Small businesses always challenges. From funding at startup to financing for growth, and everything in between, being an entrepreneur is no easy feat. However, it is extremely rewarding if you can just stick with it. Knowing what lies ahead and being prepared is one of the best ways to keep going and growing.
When a company depends on regular clients, such as in service-oriented businesses including cleaning services or writing services, it can be easy to put all your eggs in one basket. One well-paying client can float a business, and taking on more clients could sacrifice quality to the one. If too much income percentage comes from one source of revenue, losing that client could mean losing your business. The struggle to find balance is real, and there is no clear cut answer. Knowing the issue could present itself is half the battle. Being able to foresee the problem and make preparations goes a long way toward building a successful business.
The cash flow problem is as old as business itself. There is an inevitable time delay between purchases and fund deposits. Even businesses that require sales to be paid at the point of service can experience cash flow issues. Having backup funding is imperative. A business line of credit is an excellent tool for this type of issue.
Financing Growth Opportunities
What if you are growing so fast that you need a larger building? What if the perfect building becomes available, but you do not have the cash necessary to make some necessary repairs before selling you own building? A line of credit could help with that. Imagine you have the opportunity to purchase some of your bestselling inventory in bulk at a huge discount, in turn generating a major profit increase. That is a great opportunity, but without the cash to make the purchase, you will miss out. This is another time that a line of credit can be extremely valuable.
Most of these challenges and many more can be met and overcome with a good lender. Biz2Credit has an extensive lender network, and we can help you find the right lender with the right financing products for your needs. Visit Biz2Credit.com today to get started.