Small businesses have seen unprecedented change in recent months. Some industries have slowed and contracted dramatically. For example, many long-established retailers are closing. Social distancing and telework has come at a real cost for companies like J. Crew and Ann Taylor. However, other industries are booming. One case in point is the boom in home improvement projects.
Every entrepreneur has to be up for a challenge. Starting and growing a business requires lots of hard work, adaptability and commitment. As a small business owner, there’s no telling what might be coming around the corner. For example, the COVID-19 pandemic has caused unprecedented business closures of up to 4 months in some states. Although this has been a strain, it’s important to remember that there are always opportunities to pivot in the business world.
Equipment financing enables businesses to thrive. With this kind of lending, companies are able to easily acquire goods that allow them to continue doing what they do best. There’s no credit score checking, and there’s no jargon about interest rates. The funding we offer can be used to start, expand or adapt a business. And equipment financing can be used for anything that a company needs to deliver goods and services to their customers.
Adaptability is one of the keys to success in the contemporary business world. In fact, the Harvard Business Review has named it the new competitive advantage. Traditionally, successful businesses were the ones that specialized. Doing one thing, and doing it well, could be enough to rise to the top of an industry and capture a large share of the market. In recent years, things have changed. Analysts today have noted that the best companies are the ones that can adapt their offerings quickly.
Business is a world of peaks and valleys. Fluctuations are normal. Because of that, it can be difficult to know when it is a good time to expand. However, there are several indicators that can help entrepreneurs know when the time is right to grow.
Many businesses need large pieces of equipment to succeed. These capital goods are key in production of goods and services sold. For example, restaurants need industrial-sized ranges, ovens, refrigerators and freezers. Dry cleaning businesses need presses, dry cleaning machines and conveyors. Construction businesses typically need trucks, forklifts, utility drills and more. All of these types of equipment can be bought in new or used condition. Which is the best option?
The US economy has been seriously affected by the coronavirus. Many businesses are going through a time of change. The truth is that a recession can be a great time to put money into a business, or even start a new one.
The US economy survived past outbreaks, and it will survive COVID-19, too. One way for businesses to continue operating and position themselves well for recovery is to adapt to these new temporary restrictions.
Whether the issue is bad credit, tax liens or a lack of collateral, equipment financing can be a great solution for businesses that can’t access traditional loans. Alliance’s ability to work with several underwriters means we are able to offer the best term and lowest rates.
Sometimes, a small business is poised to really take off. The owner has an established, successful business model. They have good cash flow. However, the reinvestment of profits often isn’t enough to allow for real expansion. Typically, financing is also required if a small business is really going to make a big push for growth.