Payroll Protection Program Funding

Most of the second round of funding, the 660 billion for the Payroll Protection Program has now been distributed. This type of bridge funding has been beneficial to several small businesses, however, many of them will run short, as there are several restrictions. Many businesses will ultimately find themselves being squeezed by their landlords in high rent districts.

Hopefully, some of those details can be worked out but landlords also need to protect their investment, and if they make exceptions, they may find themselves in a precarious situation due to the COVID-19 environment. There’s an interesting article put out by the WSJ that explains several of these details. You can read this article by clicking on the link below.

At Capital Biz Solutions, we continue to assist business owners with the capital they need. We have multiple lenders in our lending portfolio that are lending in this environment.There’s no need to run short of working capital, which is the lifeline of all businesses. Please feel free to call me directly at 508 864 7758 or email me at gene@capitalbiz.net. Our team will find the appropriate loan facility for you. Please stay safe!

https://www.wsj.com/articles/for-many-small-businesses-u-s-coronavirus-aid-falls-short-11588325404 HERE

https://www.capitalbizsolutions.com

COVID 19 & Small Business

With over 30 Million unemployment claims filed, and many small businesses totally diminished due to the COVID -19 what does the future hold for small business in general? None of us have a crystal ball, but the good news is some states are ready to reopen in phases. At this juncture, I believe most business entrepreneurs agree that the cure, can’t outweigh the cause, and are ready to get back to work. Certainly, safety and safe practices are at the top of the agenda for all of us.

Many business owners are currently awaiting funding from parts of the Cares Act, the PPP program which appears to be held up in Congress for another round of funding, as the initial round seems to have has been allocated. Additionally, the (EIDL) Economic Injury Disaster Loans was also part of the initial 2 Trillion dollar roll out to assist business owners with working capital due to the economic shutdown.

Many business owners are attempting to retool while they are hanging on for dear life and still waiting for government funding. This entire economic shutdown has been a total nightmare to this nation and all nations around the globe. The government throwing more money at this softens the blow a bit, but we can’t buy our way out of this. We need to get the economic engine moving again. If your business is stuck waiting on government funding, you might consider some type of bridge capital until the cavalry arrives.

At Capital Biz Solutions we have several lenders that are lending in this environment. Most of these loan programs once qualified, close very quickly. These are extremely challenging times, something we’ve never experienced. Capital Biz Solutions is here to assist business owners with the working capital they need at the time they need it! Please feel free to email me at gene@capitalbiz.net. Or call me directly at 508 864 7758. You can also find us on the web at https://www.capitalbizsolutions.com. Please stay safe and healthy!

Providing Working Capital with SBA 7A & 504 Loans

Capital Biz Solutions is working to provide businesses the working capital they need with an assortment of loan facilities including SBA 7A and 504 loans.

We have access to several Preferred SBA lenders that we are currently working with that are providing our clients with a 7A or 504 loan program to accomplish their business goals. Additionally, we offer several other loan programs as options to our clients including term loans, equipment loans, receivable factoring, real estate loans and several other lending facilities.

. Businesses most often need working capital to fund their growth in a variety of ways. In many instances, business owners wait far too long to put in place the capital investment they need for operations, receivable backing, equipment purchasing, and a plethora of other reasons.

Unfortunately, this causes chaos when there’s a downturn in the economy or when their business cycle has contracted. At Capital Biz Solutions, we discuss your particular loan request at length and help you choose the appropriate program that best fits your needs.

We are here to advise you and walk you through the process so there are no surprises. We ensure you have a full understanding of what to expect. Navigating through this economic environment can be challenging, however, a cash infusion can be extremely beneficial when your business hits a bump in the road like many businesses have experienced . Please do not hesitate to call us at 508 864 7758. Or visit our website at capitalbizsolutions.com. We look forward to assisting you with your working capital needs now and in the future.

Introducing a Personal Loan Program for Business Owners

New business owners are usually concerned with start-up costs, cost overruns and several other factors that contribute to the nightmare of where they can obtain needed working capital? Prior to engaging full time in their new business, most entrepreneurs are still located at their current job, generating income. Until they decide to make the transition and leave their current position. Capital Biz Solutions has access to a personal program that can be extremely beneficial when you’re looking for working capital prior to leaving your current job. Listed below are the criteria you need to qualify.

• Personal Fico Scores 680 plus, the higher the more beneficial.

• Verifiable W2 income, the more the merrier.

• Personal DTI ratios need to be below 40%.

We will provide you a link at no cost to see if you qualify. We have successfully placed many different businesses in this program. Over three hundred traditional lenders compete in this lending platform. We have also assisted business owners that perhaps were a bit leveraged at their current bank with a couple of loans outstanding but ran their personal lives well and were able to qualify.

So, if you are in the hunt for working capital with flexible terms and loans that are unsecured this is the program for you. Please do not hesitate to call us at 508 864 7758. You can also visit our website at capitalbizsolutions.com or email me at gene@capitalbiz.net

Using a Home Equity Line to Fund Your New Business

Some new business owners choose to initially fund their working capital needs with a HELOC or Home Equity Line of Credit. This type of loan facility is basically a second mortgage and similar to a revolving line of credit. The interest rate is tied to the prime rate so when rates move up or down the interest rate on the HELOC adjusts.

This is basically an interest-only payment and the principle does not get addressed or paid down. A Home Equity Loan is a principal and interest payment for a specific term, which is much different than a HELOC. Using a HELOC can be easier to start, but the business owner should try to establish business credit with their traditional lender or alternative lenders. The cost of funds may be a little higher, but in the long run, it will pay dividends.

Many business owners get hung up on rate pricing. Many times these are business owners with compromised credit scores and have had their business loan requests denied. The better solution here is to begin a credit repair program. With small loans, although the rate is important, there are several other factors that should be considered. Loan flexibility and prepayment penalty clauses play a very unique role. Business term loans for a hard asset purchase i.e. equipment loans are usually set to the depreciable life of the asset, 5-7 years in most instances. Keep in mind, as you continue to draw down on your home equity line, the overall value/net equity of your home diminishes. You do not want to risk losing your home if your business fails! You can always refinance the debt of your HELOC with a term loan and once that loan is paid the equity in your home increases to at least the value it once was prior to the HELOC, or where the current real estate market value is at the time.

At Capital Biz Solutions we are not a one size fits all loan advisor. We’re able to provide business owners with the capital they need in a timely fashion. We have unique broker affiliations throughout the US providing the best solution for your particular loan request. Loan types range from Personal Loan Programs, SBA Funding, Equipment Loans, Revolving Lines of Credit, M&A, and Cannabis Funding. Please check us out on the web at https://www.capitalbizsolutions.com/ or call us at 508 864 7758. We look forward to serving you with your working capital needs.