Capital Advance: Getting You Through the Tough Times

Steve O'ConnorCapital Advance, Small Business FinancingLeave a Comment

A capital advance from Wellen is designed to help small business owners who may be facing a difficult financial situation whether it is a decrease in sales or the need for more capital in order to help the business to grow.

In the world of traditional banking, small business loans are more difficult than ever to secure; and for many small business owners, the time has come to look into alternative lending options. We understand that alternative lending options such as a capital advance can seem to be a potentially more expensive financing option than a traditional bank loan. But that may not always be the case, and sometimes, a little additional expense comes with valuable insights into your business.

At Wellen, we work with small business owners who are facing challenging financial decisions in order to become their trusted partner and to help them get their business back on track. . Anyone can lend you capital. But when you’re growing significantly and need more money, or when unexpected issues arise, —those are the moments when you need a capital partner who is willing and able to help.

Reasons Your Small Business Might Benefit from Alternative Lending

Because every small business’s financial situation is different from the rest, an in-depth analysis of how the business performs and is expected to perform will help determine the financing mix required to allow the business to thrive and grow. We have seen a variety of trends that could lead a small business owner to pursue alternative financing options:

  • Your small business makes less than $5 million in annual revenue. Banks are consistently showing less interest in small businesses that bring in less than $5 million because it is no longer an economically viable option for the bank.
  • You need a quick decision. Many alternative lenders use technology to underwrite applications, rather than traditional manual underwriting processes. Decisions can be made in minutes, not weeks.
  • You want more flexible terms. Banks tend to offer loans constructed in such a way to put the bank at the lowest risk level. With alternative financing options, you may have more flexibility to choose the option that best suits your business’s needs.

Capital advance allows small business owners more discretion in how they choose to spend the capital they receive, greaterliquidity, and expands access to capital for business owners who cannot get it elsewhere.

At Wellen, we work with your business as a partner, rather than strictly as a lender. Do you know how your business would handle an unexpected decline in sales? Margins that are suddenly thin? That’s why we’re here. Like you, we’re business owners; we face many of the same challenges and understand how to overcome them. It’s just one additional way we’re more than just a source of capital for our clients.

 

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