Categories
Asset Based Loan

What Vending Companies can do to increase their chances for Financing

Vending companies, companies that sell and distribute equipment such as Vending machines and Arcade games have always had more difficulty obtaining financing for reasons mentioned in a recent post.  In this segment, we will discuss what Vending companies can do to increase their chances of getting financing.

Vending companies can seek financing options that use other strengths of their company, such as cash flow, to secure the financing.  Instead of applying for an asset based loan, Vending companies can choose from a variety of financing options.  Another option is a basic business line of credit.  A business line of credit is significantly more difficult to qualify for, however, if a business has a longer time in business and there is strong business and personal credit, they may qualify for a business line of credit.

Further, if the Vending business provides the most recent 3 months business checking account statements, strong recent cash flow will assist them in their financing efforts.  If there is more than one owner and the 2nd owner has stronger credit, both owners signing will further allow the business to have a higher chance of qualifying.

Another way for a vending business to more easily qualify for financing is to apply for fewer pieces of equipment at one time.   This will allow for a more easy qualification process.   The final way is for businesses to voluntarily provide their financial statements.
Many business owners are under the impression that they should try to avoid submitting financial statements, even if their statements are strong.  This is an incorrect approach.
If the financial statements are strong, they should be submitted.

Categories
Asset Based Loan

Grants: Only for Non Profit Companies

Recently, some regular for profit companies have inquired how they can get free loan grants.    In general, Grants are not for profit companies, unless they fall into certain limited specific categories which sometimes change. For excellent alternatives to Grants, click below.

Click Complete Online App now.  Click on “Paper Clip” attachment at bottom right and attach the last 3 months bank statements, or just complete Application.
Or, On Cell Phone, just tap either Tel # link, 1-919-771-4177, then Press Dial on your phone.   You can Tap / Click  Contact-Me, complete and we will contact you.

The public often believes that grants are available from the Government and do not have to be paid back.   Grants are given mostly to non profit businesses.  There are some exceptions that change over time.  States may issue grants business in certain industries.  For example, certain technical or scientific industries that government wants help from private industry in.

They sometimes states will issue Grants to certain businesses in the farming sector as States wish to promote the continued health of farming in their States.   There are also instances in which certain minority owned businesses may be provided Grants.   In general, For profit businesses do not receive Grants.   Federal and State governments do not wish to provide money from revenues to businesses that are engaged in for profit endeavors.

Many new businesses that need a start up business loan look for help. They contact companies who advertise they can get grants for private companies.  Many of these advertisements do not say that grants are mostly for non profit businesses.    There are also many companies that advertise books as well as online books that are sold on how to obtain Grants.   These fall into the same category in that these books are being sold on how to get something that in the vast majority of cases, does not exist.