Start-up business owners are completely, often painfully aware of vicious cycle that starts clobbering them right of the gate: they need working capital in order to compete with larger organizations and build capacity, but they can’t make that happen without working capital in the first place.
Now, prior to the Great Recession in 2008, many start-up business owners could apply for a business loan from their friendly neighborhood bank or credit union. And while obviously not 100 percent of those applications were successful, plenty of them were approved – and the vicious cycle came to an end.
However, since 2008, the lending landscape has shifted dramatically in favor of large, established businesses with years of credit history and an abundance of collateral. This has left start-ups out the outside looking in – and stuck in the vicious cycle.
Actually, “stuck” isn’t even accurate, because it’s not like the situation is sustainable. Within weeks, months or a few years at the most, start-up businesses that can’t attract profitable customers and establish competitive advantages of their own, wind up going out of business altogether. It’s a sad story that is all the more miserable because it’s all-too-common.
However, there IS a way for start-up business owners to escape the vicious cycle and get the financing they need – not just to stay in business, but to thrive: a working capital loan from Mulligan Funding.
The reasons why are simple and straightforward:
- Approval rates are much higher compared to conventional bank loans, and start-up owners are warmly invited to apply.
- Several years of credit history are not required at banks – with Mulligan 1 year is typically sufficient.
- The application process itself is rapid and streamlined, often taking a matter of days from start to finish.
- No collateral is required.
- The funds can be used for ANY purpose – from onboarding new staff, to adding a new product line, and the list goes on.
- There’s no penalty for early repayment (though this is never required or requested).
- A past bankruptcy will typically not be a barrier to approval (provided that it is discharged at the time of application).
What’s more, applying for a second working capital loan while the first is still active is fine, and approvals can sometimes be done in minutes. Furthermore, the funds for the second loan are NOT used to pay down the principal of the second loan. Doing so doesn’t make sense to us, and we’re sure it wouldn’t make sense to our clients either.
Call Mulligan Funding at 855-326-3564 to discuss your financing options today!