Small Biz Finance 201: As a Sophomore, Do You Need a Loan?

Pile of Money Let’s say your business has not only survived the first couple of years, but is actually thriving. It is time to expand your inventory, invest in larger facilities or even open a new location. You have determined that you need a loan, but where do you find the right one? Is there such a thing as free government money for entrepreneurs?

In a previous podcast, Stefanie Krutilek of The Krutilek Group discussed cloud-based bookkeeping resources, tax organization and cash flow for new start-up companies, or “Freshmen.” Her latest Small Biz Finance Series podcast, recorded in May, addresses financing for young but established businesses known as “Sophomores.”

In this revealing conversation with interviewer Paula Guenon, Stefanie provides expert advice about the ins and outs of Small Business Administration (SBA) loans, microloans and traditional bank loans. She also explores an intriguing new approach to financing called balance sheet loans from online lenders—such as Kabbage or BodeTree, inspired by Buddha—that use financials generated by cloud-based accounting and bookkeeping software like Xero, as well as company social media data (in Kabbage’s case), to underwrite short-term funding. You’ll hear more fun details in the podcast!

In addition, since this interview aired, mobile merchant payment company Square announced that they are rolling out a new service called Square Capital that will offer cash advances to specially selected customers. A successful pilot program has already loaned tens of millions of dollars to small businesses in New York and San Francisco.

So, if you have a young, growing business ready to expand, get the inside scoop on the best funding alternatives for your company before approaching a bank or the SBA. Listen to this informative podcast here: Short Term Financing To Expand Your Business- The Who & How!

photo credit: Tracy O via photopin cc