Financing Small Business Growth
Every business has a life cycle; it has a start-up phase, and then it grows (or shrinks) and then it eventually dies. Many businesses have short lives, which end only a few years after launching. The most successful businesses obviously enjoy long lives. To get your business to grow and keep growing, there are no two ways about it, you are going to need resources.
There are many ways in which you can expand your business and make more money. You can perhaps offer a new service, or product. Or utilize a new marketing strategy to attract more customers? Or maybe you want to open another branch in another location. Financing growth can be a tricky initiative, but if you combine creativity with a good business mind and financial management, there are many options for realizing your dreams for business growth. Here are a several sources:
Allows you to rent pieces of equipment from lenders at an agreed upon rate. Equipment leasing companies are in abundance.
A microloan is a very small loan from private, nonprofit sources. The Small Business Administration has a microloan program for small businesses.
This is a loan from commercial finance institutions (not banks) in exchange for a companyâ€™s collateral assets â€“ in most cases accounts receivable and inventory.
This is your run-of-the-mill traditional option from a bank, complete with fixed interest rates, and periodic repayment schedule.
These are a variety of loans sponsored by the U.S. Small Business Administration
These loans are great for real estate, construction, etc.
Friends and relatives
Friends and relatives may be some of the biggest investors in your marvelous ideas
A small business accountant is an invaluable asset in financing your business growth. In addition to giving you valuable advice on your ideas for acquiring more money or resources, a small business accountant can look over the advantages and disadvantages of each option, while pointing out factors or potential problems that you may not have seen before. After selecting the best financing option for your particular business needs, a small business accountant can help you prepare and process your financing applications. Look through PASBAâ€™s directory to find Massachusetts accountants, Kentucky accountants, Colorado accountants, or accountants listed in any other state.
PASBA member accountants bring the collective resources of a nationwide network of Certified Public Accountants, Public Accountants,Â Enrolled Agents and other practitioners available to answer your tax and financial questions and streamline your business accounting, bookkeeping, and payroll operations. To find a trusted accountant in your area, visitÂ www.SmallBizAccountants.com.
Please be advised that, based on current IRS rules and standards, any advice contained herein is not intended to be used, nor can it be used, for the avoidance of any tax penalty that the IRS may assess related to this matter. Any information contained in this article, whether viewed or subsequently printed, cannot be relied upon as qualified tax and accounting advice.Â Any information contained in this article does not fall under the guidelines of IRS Circular 230.
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