Working Capital Loans

Managing day to day finances can be the most challenging aspect of running a small business, often leading to difficult situations, especially for new businesses.

Working capital is the cash requirement of a business to run its daily operations, often called as operating capital or operating liquidity as well.

Most of the times working capital is used to make purchases on inventory, on wages and salaries to people managing and enabling the inventory and making it an end product to sell in the market, on overhead costs like cost of transport, etc. which ultimately helps a business earn revenues and realize profits.

Managing working capital well is very important, as having enough resources to buy the necessary inventory is vital to your business’s revenues. Also, overutilization of working capital by hiring more work force than required or buying more inventory than necessary can be equally damaging, resulting in losses.

Hence, business owners and managers must work along carefully laden working capital management strategies to make the most out of their business, saving it from failure due to bad working capital management.

In fact, it is impossible for a business (be it new or old) to survive without adequate amount of working capital, as it may lead to discrepancies in their day to day operations making even the simplest of tasks difficult.

Hence, a good business with high prospects is perfectly capable of failing due to lack of working capital; even if everything else is in their favor, lack of money is enough to dampen even the brightest of business models.

So, what’s the solution?

WORKING CAPITAL LOAN

A working capital loan is an easy access cash loan to help a business run its day to day operations without shortage of cash in hand. It enables smooth functioning of a business, giving you enough cash in hand for optimum utilization of resources.

In fact, a working capital loan is all it takes to turn a failing business into a successful one (assuming everything else is working for you).

Here are few benefits of working capital loan:

• The working capital loans can help you with short term and midterm needs.
• Working Capital loans are flexible and have options for all business owners.
• Majority of working capital loans are unsecured which means you can easily have a loan even if you have a running loan on your property or even if you do not own a property, you are eligible for a working capital loan.
• Working Capital Loans usually come with a minimum documentation.
• You can use working capital loans as per the need of business. Most of the working capital loans come in the form of line of credit. You can use the line of credit as per the business’s requirement and pay the interest on the amount utilized.
• Lastly, you do not lose ownership of your business through working capital loans. Unlike, VCs or angel investors you do not give a stake of your business to someone in exchange for raising amount.

However, getting a working capital loan from traditional banks can be difficult for small businesses, especially the new ones or ones without good credit score for lack of enough security or assurance.

But, at Evergreen Funding Solutions, we offer various working capital financing options for small businesses who find it hard to get such loans from conventional sources.

We are an alternate financing institution, lending short term easy access loans without prejudices, for we don’t think much about credit scores (FICO score).

We lend up to USD 5,00,000 as working capital loans to small businesses, with bare minimum requirements of having been in business for at least 3 months, with minimum monthly revenues of at least USD 2,000 for businesses that accept credit cards and USD 20,000 for businesses which do not.

One can access these working capital loans through merchant cash advances or through other unsecured business loans.

Merchant Cash Advance is an alternate funding business solution, based on projections for future sales, dispersed as an advance to your business (explained further in next few paragraphs).

Evergreen Funding Solutions unsecured business loans on the other hand are collateral free business loans for small businesses with bad credit, who find it hard to get a security free loan from traditional lending institutions.

We are very easy with our credit requirements, which means most small businesses find it easy to be eligible for loans here.

We offer Working Capital for small businesses in the form of :

1. Funding solutions Merchant Cash Advances
2. Unsecured Business Loans

EVERGREEN FUNDING SOLUTIONS MERCHANT CASH ADVANCES

A merchant Cash advance is a business cash advance paid against an agreement with the business to sell future sales receivables at some discount for quick upfront cash at the moment. Where, through credit cards, an agreed upon percentage is deducted each month from the future sales as a payback against this advance.

This arrangement works on electronically scheduled payback process, resulting in very little actual effort or inconvenience for the business owners, leaving them time to indulge in other pressing matters of running a business.

However, if you do not want to process credit card for some reason then instead of paying via credit card processor, you deposit a portion of your business revenues. This can be very convenient for businesses which receive bulk of their revenues through different payment channels.

The best part about merchant cash advances is that there is no monthly bulk payment here. Also, during slow months the amount to be paid on advance basis may also be reduced. Clearly, a stress-free arrangement for most businesses.

A merchant cash advance may be used for anything in your business, as there are no restrictions on its usage. You may use it for expansion or to just pay off your debts. We hand you the advance based on your judgement, without questioning you.

In case, you have already borrowed a merchant cash advance from another lender in the past but for some reason you need it from Evergreen Funding Solution for a better rate of interest or a larger amount or for better service, then you have come to the right place.

At Evergreen Funding Solutions, we go an extra mile to comfort you. We will happily pay off your existing merchant cash advance, offering you a new one at better terms (a better rate of interest, larger cash amount, with no added costs).

We promise to meet your expectations at every level, offering you better service with no add on fees, taking into account the specific needs of your business. We have built a name for ourselves in the industry and we try hard to live up to that. Reach us to get a free quote on your merchant advance needs.

EVERGREEN FUNDING SOLUTIONS UNSECURED BUSINESS LOANS

Want to expand your business, but don’t have enough assets (security/ collateral) to get a business loan from traditional lenders?

In such a case, we are your hero.

Evergreen Funding Solutions offer unsecured business loans to businesses which do not meet traditional collateral requirement, as they may have bad credit, making them a risky proposition for lenders.

We, on the other hand, offer collateral free loans to such businesses, approving them for an unsecured working capital loan with our very lenient eligibility criteria.

To be eligible, all you need is- to have been in business for only 2 months, with minimum monthly revenue of at least USD 10,000, and a credit score of 500 (which is bare minimum and easily attainable).

You may require a list of documents including a driver’s license, bank statements, proof of ownership, business licenses, tax returns, property lease agreement and a voided cheque to apply.

The cost of unsecured working capital loan is determined upfront, with daily or weekly debits as a payback from business owner’s bank account. The duration of the loan is between 2 months to 36 months, depending on your eligibility.

The advantages of our collateral free funding are easy approval with no requirement of a collateral, with very little documentation at a quick turnaround.

Even though an unsecured loan may come at a slightly higher rate of interest compared to a secured loan, it is worth it as you don’t have your assets at stake here.

It helps you meet your immediate unexpected debt requirements, giving you an opportunity to develop your business at a much-needed time.

At Evergreen Funding Solutions, we have a quick turnaround for such loans for businesses like yours, so get in touch to know more about our easy funding options.

Before we end, here are some strategies to help you manage your working capital better-

• Estimate the exact requirement- The first and the foremost step in managing your business’s working capital is estimating how much you need? And this can be made possible by understanding everyday requirements and documenting it. A comprehensive analysis of your bank accounts, payments and receipts, outstanding invoices, etc. can give you a fair idea of what it takes to get through the month.

 

• Make projections for the future- You should be able to project your future requirements based on monthly working capital requirement estimates, keeping a surplus for unforeseen circumstances. However, do try to increase your inventory turnover ratio by indulging in promotional activities, offering discounts on bulk purchases, etc.

 

• Keep the cashflow going- Make sure to get your payments on time from customers, keeping outstanding invoices to the minimum. Having strict rules about partial upfront payments and nonnegotiable deadline for the rest of the amount, will help you keep your capital in rotation. Being diligent about your rules will help you set a no-nonsense approach with your customers.

 

• Maintain the balance in stock and cash- The key is to maintain stocks ensuring no overstocking, while managing to get a good price on purchases. While keeping a check on the inventory levels, take into account natural and seasonal fluctuations, consider things which are not very apparent in historical data but could be possible in future.

 

• Consider labor costs and productivity- Working capital is not only affected by inventory but labor costs as well. Excessive expenditure on labor is no less depleting for cash reserves (working capital) than expenditure on stocks. Hence, take everything and more into account to get an accurate estimate.

 

• Have an everyday plan to execute- A strategic daily plan charting activities for the day for your work force will help them achieve maximum productivity. It’ll help you analyze the performance of your workers, helping you let go off the inefficient ones, saving you working capital in turn.

 

About Us

Evergreen Funding Solution is an alternate funding organization helping businesses run efficiently with working capital loans.

Having saved numerous businesses from failing, we are proud of what we do, giving a chance to small businesses to make optimal use of their resources with abundant working capital to be able to take important decisions.

Our working capital loans have helped our clients manage their creditors better, manage inventory and repair machinery, hire new work force, etc. increasing the operating liquidity, capitalizing on new opportunities.

Our clients have full discretion to use our working capital loans however they wish, without any restrictions.

We have a high approval rate for businesses with bad credit (like most of our other loans) who find it hard to get loans from other sources. For we don’t judge you on your credit score. So, if you have been denied loans from traditional sources due to bad credit, then we encourage you to apply for a working capital loan with us.

We have a very good turnaround with loans including for our bad credit funding programs. Apply today to get a working capital loan to run your business optimally and efficiently.