If we have learned one thing from this year, it would be that nothing is set in stone, things can happen that are out of our control. As a business owner, these hiccups can be detrimental to your business’s success. One industry that has been affected recently would be the clothing retail industry. Luckily, there are financing options in place to help when these hiccups happen. Small Business Loans are a great way to upgrade your business, extend your cash flow, or to cover a hiccup. There are many options when it comes to finding the best business loan for your clothing store.
Advantages of Obtaining a Small Business Loan
There are many reasons why a Small Business Loan would be beneficial for your business. They can be utilized to expand your business, hire new staff, supplement cash flow, and more. Whether it’s a loan for a small retail shop or an expanding business, there are many benefits.
Easier Access to Capital
For businesses that are financially struggling, small business loans are the most accessible capital available. Banks are typically more cautious when it comes to approving businesses, especially when fluctuating finances.
Most small business loans have pretty flexible repayment periods, making them a better option than other alternatives. SBA Loans offer some of the longest repayment terms available, offering up to 25 years depending on your situation.
Building Your Business Credit
Receiving funding for a small business loan through your business can help you establish credit and build your business’s credit history. Building this positive credit history can provide your business with more loan options in the future.
Supplementing Cash Flow
It is common for businesses to experience cash flow fluctuations. A small business loan is helpful during these fluctuations to help supplement cash flow during a slow season. Having that cash flow cushion will also bring peace of mind that if needed, your business is taken care of.
What it takes to Qualify for a Business Loan
Most Small Business Loan requirements
- 3+ Months in Business: You can qualify for our top financing options with as little as 3+months in business.
- Although limited, there still are Startup Funding options when in business for less than 3 months.
- $15,000+ Monthly Gross Sales: The minimum revenue to qualify for financing options are $15,000 per month, or $180,000 in annual gross sales.
- No Minimum FICO: There are financing options for all credit profiles. There is no minimum FICO score required to apply!
Not sure how to apply for a Small Business Loan? It’s easy! Complete our Simple 15-second Business Loan Application today and qualify for a Small Business Loan in 12-48 hours!
How Can Your Clothing Store Use Funding?
Cash Flow: A common challenge all retailers face is fluctuating cash flow. This can affect many things, like keeping up with inventory of the latest trends and popular items. Keeping up with inventory is essential when owning a clothing store. Making sure you have the capital to keep inventory stocked is essential in your business’s success.
Hiring New Employees: With business growth comes the need for expansion and hiring more staff. In order to do so, you need the funds to do so. Expanding and hiring new employees is an investment, make sure you have the funds to invest.
Payroll: One of the most important and cash flow dependent variables when owning a small business. Not making payroll can be detrimental to your business, retaining your staff is pivotal. Having that extra capital can be extremely helpful when experiencing a slow period in sales.
Advertising: A social presence and quality advertising is very important in our media saturated society. Having extra capital to produce quality advertising, such as social media, email marketing campaigns, physical hardcopy flyers, etc, can launch your business to newer heights.
Applying for a small business loan can be overwhelming, especially if you’re not sure who qualifies for a small business loan. Figuring out what option is best for your small business is important. Our business advisors are ready to help you find the best small business loan for your store!
About the Author, Madison Taylor
Madison Taylor is the Brand Ambassador at ROK Financial. She is responsible for raising brand awareness and business relationships with business owners across the country. Madison loves that she plays a small role in getting Business Back To Business Through Simple Business Financing and looks forward to hearing what you think about the blogs she creates!Madison has been working in the financial space for six years, and loves it! When she is not at work, you will find her at home learning a new recipe to test out on her family or going on new adventures with her friends.