equity based financing

Will I Lose Control of My Business? Is Equity-Based Financing Right For Me?

 

Funding Your Business

The boot-strap method of financing your business—tapping into your savings, retirement, or refinancing your house for all the available capital possible—can be enough to get your business off the ground, but then what? Growing businesses require more funding, and when 82% of failed businesses cite cash flow problems as a cause, it is smarter to find a funding source sooner rather than later. Conceding control of your business is daunting to any proud entrepreneur. There are horror stories of founders being pushed out of their companies through legal processes, online lenders employing predatory lending practices that strip entrepreneurs of business and personal finances, and simply not having enough working capital to stay in business. This makes finding funding for your business a complex process that requires time, attention, and research. Often entrepreneurs find themselves in a cash flow crunch and short on time to get the funding they need, stuck between debt-based and equity-based financing options.

Equity Financingbusiness loans

When the process of finding funding takes so much time and research, it can be tempting to trade partial ownership over your enterprise to an investor for a large amount of working capital. With the right partner this can be a brilliant financing option, but what if you don’t want to share ownership of your business? Crowdfunding may entail less ownership being traded to your investors as they are typically family and friends, but that brings pressure and possibly tension to your interpersonal relationships. There are other financing options that do not require you to give up control of your company. Small business loans, online lenders, and invoice factoring are three common alternatives to investors or venture capitalists that do not risk taking the control of your business away from you.

 

Invoice Factoring Keeps You in Control

All in all, there are a lot of financing options for fresh entrepreneurs to consider, but at what cost to your ownership? Invoice factoring is a debt-free financing solution that supplies your business with the working capital needed to grow, without taking any ownership out of your hands. Your business can be eligible for same-day funding, and if we can’t fund your business, we can recommend a trusted business that can, saving you the time and effort to find a new working capital funding solution. As part of our service to your business, Eagle Business Credit offers credit checks and expert finance advice to our clients at no extra cost. We want to see your business succeed and share in that success. We handle the collections process of open invoices from your clients with the upmost courtesy and customer service. You choose what you sell, who you sell to, and at what cost. We offer a professional team with over 100 years in the asset-based lending industry to support your dreams, not control them.


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