National Funding Survey Sheds Light on Small Business Borrowing This Holiday Season
More than a quarter of small business owners expect better sales this holiday season when compared to last year, a development that could lead to a need for more working capital, according to a recent survey from National Funding. In fact, 88 percent of small business owners held a neutral to positive outlook heading into the holidays, showcasing increased confidence in the overall economic recovery across the country.
As National Funding founder and CEO David Gilbert pointed out in a media release, the increased business activity that comes with the holiday season often translates to business owners seeking out additional financing for things such as inventory expansion and extra staff members.
While 4.3 percent of small business owners said they expect to borrow money over the holidays, Gilbert spotlighted how this number could rise significantly as the holiday shopping season draws closer.
“The truth is that 4.3 percent is probably under-reported because the majority of loans that arise during the holiday season are last minute,” Gilbert said. “Whether or not a small business believes they will need to borrow money, owners should always be planning ahead and anticipate the need for financing. These days, they have more alternative lending options.”
Whereas many business owners link loans with long-term obligations, sometimes a more short-term solution is called for.
“Most times, small to medium size businesses don’t need long-term financing, especially during the holiday season,” Gilbert continued. “Alternative lending options, like working capital loans, merchant cash advances or small ticket equipment leasing, offer the flexibility and quick turnaround needed for owners to keep their businesses running smoothly.”
Enjoying a personal touch
While the Internet provides business owners plenty of alternative lending options, many individuals still prefer to work one on one with a flesh-and-blood person who understands their specific needs.
The National Funding survey discovered 53 percent of respondents stated it was important to speak with someone personally about obtaining funding. This is why National Funding strives to keep the personal touch only another human being can offer as part of its practices.
“At National Funding, we have a dedicated sales team that personalizes the customer experience, so they are comfortable, fully informed and equipped to make the best decisions for their business,” Gilbert continued.
With so many business funding options to choose from, it’s more important than ever for owners to work with lenders who can tailor their products to meet specific requirements, both during the holiday sales rush and beyond.