Why Alternative Lenders Are an Entrepreneur’s Best Friend
Insight Small businesses often have trouble reaching 100 percent of their financing needs, but there are options available to them that cater to their unique needs.
Whether for additional inventory, expansion, or day-to-day operations, there are many reasons why a small business could use some extra capital.
Traditionally, banks and institutional lenders have been good financing options for small businesses. However, due to increasingly conservative lending practices, they often do not meet 100 percent of their financing needs, allowing alternative lenders to gain a foothold in an underserved market.
“Small business owners and entrepreneurs are always looking for additional and more flexible sources of capital,” says Stefan Capombassis, Vice President of Sales at Evolocity Financial Group, an alternative lender that provides Canadian businesses with quick and easy access to working capital online. “It’s important that entrepreneurs know there are other options available to them that cater to their unique needs as a small business.”
Borrow successfully, grow successfully
The prospect of obtaining financing is often perceived as daunting by many business owners, but it shouldn’t deter them from considering debt financing. “There can be a negative perception around financing,” says Capombassis. “Debt financing is a strategic decision that can help your small business grow and thrive.”
While there are many companies offering business financing, Capombassis emphasizes the importance of finding the right lender for your business. “Often, the rate or cost of capital ends up being the sole focus, but that’s only one consideration when evaluating financing,” he says.
He suggests that business owners also look for a lender who prioritizes transparency and a program that’s easy to understand. Ultimately, business owners want trustworthy suppliers that will have their best interests in mind. “Read the terms and conditions carefully and make sure that you’re comfortable with any fees, renewal rates, and practices,” he says. For business financing, Evolocity is that company.
“We see our clients as partners,” says Capombassis. “Our goal is to help them weather the ups and downs of their business and capitalize on opportunities that will help them to achieve long term success.”