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Business Ideas Forum
Funding a business
Short Term Financing of Business
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[QUOTE="Jasmine, post: 259884, member: 49159"] How do you get short term financing for your business? You can get short term loan. Short term is normally a loan with less than 12 months payment term. You can get short term loans from banks, finance companies, etc. You can get short term funding through investment companies, this is similar to short term loan, but has comparatively lower interest rate. The main issue with short term financing is related to repayment. The term is so short that you might not be able to generate enough revenue to pay back your loan. Revenue generation takes time, therefore, when you have short loans, you might end up defaulting your loan. The better option is long term loan, that is payable over a period of more than one year. The best thing about long term loan is you can pay the loan in easy monthly installments. If you do not want to be in debt, a better option is to sell your assets. [/QUOTE]
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