In times of growth, here are five ways to use business loans to accelerate your upward trajectory.
There’s a common misconception that taking out a business loan is for small businesses that are just starting off or even businesses that are at risk of going under – and this couldn’t be further from the truth.
The reality is that growing businesses need access to capital, and often, they need it fast. A booming business doesn’t stop for anything, or anyone, even if your bank account isn’t quite ready. This is why more and more successful businesses are turning to fast and flexible loans to accelerate their growth.
In fact, 74% of small businesses in Australia have used financing to grow and evolve – It might be time to join them at the top.
Here are five ways that smart businesses are using business capital to increase profits in times of growth:
1. Equipment financing
As a business owner, you’re probably adept at making smart investments – It’s what got you to where you are in the first place! If inadequate or failing equipment is stifling your growth, it might be time to make another smart investment and upgrade.
By choosing to rely on business finance, instead of reaching for personal funds or your credit card, you’re not putting a cap on your growth. Instead, you’re creating a relationship with an expert business lender who can act as your adviser and provide the flexibility you need to make smart investments, not uninformed or restricted ones.
Whatever the equipment you need, having the right tools can often be the difference between success, or failing to expand.
2. Renovations/ upgrades
Renovating or upgrading your business space can not only affect the way your business looks but can also make a significant impact on the customer experience, the energy efficiency of operation, or even your staff performance.
While it costs money to make these changes, the investment to renovate can have long-lasting effects. You might be surprised what a new coat of paint, upgraded ventilation, or a floor remodel could make to your business.
3. Purchase orders
In an ideal world, your small business would have the capacity to fulfill whatever demands come in – no matter how big or small. Unfortunately, as you know, business doesn’t work quite like that, and one big order can send you scrambling for funds.
In fact, 28% of small businesses have had orders go unfulfilled or delayed because of insufficient credit. And with orders having a short lifespan – you can’t exactly make your customer wait for the five-six weeks it takes to get a standard loan – you might think that turning down the job is your only option.
With GetCapital’s 24-hour loan approval process, there’s absolutely no reason to be stymied by a lack of funding. We understand that fast orders need fast funding.
4. Hire new employees
Having a team of qualified employees has a significant effect on the success of your business. After all, the way your service or product is perceived is often a direct result of what your team do or do not do.
Whether it is making sure you have enough staff to manage demand and ensure quality customer service or having enough diversity in your team to produce results that lead to satisfied and continued custom, an adequately staffed business is essential.
Additionally, bringing new employees into the business can introduce new talent and ideas that could ultimately lead to business growth. So, if you’re still thinking that you don’t need that extra set of hands around the job site… maybe think again.
5. Launch a brand new product or service
You already have a loyal customer base, things are looking good, and sales are up on last year, but you have noticed that competition is increasing. If you don’t employ future thinking you could be left behind like so many other businesses before you.
A new product in an existing product line or an ad-on service might be just what you need to keep those old customers loyal and keep up to date with where the market is moving. Another benefit, targeting already loyal customers means spending less effort and cost to acquire new ones.
Learning how to utilise business finance to grow your business strategically might be one of the smartest things you can learn.
The bottom line? Don’t let a lack of funding ever hold you back.