Learning the Facts About Small Business Loan Rates


Securing financial assistance for a small business enterprise can be difference between continued or suspended operations. In addition, emerging companies often lack the collateral, solid business history, and stellar credit rating needed to secure the lowest possible small business loan rates.

Although most business owners are aware of their exact funding needs, few are able to devote the countless hours and extensive labor costs needed to facilitate the best small business loan rates, and furthermore, getting the best rate is not always the highest priority.

However, by understanding the factors that determine small business loan rates, and by considering the entire costs involved with a loan, business owners can select the best financing option, and choose the one attainable for their specific business.

How Small Business Loan Rates Work

Generally speaking, even with SBA backed loan programs, lenders rely on a combination of factors to determine the interest rate for a small business loan.

Personal Credit Rating: Most traditional lenders do not differentiate between business credit history and the owner’s personal credit rating, making it difficult to qualify for a loan. However, if approved, the rating will play a significant role in determining small business loan rates.

Traditional funding institutions will require a strong credit rating and solid business history for approval, whereas other lending companies can work with business owners with less that perfect credit, offering financing solutions, regardless of previous credit history.

Time Period: The repayment period of the loan will contribute to small business loan rates, therefore business owners should consider short-term loans that offer access to funds quickly, without requiring hours of preparation, and lengthy approval times, generating considerable labor expenses.

Loan Amount: The loan amount will affect rates as well, but for most emerging entrepreneurs, simply qualifying for any amount of financing can prove so elusive, that finding a lender willing to issue a loan far outweighs subsequent higher small business loan rates.

Funds Application: A business loan that is apportioned for property or equipment purchases, or some other designated use, often qualifies for lower interest rates, calculating that the real property will act as security for the loan. Although, often the extensive paperwork and compliance forms required generate high labor costs, which cancel out any lower interest rates achieved by funds appropriation.

Financing Considerations

Before contacting a lender, business owners should consider the total cost of the loan, not just how to negotiate the lowest small business loan rates. In other words, there are intangible costs that can influence the financing decision.

The preparation time involved in traditional financing will generate labor and service costs that add a significant burden to the cash flow of the business, which expound if the time, materials, and energies consumed are found to be wasted, with an application rejection.

Another aspect to consider is the additional monthly drain to business resources with a fixed repayment amount. Whether or not the business has a record sales month or a slow one, the loan payment never varies.

There is also the chance for lost revenue while waiting for a small business loan to be processed. Bank loans, and ones secured by the SBA require an extensive waiting period, and entrepreneurs in need of operating funds just aren’t in a position to keep the doors open while waiting on approval or the check.

Choosing a funding source that offers a streamlined application and qualification process, along with an effortless repayment plan, one that utilizes innovative technology, tailored to the business, can often provide immediate funding solutions that save labor, and therefore off-set the cost of the business loan rates.

Discover Superior Funding Sources Through a Business Cash Advance


To operate efficiently and ensure continued growth, small businesses today need the financial resources to weather fluctuations in the economy. However, it can be difficult for emerging entrepreneurs to arrange financing through traditional funding institutions, which require a lengthy application process.

Fortunately, there is a variety of lending alternatives available for business owners, and oftentimes, a business cash advance can provide a superior source of working capital for operational expenses.

Opposed to traditional loans, a business cash advance includes simplified approval requirements, flexible allocation of funds, and percentage based repayment terms, making this type of merchant funding a desirable option for many seasonal or service based businesses.

Faster, Easier Approval

The daily operational expenses to maintain a facility, workforce, and inventory require working capital, no matter the size, and these fixed costs don’t disappear during a slow sales month.

However, unlike traditional loans, the application for a merchant cash advance doesn’t rely on ownership credit scores, current net worth, or business credit history for approval.

Utilizing the company’s credit and debit card receipt record, a cash advance lender can review past sales and determine an amount according to the previous records.

The entire application process is streamlined with simplified procedures to create a speedy approval time of days, rather than the weeks or months required by banks or other loan institutions. Even companies with a less than stellar payment history can qualify based on actual sales.

Flexible Funds Allocation

Most traditional loans specify where and how the funds can be utilized in the business. A loan for an equipment upgrade provides the exact amount for the purchase, which then becomes listed as collateral for the loan.

Yet, a business cash advance allows small business owners the flexibility to allocate the funds at their own discretion. This option enables the proprietor to place additional capital where it is needed most.

Innovative Repayment Plan

Even simple interest loans establish a fixed monthly payment amount, but businesses that function under certain conditions, such as catering to a specific demographic, or operate based on seasonal tourism or products, know that fluctuating sales can affect their ability to make monthly payments.

business cash advance is different. By implementing a new card terminal system or using your current system, the lender is able receive a percentage of each transaction, and apply the amount to the repayment. Essentially, the business repays the cash advance through a designated portion of each transaction.

Extremely helpful during slow weeks or months, this type of innovative plan allows businesses the freedom to operate without an additional monthly bill.

A business cash advance provides superior financing solutions for private practices, service-based companies, or any small business because it is able to offer approval, allocation, and payment flexibility that are absent through traditional lending avenues.


Alternative Funding Options For Medical Practice Loans


Operating an independent medical practice is fraught with financial challenges. Staff payroll, equipment replacements and upgrades, and leasing facility costs can be hefty, and when combined with the expenses of insurance requirements, disposable medical supplies, and the excessive professional services needed for compliance and billing, it’s little wonder why a healthcare visit seems so steep.

Moreover, the drastic changes that have recently taken place in the healthcare industry, largely due to legislation, will create significant alterations in the payment methods, and regulate the remuneration value medical professionals are able to receive for certain services.

Therefore, securing medical practice loans, which can enable independent healthcare professionals to continue business operations, make equipment purchases, or expand facilities, can prove rather elusive.

Fortunately, however, innovative lenders have developed alternative funding options that can provide the much needed operating capital and medical practice loans, to succor this vital industry.

New Sources

Recognizing a significant void in the financial industry, which left many small business owners out in the cold, new financing companies are offering alternative funding programs to bridge the gap generated by the stringent approval qualifications required by traditional lenders.

Unlike traditional banks and lending agencies who cover a broad range of financial services, these innovative lenders focus solely on finding the perfect financing solution for each client, and strive to deliver medical practice loans and cash advance solutions tailored to each individual healthcare operation.

These goal orientated lending companies have created a process, which allows them to consider a variety of acceptance criteria when determining qualification.

Better Options

Able to offer better financing options, these new lending companies provide funding alternatives that make it easy to apply and qualify for a medical practice loan.

  • Simplified Application Process. Eschewing the lengthy requirements and intricate paperwork of traditional lenders, the easy application can be completed in minutes, over the phone or by filling out a simple on-line questionnaire.
  • Easy Qualification. If additional information is needed for qualification, the lender is able to contact you quickly, utilizing a personalized, secure contact board.
  • Customized Financing. Whether the funding is needed for new equipment purchases, working capital, or expanding operations to better serve the community, customized financing solutions allows owners to choose the type, and terms of the medical practice loan that will best meet their needs


There are many advantages to contacting alternative lending company, such as customizing medical practice loans by arranging low rates, short terms, and low monthly payments.

Businesses may also apply for immediate cash advances. With innovative repayment options that exclude rigid repayment schedules, by allowing the business to pay back the loan, one transaction at a time. This is particularly convenient for veterinarians, chiropractors, and dentists who receive payment for their services at the time they’re rendered.

Having the resources available to continue operating an independent medical practice simply requires contacting a specialized lending company. With the many options and advantages they offer, acquiring the financing to bolster the business bottom line is easier than ever.

Discovering Financing Options and Business Loans for Women


With the economy still struggling, most traditional lenders are hesitant to offer business loans for women, without the inclusion of substantial collateral, and a superior credit rating. However, operating a service based business, or other small retail enterprise, rarely requires the use of large equipment, real estate, or other property that could provide the security for a loan.

Although, just because a proprietor has less than perfect credit, or limited tangible business assets, doesn’t mean that financing options aren’t available. Finding business loans for women simply requires investigation, and contacting a lender that offers customizable funding solutions for today’s small or medium size business owners.

Business Types

Entrepreneurs, who offer business-to-business services, often suffer from deficient working capitol to expand their operation, hire new employees, or open satellite locations. This can hinder the development and growth of the company, making it difficult to attract new clients, and generate new business.

Traditional lending companies rarely make business loans for women operating service-based companies, largely due to the fact that the company’s success depends solely on one or two primary individuals. With their stringent application process, relying almost exclusively on personal credit, or net worth, approval becomes infrequent at best.

However, there are alternative funding solutions available for the service-based industry, and some business examples that can qualify include:

  • Professional Accounting Services
  • Home Health Care
  • Independent Retailers and Restaurateurs
  • Cleaning Services
  • Private Medical Practice
  • Insurance Franchisees

Funding Options

Innovative lending companies, recognizing the need for alternative funding sources, are able to offer business loans for women, and other emerging entrepreneurs with a customized approach. Open-mindedly considering a variety of factors that traditional lenders ignore, these companies are able to provide the resources necessary to improve sales and propel business growth.

  • Merchant Advances. New technology has enabled great strides in the repayment procedures connected with a cash advance. The influx of funds can be directed to whatever area of the business needs fortifying, whether payroll, marketing, or purchases, according to the owner’s discretion. In addition, this type of financing doesn’t require a traditional monthly installment plan, as payments are made at the point of sale.
  • Business Loans. Even with numerous government based assistance programs, small business loan applications are relatively the same, and involve a lengthy application process. Often, after spending hours to prepare a business plan, organize financial statements, and create loan purpose narratives, the applicant still receives a rejection, despite Federal assurances.An alternative lending company however, is able to offer a streamlined application process, with acceptance taking as little as 24-48 hours, along with customizable terms, low monthly payments, and short term financing solutions.

Contacting the right lending source can transform a small business. One who has the ability to offer funding flexibility and customized financing, offering business loans for women using a simplified qualification process, can provide the tools needed to expand, succeed, and keep any company operating in the black.

Believe It or Not, Bad Credit Small Business Loans Are Attainable


To ensure that company accounts have the resources available to meet monthly operational costs and labor expenses, small business owners and emerging entrepreneurs must plan accordingly. However, increased materials costs, and fluctuations in the economy, tax regulations, and consumer spending patterns can occur overnight, effectively obliterating a carefully constructed budget.

Securing financial assistance through traditional funding avenues requires collateral, an established business history, and excellent credit ratings, but for small business owners with less than perfect credit, gaining loan approval can prove extremely difficult.

Oftentimes, businesses offering professional, retail, and support based services, must operate in the red, weathering sales irregularities through creative invoice management, and negotiating techniques. Even those entrepreneurs who possess stellar credit ratings can experience frustrating barriers to financial fluidity.

Fortunately, there are innovative, alternative funding sources available, specifically designed to meet small business cash flow deficiencies. Specialized lenders are able to offer customizable solutions for bad credit small business loans, transforming loan qualification processes and repayment options.

Singular Focus

Traditional lending institutions offer a variety of financial services, from savings accounts to investments, and therefore rely on rigid approval requirements to determine loan acceptance or rejection.

Alternately, lending companies that specialize in providing financial assistance for small businesses, and bad credit small business loans have the ability to evaluate additional criteria. Their singular focus allows these companies the freedom to develop customized loan programs, working capital cash advances, and attainable, bad credit small business loans.

Simplified Process

By streamlining the loan application, qualification, and distribution processes, a specialized funding company can eliminate the cumbersome paperwork, required lengthy business plan, and time consuming aggravations that accompany the traditional loan process.

The simplified methods are conducted through a secure, on-line application that is easy to complete. If additional information is required for approval, the company can then contact the applicant via a secure portal, created specifically for that customer.

Funds are then electronically transferred to business accounts, ensuring the fastest possible access to versatile working capital.

Recipients May utilize the funds in any way, including:

  • Operational expenses
  • Equipment purchases
  • Marketing strategies
  • New hires, payroll
  • Expansion

Payment Flexibility

Advancements in technology enable these lending agencies to organize and establish flexible repayment plans, intended to work in conjunction with the business’s current level of sales.

Consequently, business owners are spared the additional monthly bill, because the repayment terms are assessed and received at the time of each transaction, the percentage having been calculated and approved by both parties beforehand.

Particularly beneficial, these adaptable re-payment options, essentially allow business owners to repay the loan or cash advance when funds are available, either at the point of sale, or in a lump sum.

There are financial solutions for business owners with less than perfect credit. By contacting a capital advance lender and completing the simple application, companies can receive the financing they need to effectively operate, and expand their small business enterprise.

Expand Your Business With Unsecured Loans


Running a business has its risks and opportunities. For small business owners, accessing credit can be a challenge in the current economy. Mainstream lenders have great restrictions when it comes to approving small businesses for credit. For example, businesses may be required to have consistent cash flow, have been operating profitably for a number of years, and provide collateral of high values and so on. What happens when you need business finance but do not meet the requirements set by the mainstream lenders? You can apply for unsecured business loans.

Get Business Financing Even With Poor Credit

Unsecured financing is great for business owners because no collateral is required. Borrowers can access the funds they need, usually ranging from $5,000 to more than $500,000, without having to provide collateral. Therefore, businesses do not need to insure the debt with vehicles, property or other assets. Unsecured business financing offers businesses an opportunity to establish their credit rating without risking their assets.

Most unsecured business finances are not open ended like traditional loans. Unsecured loan lenders are flexible with their payment terms and approval guidelines. Therefore, businesses can get financing  with attractive terms to maintain their operations and can even receive additional funding based on their repayment history.

Retail store owners, restaurants, used car dealers, doctors, small groceries, insurance firms, clothing stores and other small and medium sized businesses are usually locked out of traditional business financing due to tough minimal requirements set by mainstream lenders. Such businesses can find relief in unsecured business loans from Commerce Capital Advance.

Boost Your Business With Unsecured Business Loans

Unsecured business finance is unrestricted as long as it is used for business purposes. As a small business owner, unexpected expenses can occur at any time. You may need to restock your shop, pay for supplies, purchase new working assets and so on. Such capital intensive emergencies may be crucial to the success of your business. When you need funds fast for business, you can find relief in unsecured business loans. If you have an existing relationship with a lender, you can get flexible amounts based on your requirements.

Another benefit of unsecured business loans is that it can be structured like a credit card. The lender can set a limit for your business as long as you pay the balance on time. If needed, the credit can be reused. The amount of loan you will be given will be smaller than that of secured loans in order to reduce the lender’s risk. However, when you make your payments as agreed, your limits can be raised and your payment terms reviewed to reflect your payments.

Paying Back Your Unsecured Loans

The payback period for unsecured business loans is flexible.  Your lender will give you a timeline that you are comfortable with. How you repay depends on the loan product you choose and the choice is yours.

While lenders do not ask for collateral for unsecured loans, there are penalties to be paid in case you default your payments. For example, your interest rates may be reviewed up or you can be slapped with other fines. In some cases, the lender may go to court to get permission to seize your business assets.

Businesses should ensure they do not default their unsecured business loans to avoid getting into bad debts.

Contact Commerce Capital Advance  to discuss your options and flexible repayment terms.

Accelerating Small Business Success through Franchising


Turning a small business enterprise into a franchise is an intelligent method for expanding an operation. Not only does it offer the ability to open additional locations, without a large drain on company resources, it can provide an exceptional source of revenue through the royalty and franchise fees it generates.

However, there is a developmental process for transforming an existing business into a coveted franchise, and it does require an initial investment. The best strategy for instigating a franchise involves a thorough plan and the capital to enact it. If the company lacks a specific budget for a franchise program, and since a business cash advance provides the quickest, easiest route of achievement, small business owners should investigate this option first.

Once an entrepreneur has performed a comprehensive analysis to determine whether their unique company can be profitable in other locations, for other investors, he or she can begin to execute a plan.

Depending upon the level of operation or type of business, companies can expedite the franchising process by utilizing convenient business cash advance or merchant loan options that are currently available. As an alternative to traditional small business funding, this type of financing streamlines loan procedures to provide companies with the required capital to institute franchise opportunities easier and more quickly.

Step 1

It is necessary to formulate an all-encompassing outline, or operational guidebook that details every aspect of the business. This step-by-step manual will provide the foundational strategy for any prospective investors, therefore it’s imperative that it contain a comprehensive list of operations, from the initial purchase through a successful two-year performance.

It should project a professional image, not only in its statistical and operational information, but in its appearance as well. To accomplish this goal, most entrepreneurs find that hiring a consulting service that specializes in producing such materials can offer the insight and expertise needed.

Step 2

The next step involves designing and establishing an effective marketing strategy that situates the business opportunity where it is highly visible to specific investors. Because most small businesses focus on customer demographics, this aspect is not always easy to identify.

The business marketing strategy should include not only the effective methods and techniques to generate interest, but also a pleasing prospectus that will create enthusiasm by offering concept strategies and marketing tools designed to promote the franchise.

Step 3

Final preparations include the development of the initial legal contracts required to protect the business and the investor throughout the franchise agreement. The purchase price, royalty fees, and service standards should be clearly evident, completely understood, and precisely written for mutual satisfaction.

Again, most small business owners should rely on professional counsel to ensure that the franchisee and the company owner’s rights are secure. Hiring a franchising service that is able to assist the entire process is wise.

Advancing a small business enterprise into a successful franchise operation can provide the expansion and profit needed to move a company into greater spheres of recognition and accomplishment, but should not be entered into lightly. A business cash advance or merchant loan offers the surest way to accelerate business growth through franchising opportunities.

Business Financing Made Simple


While large companies usually have access to the capital they need, small businesses in need of funds often find the money is very difficult to obtain. This is especially true since the recession of 2007. Before the recent economic problems, small business owners were able to fund their concerns through the use of credit cards or even home equity loans. It’s no secret that these sources of credit have been severely restricted, and small businessmen and women must look elsewhere for business financing.


Some entrepreneurs believe that banks will only lend money to those who can prove they don’t need it. This may not always be the case, but banks today demand lots of documentation, and even after proper paperwork has been submitted, loans are not easily forthcoming. Unfortunately, only the most stable and creditworthy businesses can obtain bank financing, and that takes many start-up businesses out of the realm of traditional financing.

Finance Companies

In the past, unsecured loans for up to $10,000 or more could be secured through finance companies. Anyone with reasonable credit could fill out an application and be relatively confident of an approval. Most of these companies are gone, however, and those that are still in existence do not freely lend money to struggling businesses.

SBA Loans

Even though the government guarantees the payment of Small Business Administration loans, these loans must still be originated by banks. Even though the government stands behind all SBA loans, most banks have significantly tightened their lending standards, and again, this money is only available for the well qualified borrower.

The Answer

Commerce Capital Advance Company was formed in 2008, and provides great alternatives for business financing. The company provides capital for small business growth through two main programs–merchant funding and business loans.

With merchant funding at Commerce Capital, an amount is advanced to the business based on credit card volume. No checks need to be written to pay back the advance because the company automatically takes a small percentage of every credit card transaction. Therefore, on days when a business has a large volume of credit card sales, the repayment amount will be larger. Conversely, on a slow credit card sales day, the repayment amount will be substantially less. This plan greatly benefits a small business because if cash flow is reduced on a certain day, advance repayments will be smaller.

Commerce Capital’s business loans work in a similar manner, but the amount loaned is not only based on credit card receipts. The entire business situation is analyzed, and a loan amount is calculated. The business will then have the loan repayments deducted directly from the company bank account on a regular basis. Again, no checks have to be written, and there is little danger of late payments since Commerce Capital initiates the payment transaction. Both Commerce Capital plans also allow for easy refinancing once the original advance or loan amount is paid.

Merchant funding and business loans are two excellent ways for small businesses to obtain the business financing they need for daily operations. Unlike traditional bank lenders, Commerce Capital looks at much more than raw credit scores, and over the past few years the company has helped scores of businesses get the capital they need.


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