Are you tired of the tyranny of banks? Are you so worked up with their hypocrisy and bureaucracy of handling your loans in the most non-businesslike approach to dealings? Why not try an alternative business loan option that can actually benefit you better than banks? But is there really a way of obtaining a loan that is better than banks? The answer is yes! And there are not just one of those ways, but many.
And so, in this article, we will focus on all of the business loans that you can attain and put them against the workings of bank loans. While in the end, we will also reveal what we presume to be the best one among them. But you are free to judge them all yourself. So, shall we begin?
Alternative business loan options
Business is a field that not many people in this world are cut out for. It challenges you, rewards you for your hard work, and will just as easily break you down if you cut slack even for a second. The proceedings and evolving of your business can only happen through a good and fast capital. And if you are unable to find any capital investment for your business and yet have the zeal and confidence that you can, in fact, take your business to new heights. Then you must be considering getting loans yourself.
But as mentioned earlier, bank loans are not designed to function well with businesses. They are ponderous, time-consuming, and the feel of a business deal just does not come with them. Yet there are ways through which you can attain good alternative business loans options and they are as follows:
- Term loan: A term loan is a unique way of borrowing money. It has a rigid rate that can be secured. You can pay the term loan over the course of just twelve months to ten years. And the APR on the term loan would be quite good. But if you are expecting a large sum of money then you would have to provide good collateral to use it as a business loan.
- Business credit card: Getting a business credit card is your second best option for getting a business loan. They let you use the card with an interest rate of 10-20% and you also get several rewards and cashback. But you will only get approved for a business credit card if you have a good credit history.
- Merchant Cash Advance: Merchant Cash Advance is one of the most prevalent ways to get a loan. And this is also our pick for being the best alternative business loan option. The way it works is that you directly deal with a lender yourself and sign your own contract after a session of transparent negotiation. And even though the interest rate in MCA is a bit higher than bank loans and other alternative loans, it still is better as it does not require any collateral or a history of credit. Merchant Cash Advance depends upon your business and has been made especially for businesses, by the businesses.
And so, here are our picks for the best alternative business loan options, you can choose whichever type of loan that fits you and helps you expand your business. But choose wisely, because it is, after all, a business.