Therefore, you have been nursing the dreams of once owning a huge business empire and the thoughts, the desire, and ideas have been driving you crazy since they first hit your head? You even have the whole picture and plan in mind and you are wondering if you have just been building castles in the air? Well, worry no more! Business start up loan could be just what you are missing to complete the picture and make your dreams come true.
Business start up loan is the amount of money that you need to start that business either given by lending institutions or even individuals to ambitious people like you, who want to start up businesses. For the past decade or so, people who wanted to start up businesses from scratch found it very difficult for business start up loan to come by. For instance, you needed a lot of documentation, collaterals, recent financial capital flow budgets and even personal credit history if you had not been in the business for long. It even got worse for people who had bad credit or whose earlier business startups had failed within a few years or ended up in debts. Such were considered a great risk and thus un-creditworthy.
Today, all you need after you have asked your financier for a business start up loan is creativity and adequate preparedness. There are no more conventional requirements or long and unnecessary bureaucracies. However, realistically, nothing has actually changed. It is just that the traditional lending institutions have become more willing to undertake such risky ventures as business start up loans. Driven by their mission to help their customers succeed and risk taking, propensity banks are getting rid of the traditional barriers to business start up loan.
All that the bank manager needs from you is the name of your business and the amount you need. Then pap! No more updated and detailed business plans with all financial statements, business history, business projections and strategies, track record of you and your business partners and the like. Do not get me wrong; I am not saying that you can just walk to your bank manager and walk out with money just like that, but it is becoming more like it. Simply put, your business start up loan is not going to be granted based on your business status but on your financial strength.
Interestingly, business start up loan does not have to come from huge banks, as many people believe. One can start up even from family members, colleagues and friends. After all, these people trust you most than anybody else. If this does not seem to work for you, try getting your much needed business start up loan from institutions that you have been doing business with. These business partners already know what you can or cannot achieve and if this does not convince them, then you can try other lending institutions like credit unions, mortgage partners, established investors, government economic stimulus, NGO development initiatives and so on. These have less documentations, flexible rules and requirements than larger lending institutions. Therefore, if you have been having difficulties getting business start up loans from these big financial institutions, it is time you tried getting that approval from their smaller counterparts.