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Tips For Small Businesses

4 Important Business Partners who Don’t Need Equity

Most small business owners will reach a point where they need to decide between taking on a partner by giving up equity, or gain whatever that individual has through debt or a large salary. This can happen when a business grows too fast and needs money to fill orders, when a new revenue avenue is opened up and someone with a specific skillset is needed, or when the business owner decides to bring in someone else to help with the business side of running the business. In any of these instances, the small business owners will run into someone who will offer their services or money in exchange for equity. Unfortunately, this can be a costly proposition in the long run. As such, many small …

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The 5 C’s of Credit for Small Business Owners

For many small business owners, credit will make or break their long-term success. Borrowing in lean months, during expansions, or early on when still building the company can keep the business moving forward when the revenue is not yet there. Then, when things pick up, paying off that debt can allow for greater freedom. But in order to get credit, especially as a new business, you need to understand the 5 C’s of credit, so that you understand what a lender is looking for from you. Otherwise, you might get overcharged in your rate or be completely excluded from lending, and either of those can quickly bankrupt a business.

Capital – Most lenders want to see cash in reserves before they will even consider lending. …

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