If you’re at the point where you’ve kept costs low and even reinvested your profit, but you are still in need of fast funding, then, congratulations! You’re one step closer to achieving your dream. 

If your small business loan has been declined, don’t worry. 2020 is an especially precarious time for small businesses to obtain loans. On the bright side, there are many small business funding options to choose from, including: 

• Family lending: You’ve probably thought of this and may have even been hesitant to take this route. If you have family members who would be willing to help get your idea off the ground, it’s a good alternative to bank loans (for some obvious reasons). Some family members will give you the money as a gift, but you can also promise back interest or equity. Whatever agreement you come to, it’s best to get this in writing with signatures so it’s legally binding. 

• Equity: Equity is the sale of a stake in your business. You can give equity to an individual, group of investors, crowdsourcing platforms or private equity houses. At the start, the most common type of investor may be an angel investor, granting you with your first influx of cash. In your future rounds of funding, it’s common for venture capitalists to join the party. When your business is in good standing and perhaps ready to go public or make an exit, then private equity firms may make their appearance. 

• Crowdfunding: There are crowdfunding platforms that can help you greatly widen your market. Crowdfunding is the process of sourcing money from a group of people. There are several well-known platforms in existence. Here are some popular websites for this service: Kickstarter (project funding), Fundable (business funding), Indiegogo (product funding). 

• Asset Financing: You have the option to borrow against assets you’ll need for your business. For example, you can borrow against equipment you’ll need to purchase or even stock. 

• Merchant Cash Advance: A merchant cash advance allows you to borrow against a portion of your future credit card sales. One of the most desirable aspects of a merchant cash advance is that the amount you pay back can be based on your monthly sales. So, if you have a slow month, you won’t be disproportionately affected. Check out our programs to help find what works for your business needs. 

• Invoice Financing: If your business has been running and you are owed outstanding invoice payments, then you can borrow against them. While you wait to collect on account receivables, you can get fast cash by selling the invoices to an auction platform or directly to a provider. The goal is that when your customer pays their invoice, you will easily be able to pay back the advance. 

Remember that no matter what kind of funding you receive, no money is completely free. You should evaluate your risks, especially of not being able to pay back the amount you have borrowed. It’s also important to understand the interest rates (or equity) which is your cost of borrowing from any of these sources.