Small Business Financing FAQs
We provide answers to some common small business financing FAQs:
What are the different types of financing for small businesses?
There are several different types of small business financing. Specifically, these include loans or lines of credit from traditional banks, Small Business Administration (SBA) loans, crowdfunding, venture capital raises, leasing, factoring, and alternative financing options from providers like ZING Funding.
What’s the difference between loans with a traditional bank vs. an alternative lender?
Alternative financing providers like ZING Funding offer a faster and easier way to secure capital for your small business than working with a traditional bank. The application is simpler, the eligibility criteria are more flexible, and the required documentation is far less. Additionally, the overall review process is much quicker, and funding can be deposited into your bank account in as few as 2 business days.
How do I qualify for a small business loan?
Qualifying for a small business loan requires that you meet certain eligibility criteria. For example, the minimum personal credit score for a small business loan is typically 550. Other qualifying factors considered by lenders include how long you have been in business, your monthly deposit history, other loan payments you are making, and your average daily banking balance. Learn more about ZING Funding’s eligibility requirements.
What is the best type of financing for my small business?
Truly, the best type of funding for your small business depends on your specific business model and what you want to achieve for your business. Basic term loans provide a lump sum of cash that you pay back over a set period of time. A line of credit offers funding that is available to use only as you need it. And, with flex-pay, you can secure cash based on your unpaid invoices or future sales.
How much funding do I need for my small business?
Determining the right amount of funding required to achieve your goals without overextending your finances can be challenging. What’s more, ZING Funding provides a dedicated Business Growth Advisor to walk you through the process and answer questions based on your specific business needs.