What's up Facebook, Ty Crandall with credit suite and today we're diving into how to get business
financing specifically business loans and credit lines and we're going to talk about corporate
credit all of you have credit issues so if you have credit issues that are affecting you on the
consumer side. We're talking about many different ways you can actually still obtain business loans
credit lines and commercial credit even if you have those kind of issues. So let's take a look at the
board, today business loans with bad credit let's dive into some of the specifics. So when you are turning
to business credit this is a really good way to go to offset consumer credit so the way that I really
look at this, if you got a look at the strengths of your business and one of the weaknesses you have
as a business owner is that you have consumer credit issues that's okay. You need to offset
that by helping your business obtain a stronger commercial credit profile now don't get me wrong
as a business owner anybody that tells you that consumer credit doesn't matter is lying that's not
the case. There's so many loans like SBA loans to other conventional loans as well as micro loans as
well as many alternative lenders that still want you to have good or better credit to get approved,
as a matter of fact even the options we're going to talk about today that you still can get if you
have credit issues you'll get better rates in terms if those credit issues are corrected. So
if you do have credit issues turn to a reputable consumer credit repair company I don't deal with
consumer credit I'm the commercial credit guy but there's a lot of reputable consumer credit
repair companies out there that will help you in that area but again my advice is that when you
have damaged consumer credit you want to consider building business credit because it offsets
that risk meaning if your business has a strong credit profile if your business reflects it it's paying
its bills on time and that's going to give you a much better chance of still being able to get
financing and get past the issues you may have when it comes to the consumer credit. So also you
also need to know that alternative lenders and sources can help you credit unions banks these
are probably not the best sources to go to and this is a really really really important point
see a lot of people that go to the wrong finance institution they get denied and then they give up
they don't think they can actually get financing to their business when it's just not accurate, keep in
mind that there are sources that will work with you and you have credit issues and their sources that
won't SBA says on the website that before you even apply for an SBA loan you should consider fixing
any blemishes on your credit report. I put that in air quotes because that is quoted on their website
the word blemishes. When somebody's telling you to fix any blemishes on your credit report don't
even bother applying if you have credit issues, SBA is not the best source for you to go as a
matter of fact the big bank's Chase, Bank of America, Regions everywhere in between those are
not the best sources to go to anyways. They all are good or require very good consumer credit I
personally seen 780 FICO score borrowers turned down for loans through sources like Bank of
America because they have one derogatory item on their credit report. So you need to know where to go
you need to go where not to go. And SBA the big banks that are where not to go the great news is I
just mentioned is there are plenty of alternative lenders that will absolutely give you financing if you
have consumer credit issues. So let's take a look and dive into a little bit more about these. So we'll
the first most common type of financing you can get with credit issues it's called cash flow financing
and with its kind of financing they're basically going to want to see about six months worth of bank
statements or six months worth of credit card statements from your merchant account provider.
Now you don't need any collateral to qualify and if you can get approved with FICO as low
as 500. The typical requirements that you have over 10,000 a month in revenue and one
year time in business, and even if you have half of this, six months time in business 5,000
a month in revenue there's still merchant cash advance companies that will still do a similar
kind of financing here. Now these are all looking at the how you manage your bank account, okay so
you need to have positive ending bank balances you don't want to have a bunch of non-sufficient
funds. You want to have consistent deposits and then once you've paid back about half of these loans
you can even get more financing. So cash flow financing is really popular kind of alternative
financing that exists today. Any time you see that you can get loans with bad credit you need one year
time in business it's all preferring to this kind of financing okay. The biggest publicly owned
alternative financing companies in this country offer merchant cash advances and cash flow
financing. So very important kind of financing to know about here's what you need to know. It's not
based on your consumer credit history it's not based on collapse it's only based on cash flow
you'll hear me talk about this a lot there's three C's that matter when it comes to getting financing
credit, cash flow, and collateral. If you have one you don't need the other two. I mean if you have
you have one one you don't need the other two you only need the one. So you need cash flow financing,
with cash flow financing you need cash flow you don't need credit or collateral those two don't
matter. Now keep in mind as I mentioned that if you have good credit and offsets you're risky it helps get
you better terms but it's absolutely not needed. All that's needed is consistent cash flow being
a better looking at your cash flow then how you manage the cash flow obviously matters they want
to see a lot of deposits, not just a few they want to see that you have the money left over at
the end of the month the positive ending bank balance, they want to see that you're not over
drawing the bank account. Never forget and all my teaching and all these crazy details that we go
over but there's one thing that matters absolutely the most and the one thing that absolutely matters
the most is that you have the ability to repay the loan. It's what credit issuers it's what lenders is
what they all care about most. So in this case if you have negative balances all through the month
they're concerned you don't even have enough money to pay your current bills let alone the
bill with the new bank account. So you've got to manage your bank account responsibly but if
you do merchant cash advances and this kind of financing when it comes to cash flow financing
really is a big deal it's a great way to go. Now I'm going to lump a lot of them into this but we're
just going to modify this and we're just going to talk about 401k financing. This is when you're using
an existing 401k or IRA as collateral to get financing, now you can still earn the interest
you could get rates lower than 5% on a credit line and there are no FICO requirements even a
start-up is able to get this financing. So think about what I'm saying here what is your strength
its collateral, and because collateral then your credit doesn't matter their credit quality doesn't
matter the other thing that doesn't matter is cash flow that's why startups can get it because you've
got one C, collateral, cash flow and credit the other C's don't matter now with this kind of financing
then you need to start getting vendor credit you need to get credit with places like Uline,
Quill to report that credit to the reporting agencies you need to get the credit use the
credit pay the bills. Once you pay the bills if you pay them on time early you get a good score once
you get that good score then you start moving on to retail credit. Home Depot, Lowe's Best Buy,
Amazon almost all major retailers offer that kind of credit, if you have about ten of those accounts
reporting you can start to get fleet credit, visa or you can start to get BP, Chevron, Sunoco to put
fuel in vehicles maintain vehicles with about fourteen accounts reporting you can get to Visa
cards you can get to MasterCards. You can get to auto financing is it that simple of course
that we wouldn't be business if it is right if you're working with Credit Suite obviously we
take a two to three year process you're going to do all your owning condensed into about six months
time, but even if you're doing this on your own you can still successfully build business credit
and use high-limit credit cards to fund your business where you don't need loans and credit
lines. Look everybody needs business credit and my advice is you build business credit and you
buy all the things you can buy to fund your business on credit cards that way when you
have a loan or a credit line you can use that for stuff you really need it for like payroll right
so don't use a loan or a credit line and waste it on office supplies and office furniture when
you can use a business credit card for that. Business credit cards are the easiest kind
of any of this financing I actually showed you because you don't need cash flow you don't need
credit you don't need collateral it's the only kind of financing you need no strength to get
if you know the steps to do it you could build it you can come in you can get the high-limit
accounts without the personal guarantee without the credit check. Use those accounts to fund your
business and then in doing so you're able to come in and make yourself more lendable make it easier
to get financing, fund a lot of your business using credit cards and then leave the leftover
money for loans and for credit lines that you can actually use for the things you can't use credit
cards for things like payroll. A lot of things we covered here right don't go to the big banks
don't go to these guys they're not going to help you consider cash flow financing it's financing
based completely on credit quality, consider 401k, stock, financing, IRAs, inventory account,
receivables purchase orders anything that gives you an asset you can use as collateral, okay that can get
you collateral-based financing. Grants it's free money go to grants.gov to be able to add take a look
and get some grants HUD USDA amongst many are out there. Microloans SBA offers into smaller loans
this option can work. If your popular have a big social network or a cool product crowdfunding can
work for you and then don't forget the beautiful beautiful business credit the kind of financing
everybody can get that makes you more fundable and helps you get even more money sure as well.
Do you want to get approved go to creditsuite.com or go to creditsuite.com/getfunding at
creditsuite.com/getfunding we actually will there give you a short application
you can fill out and by answering a handful of questions you're then able to come in and you're
then able to get the financing that you actually need for your business. Okay and we don't charge
you anything don't get me wrong lenders are going to pay rates and fees they're going to charge that,
will negotiate that for you but it costs you nothing to be able to work with us, okay as a matter of fact
lenders sometimes give us a referral fee and that's how we get paid. So we don't charge you
anything to be able to offer credit financing. And actually cool I found a new way to get comments
here right from Facebook, Michael Lang says hey what's up Michael I'm sorry I'm late and and faces
can't see but you can hear okay great the screen is black well hopefully that wasn't the case
whole time, but I will fee it can't hear alright guys I will get this fixed next time. Sorry if we
had visual issues becasue it's looking on mine live on YouTube that we are good, okay but I will get
the that corrected next time. So I'm sorry guys did you guys have video issues but I just found out
how to see comments easily here. So I'm going to be able to access that next time and I'm not exactly
sure of what the actual video issues were because sure enough I could see the video on my Facebook
livestream but you weren't able to see me, so I'll get that corrected for next time and I'll see you
back here on Facebook at 2 o'clock Eastern next Tuesday. Thanks, everybody hope you have a
great day.