cardiff.co

What is alternative business lending?

Alternative business lending refers to financing options offered outside traditional banks. These funding tools include unsecured loans, merchant financing, cash flow loans, and revenue-based funding. They often offer faster approval and more flexible qualification criteria, making them a top choice for small or growing businesses or those with past credit problems.

How do unsecured business loans work?

Unsecured business loans require no collateral. Lenders base approval for these loans on other factors, such as your business's performance, cash flow, and overall financial health. These loans can help you access fast capital without putting assets at risk.

Can I get funding even with a low credit score?

Yes. While banks often deny loans because of a low credit score, alternative business lenders, like Cardiff, look at the bigger picture. They specialize in business credit options for owners with lower credit scores and focus on real-time revenue trends and business performance, not just your credit history.

What types of businesses use merchant financing?

Merchant financing is a popular financing option among businesses with steady credit card sales, such as retail stores, beauty salons, restaurants, and auto repair shops. It allows businesses to repay as a percentage of daily transactions, keeping payments low if sales slump and accelerating payoff when business booms. Fixed payments are also an option.

How fast can I get approved for a business loan?

It depends on the lender. The application, approval, and underwriting process with traditional lenders can take days or weeks, depending on the loan product. However, online lenders, such as Cardiff, make the process much faster. Many applicants receive a decision within hours of submitting a completed application. Once approved, you may receive funds the same day.

What documents do I need to apply for a business loan?

You'll need basic business information, personal identification, tax statements, and proof of revenue. You can use a secure Plaid connection to provide access to recent bank statements. Online applications for short-term business funding can be brief. However, lenders may request additional documentation depending on your loan type and business needs.

What's the difference between a revenue-based loan and a cash flow loan?

Revenue-based loans tie your repayment to revenue, offering flexibility during slower periods. Cash flow loans focus on predictable revenue patterns to help smooth over timing gaps in expenses and income. Payments are a set amount for a pre-defined term. They offer less flexibility but more stability.

Are business loans good for expansion?

Absolutely. Seizing growth opportunities, weathering storms, or ordering inventory for your busy season all require financing. Business loans can cover everything from new equipment to hiring staff or opening another location. Non-traditional lenders can even provide fast access to funds, so you can answer when opportunity knocks.