1. Your infrastructure isn’t coping
A sign that your business needs funding could be that infrastructure is limiting growth. Whether it’s software and systems infrastructure or hard infrastructure such as vehicles or warehousing, your business might have outgrown what worked in the past. It might be time to look for funding to purchase infrastructure that will help your business grow even more. A small business loan may work well in this type of situation.
2. You’re having problems with your cash flow
Rapid growth can be painful for cash flow – take the following example. Suppose a business experiences a large volume of new orders. The accounts payable might be 30-day terms, but the accounts receivable might be on 90-day terms. This will create a funding shortfall for the business, as their bills will fall 60 days before the surge of income. Accounts receivable financing may be a solution in such circumstances.
3. You see opportunities but don’t have the cash
Business owners often see opportunities, but unfortunately they have to pass because they don’t have the funds available. It might be investing in a new product or service, or purchasing a premises, but without adequate capital, these opportunities will often remain just pipe dreams. This could be a clear sign that you need access to a working capital loan or other business finance to turn these opportunities into realities.