When it comes to small business funding, lenders are naturally going to baulk at giving significant sums of money without security. While your business has great prospects, the lender has to look at the big picture as well as individual details.
Banks and traditional lenders are not in the role of a venture capitalist or angel investor. And while the latter are very much into speculative investments, they often want a lot for it. At the end of the day most of them are likely to want to own a significant chunk of the business that is now yours entirely.
What is the solution?
Home equity for small business funding
Were you aware that you can borrow against your home for your small business funding needs? Lenders love property as a security, and State Custodians Mortgage Company in particular will allow lending for business purposes with residential property as security.
This sort of small business borrowing may allow you to get the funding that you need at cheap home loan rates – not the over inflated rates that the banks charge for business loans. And you can also get a loan with the sort of features that makes operating your business easier, including:
• A line of credit for transactions
• Alternately, you can have an offset account, allowing the transactions to be separate from the loan itself. This can be especially handy if a portion of the loan is for personal purposes. The offset account can be used to reduce the interest paid on the personal portion, while keeping your business transactions separate from personal ones. It can also be done the other way around. You may want the offset to be used for personal transactions, because you don’t have any personal debt. You can then associate it with a loan portion used for business debt which reduces the interest your business has to pay.
• BPay capabilities
• Visa or Mastercard linked to the loan
• Rewards benefits
• Ability to receive bank transfers directly to the loan account
• Internet transactions
That’s just a start to the features available. Click on the menu above to see more details. If you are looking for sharp home loans yet you want the sorts of features that win national awards, then State Custodians Mortgage Company is the place to look!