In a global that's becoming increasingly globalized, increasing numbers of people are donning the suit and tie for work. Students graduate with hopes for big city life and Wall Street jobs. With one of these high-end lifestyles comes lots of dry-clean only clothes, and there's no predicted shortage of dirty laundry to be had.
Despite the need for crisp collars and pressed pants, growing an established dry cleaning business will not be free and challenging, and finding commercial dry cleaning business financing can prove to be even more complicated.
For those companies that are looking to expand their already successful business, the present state from the environment requires a modernization of facilities and the implementation of “green” dry cleaning services.
Whether you are looking for commercial dry cleaning business financing to expand, renovate, or “go green”, a small company loan might be precisely what you'll need. Securing commercial dry cleaning business financing no longer requires taking your company towards the cleaners.
How do You Compare: Dry Cleaning Industry Statistics
The dry cleaning industry, despite as being a $9 billion industry, continues to be declining for the past many years. This decrease in demand is due to an increase in coin-operated laundromats, household washing machines, along with other alternative products. Added for this is a transfer of workplace dress codes to some more casual environment.
Industry experts are expecting a decrease at an annual rate of 1% over the next Five years.
65% from the industry's revenue is generated through retail laundry and dry cleaning services while laundromats take into account approximately 35%.
Your Smartest choice: Alternative Lender vs Commercial Bank
When looking where you can obtain a business loan or any other funding option, two lenders you are able to choose are either an alternative lender or perhaps a traditional bank.
Here is really a chart to assist explain the differences between both of these options:
Types of Commercial Dry Cleaner Funding
So you need funding for the dry cleaning business, now what?
Now you need to determine what funding choice is best suited for your small business. If you have poor credit or are a newly established business, then your decision will be a little easier because you may be entitled to capital advance. But if you've been in business for a few many have a very good credit rating, then you have multiple funding choices to choose.
Depending around the lender you go with, they will work along with you to determine which funding option(s) you be eligible for a.
Here are several funding options which Small company Funding offers:
Business Line of Credit
With approvals as much as $250k, a company credit line is perfect when you need to satisfy short-term business needs such as purchasing equipment, advertising expenses, and making payroll to name a few.
A credit line permits you a particular level of flexibility as possible control just how much and when you withdraw your funding, up to your approved amount. Your repayments having a fixed interest rate are made only around the amount of funds you withdraw.
Term Loan
You might be able to get approved for any term loan with Small company Funding for approximately $200k. With this option you are given a lump sum payment of capital in advance which is repaid monthly plus interest. A term loan is ideal for a business owner seeking a classical loan structure, if you want quick capital, and/or you don't have perfect credit.
SBA Working Capital Loan
With an SBA loan, the loan is going to be partially guaranteed through the government. This guarantee eliminates some of the risk for the lender. An SBA working capital loan is ideal if you own a competent business which as operated profitably for at least 24 months and has a longer term vision you would like to execute on.
Equipment Financing
This financing option offers approvals as much as $1 million for the acquisition of a business-related piece of equipment. Payments for your equipment will require place monthly and include the principal and interested over a fixed term. Your purchased equipment will be used as collateral.
Working Capital Advance
This funding option may be ideal for you if you have poor personal credit or have been in business a comparatively short time and haven't built a business credit rating. The reason happens because this kind of funding puts a greater focus on your monthly revenue and the stability of your cash flow when determining if you qualify.
However, unlike another options that offer monthly obligations along with a fixed APR, the working capital advance pay back is usually daily. It is not considered financing, instead this is an coming of cash on future credit card receivables. For this reason, there is no APR rate and no set repayment terms. There is only a set pay back amount where flat fee will be charged for you for the advance. The repay period is commonly shorter as well, typically 3 – 12 months.
Why Small Business Funding For the Commercial Dry Cleaning Business Financing
Small Business Funding (SBF) can serve as among the county's leading networks for small businesses trying to find fast capital. SBF offers incredible loan alternatives that are ideal for small businesses like dry cleaners.
SBF works directly with potential lenders, connecting small business owners with experienced and alternative business lenders, thus providing the best opportunity for securing funding based on each business's need.
Small Business Funding works together with small businesses to produce individualized business programs, offering multiple funding options created for your unique business needs.
In deciding to use Small Business Funding while in search of commercial dry cleaning business financing, one can make sure that they will have use of a large network of potential lenders and funding specialists.
We are a great alternative supply of loans for business which have been turned down by their banks due to bad credit, haven't been running a business long enough to acquire a loan, require a loan amounting to under $100,000, as well as for businesses that require quick funding.
To observe how Small company Funding can offer commercial dry cleaning business financing you are able to call 800-742-2995 or complete our online application.