The Truth About 24 Hr Business Funding

Have you ever tried borrowing money for your small business? If so, then you don’t need anybody to tell you what a harrowing experience it can be.

If you take advantage of 24 hr business funding, expect that you’ll pay for the privilege of getting your loan approved quickly. At best, these loans will charge you anywhere from 20% to almost 40% interest on an annual basis.
If you take advantage of 24 hr business funding, expect that you’ll pay for the privilege of getting your loan approved quickly. At best, these loans will charge you anywhere from 20% to almost 40% interest on an annual basis.

It’s a very time consuming process. Finding a suitable lender among a horde of banks and loan providers is hard enough, and usually there’s a ton of paperwork involved. Your company and your personal finances will be checked thoroughly, and between that investigation and red tape, it will take an eternity to complete the process.

But now you have another option: 24 hr business funding.

What Is It?

24 hr business funding can mean lot of things, so when you see a website offering this kind of service, you have to make sure that you and the lender are on the same page. A 24 hr business funding could mean that you can apply for a loan outside of normal business hours, for example.

Or it can also mean that you can get approval for your loan application in just 24 hours. But your money will come in a week or two.

But of course there are also those that will give you the money you need in just 24 hours, and this is obviously the kind of 24 hr business funding you want to engage in.

How Do You Qualify?

If approval of the loan itself comes in 24 hours, then usually the finance company will need to check obvious signs that your business is in good shape to pay for the loan. They won’t check your business model or ask about how you are trying to improve your credit rating. They need hard data, such as about cash flow, revenue, and steady business checking account balances.

Some of these companies can be strict with their requirements. Keep in mind that computer programs usually decide whether you qualify for a loan and for how much. And you can’t really negotiate with a computer.

What are the Interest Rates?

Here is where it gets tricky. If you are tempted to use a loan broker to help you find the best deal, make sure that you’re not getting unfairly (although legally) overcharged. It’s not rare for a loan broker to add another 15% interest for themselves on top of the 30% the loan provider wants. But the most respectable brokers may pocket fees of 1% to 3%, which are paid by the lenders and not the borrowers.

If you take advantage of 24 hr business funding, expect that you’ll pay for the privilege of getting your loan approved quickly. At best, these loans will charge you anywhere from 20% to almost 40% interest on an annual basis.

You need to make sure that you understand the true APR you’re paying. You may end up paying more than an annual interest rate of 100%, especially if you don’t read the fine print. That’s why your best bet is to find a lender who is up front about the costs of the loan.

24 hr business funding can do a lot for your business. Just make sure you get in with your eyes wide open.

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Chris Lanchech

Hi everyone, my name is Chris and I am a junior analyst at Neebo Capital and an inspiring blogger. We enjoy speaking with business owners and entrepreneurs who come to Neebo Capital looking for cash flow solutions. Give us a call toll free at 1-888-382-3766 or Visit us online at www.neebocapital.com

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