Obtaining Business Credit Cards, Its Harder Than You Think

Most small business owners believe that obtaining a business credit card is as easy as having good FICO scores and applying online. In some cases they are correct, but in most cases they are very wrong.

Applying for business credit cards without knowing what you are doing can damage your personal credit, get you declined, and make it impossible to get approval at other institutions for 6 months to a year. Why is that?

Currently there are about 30 banks and credit unions that are actively involved in issuing business credit cards. Each of these lenders has a different set of guidelines for approval, but there are a few underwriting items that hold true for almost all of them.

The first is debt utilization. These lenders want to see that your current debt utilization for all existing revolving accounts is less than 40% current account balances to your maximum approval limits. In simple terms, if you have $10,000 in total limits from 3 credit cards, they want to see that no more than 40% of $4,000 has currently been used. If your debt utilization is greater than 40% you will most likely be declined.

Second is do they have a personal relationship with you. Let’s face the facts, all these credit card providers want your personal business because that is where the higher limits are and that is where you are more likely to use the cards more often.  While some of these lenders will approve you for a business credit card, your approval limit will be much lower than if you already have a personal credit account with them.

Chase for example provides excellent terms and credit approvals for their personal credit cards. Once those are approved you can wait just 48 hours and apply for the business credit cards for which you are likely to see approval limits of double what you might have received without having the personal cards first. So the funny thing is that if you applied for just the business card you might have received an $8,000 approval. But by applying for the personal cards first you may have gotten approved for a total of $25,000 or more there and then the business approval comes in at $16,000 or more. Therefore instead of only $8,000 you may have obtained $40,000 in approvals from the same financial institution. All of which could be used towards supporting your business.

The bottom line is that applying for credit cards in general, for use in your business, is a very detailed process with a lot of moving parts. There is far more to it than simply FICO scores and online applications. What you as a consumer most likely do not know is that the first part of the approval process is all automated and completed computer to computer. You apply online via your computer and their computers start checking many other computers to determine the automated approval or decline decision and assign the credit limits based solely on what gets returned from those other computers. If you are a normal consumer once that happens you are done.

But the process is actually very far from being done. The next step is what is called the credit reconsideration lines. These allow you to connect with a live person and request that a live underwriter review your account to determine if the assigned credit limits can be increased. As with any live process, the underwriter will want to know why and what the increases will be used for. If you know the proper answers then many times credit limits can be increased manually from 25% up to 100%. We have even seen declines reversed for up to $20,000 in approvals. Most consumers have no idea these live person reconsideration lines exist and even if you did, you would have no clue as to how to most effectively utilize them.

Many lenders specializes in the placement of Unsecured Business Financing or UBF. Here we work with over 30 different banks and credit unions to maximize your approval limit opportunities.  The average per principle funding approval amount has been $108,000. The approvals are available to any business, startup or established does not matter. The approvals are based on the principal(s) of the business and not on the business itself, therefore if the business has four (4) principals it may be possible to obtain $400,000 in financing.

The process of finding out if you pre-qualify is a simple as contacting them to find out. There are no upfront fees and your only payment for the success in funding obtained on your behalf can be paid from the new credit lines that have been obtained for you so there is absolutely no risk to you and nothing to lose.

How to Get Business Credit Without a Personal Guarantee

Start Up Business Loans - Help for Your Business

Nowadays there are a variety of young entrepreneurs entering the financial field. They may not be able to flourish because as they are young they do not have a deep capital base. For such reasons start up business loans are designed.

These credits can be applied for by a business that is still on its training wheels. There are various needs in a business that require money for its fulfillment. Such as; purchase of machinery, tools and other supplies. They person who applied for these finances Can use them any way he chooses.

Start up business loans are offered to those who people who are running a legal business. The finance is granted only to a registered organization. The lender before granting the advance checks the profitability of the proposal he is to finance. If he does not think this endeavor to be profitable, he does not lend the credit.

These credits are generally unsecured as the business is fairly new. They may not any assets which can be pledged against the loaned amount. Thus the rate of interest rate charged is high. If the applicant is willing to pledge some security against the amount loaned to him, he can avail of more amount of money at a higher rate. The lender is safe in an unsecured loan, as if the borrower defaults in repayment, he can sell the asset and recover the money. He faces no risk in this kind of transaction. The amount granted ranges from £5000 - £5, 00,000 for a period of 5- 25 years.

These advances can also be applied for online. This mode is preferred by a number of people. This mode of application is free of cost. The borrower is only required to fill a simple application form giving details of his name, address and contact number. The entrepreneur is also required to have a valid current account and debit card.

Basics of Startup Business Loans

You have heard and are convinced that the best way to make money is to start your own business. Besides, you have this great business idea that will rake in the money in fistfuls. However, you need more money as capital than you have saved up for this. You have a few options before you. You can either sell equity in your new company to obtain finance or apply for startup business loans.

The Equity Route
If you chose the equity route, you need to share control of your business with your investors. This prevents you from having a free hand and slows down decision making - something that can affect the profitability of your enterprise. Moreover, you have to share your profits with the investors.

Startup Business Loans
You can also decide to obtain loans to help finance your startup. However, this is easier said than done. Most banks consider startup business loans as high-risk loans. This is because many businesses fail within a few years. Bankers consider small business loans for start ups as personal loans. So if your credit history is good, you have a fair chance of obtaining the loan.

You other option is to obtain the equipment you need on lease from finance companies. Since they retain a lien on the equipment, the interest rates are low and your credit history need not be very good.

Preparedness
Whether you choose to obtain a startup business loan or finance from a leasing company, you need to be prepared to answer all their questions. Have the proper documents such as your company's business ID as well as your business plan all ready. Financial documents that you need will include bank statements for the past three years in case yours is an existing business and potential opening day receipts in the case of a new business. Be clear in your mind about the nature of your business and provide convincing reasons why you think that your business will be profitable.

Bad Credit
Even if your credit history is not so good, you can obtain credit to run your startup. However, you need to keep in mind that obtaining bad credit startup loans is tougher. You have to go the extra mile to convince potential creditors of your business idea. As banks might not be in favor of lending to you, you need to approach the small business administration for getting credit business loans.

Minority and Women Run Businesses
In addition, if you are a member of a minority group or a woman, then you qualify for certain startup business loans. For this, the first step you need to take is get your business certified as owned by a person belonging to a minority group or a woman. Once you complete this step, obtaining a loan for your startup is easy.

The best way to obtain startup business loans is to convince potential creditors of your commitment to the idea and the financial viability of your business plan.

Online Lenders Seeking Bad Credit Borrowers For Christmas Loans

Just in time for Christmas, online lenders are seeking out borrowers with of all credit types, including bad credit, no credit, slow credit, bankruptcy, divorce, and more for Christmas loans. Thousands of borrowers are being approved right now for the Christmas cash they need to make this holiday season a special and memorable time for their families, and you can get your Christmas loan now, regardless of your past credit performance.

Your Bad Credit Does Not Matter To These Lenders

Why are online lenders eager for your business? Online lenders are developing a reputation for helping good, hard-working, honest people like yourself rebuild their credit files and move beyond the pasts that they have made in the past. Bad credit can happen to anyone, especially if you have experienced job loss due to layoff, illness, or injury. With the economy in such a horrid shape, many borrowers have found their credit scores falling because of a few missed payments. These online lenders are willing to extend credit to you now in order for your Christmas to be the best ever.

Avoid Stuffy Bankers

Additionally, online lenders have greater approval rates than traditional banking facilities because they have more money to loan! The small bank in your hometown does not have the working capital that large internet-based lenders can offer, and thus are willing to take fewer risks than online lenders do. With a credit score below 650, you can basically kiss your chances of getting a loan at a regular brick and mortar bank goodbye. They typically deal only with those who have pristine credit. Not the case with online lenders - they are actually seeking out borrowers with bad credit!

Up To $5,000 Available Now

You can use your bad credit Christmas loan to purchase the gifts that your family wants and needs, as well as pay for food and dining expenses, entertainment, travel, and much, much more. Bad credit borrowers can borrow as much as $5,000 from online lenders to make the holiday brighter.

You can choose from two loan types when you take out your Christmas loan for bad credit, the secured or unsecured. The secured loan will require you to pledge collateral to obtain your needed funding, but the unsecured will not. The secured bad credit Christmas loan has an advantage over the unsecured, however, in that you will not be charged as much in terms of interest, on the money that you borrow. Whichever loan type you choose, be certain to not borrow more money than you can afford to repay. Ideally, you should want to repay your Christmas loan within twelve months in the event that you need to borrow again next Christmas.

To apply for your bad credit Christmas loan, you will simply visit the secure website that has been established by your lender. From there, you can fill out a completely paperless application which is available 24 hours a day, seven days a week. You can be approved in a matter of minutes once you have completed your application, and have your Christmas cash deposited into your banking account via an electronic funds transfer.

Making it through tough times with Small Business Lending

A business line of credit is a very important tool for a small business owner to utilize as per need. No one can deny the fact that with an increase in your business operations and the number of clients that you serve in a single time, your need for more funds will also grow and in this case the best solution is to go for small business lending. A business line of credit will help you maintain the cash flow you require to meet all the short term cash needs of your business or organization. Often at times there is need for cash to meet the growing inventory concerns or dealing with cash issues that arise seasonally. When you come to think of it, your business might require a sudden influx of cash at any time or you might just end up missing out an opportunity of a lifetime.

A business line of credit will help a business or organization to stay in business. It helps continue the operations of the business which are vital to different clients and customers. When you opt to go for small business lending, it instills confidence in your large customer database that your business is running smoothly and that everything is in order. It also shows the customers that your business has the confidence of financial institutes and banks.

You might find it hard to get someone to finance small business lending for you if your business is relatively new in the industry or if it has just started out. The fact is that banks and other financial institutes are usually inclined to giving loans to those companies that are well placed in the industry and those that have been running for a long time. Companies that are in the early days of their business will have a hard time looking for a business line of credit. The survival rate of most business companies that are just starting out in the industry is not flattering at all. In fact most companies and businesses flop because they don't have the required funding and cash flow to help them make through the difficulties and tough times of the starting few years.

If your business is not more than two years old you will have to provide personal guarantees to banks or some kind of other collateral or co-signed agreement. This basically gives a confirmation to the bank that their money is safe regardless of whether the business is able to sustain itself or not. This also gives the banks confidence about the future of the business since the owners and other shareholders give their personal guarantees and invest their personal assets into it like a house or a car etc.

About Author: 50k guaranteed provides small business financing and small business lending that help growing any business without any effect of personal credit report of business debt.

A One Hour Payday Christmas Loan, Not a Question Asked

One hour pay day loans could be the quick and easy way to get holiday cash in your pocket. They require just a few minutes of time for shopping and applying, and cash is yours in an hour.

Christmas is just around the corner and you may be a little short of cash. Of course, it would not be prudent to enter the new year with an overwhelming debt. The nice thing about a one hour payday loan is that it requires repayment in 15 to 30 days, so it will not be hanging around like the odor of fish come the new year. And, a little extra financial injection is indeed a felicitous occurrence around the holidays.

How to Get a One Hour Payday Loan for the Holidays

Go to your computer. Punch in payday loan. You will be awarded with a plethora of lenders anxious to help you with a little extra holiday cash. Since there are so many lenders available, you should spend a while shopping to get the best interest rates and fees. A little prudent shopping will save you a ton of money over the short length of the loan. Before you decide on a lender, you should sit down and make a comprehensive shopping list, along with prices, to see what loan amount you should apply for. Try not to ask more than what your next paycheck will cover. After you have your budget and have selected a lender, the rest is easy.

If all goes well, you should have your cash in your account within an hour. You will not have to stand in any lines. You will not be asked unnecessary questions, you will not be asked to fax any documents. If you have bad credit, that is okay, too. These lenders do not check credit scores at all. Also, successfully completing a one hour pay day loan will actually put a good spin on your credit score.

One Hour May Stretch a Bit

Sometimes, though, things do not quite happen as planned. If the lender you have chosen cannot verify your credentials using online resources, you may be asked to fax or send scanned documents to your lender. Do not worry, This will just add a little or time to the application process. You may be asked to send a copy of a photo ID, a bank statement, a pay stub, a utility bill to prove residency. You may have a scanner or fax machine at home or the office. If not, go to the nearest library or go to a print shop such as Kinkos.

In spite of all this, you should have your holiday spending money in your bank account within just a few hours. The whole process is actually quite easy and you should still be in the mood to begin your holiday shopping. Just be sure to stick to the budget you made before your loan was processed.

A One Hour Payday Holiday Loan Will Not Ruin Your New Year

Nothing can make a new year seem bleaker than embarking on one with a pocketful of debt. That is the main reason this type of loan is so popular. The loan amount is large enough to make a difference for your holidayArticle Submission, yet it is small enough for you to handle without too much trouble in your new year.