What Can You Do With a Business Loan?
Are you thinking of starting a business or expanding your current one? If so, you may be wondering how to access liquid capital. Business loan services can provide the funding you need and are available to those who apply. Read on to learn how a business loan can take you to new heights!
Fund a Startup
If you're tired of working for other people and have an amazing idea, you may be ready to branch out and start your own company. First, you'll need some funding. Unless you have access to venture capital or a large surplus of savings in your bank account, a business loan is the first source of help.
Small business loans are available for individuals and small teams to get going. With business loan services, you can start a business from scratch as long as you have some form of collateral. Collateral is any physical object your loan provider can receive in case you default on your loan. In other words, do you have a house, car, or land you could put up as collateral? If so, you can back up a loan.
Expand Your Company
Running a business takes a lot of work. After staying open for a year or more and making profits, you may see that you're cut out for the task. As you look around at your success and the growth you've made, you may realize it's the perfect time to expand. Business loan services will come in handy to help make that expansion possible.
By expanding your company, you may finally be able to scale up your staff. If you've been a sole proprietor this whole time, you may be able to take the next leap by hiring employees and becoming an LLC or S corp. Successful marketing for any business takes time and money, and with a business loan you'll be able to step your game up in that area as well.
Regardless of your industry, you should network with other colleagues and successful businesses. Use your business loan to rub elbows with the right people at conferences. Many conferences can be expensive, so with the right funding, you can attend as many as you need. As a result, you can make several types of connections and gain more industry knowledge that can further aid in the next steps in your expansion.
Buy New Equipment
As you begin to scale up your staff, you need the right equipment for them to efficiently perform their job duties. That means you must buy more computer equipment, software, office supplies, desks, and seating. If your business involves going on the road, you can add to your fleet of vehicles and keep them maintained. Stay competitive with other companies by having the most modern equipment available.
Once you have your new equipment, you need enough funds to hire the right professionals to service that equipment as needed. As you may realize by now, technology can break down at any time. Check into outsourcing an IT team who can quickly service your equipment and prevent issues such as hacking that could cause major downtime in your company.
Enhance Marketing Efforts
If you started hands-on with your marketing techniques by printing your flyers and running your own social media account, it may now be time to pass the baton as you get going with your business. With business loan services, you can hire a designated agent or team to handle your marketing efforts. Hire a designated social media manager to post to social media accounts that can help your business. That person can engage with potential clientele commenting on your posts so you always remain active amongst your customer base. Kick things up a notch by outsourcing to a digital marketing company.
By hiring a digital marketing company, you'll have a group of experts who can handle your social media and keep your website on point. Your website says a lot about your business and is often the first point of contact for potential customers. According to SEO expert Niel Patel, 40% of people will only wait three seconds before they click away from a website that takes too long to load. If you haven't optimized your web presence yet, you can use business loan services to fix that problem.
Buy More Real Estate
As the years go on and you see more success in your company, you'll want commercial property that reflects that advancement. You may have reached the point where your current building is too small for all your needs or are not in the ideal location. When you started your business, you may have moved to a far-out location you could afford at the time. Now, you may be feeling the itch to move to a different city or state where you have more access to ideal clientele.
Your company can also improve its business tax situation. For example, many businesses love moving to places like Texas, Florida, and Colorado. These states have been known to be very lenient with regard to corporate and state income taxes.
Take on Remodeling Projects
Business loan services can also come in handy when it's time to make some renovations. Once you're ready to revamp your existing commercial property, you may need to replace your roof. According to Bob Vila, a popular home improvement expert, a typical asphalt roof can last about 20 years, while a roof made from metal or slate can last up to 70 years.
If you haven't updated your office spaces, it may be time to repair the flooring and purchase ergonomic furniture to replace your initial set of desks and chairs. Make the whole place look new again with interior and exterior painting. Your employees will appreciate the investment!
In addition to a new coat of paint, business loan services can allow you can further enhance the outside area by keeping a manicured commercial lawn and hiring landscapers to plant flower beds and trees. After all, whatever you can do to add to the curb appeal of your commercial property can go a long way in bringing in new customers off the street and impressing clientele coming in for meetings. When you add updated custom signage, you'll bring in more people off the street as.
Expand Through Acquisitions
If you've been in your industry long enough, you may get to the point where you want to acquire a new business. This is a common occurrence among big companies like Facebook, which acquired Instagram and Whatsapp. Business acquisitions can bring additional services and revenue under your umbrella without building a whole new department from scratch. However, even if your company has been successful and had great profits, you may not have the immediate cash to buy an entire company outright. However, you can solve that problem with the right business loan services.
As a business owner, you have many decisions to make when opening and expanding your business over the years. According to Fundera, 70% of small businesses have some form of outstanding debt, so it's clear to see that many businesses use loans to operate and expand. Just remember, as long as you stay profitable, you can pay back your outstanding debt over time. If you're ready to start or expand a small business, contact Chemung Canal Trust Company today for more information about your loan options.