Get a Business Loan with No Collateral
Business loans are often necessary in order to help a business through tough times or help them obtain the supplies, stock or employees they need. Business loans with no collateral are loans the business owner doesn't have to put anything up in order to obtain. This might include the ownership of the business, his or her home or something else. Below, you'll learn get a business loan with no collateral.
Instructions
1. Make sure your credit is good. With good credit, you can obtain an unsecured business loan more easily than you can with below average credit. Get a copy of your credit report by visiting www.annualcreditreport.com and requesting a free copy. Check to see if there are any negative marks on your credit and work on getting those taken care of. If there are marks on your credit that you know don't belong to you, file a dispute by writing and sending proof to the three major credit card bureaus.
2. Find unsecured loans. You can find loans offered by lenders who don't check your credit and don't demand collateral. Many of these lenders work through a company which puts them into contact with individuals like you who need an unsecured loan. There are many of these companies available, so do a little research to determine which company you'd like to go with. One such company can be found at http://www.yourloanservices.com/bad-credit-loan-personal-unsecured.html.
3. Try out people to people lending sources. Utilize people to people lending to find the funds you need. This is a relatively new thing, where wealthier individuals offer to loan money to individuals who need it. The lenders are simply looking to make a return on the money and don't mind if it's over a long period of time depending upon the amount of the money borrowed. This is a great way to get an unsecured loan and you can find companies offering people to people lending at www.prosper.com.
4. Turn to family and friends for assistance. Another option you have is to ask a family member or friend for a personal loan to cover the business expenses you have. You can set up an interest amount which would be less than a typical bank loan so that your family member or friend benefits. If you know someone who has the extra money and wouldn't mind giving you a business loan, this is a great way to avoid placing collateral up for the money. Often times, family and friends are more than happy to help with the business.
5. Utilize credit cards. If you have great credit, you can also use credit cards for the money you need. Apply for a high limit credit card with the lowest possible interest rate. Determine the amount you need and use only that for the business expenses you have. Then, simply pay off the debt using as much as possible each month. This is another great way to bypass a secured loan.
By following the steps above, you can obtain a business loan with no collateral so that you can help your business succeed and thrive.
Tags: your credit, people lending, people people, people people lending, business expenses