Government Shutdown and Vendor Financing

Offering solutions during the government shutdown

Running a business in these difficult economic times can provide new challenges every day. The government shutdown created even more problems for small business when the Small Business Administration stopped processes loans for these businesses. The delay left many business owners scurrying to find small business working capital to start or expand their business to take advantage of the opportunities that are beginning to emerge during the recovery period.

Starting A Business
Many people feel that being self-employed allows them to control their own destinies, without being subject to hiring and layoff cycles that are so common. However, finding financing to start a business is one of the most difficult parts of starting out. Many of these new entrepreneurs go to the Small Business Administration for start-up money to launch the new enterprise. Unfortunately, the government shutdown has a put a hold on the processing of new loans.

Other Methods of Financing
Credit has been tight since the recent recession, and you may not have the collateral that they require for a loan. Banks will look closely at trade working capital and other issues, especially for the early years a business is in operation. Vendor financing can also be used, which allows business owners to acquire inventory on the promise of future payment. However, this is not always available for businesses. You can also get small business working capital through private loan companies such as WG Financing. They can help to finance your business so that you’re ready to serve your customers as the economy improves.

Expanding Your Business
The SBA is delaying loans for expansion of existing businesses, as well. You may be one of the business owners that see opportunities opening up with the economic recovery, but can’t get the funds to take advantage of them. Your trade working capital percentage may be too low to qualify for a loan in today’s tight-credit environment. Vendor financing may not be available. This is where a private loan company can step in to help you get the money you need to purchase new technology to streamline your business, increase your inventory to better serve customers or add employees to increase your hours of operation. Contact WG Financing to help accomplish your business goals today. See us at www.wgfinancing.com.