Okay so your small business has been doing well, really well in fact, and it is time for you to expand.
Now, expanding your business sounds great, but to achieve this, you find that you are in need of some additional funds, just as you did when you first started your company.
What you may be in need of is a business expansion loan.
When an Expansion Loan is Needed
The success of a company can be found in its ability to expand, as growth signifies a healthy business. This can be seen in the hiring of new employees to take on the additional workload your company now has.
An expansion loan is helpful when the company starts generating new products, branching out into new or related territories that the company only now has the strength to do so.
And of course, the literal expansion of a company, opening of additional locations, is a sure sign of growth.
Though growth is a tell-tale sign of a company’s health, there are times in which some extra revenue is needed for one’s business dreams to be seen.
You may need an expansion on your small business loan.
What to do Before Applying for an Expansion Business Loan
All business owners are excited to have their company expand and corner the market on their product, but before this can happen, even before their expansion loan is signed and ready to be put into use one has to stop and ask, “What do I need before applying for an expansion loan?”
- Set up a realistic growth plan. Make sure to have a growth plan set up and that is as accurate as possible.
This plan should be used to consider how much revenue is expected to be earned, and how much is planned on being borrowed compared to how much is supposed to be made in return.
These are important to consider as you do not want to take a loan that the return does not match up with, either by not making a high enough return to square the loan away, or the funds from the loan not being sufficient to help with your company’s expansion adequately.
- Know what you qualify for. Make sure you are pursuing the proper loan as you don’t want to invest time and energy into one that at the end that is not applicable to your company because it is only for those who have been in businesses for less than two years and you are coming up on your third.
AmeriFactors offers top-tier associates skilled in understanding what form of funds, be they a business cash advance or an asset-based loan, best suits the needs of small businesses seeking to expand their horizons. For more information, please feel free to contact us at 1-800-884-FUND.