Growth is an essential goal for every healthy business. But growth requires capital, and a thriving business requires more growth capital as it expands compared to slow periods.
Why is Business Growth Important?
Growth is important because your competitors are growing, so if you don’t grow you lose market share, comparatively becoming weaker. Growth is energizing and confidence-building for employees and stakeholders. Growth enables a company to produce more products, provide more services, and innovate more. It helps to retain more customers and keep them satisfied. Achieving growth means that a company will be able to create more jobs, hire stronger employees, and pay them more over time. And you’ll be able to keep employees who want to grow with you. Business growth capital enables and helps propel growth.
Why Your Business Needs Growth Capital
Having growth capital facilitates healthy daily operations and helps encourage investors. It also provides the means to purchase equipment, add employees, enter new markets, purchase commercial real estate, increase advertising and marketing, and even acquire another company. And more capital is needed during growth periods to fund the needs of the business, such as more inventory, for example.
How to Get Growth Capital
Sources of Growth Capital Include:
Traditional commercial loans from banks and credit unions. They provide term loans and lines of credit to fuel company growth.
SBA-backed loans. These are exclusively focused on small businesses. They are guaranteed by the Small Business Administration and are available through the SBA’s partner financial institutions. They typically come with more favorable interest rates and longer payment periods compared to conventional financing.
Asset-based growth capital. In this instance, a company uses its assets including real estate, equipment, or inventory as collateral to obtain financing.
Alternative lenders. Alternative lenders can provide funding that can be more achievable than conventional lending.
Seek Expert Financing Assistance
Contact Spearing Capital & Consulting, Inc. based in Tampa, FL. We strive to provide the best in commercial finance consulting along with a strong financial portfolio of loans to help your business grow and flourish.