Traditional Financing

Borrowing money to be repaid over time, often with interest.

• Bank Loans: Traditional loans for working capital, expansion, or equipment.
• Term Loans: Lump sum repaid over time with fixed/variable interest.
• Lines of Credit: Flexible access to funds, with interest paid only on borrowed amount.
• SBA Loans: Government-backed loans for small businesses.
• Equipment Financing: Loans/leases for purchasing equipment, using the equipment as collateral.
• Invoice Financing: Borrowing against unpaid invoices.
• Merchant Cash Advance (MCA): Lump sum in exchange for a percentage of future sales.

Short-Term Financing

For immediate, short-term needs.

• Microloans: Small loans, typically under $50k.
• Factoring: Selling receivables at a discount.
• Business Credit Cards: Short-term financing with rewards.
• Bridge Loans: Short-term funding to cover gaps until long-term financing is secured.

Alternative Financing

Non-traditional financing options.

• Crowdfunding (Rewards/Donation-based): Raising money via platforms like Kickstarter.
• Peer-to-Peer (P2P) Lending: Borrowing from individuals via online platforms.
• Revenue-Based Financing: Capital in exchange for a percentage of future revenue.

Each financing option has unique benefits and risks, depending on a business’s size, industry, and financial needs. business funding business financing business capital