Business loans for owners without collateral.
Lending is a risky business, as a result banks and traditional lenders are hesitant to lend to businesses without adequate collateral.
No collateral? No loan. Sound familiar?
Business owners have struggled with this problem since money was first borrowed and lent. Lenders traditionally ask for collateral to back their loans.
Whether it’s a house, equipment, accounts receivable, or even inventory banks and traditional lenders always feel more comfortable lending behind collateral. This type of lending can be an issue for owners that run businesses with little collateral. Maybe you don’t have real estate or equipment. Or maybe you do, but there are already loans claiming those assets. Maybe it’s seasonal and your inventory levels are low. And if the business’ cash flow can’t get you a loan either owners can feel extremely frustrated with the lack of options.
A growing trend among traditional lenders.
After the 2009 Recession, banks pulled back to “safer” forms of lending, which to them means loans backed by collateral. A piece of real estate or heavy equipment can get you loans with rates as a low as single digits. Unfortunately, these options disappear if you lack the proper collateral or don’t have excellent credit to guarantee the loan. And the truth is that more and more businesses today are asset-light; meaning they don’t operate with a lot of collateral. Think of your modern day consulting firms, business services, ecommerce, etc all lack the collateral of old school manufacturers, brick and mortar retailers, and other more traditional businesses.
What are my options?
However, companies like Harper have stepped up to fill the void. We recognize that collateral is not necessary for all lending situations.
Every company is different and the ability to repay a loan should be based on the factors unique to that business. Traditional lenders’ rigid collateral requirements based on very traditional forms of underwriting can keep a good business from being funded. The Harper team understands how absolutely frustrating this reality is, and have dedicated ourselves to creating financing options for business owners of all types, even those with not quite perfect credit. Our team, including several serial entrepreneurs, understand this frustration all too closely.
Flexible solutions for the business… no collateral necessary.
Our financing solutions include no collateral loans for business owners seeking funding for working capital. Harper’s business capital loans feature easy paperwork, fast turnaround, and fixed payments. And best of all, we consider future revenue not physical assets in our loan process.
Even if you already have a loan outstanding on the business, we can still fund you! And if you’re a retail / ecommerce business that handles daily credit card transactions, Harper also offers a merchant cash advance that provides much needed funds in exchange for a specific percentage of future credit card sales. This allows owners to obtain the funding they need based on their revenue rather than collateral.
Give us a shout, you may be surprised at what’s available.
Give us a call at (310) 817-0376 or fill out your contact info to the right if you’re interested in learning what we can do for you. Our team is standing by and looks forward to working with you!
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