October 18 2016.

At the end of a long-winded application for a bank loan, it can be hugely disheartening to be turned down. In fact, studies have repeatedly shown that when a business owner gets a ‘no’ from their bank, the most likely outcome is they’ll give up entirely.

The next-most-likely outcomes are borrowing money from friends and family, or using a personal credit card for business purposes.

Sadly, it’s still all too common that business owners take these measures to help their business survive and grow. What’s worse is that much of the time, businesses seek loans for specific projects or costs, which means a ‘no’ isn’t just disheartening, it could also put your business at risk.

What are the alternatives to bank finance?
After the credit crunch, the banks’ appetite to lend to small businesses evaporated, and they started reducing or removing business overdrafts and saying ‘no’ to loan applications more often. To be fair, some of this was out of their hands, due to global banking regulations that were significantly tightened after 2007-8.

The good news is, it’s no longer necessary to depend on your bank, and there are too many alternatives to bank finance to name for one article!

Alternative finance providers sprung up to fill the gap, and there are now hundreds of products and providers available to business owners that are unsuccessful with the bank.

Alternative business loans
Many of the banks’ unsuccessful applicants are searching for straightforward business loans, and alternative providers are....

For the full story at smallbusiness.co.uk CLICK HERE