Letting people know that you are expanding your business can be met with various opinions. Right from general naysayers to those who always put in a word of caution, everyone you meet will have a story as to what could happen if you expand your business at this stage. It is true that not every reason is good enough to expand your business but it does not mean that your reason does not exist.
Since you have put in your blood and sweat, every reason to expand is a good reason and the best way to turn your aspirations into a reality is to apply for a small business loan. If you think that the business is ready for a leap but you do not have adequate funds, here are 4 reasons to apply for a loan today.
- Buy inventory- Inventory is one of the main and the biggest expenses of a business. You need to keep up with the demand by buying inventory at the right time. It can prove to be difficult when you need to purchase a large amount of inventory before you see a return on investment. If you own a seasonal business, you will have to purchase a large amount of inventory without enough cash on hand. This is when you can apply for a loan. Prepare a sales projection based on the estimated demand and calculate the inventory you need. Remember that the sales figures will vary from year to year so try to be as accurate as you can.
- Expand premises- You are storing the products in your garage and the cubicles are busting at the seams. This sounds like you have outgrown the initial office location and need to expand the premises. It means business is growing and you are ready to expand. Whether you want to pack up and move or add a new location, you will need funds. If you do not have the working capital to make it happen, apply for a small business loan and start looking for new premises.
- Hire fresh talent- A business is nothing without the personnel. When you start a new business, you wear a lot of hats but there is always a time when you need people to help you. If the small team is growing and you are looking to add fresh talent to the team, it can be a great move. There is a clear connection between a hiring decision and an increase in revenue. If you do not have funds to pay their salaries, you can apply for a loan today.
- Make the most of a business opportunity- There are ample business opportunities everywhere you look. If you find a business opportunity that will help turn your aspirations to reality and will increase the revenue, go for it. Making the most of a business opportunity will require investment and you can apply for a loan for the same. Do not miss out on the investment opportunity due to lack of funds!
You can also apply for a loan for any business purpose other than the ones mentioned here. The biggest advantage of the loan is that you can use the funds for any purpose in the business as there are no restrictions attached to it.