You encounter different problems every day. You start by waking up and getting out of bed. You encounter trouble with work and colleagues upon arriving at the office. And who could forget all those bills and money problems?
Due to several economic crises, individuals tend to resort to different ways of earning money. Some are doing double jobs, while others are starting a business to make more than enough or even to save.
Compared to people who are working extra, more people opt to start businesses, especially at an early age. A survey from Phoenix University shows 63% of the people in their 20s wants to start their own business than be in the corporate world. However, not everyone has the resources in opening their dream business, but it can be possible with the help of an asset based loan.
What are Asset-Based Loans?
Asset-based loans are the business of borrowing or loaning money through entering an agreement powered by collateral. You can secure it with accounts receivable, inventory, equipment, or properties the borrower own. Also known as asset-based financing or commercial finance, this form of loaning service only caters to businesses and not consumers.
Should You Try Asset-Based Loans?
There may be doubts for a person to try an asset-based loan because of the collateral and this is purely understandable. If you are wondering if asset-based lending is for you, we got you several reasons as to why it is a good option for you to try.
Lesser Revenue History
Asset-based lenders are concerned less with your past cash-flows, profitability, or even personal savings and bank accounts. Hence, that will not stress you out if your request for a loan is approved. As mentioned, if you have collateral, then your loan is secured. That makes asset-based lending friendly for those who would want to start their business without money yet—especially young individuals who would want to venture into business.
It is Quick
No one likes their dreams shattered. If you want to start a business, for sure, you would want to make it happen. And if you already have a business, you would want it to prosper.
Asset-based lending would come to your aid. Just like you, asset-based lenders have the futuristic vision for the company you would wish to, or already own. As a result, they will be looking closely on your cash flow projections and sales to help you. They will also build solid relationships with you to help you make your business grow.
Flexible for Your Needs
Asset-based loans provide good options as they are structured on your lines of credit and, thus, adaptable to your financial needs. In using your line of credit, you’ll be able to get the loan you need whenever, wherever. That is minus the obligation to repay in full interest, and whether you use the money or not.
Never make money as an issue if you want to achieve your dream as you have asset-based lending to help you make your dreams come true.