3 Reason You Should Use A Credit Union For Your Business Loan Needs


I most of the time when business owners new entrepreneurs or experienced proprietors think about financing their businesses they think about their local banks which they should after all they drive by these organizations every day and might even have an account or two with them but there are times when these banks might not be the best options for landing the needed business loan either because the bank does not offer the loan product your company needs or because like most of us these days you just do not qualify under their heightened standards however that does not mean that you still cannot get the financing your business wants from start-up funding to growing an established business from a local financial institution of their in your bank did you know that some local credit unions also offer business loans and do you know that if they don’t they do offer other financing products that you can use to start or grow your business credit unions for business financing if you can get a loan from your bank great you should start there but if you can’t simply drive right over to your local credit union and see what loan programs they offer not only do you stand a good chance of getting the capital you need but you might be able to do it cheaper and with a lot less hassle let me explain first let’s call me see you for simplicity cubix when it comes to business financing offer the following benefits one business loans some cubix do provide true business loans the same products that your local bank offers and there are more of them doing this then you think further in many cases if the CU does make business loan they usually don’t have such high credit standards at other lenders do cubix tend to focus more on how your business and their loan impact the community at large not just their bottom line most cubics have lower credit score requirements better debt ratio limits lower overall collateral value levels and usually spend less effort on scrutinizing income and tax return information simply puts their business loan the same products that banks and other business lenders offer are easier to qualify for according to state employees see you in raleigh NC when talking about how they underwrite their loan products our focus is not on profits but unfair quality service so not only are their underwriting criteria easier to pass but since they make their loan decisions locally they tend to take more of your story into account which only benefits you and your ability to get approved to personal loans while banks also offer personal loans again cubix have easier approval standards and they are more flexible in the products they offer making their loans fit you and not the other way around now you might think that you don’t want a personal loan for your business but I am here to tell you that all loans business personal or otherwise from banks see you or private lenders are in fact all personal loans here’s why you apply for a business loan the type of lender does not matter and you jump through all the hoops required to qualify they look at your revenue or income they look at your current debt they look at and valuate your collateral and in the end they approve your request they tell you what your monthly payment will be they tell you how they are going to attach the claim to your assets and then here is the kicker they make you sign a personal guarantee even on a business loan it is this personal guarantee that washes away all that other stuff about business credit facilities because if your your business do not pay has agreed that personal guarantee allows that lender bank see you private lender to come after your personal income and assets to make that loan whole which is the very definition of a personal loan the one single item that you are looking to avoid by getting a business loan avoiding personal risk is also with the one single item you cannot avoid no matter what type of loan you are requesting however there is nothing that states that you cannot use the proceeds from a personal loan in order for your business bottom line here for you is this if you can’t get a business loan look to the personal or consumer products cubix offers money is just money after all and cubics make getting your hands on that needed money personal or business easier 3 cheap you’re all the way around as cubix are nonprofit they have lower application origination and processing fees on their loan products they have lower annual fees if any say on lines of credit and they usually charge lower interest rates all items that do nothing but benefit you and your business why overpay when you don’t have to from my credit union gov credit unions offer fees and loan rates that credit unions are generally lower while interest rates return to dividends paid on deposits are generally higher than banks and other for-profit institutions credit unions are democratically operated by members allowing account holders and equal say in how the credit union is operated regardless of how much they have invested in the credit union conclusion as I have hoped to point out here if you already have a relationship with a local bank then by all means approach that Bank for your business loan needs but if you don’t or if they turn you down there is no reason that you cannot just drive right over to one of your local credit unions and see if they will say yes to your same request credit unions offer a lot of benefits when it comes to business financing namely being easier to qualify for so in the end does it really matter where or what formed your business loan come in money is just money after all

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