an online loan lender.

A borrower may have a broken leg but he may be able to qualify for the largest amount of funds offered by his lender, or a borrower may be highly athletic, calm and composed and happy and may still not qualify for a loan at all.

However, how much of an amount one shall get approved for is directly related to how much revenue his business generates during a given time period (every lender has his/ her own policies, which may include considering the revenue generated within a month, 3 months, half a year or a year, etc.).

So yes, a physically disabled person shall very well receive funds from his online business loan lender as long as he meets the lender’s eligibility terms, irrespective of what his/ her physical situation may be.

Being one of the largest and most successfully developed nations in the world, the United States sees a lot of its people wanting to start businesses of their own. However, due to the huge number of individuals wanting to apply for loans with traditional lenders, many of their applications get turned down. Traditional lenders face a lot of rush in the States and hence cannot manage to fund everyone who applies. That’s why, a number of people are left with rejections. Continue reading →

Loans and other credit products have played a crucial role in the growth of many businesses and even national economies. Having a solution that can provide your business with the required funds at the right time, can be a significant part of a recipe for success. For this reason, line of credit loans are gaining popularity in business and many of these are available today with ease. Nonetheless, establishing a line of credit is not always possible and it may take time for such an ongoing agreement to fall into place. If your business has not established a line of credit yet, and you need a quick loan, this article is here to guide you about alternative loans which can enable you to quickly secure the funds you need for your business. Continue reading →

Over the past decade, the American retail industry has seen unprecedented growth. With rapid digital integration, a full increase in revenue and an increase in urbanization, the retail sector is expected to reach $7 trillion by 2025, according to many experts.

However, as analysts say, this is just the beginning, despite the competition posed by online shopping.

With the widespread emergence of organized shopping and retail units across the country, the retail sector is expected to grow at a rapid pace despite the rather new momentum that online stores have gained. As a result, investing in launching a shopping mall, even in small areas, can be a great business proposal as well as a great challenge.

Given that a business loan for a mall can be offered to you in a variety of ways, one can view malls as an ideal investment for a business venture. Apart from the mall itself, financing the operation of a shopping mall is also not hard, making it another reason that may encourage you to invest in such a business

Malls in Ideal Locations: Why Do They Make Good Business Opportunities

Malls are no new concept in the country and many parts of the world in fact took inspiration from the US, as they transitioned from unorganized retail sectors into malls and online stores, just like here in the US. However, malls are still in their youth as a sector – being just over a century old.

As of 2022, malls and supermarkets have found success not just in the largest cities but also in smaller cities, and many new projects are currently underway in many growing cities. Therefore, for those who want to get into the wholesale and retail business, or expand their existing business, it may be a good time to invest in these proposals.

Now, when it comes to financing a business, a few tasks will require a major investment right from the start. These include –

• Obtaining the required permissions to build a shopping mall
• Market research and research costs
• Investing in the space in a business environment
• Setting up the infrastructure
• Construction costs, including the interior of the mall
• Hiring skilled workers
• Marketing and advertising costs
• Operating expenses to cover costs such as utility costs, repairs, etc.

The cost list is too long – the list above is only a fraction of what expenses can be. However, with a good shopping mall loan, you can meet these costs without much hassle.

Types of Business Loans You Can Get for Your Mall

Starting a shopping mall or operating it, even on a small scale will require huge expenditure on your part. Even if you need to renovate or expand an existing one, you should also be prepared to incur significant costs.

To meet such expenses, you can apply for the following sorts/types of loans for your mall:

1. Commercial Real Estate Loan

As the name suggests, these loans are only available for the purchase or construction of commercial centers. These are large ticket loans, which can be used to adequately finance the purchase of an existing building or to build a new one in your mall.

However, these loans are subject to some restrictions, as the amount available can only be used to finance the purchase of a real estate.

2. Secured Loan

It is the common type of business loan, where you can get advance payment against your gold, residence or business, using those as collateral. These can be viable options as they do not limit end use and can be used to fund any part of starting a retail business.

However, borrowers should be able to satisfy a few borrowing terms for the eligibility of malls in this case, which may limit their chances of obtaining this loan.

3. SBA Loan

Getting an SBA Loan approved might depend strongly upon the eligibility for the business. If approved, this type of a loan can save you from high interest rates and hard terms. However, SBA loans can take a lot of time for approval and disbursement and may not have a high chance of being approved in the first place.

4. Alternative Business Loan

Alternative business loans are designed to serve almost everyone. They can offer more acceptability, higher chances of loan approval and quicker funding versus other options in the market. The limitation is that  most alternative loans would be significantly expensive versus other traditional loans as there tends to be higher risk involved in alternative lending.

Some loans are considered more ideal for some projects versus others, depending upon the way they limit or do not limit usage, whether they are large enough to be used to finance any of your mall needs – from infrastructure costs to operating costs, marketing or rental costs, and whether your credit performance and business plan can be served by the loan or not.

Also considerations such as requirements of security (collateral) and the qualification terms laid out, can impact your decision for taking out a loan for your mall.

Why Does an Alternative Business Loan Make an Easy Choice for Funding?

At Business Capital USA, we serve as an alternative lender providing quick and flexible loans which you can use for your mall business – no matter what stage the project may be in.

Our loans come with a number of attractive features that make them a great option for starting or getting funded for operating a shopping mall. Some of them are:

Online & telephonic service

Whether you need to get in touch with us for queries or whether you wish to apply for our loan, we have a service that’s available on call and online – there’s no need to visit our centers physically. You just need to process the loan application and every other need via our online portal or get in touch via a phone – no need for store or office visits. However, if so needed, our team can coordinate visits too.

Quick and reliable loans

The process from applying for a loan to acquiring it is much faster when you choose Business Capital USA. Also, the reliability of our loan – indicated by a high approval rate – is considered amongst the highest in-class.

Complete safety of your property & assets

Are you worried about the safety of your real estate, equipment, vehicles or gold? Worry not, as our loans need no collateral – just a personal guarantee of repayment is enough.

Get the maximum funding within your eligibility

The loan amount you get with us, can be any amount of your choice and we always work to deliver you the best estimate of loan eligibility, while also ensuring a fair margin of safety so it’s likely that your business would be able to cover the loan.

Competitive interest rates and easy payment

While alternative lending does make loans expensive, we always offer competitive deals for our business loans. Additionally, we provide repayment flexibility that – subject to your eligibility – enables monthly or bi-monthly payments, easy pre-payments and simple terms to extend loans if needed.

Repay conveniently

Not just flexibility, repayments with Business Capital USA are also designed to be easy. With the support of ACH transactions, you’re never likely to miss out on a repayment schedule.

Apply online

Having understood the benefits, if you are ready for the mall business loan, applying for it is an easy task! Just a simple online application gets you started and our team shall work with you once the details are filled in and submitted.