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    19 Replies Latest reply on Aug 18, 2008 1:27 PM by Chris_Black

    Small Business Credit

    tonegarage Newbie
      I'm having trouble obtaining credit with for my new business. My personal credit is not that good due to a nasty divorce. Can anyone guide me in a direction to obtain credit?
        • Re: Small Business Credit
          jgoldstein Newbie
          Best solution is to find a co-investor or partner with stronger credit, tangible assets to use as collateral, and especially a higher credit score.

          Most banks will only loan75% to 90% of the collateral value.

          • Re: Small Business Credit
            SCORE108 Wayfarer
            You might try the internet site They match individual borrowers to individual lenders. You could also look at a web site I maintain that has other internet sontacts. Look at and click on "Possible Source of Funds".
            • Re: Small Business Credit
              WEBillions Adventurer
              Follow the advice so far, but also try to get a business credit card. Only put small things on it and pay it off immediately. This will quickly build your credit. Start increasing the amount of your purchases, assuming you can pay it off quickly.
              • Re: Small Business Credit
                BLJRECEO Newbie
                Try to get credit with suppliers such as Office Depot and Staples. I've only had a EIN number for 3 or 4 months and they approved me.
                • Re: Small Business Credit
                  LUCKIEST Guide
                  tonegarage, Tell us more. What kind of business. Do you have a Lawyer (especially after a nasty divorce).
                  Sometimes you (or a good lawyer) can explain to credit companies what happened.
                  How was your credit before the divorce??
                  Visit SCORE in person or online. They help new businesses FREE.
                  • Re: Small Business Credit
                    WEBillions Adventurer
                    You can consider an
                    asset-based lender. The interest rate will be a little higher because
                    they are more likely to loan to what they consider higher risk
                    customers, but it's something.
                    • Re: Small Business Credit
                      1stMerchant Newbie
                      business owners such as most retail stores or restaurants usually opt
                      in for a business cash advances since they are not eligible for a
                      traditional business loan. Especially when repaying traditional bank
                      loans can destroy a the profits of the business. Thats where the
                      alternative financing comes to play.

                      Advantages of alternative financing:

                      · Business Cash Advances do not have to be repaid if your company were to have a slow day, month, or season.

                      · Business assets nor collateral have to be pledged to obtain a business cash advance.

                      · Non credit based. Bruised credit OK.

                      · Will not tie up your credit lines nor appear on your credit report.

                      · More cash flow available since you do not have to make debt payments.


                      Disadvantages of traditional loans or bank loans:

                      · Fixed monthly payments. Slow month? Doesn't matter, you need to make your payments.

                      · Will not qualify with bad credit

                      · Healthy tax returns required

                      · Appears on your credit report and puts a bottleneck on your overall line of credit

                      · Late on a payment? Your credit will likely get bruised for 7 years.


                      Business Cash Advance, a Good Alternative:

                      business cash advance is not a loan. It's a cash advance strictly based
                      on your credit card receivables. It's the same idea as factoring,
                      however with credit cards. The organization offering the business cash
                      advance provides funding based on the average amount of credit card
                      sales produced over a months time and generally will advance a small
                      business up to 135% of the monthly credit card processing volume.
                      Repayment is simple where a specified % of the merchants daily batches
                      are deducted daily until repayment of the advance.

                      There are
                      several business cash advance companies out there. Companies like 1st
                      Merchant Funding usually provides this type of cash advance as working
                      capital for most business owners that accept credit cards already at
                      their location.

                      More information can be found by referencing or by calling 866-710-2265
                      • Re: Small Business Credit
                        creditguy Newbie
                        Your business needs to establish itself independet of your credit.

                        Your business can borrow large amounts ($25k or more) with no personal guarantee, without even a credit check, if you agree to hold the proceeds of the loan on deposit. Then you can make monthly interest payments for a while before returning the deposited loan proceeds to repay the loan. This builds business credit in real dollar amounts because it can be done and reported to D&B and Experian Business Credit. You can have more than one account at a time. You can do the same thing with your personal credit, and have it reported to Experian, Trans Union and PRBC.

                        Also, in both cases, the lender will give you the option of refinancing their loan to you, using a BofA or other bank loan or line of credit. To get it done, they will post your deposited funds as collateral with the bank. Now you become the source of a big deposit and a cash-secured loan or line of credit for the bank, a big leg up. See
                        • Re: Small Business Credit
                          carson Newbie
                          Good Day Tone garage
                          can you take your time to let me know what type of business you are into and how you intend making funds repaid to an investor,i do want make an send mail to
                          • Re: Small Business Credit
                            Mark SLF Wayfarer
                            What do you need the money for? This will help determine how to get the money. Do you need extra supplies or inventory? Looking to purchase equipment? Do you need help with cash flows because your customers are paying too slow? The reason you need the money can help determine how and where to get it.
                            • Re: Small Business Credit
                              dtominus Wayfarer
                              How much are you looking for. I may be able to lend you the money , tell me what type of business you
                              and what you gross amonth email me at


                              David Tominus
                              • Re: Small Business Credit
                                dtominus Wayfarer
                                What type of business, I may be able to give you a loan , This is something I do.
                                please call me at 727-545-9530 or

                                David Tominus
                                personel investor
                                • Re: Small Business Credit
                                  heretohelp Newbie

                                  Please contact me at 781-341-0700. I can definitely discuss with you how you can meet your capital needs.

                                  • Re: Small Business Credit
                                    dorchonsure Newbie

                                    Firstly, you need to know how much exactly that will be able to carry your business to the level you want it.
                                    How much money you need will give you a focus towards where and how to get.
                                    • Re: Small Business Credit
                                      Chris_Black Newbie

                                      You have a few options open to you. You could always take on an investor, but this diminishes your ownership. You could get the business credit card; but watch out for the interest rates, as you said, your credit isn't great. You could also look into a business cash advance, this is what I can help you with. There are draw backs to a cash advance, like with everything, but for most small to medium size businesses the advantages far outweigh the draw backs. I would like to go over some of the details with you. Feel free to check out our website - - or send me an email - - or give me a call - (866) 942-9199 ext 223.

                                      I look forward to being able to help you with your financial needs.


                                      Chris Black
                                      Projects Director
                                      Making Obstacles Manageable, Inc.