- onlinesupport@myaffinitybank.com
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- Local: 678-742-9990
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- Auto Loan Payment
- onlinesupport@myaffinitybank.com
- M-F 9:00 - 4:00 ET
- Local: 678-742-9990
- Toll Free: 866-736-8194
- Auto Loan Payment
Your small business is likely a labor love, given the amount of work that goes into it on a daily basis.
The good news is, there are sources out there that seek to give you as many advantages as you qualify for to ease your company’s demands. These include a variety of funding and financing options.
First in this category is debt financing. This is when a business owner secures funding from a lending, to be paid back gradually over a set time frame. But be careful to only take on amounts with payment installments that you’ll be able to cover. Failing to honor your end of the agreement even once can mean damaging repercussions for you and your business.
Equity And Debt Financing
The next option makes productive use of the equity associated with your company.
You’ll still solicit a lender for the funds, but in this case you’ll have to give them a percentage stake in the company. It’s a great choice if you’re not confident that you’ll be able to manage payment installments. But now, you’ll also have less control in the grand scheme of things.
Also, there’s an option known as mezzanine financing.
This blends the previous two choices together. A monthly payment is decided upon; but should you ever default on that payment, your equity will be the first alternative source that they dip into. You can also leverage your retirement plan in the event that you have one. Just know there is the possibility you could lose your retirement fund if things don’t go to spec. Exercise the utmost caution when selecting any option, as this is a major commitment.
Contact Affinity Bank Today
In the market for a new business, personal, or commercial account? You come to the right place. Schedule a consultation with the team here at Affinity Bank today.
