Business Loan Qualification
How do you know if your business is eligible?
- Credit Score550+
- Business Revenue$50,000 or greater
- Time in Business at least one year
Regardless of economic progress in recent years, women are still facing challenges in growing their businesses especially in securing working capital from banks and traditional lenders. Traditional lenders have tightened their lending criteria along with extensive documentation requirements, making it difficult for women business owners to apply for small business loans.
At Merchant Advisors, we understand the significance and aptitude of women and their role in today’s economy. We provide small business loans for women entrepreneurs to encourage them to work towards their small business goals by offering them a variety of financing options. We can free up your working capital by factoring your outstanding invoices, or by creating a customized small business loan or business line of credit solution. You also don't need a perfect credit score or collateral to get your small business loan approved.
Whether you’re s startup or an established business, you’ll likely need working capital from time to time for things like hiring new staff, inventory, payroll, upgrades, marketing and manage cash flow during seasonal lulls. Instead of tapping into your profits, using a small business loan can help you manage your daily business expenses while keeping your cash flow intact.
A small business loan is a great financial product to help you manage cash flow during a growth period or seasonal lulls. While applying for a small business loan, make sure to use due diligence on how you will use the funds. Getting quick access to capital is easy with Merchant Advisors small business loans for women.
Types of Small Business Loans for Women
Despite the growing number of women entrepreneurs in the small business industry, struggle and hardships persist. Fortunately, there are financing options available for women business owners to grow and succeed
Small Business Administration (SBA) loans are the best small business loans for women with the most competitive payment terms (7 years or longer) and interest rates (4% to 9%). In addition to SBA loans, SBA also offers many resources for female entrepreneurs. The SBA doesn’t lend the money directly, instead, it subsidizes a loan portion up to 85% of the loan amount if the borrower defaults. SBA also offers different loan programs including SBA microloan for startups and micro-businesses, SBA 7(a) loan program for general-purpose working capital, the SBA 504 loan program for the purchase of the commercial real estate and heavy equipment. The qualification criteria require a high credit score, a high annual revenue with extensive paperwork and longer approval time. So if you’re looking for financing for your women-owned business, apply for an SBA loan to see if you qualify.
A business line of credit is a flexible arrangement where you can draw money from an approved credit line by the lender. You can withdraw cash as much as you want from your credit line, considering you don't exceed the maximum limit of your credit line. A business line of credit from Merchant Advisors works similar to a credit card: you use funds as you need it and repay on a regular, predetermined schedule. You can borrow or use more money as your principal is paid down.
Term loans also provide a great way to fulfill your immediate financing needs, like handling a sudden emergency, bridging cash flow gaps or leveraging a new business opportunity. With short-term loans, you can obtain the cash within the same business day at low minimum credit score and paperwork requirements.
A business credit card is a great financing option to manage your business-related expenses as they incur. With a small business credit card, you can pay for expenses, build credit and earn rewards. A business credit card gives you fast access to a revolving line of credit, which you can use when you need it, without any hassle.
You can also use a working capital loan to manage your operational costs like rent, payroll, and debt payments. Working capital loans don’t require any collateral and often fund more quickly. Also, a working capital loan is the most suitable financing option if you’re seeking small business loans for women with bad credit. These loans are designed as bridge loans so you don’t have to tap into your cash flow.
Microloans offers smaller loan amounts, generally offered to those who can’t qualify for larger business loans. The SBA offers the Microloans with cash up to $50,000. A microloan can be the best small business loan option for your women-owned business when you need small cash to purchase essential supplies and inventory. They’re easy to qualify, especially for businesses with little-to-no revenue history or limited time in business.
Explore Your Small Business Loans for Women
How to Use a Small Business Loan for Women?
You can use a small business loan for women to cover business-related expenses. Here are some ways women can use small business loans to:
- Purchase more inventory
- Upgrade your equipment
- Hiring new staff
- Bridge cash flow gaps
- Expand office space or locations
- Manage cash flow during seasonal lulls
- Launch a new marketing campaign
More Resources for Business Loans for Women
There are other resources and programs available that are geared toward women entrepreneurs’ success, including.
In order to help women small business owners, the Small Business Administration (SBA) has almost a hundred Women’s Business Centers that are located across the US, focusing on providing the requiring training and counseling as well as small business loans to women-owned businesses.
If you’re in need of funding or looking for a mentor to help you through the funding process for your women-owned business, the SBA’s Women-Owned Business Portal is the best resource for you. They are offering online training and education to women-owned businesses. Additionally, you can find helpful articles and other resources that can help you in expanding your business.
Joining the US Women’s Chamber of Commerce provides an opportunity to help make a difference in the landscape and politics of women-driven small businesses. You will possibly meet different advocates for women entrepreneurship, have a say in policies and legislation and build your network.
If you’re a women-owned business, you should consider National Women Business Owners Corporation. At National Women Business Owners Corporation, you can also get access to government contracting opportunities and expand your small business to new markets as well as your customer base.
There are so many startup incubators available in the market, such as Womensphere Venture Incubator; however, some provide assistance to women business owners. Women who are in IT, mathematics or science industry can get funding easily from them. The venture incubator also provides help in launching a startup business.
Not every small business is able to secure funding from angel investors, and it is especially true for women-owned businesses. Almost 23% of women business owners reach out to angel investors for funding and 19% of them will be able to secure funding. The 37 Angels have a streamlined loan application process with a response time of four weeks.
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Why Merchant Advisors?
At Merchant Advisors, we understand your unique needs and provide customized small business loans to keep your small business progressing.
- Experience in the Industry
Helping small business owners since 1997
- Trusted by Small Businesses
Billions in funding to thousands of businesses nationwide
- Personalized Financing
Customized financing solutions to small business needs
- Quick Application Process
No cost, no-obligation application with funding in 24 hours
- Your Personal Loan Experts
Experienced loan experts helping you succeed
- Save Time and Money
Let’s be your helping hand so you can focus on growing your small business