Starting up and running a business could be one of the most satisfying things you’ll ever do in your entire professional life. It not only allows you to be your own boss, but it also gives you the freedom to grow at your own pace.
As self-satisfying as it is, it’s not a walk in the park. It can sometimes prove to be very challenging, even stressful. Especially when you clearly know that your business has great potential for growth and bigger profit numbers, but you lack the necessary funds to support it adequately.
The good news is that a small business loan is, in fact, not difficult to access. There are many loan providers who understand and cater precisely to the needs of small business owners and entrepreneurs like yourself.
What exactly is a small business loan?
In simple terms, small business loans are funds offered to various business owners by financing establishments at an interest. These may come in the form of SBA (Small Business Administration) term loans, business lines of credit or invoice financing.
It’s simply a loan that can be used to manage daily business expenses, buy new equipment, or even to invest in promotion and advertising.
The key question you need to answer before committing to a loan is “Can I make the repayment commitments?”. If you can give an affirmative reply to this (and you have good business credit) you should be able to get a small business loan.
Danny’s paradisical beach resort grew thanks to a small business loan
Danny Zamora, an American with Filipino roots, inherited from his parents a little known eleven-hectare beach resort on the island of Mactan in the southern Philippines.
Sadly, Portofino, this quaint, idyllic and beautiful beach with clear blue ocean waters and white sands was not attracting as many guests as he wanted. Danny knew that eyeing millennials as his target market was a good business decision.
He decided he needed to promote and advertise his beach resort to this demographic.
The problem was that he lacked funding to cover the costs of building a website and doing some advertising in the social media He figured he needed $20,000 in order to make this happen.
Prodded by a businessman friend, he applied for a small business loan, got it and hired a creative graphic artist to work on his website and social media efforts with spectacular visual images of Portofino. He decided to also give a slight makeover to the installations so that they’d look more appealing.
His website turned out spectacular, if that didn’t attract any new customers, nothing would. The social media ads were receiving lots of views and those users were slowly turning into potential clients incredibly fast.
After a year and a half, the number of tourists, local and foreign, who went to experience the beauty of his beach and to enjoy the thrills of nature by the sea went up to more than 100%. Portofino went from an unknown beach to a very well known tourist spot.
Today, 7 years after, Danny has an offer from one of the biggest international hotel and resort groups to buy Portofino for $4,000,000. He’s still not decided, after all, the place was given to him by his mom and dad after all. But, who knows? Maybe he will take up the offer.
It’s your turn
Now you know that Small Business Loans are great for any business owner that needs to invest in their business to make it grow. Shouldn’t you apply for one too? Don’t waste any more time and reap the benefits of more clients.