Small business confidence climbed in April as consumer sentiment and home prices grow beyond forecasts. Therefore, many small business owners may begin looking for financing from alternative lenders.
Small businesses are looking to expand their digital presence in 2013, so many small business owners are investing in digital marketing. To fund these digital efforts, small businesses will likely need to seek outside funding.
Although small business owners face a tough economic climate, seeking alternative financing may help an entrepreneur succeed.
A new, retroactive tax bill in California could force small business owners to pay up to $150 million in back taxes from the past five years. Since many will be unable to fund the new tax burden, many will have to seek financing for small business loans or merchant cash advances.
Businesses upped their investments in equipment leasing during March. U.S. companies invested $6.8 billion in new loans and equipment leases during March, a total that is up 45 percent from the month before, according to a recent index.
U.S. business borrowing from banks is slowing, suggesting firms are seeking alternative avenues of financing. Tight bank loan restrictions have led small businesses to look elsewhere for financing.
U.S. small business owners are starting to feel more optimistic about future profits. Small businesses are expecting better profits this year, despite fiscal uncertainty.
The Equipment Leasing and Finance Association’s (ELFA) Monthly Leasing and Finance Index indicated that March’s new business leasing volume came to $6.8 billion, a 45 percent month-over-month increase.
Merchant cash advance has steadily increased over the last five years. Since big banks are not lending, many small business owners have turned to alternative lenders, like National Funding, for their merchant cash advances.
As small business owners often have greater difficulties securing loans from banks, alternative lending and financing is on the rise. Small business owners stand a better chance at securing financing through alternative lenders than big banks.