Getting Growth Capital Without Bank Loans

Having access to growth capital is essential for any business looking to thrive in a competitive economy. One of the oldest rules is that for businesses to grow, they must take out loans. That rule was broken a few years ago. Now, businesses of all sizes can get access to growth capital without going into debt, compromising credit ratings, or taking out loans.

Leveraging Receivables For Growth Capital

Instead of using bank loans for growth capital, business owners can find financing from with, by leveraging receivables. Accounts receivable financing, or factoring, eliminates payment schedules for businesses. Instead of waiting 30 days or longer for customers to remit payments on invoices, factoring services can convert invoices to cash within 24 hours. Factoring gives businesses the opportunity to not only get on top of a backlog of unsettled accounts, but also accrue growth capital instead of waiting for it to trickle in with each customer payment.

Purchase Order Financing

Sometimes growth needs to happen by expanding the customer base. Unfortunately, taking on larger customers is a challenge is the internal resources are not there to cover the work required to fill the orders. Purchase order financing provides an advance in working capital to take on larger customer orders, without the strings of traditional bank loans. By taking on larger orders, a business receives more revenue, and can grow rapidly instead of incrementally. Purchase order financing not only provides growth, but also the capital needed for small businesses to compete and carve out a larger market share.

Merchant Cash Advances

There was a time when merchant cash advances were only used by businesses when they were experiencing a strain on finances. However, businesses are now using merchant cash advances for growth capital, especially in anticipation of a heavy sales period. Merchant cash advances are debt-free solutions which can be used to stock up on inventory, materials, hire additional staff, or anything else needed before a big sales period. Merchant cash advances are used by seasonal businesses and companies on the verge of rolling out new products and services, in order to increase sales and reap the growth revenue they need to take things to the next level.

Get The Growth Capital You Need

Vantage Commercial Capital has a wide range of financial solutions for growth-focused businesses. Our team will work with you to understand your goals, and then arrange a customized financial strategy to help you get the growth capital you need.