Businesswomen of this decade are unstoppable; they are disciplined, confident, open-minded, competitive, creative, determined, passionate and assiduous. With all the stereotypical qualities of a good entrepreneur and business manager, they are achieving what they set their minds to! It is not surprising to know that 40% of American small business are women-owned. According to one report, there is a gross imbalance between the total number of a small business owned by women and the ration of the investment in their businesses. The researchers found out that women need to shift the conversation with potential investors towards ‘promotion’ from ‘prevention.’ Apart from this, the financial factor has a major role to play here as well. When it is time for external funding, women-owned business is overlooked. With time, multiple small business loans for women and grants have surfaced, and the lending institutions and programs are determined to help women achieve their dreams.
Business Loans for Women
The list of funding options under business loans for women is never-ending and versatile – fashioned to cater to every possible financial need.
- Term Loans
If you have carried out major changes in your business recently and you need money to cover the cost, then a term loan is an ideal funding option. This includes the rent of the new place, renovation, and remodeling expenses. A term loan allows taking a dip in a massive pool of money without boggling the incoming cash flow.
A term loan gives you access to up to $5 million and its remarkable repayment policy allows you to make the repayments up to 35 years.
The borrower must have been running a business for at least a year. The borrower must be at least 24 years old. And lastly, with a credit score of 600, you will be able to get a term loan.
How can I access term loans?
You can access a term loan by filling in the application, submitting all the business-related and financial documents along with a business plan, and then clicking submit. Now, wait for the lender’s response.
- Personal Loans
Women entrepreneurs can take advantage of a personal business loan by offering their financials and assets to the lender. With access to more than $35,000, with an interest rate of 5.99 – 36% and 3 to 5 years repayment terms, you can cover and bridge the financial gap.
You are an ideal candidate for a personal loan if you have a credit score of 640, have consistent cash flow, and are a permanent US citizen.
How can I access Personal Loans?
The rule is simple; fill an online application in three minutes and submit all the financial documents. Sit back, open a pack of popcorn and enjoy!
- Business Lines of Credit
To all the businesswomen out there, if you need access to revolving credit to cover short-term financial needs, we present business lines of credit. You can access $5,000 to $1 million, and an interest rate of 7 to 25%. You can choose from secured or unsecured lines of credit. Access the funds only when you need it.
Your business must be one year old; you must have a credit score of 630, and your business must be generating an annual revenue of $180,000.
How can I access a business line of credit?
Get your hands on a business line of credit application, business and tax return documents, balance sheet, credit score report, profit, and loss statement and driver’s license. Show your financial worth and convince the lender.
- Merchant Cash Advance
Apart from these funding options, businesswomen can take advantage of the merchant cash advance. This is an ideal funding option for women who work in retail. As many customers prefer to make payments via credit cards. The lender offers the cash in exchange for the future revenue of future credit card sales. You can get a cash advance up to $500,000, with 1.25 – 1.20 factor fee. A merchant cash advance has a ‘no collateral’ policy, and it comes with no upfront or hidden costs.
If your six-month-old business is processing $5,000 per month in Visa and MasterCard receipts, then you can easily qualify for a small business loan.
How can I access the Merchant Cash Advance?
You can access the Merchant Cash Advance by following the following steps:
- Fill an online application and enter all the important financial information along with the credit card and bank statement.
- You have to wait for 24 hours.
- After approval, you need access to business credit card and merchant accounts.
- Lastly, after reviewing the terms and conditions of the loan, you will sign the document and funds will be in your business bank account.
Cover all the financial glitches and your small business to new heights.
- Equipment Financing
For women business owners who need fund to purchase or upgrade their tools, apply for Equipment Financing. From the walk-in refrigerator to the commercial printer, lenders can finance any equipment.
You are the ideal candidate for the Equipment Financing, when you are running a small business for at least two years, have a credit score of 600 and can generate $130,000.
How can I access Equipment Financing?
Just like the rest of the business loans for women, you can access equipment financing in the same manner. Fill the form, attach the documents, submit, and get approved.
Apart from business loans for women, you can take financial aid from financial grants for women. When you are applying for a small business loan, you have to make the repayment on time. If you think making repayments is hard, then applying for a business grant is a better solution. One thing that is worth mentioning, a business grant does not offer a huge amount of money. So have a look at the following grants and pick the one that befits your business.
- Amber Grant
One capable and hard-working women set the foundation of Amber Grant in 1998. Since then, this program offers $2,000 to a woman every month. Every month, a different women entrepreneur gets the money. And the end of the year, this program awards $25,000 to one of the following 12 monthly winners.
To participate in this grant, you must be 18 years old and must be operating the business by residing in the United States of America.
How can I access Amber Grant?
To access Amber Grant, you have to apply for the grant by filling out the application by visiting their official page and submitting an application before the 30th of every month. And you have to pay an application fee of $15.
- Cartier Women’s Initiative
It is an ideal grant program for women who are in the initial stages of their small businesses. Through this grant, you will be offered $100,000 if your business plan and financial position are outstanding for the judges. As the amount of money offered through these grants is high, so the competition is tougher.
The eligibility criterion for this grant is very laid back; all they need is a profitable business plan and a novel business concept.
How can I access the Cartier Women’s Initiative?
First, you need to fill an application form online; you can’t fill in the application form whenever you want. The application opens at a certain time. For 2020, the application deadline is August 14, 2019. If you think your business has what it takes, then apply away!
- Girlboss Foundation
Girlboss Foundation helps creative women-owned businesses. If you work in the field of art, music, fashion, or design, this is your chance to get hands-on an extra couple of bucks. The winner of this grant gets $95,000, try your luck this time.
The qualification criteria are relaxed, the participant must be working in any of the above-mentioned fields, and be older than 18 years old.
How can I access Girlboss Foundation?
Now the June cycle of the application has passed, apply for the December cycle. Go to their official website, or head down to their social media channels and keep a lookout on other financial opportunities.
Now that you have a whole stream of small business loans and grants for women, make a wise pick. If you have decided to go with the business loans for women, head over to the official website of the Merchant Advisors, and apply away! To stay up to date, follow us on Twitter and Facebook (@Onlinecheck). If you have any question, feel free to call us on our toll-free number at (833) 827-4412, our loyal and keen financial advisor will answer your every question and guide you throughout the way. More power to the women entrepreneurs!