Examining Commonly Overlooked Financing Strategies
Most people would agree that health is important. But those same people are often making big mistakes in overlooking just what goes into a healthy lifestyle. People often use the term financial health as an abstract concept. But financial health really is just as important as physical or mental health. In fact, it contributes rather heavily to both. Anyone who cares about their health needs to look after every aspect of it. But financial health is a little trickier than physical or mental health issues.
Imagine someone who needs some form of financing strategy in order to push forward in his career path. This also showcases how financial health impacts mental health. Business strategies take a toll on people in the long run. People who have a great business idea for themselves but can’t take it to suffer under tremendous stress. But likewise, people who have taken that leap and are struggling for funds do so as well. This highlights the extreme importance of maintaining financial health as the foundation for one’s overall health. But how does one go about it? In general, there are a few financial strategies for financing which people are often unaware of.
Local hard money loans are one of the more effective methods of getting money fast. It’s important to note that working locally is an important part of this process when possible. For example, someone in Raleigh knows that the local style and resources impact their transactions. As such, they’d look for Raleigh hard money loans. With Raleigh hard money loans essentially meaning that the loans would have a unique style appropriate to the region.
Because hard money loans are secured with the real property it’s even more important to use local resources when possible. In the previous example, someone from Raleigh will often have more insight and motivation to accept the proposition because they understand the value of a property.
One can also consider an application for government grants. It’s important to keep in mind that this tends to only be applicable to people in research-based industries. But there are enough borderline cases that one should give careful thought to whether or not they might actually be applicable. It’s always better to risk rejection than to never try at all. And there are some other industries which have a good opening. For example, the Department of Agriculture and the Department of Energy give grants.
People also tend to overlook the possibility of loans from a business development company. A business development company, or BDC, tends to make higher-value loans than banks. However, there is the downside that their rates are also usually higher than banks.
One of the biggest points to consider is that they’re often less tied down to red tape than other industries. They’re essentially trying to both predict and promote success. Anyone involved directly with business knows that one needs to focus on the human element in these cases. Banks are often much less able and willing to do so than a BDC.
Finally, one should consider online lending options. Former U.S. Treasury Secretary Larry Summers has stated that he expects online lenders to reach more than 70% of small businesses. It’s easy to see why he feels this way too. Many online lenders can even process every step of an application online. This vastly increases the range of support. It’s essentially using the Internet as a bridge between lenders and people interested in their services. Once again, the rates are usually higher than with a traditional bank. But the odds of securing a loan are also greatly increased over standard banks.