Whether you’re an enterprising entrepreneur or a resourceful investor, funding for your business or investment needs can be elusive.
There is no shortage of methods that can be used for business funding:
- personal savings
- retirement savings
- personal credit cards
- lines of credit on personal assets
- private money or partners
- business/personal loans
However, these methods may be limited in amount and/or require demanding qualifications. Even worse, some methods require use of YOUR money.
Personal capital should be the last resort of any entrepreneur or investor.
Here’s a smarter option: business credit w/ a personal guarantee. This is the route of least resistance.
3 Reasons Why You Should Choose Business Credit w/ a Personal Guarantee:
1. Minimum Qualifications
- Qualifying w/ a personal guarantee is straight-forward. There are only 2 requirements: good personal credit and healthy projected income. Lenders want to know how well an applicant has managed their personal funds, and if the applicant is able to project substantial earnings from their business’s products or services.
2. Quick Transfer of Funds
- Business credit refers to the securing of credit cards under your business entity. Typically, funding w/ a personal guarantee is swift and seamless. There are no long waits or strenuous application processes. Do you recall how quickly lending decisions came back after you applied for