Starting a business begins long before you fill out an application for business financing—and addressing these issues can help you secure that financing. Every startup needs access to capital, whether for funding product development, for initial rollout efforts, acquiring inventory, or paying that first employee and most entrepreneurs think first of bank loans as the primary source of money.
Write a detailed business plan
- You wouldn’t start building a house without a blueprint; you shouldn’t start your company without a business plan
- Business plans typically map out the course of the business for 3-5 years, and are reviewed and revised regularly as the business moves forward
- There are many books and online resources that can help with writing a formal business plan; the Small Business Formation website is a good place to start
Set up your professional support system
- Find an accountant who specializes in your type and size of business
- Depending on your business, you may also need to engage the services of an attorney
- Having the right professionals in place from the start accomplishes 2 major goals: They’ll have a complete understanding of your business from day one, and your time will be freed up to run your business
Handle those administrative details
- Your business will need an employer identification number (EIN); the IRS website can help you with that
- You’ll need to register your business name, which is typically done at the administrative town or city where you live; your local chamber of commerce can help with specifics
- You’ll need to determine the legal structure of your business (sole proprietorship, partnership, Limited Liability Company (LLC), corporation, S corporation, nonprofit or cooperative); this is where your accountant and lawyer can help
Now you can start thinking about financing
- Most businesses qualify and get funded within 24 hours, no collateral, nominal paperwork and flexible payment schedule. Merchant must be based in the USA, have been in business at least 6 months with a minimum monthly revenue of $10k to qualify for funding. Getting funding is as easy as 1-2-3!
Kabbage has advanced over $1,000,000,000 to help small businesses grow.Kabbage is the #1 provider of working capital. In minutes, Kabbage can provide working capital to small businesses to help them grow.
- Access banking support and convenient tools to help you reach your business goals with Bank of America Customized small business banking solutions to improve your cash flow and streamline your business. Get access here
SafteyNetCredit (SNC) offers an alternative to traditional payday and short term loans. Over the past few years SafteyNetCredit has grown aggressively to over 170k customers who report back excellent TrustPilot reviews (9.2 out of 10).
- Your business plan is important to your financing: Many financial institutions who provide startup financing will want to see your plan as part of your application
- You’ll need that EIN for your financing application—and having an accountant and/or attorney alongside you throughout the application process is a smart idea. Get Cash now or have it available when you need it with Kabbage!