Having a stellar business plan and some good ideas is just the starting point when it comes to running a thriving enterprise. How you fund your venture also has a significant impact your company’s ability to succeed.
Traditional financing options are a good fit for some, but business owners with poor credit or unexpected hardships might want to think outside the box. Using your car as collateral is a simple way to generate income to invest in funding your new business.
Read on to learn more about financing your company with an auto title loan.
Keep up With Your Routine
Running a business takes a lot of time, work, and dedication. It’s important to not skip a beat, and the process for obtaining an auto title loan is quick and painless.
You don’t even have to give up your car before cashing in. That means that you can drive your car during the entire lifetime of your loan, from payout to payoff.
Don’t Let Bad Credit Hold You Back
Business owners with less-than-favorable credit can typically expect their loans to come with high interest rates, especially from larger banks and payday advance lenders.
Even if you have a low credit score, you can still gain funding with an auto title loan. The higher your credit score, the better your interest rate will likely be. But, since your car is also being used as collateral, you can expect to receive a better rate overall compared to comparable lending solutions.
Auto title loans also use your employment information to qualify you for approval. While credit can be based on a wide range of different factors, establishing solid employment is much more concrete. This takes the guesswork out of the application and approval process.
Cover All Costs
With an auto title loan, you can borrow anywhere from $2,000 to $50,000, or 25 to 50 percent of your car’s value.
Obtaining short-term cash gives you the freedom to take care of big and small renovations, repairs, or bills with one quick and easy process.
Auto title loans give you the money you need to install a security system, fix the plumbing, or repaint the storeroom.
Rather than using smaller increments – that collect more interest over time – auto title loans give you the option to extend your line of credit. You simply need to use your income and the current market value of your vehicle.
Save More Time
The verification process for an auto title loan depends on a few different factors, such as your car’s value, your credit, and your income. But, the process is still much faster than other avenues.
You can easily apply for an auto title loan online, and the entire process can be completed in just minutes. You can even find out if you prequalify for a loan the day you apply.
If your car is paid off and has a satisfactory market value, you could get the money you need in no time at all.
Repay Debt Seamlessly
Depending on the nature of your business expenses, you might be able to pay the amount back in full before you accrue any interest at all.
Even if you need a longer repayment plan, you can still reconcile your loan with one easy step through an auto title lender.
Choosing an auto title loan servicer that offers low interest rates will make your repayment process even less of a hassle.
Auto title loans are often an easier and more affordable alternative to other financing methods, such as high-interest credit cards and payday advances. If you need money quickly to put toward your small business expenses, an auto title loan is a simple, safe solution.