For a start up company, it’s usually hard to obtain funding and capital for your business. Statistically, 4 out of 5 new businesses fail after the first year. That’s why most lenders or banks view the process of funding for small business owners as very high risk. Consequently, a newcomer to any sector of the market will have a hard time getting approved for loans.
Most new business owners try to look for checkbook lines of credit or SBA loans. While these are valid choices, the problem with these types of loans is that they require an excellent personal credit score usually within 760 and above, as well as an established business with good cash flow every month. So if you’re a new business, even when you have an excellent credit score you will still not qualify.
Some small business owners resort to trying to get personal loans, but these loans typically look at debt to income ratio. And since most small business owners are self-employed and don’t have personal income and tax documents to support this requirement, they usually don’t qualify as well.
What can you do instead?
One of the most overlooked sources of funding for small business owners are business credit cards. While you still need to have good credit to get approved, they’re not as strict as traditional checkbook credit lines.
Additionally, this option doesn’t have a debt to income ratio requirement so small business owners can still qualify even if their income isn’t that high. Another advantage is that these business credit cards often have 0% APR for the first 6-12 months (if you know where to apply) as opposed to checkbook lines that charge interest from day one.
One might argue that these business credit cards can’t be used the same as cash; this simply isn’t the case. The fact is, there are a lot of ways to draw money from these accounts that aren’t known to most people. One simple example is that these cards, when handled properly, can provide checkbook balance transfer checks, with often 0% interest for 18 months that you can use the same as cash.
Usually, you can only apply for one or two of these type of cards at a time because banks will see the inquiries and applications. However, a good way to get around this is by applying for multiple cards at the same time. When done right, the entrepreneur can get business lines of credit totaling to up to $150,000.
This is where Synergistic Investments can help.
Here are 9 reasons why clients should work with Synergistic Investments:
1. There are 5 major underwriting houses in the US that underwrite over 10,000 different lenders. If you submit applications to 5 different banks that are underwritten by the same house, you will only end up with one approval, and several wasted inquiries on your credit report.
As a result, you won’t be able to get approvals from other banks for unsecured credit for at least 12 months, due to the number of inquiries you have obtained.
Synergistic Investments knows which banks to apply to depending on what state you’re in, which banks pull from what credit bureau and which underwriting house a certain bank uses.
2. Does the client know which banks offer business credit cards that report only to the business credit bureaus? There are thousands of business credit card products, and many of them report to the personal credit bureaus. The banks you apply to will not tell you if their business credit cards report personally or not.
Synergistic Investments already has established relationships with lenders that report ONLY to the business credit bureaus.
3. Does the client know which Credit Bureau each lender is going to pull from? If you send out applications to 5 different banks that all pull from the same credit bureau, it is likely that most of your applications will be denied because of too many recent inquiries.
Synergistic Investments tracks where each lender pulls credit from, so that we can spread the inquiries between the three credit bureaus and get maximum approvals.
4. Do you know which banks to submit applications to first?
We track which banks are more sensitive to credit inquiries than others. There is a specific order that we submit our lending applications to get the best results.
5. Some lenders require existing relationships before approving you for a business credit card. If you do not know which banks require existing relationships, you will waste an inquiry on your credit report, without an approval.
Since Synergistic Investments already has established relationships with lenders, we can maximize your chances of approval.
6. We guarantee that all accounts approved in our program will come with a 0% introductory period for 6-12 months.
7. Synergistic Investments tracks each lender’s requirements, where they pull inquiries from, and who they are underwritten by so we can get maximum approvals for each client, as quickly as possible.
8. Synergistic Investments obtains over $5,000,000 a month in unsecured business credit approvals. This is what we specialize in.
9. Once approved, we will also send you a list of techniques that past clients have utilized to draw funds that they can use the same as cash (without paying high cash advance fees). This will allow you to utilize the accounts in a similar manner to a checkbook line of credit.
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