Finding the right finance for your art business
Tips On Finding The Right Financier For Your Art Business
You’re on the move and are taking action about financing your art business the best way possible— through a lending company. This way, cash flow, capital, profit, and yes, even your savings won’t have to be disrupted as you acquire the amount you need for business equipment and vehicles.
Now, the question you’re asking is, “How will I know what lender to choose?” Here are expert tips that are surprisingly practical which you can easily try out today.
Guide In Looking For A Business Loan Lender
1. Know Your Business Plan
Before relying on lenders or lending companies, the essential point a business owner shouldn’t miss out on is to know his or her business and business plan. What strategy do you see your venture going on in the short-term? How about the long-term?
What are the projected expenditures for the coming months? The year after? What business equipment and vehicles will you need to make operations run smoother? Answer questions such as these to have a better grasp of your business plan’s cash-ins and cash-outs.
2. Interest Rates
Secondly, find out which among your target lenders are offering most competitive interest rates. This can mean which one offers the lowest. However, that will change if the rates will increase significantly after certain periods of time.
3. Loan Package Variety
The rule is that the more loan packages a lending agency has, the better. This can be telling of how diversified their group is. Plus, that’s a good sign for you because you’ll have more choices with regards to repayment packages.
4. Lender Experience
Now, here’s something that requires a bit of research (or most likely, just reading their company website). Know when the financier was established. How long have they been in business? Have they always had the same company name?
Another way to learn about the company’s history is if you know people who’ve experience taking out loans from them. For this step, don’t rely on the information you’ll see on their website. Not to make quick judgments here but there’s no way to verify how true all those positive feedback are.
In contrast, if you know a few people who’ve taken out loans from them before, ask them how their experience was? Do they have any intention of returning to the same company or have they already transferred to a different one because… reasons?
5. Application Fees And Top-Ups
Don’t let yourself get hooked on words like “free” and “no charge.” At least, not immediately. Verify that the application really won’t require any payment from you. Not only that, but the processing itself is free. And they should be.
Have your eyes and ears peeled the moment you see additional charges for services that, with other lenders, aren’t charged at all.
6. Customer Service
Customer service is make-or-break for the deal. You’ll want to rely on a lender that’s concerned about your situation and wants to help you move your business forward. Not a company that’s simply interested in what they can get from you.
Thus, test this out by communicating with them. Through their responses, you’ll have a good idea of what their customer service is like.