Date post: | 31-Oct-2014 |
Category: |
Economy & Finance |
Upload: | jasmine-lane |
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Biz2credit Success Stories of Small Business Financing
Financing For Educational services:
Non profit school secure $ 2.5 M funding
A New York City non-profit school for
children with developmental issues
needed funding in order to expand
their facility
Biz2credit Success Stories of Small Business Financing
Comprehensive Kids Developmental School
Comprehensive Kids secure a $1M line of credit from a community bank.
The organization is also seeking an additional round of funding and has a commitment from a micro lender in the Biz2Credit network for another $500,000.
“Biz2Credit helps to comprehensive development school, secure a $1M line of credit at a time when it was very hard to get one.
Biz2credit Success Stories of Small Business Financing
Wholesale & Distribution:
Hitting the Road in Search of Small Business Financing
With harsh lending criteria to work with small, young businesses, big banks often present a challenge for small business borrowers
We wanted to find out who was lending, and Biz2Credit seemed to have the answers
So where did The WheelerShip turn? A quick online search for lending solutions for small businesses returned a link to Biz2Credit
Biz2Credit takes pride in being a support resource to small businesses in their quest for funding
Biz2credit Success Stories of Small Business Financing
Wholesale Distributor Increases Inventory with a Secured Line of Credit:
The Need:
The business owner needed financing to purchase excess stock and bridge the gap between the inventory purchase and payment.
Small Business Loan Solution:
After reviewing the business and personal financials of the entrepreneur, Biz2Credit recommended taking a line of credit against the strength of the business,accounts receivables and personal credit of the owner.
Results: Received a $200,000 line of credit of within 30 days Line provided at Prime Rate
Biz2credit Success Stories of Small Business Financing
Wholesale Distributor Increases Inventory with a Secured Line of Credit:
Benefits:
Strengthened future capital access for company Used financing to increase a dedicated sales agent Used financing to improve the company Web site and branding Improved positioning government contracts over $1 million a year
Distributors Lowers Financing cost and secures cash flow
To service large government contracts, the company must purchase inventories in bulk. However, receivables from the distribution business's 200 retail clients accounted for about 60 percent of the company's total revenue.
The distribution company wanted to ensure timely and secure payments from retail clients to maintain inventory purchasing power and cash flow stability.
Review and monitor business ratings and payment history of new and existing clients Publicize payment history and good standing of company to generate new business
Establish business credit that lowered the cost of financing by around 200 basis points
Success Stories of Small Business Financing
Wholesale Distribution Business Refinances an SBA Loan with a Traditional Loan:
Need In 2006, an entrepreneur used a 10-year SBA loan to purchase a small business
that distributes discount goods and beauty products
The business owner wanted to compensate for declining margins by adding clients and increasing sales volume
Entrepreneur needed extra inventory on hand to fill new orders quickly. Also, the 90-day payment cycle on these accounts stretched the working capital needs of the business.
Biz2credit Success Stories of Small Business Financing
Small Business Loan Solution: After reviewing the business and personal financials of the entrepreneur,
Biz2Credit recommended refinancing the SBA loan with a traditional loan and taking a line of credit against the strength of the business, accounts receivables and personal credit of the owner
Unlike a term loan, the entrepreneur only has to pay interest on the used amount of a line of credit
Biz2credit Success Stories of Small Business Financing
Benefits: Additional working capital to increase inventory
Ability to hire new dedicated sales agents
Ability to improve company website and visibility of the company
Increased access to credit