Alternative Lending in Texas – Elan Capital has direct access to dozens of lenders who will fight for your business. Call us today at 888-615-1418.
Alternative Lending in Texas
Alternative loans cover a broad array of business loan options available to start-ups and existing businesses that fall outside of a “traditional” bank loan. Alternative loans are in demand for one major reason—increasingly, company decision-makers cannot obtain a traditional bank loan.
“I went into my bank for a loan and got a Visa Card instead…”
Today, when most small businesses seek a bank loan, say for $50,000, they are more likely to be handed a business Visa Card application instead. Why? In the past, typical bank loans under $100k for a small business came in at a 7-8% for businesses with outstanding credit.
But it’s hard to make payroll on a Visa. Oh…get a cash advance? If you have outstanding credit, you won’t be paying 9.99% on cash advances or checks drawn against the Visa card. You’ll pay more for that. Much more. That 9.99 APR is for purchases. Depending on your bank and your credit history, if you write a check against your credit or get cash at an ATM or bank teller, the rate jumps up an additional 5%-13% on top of your base purchase rate.
So for the outstanding credit customer who would have paid 7% on a short term bank loan of $50,000 and now pays 9.99% plus a cash advance/fund transfer fee of 5% making the businesses APR for his “Visa” loan at 14.99% plus other smaller transaction fees. That’s not only twice as much profit for the issuing bank, but far less paperwork and hard costs as well.
Worse, an average credit business customer will be looking at close to 15% as a base rate for purchases and upwards of 30% APR on cash, fund transfers and checks.
To provide a more appealing option to small businesses, alternative lenders put cash into your business checking account and are usually more flexible than larger financial institutions on loan repayments. Additionally, alternative lenders often green light loan approvals much faster than banks, often getting business owners answers in hours and funding within 48-72 hours of the loan application. With speed, convenience and flexibility as selling points, alternative loans are among the fastest-growing financial tools for small businesses available today.
The Growth of “Online” Lending
Do a Google search for “alternative small business loans” and you’ll get over 13 million search returns.
Most financial experts point at the crash of 2007 as the “birth” of alternative lending. To a point, it’s true that banks vastly tightened small business lending requirements, 2 other forces were at work.
- Just as small business lending “crashed” smartphones came out, allowing us to carry the internet with us. We went from a wired world to an un-wired world. Virtually overnight.
- Then, when banks started slowly lending again, they realized the time and money to process a $50,000 loan was virtually the same as a loan for $2 million. The one big difference? The $2 million loan had way more profit for shareholders. So “true small business loans” went the way of the dinosaurs.
These 3 factors; the 2007 crash, the internet, and banks seeking higher profits, gave birth to alternative lending.
Much like “Square” changed the payment industry and “Amazon” changed retail, alternative lending is changing the banking industry.
Alternative Lending in Texas
If you are a small business looking for alternative lending in Texas, how do you choose from so many vendors and platforms? How do you research the most trusted sources, how do you avoid hidden fees? What are the customer service issues?
We’ve done the research for you.
Unlike the many online vendors, Elan Capital is not beholden to one or two financing companies. Oh, no. Elan has has direct access to dozens of alternative financing sources with hundreds of different lending programs.
Because there is no one size fits all here in Texas. Every business is different, even in the same industry.
Some financing companies specialize in low credit scores, while others focus on start-ups, specific industries, etc. Because Elan Capital has so many financing sources, we have the right solution at the right time for virtually any business owner.
The best of both worlds.
Back in the day, your bankers handled you checking account, savings, car loans, business and personal loans, college loans and more. They knew your name and had lollipops for your children (who they also knew by name). While those day have largely disappeared, Elan keeps the personal, human touch and applies it to the new online world of alternative lending.
What Are My Options for Alternative Lending in Texas?
ELAN CAPITAL, INC.
ALTERNATIVE LENDING IN TEXAS REDEFINED
Today, many business owners are turning to alternative lending options and steering clear of banks and their ridiculous, antiquated loan qualifications. But most online lenders only utilize one specific lender or auction your online application to the highest bidder, leaving you with plenty of unanswered questions.
At Elan Capital, we provide simple and direct answers and totally transparent pricing. Elan appeals to today’s entrepreneurs because we offer the widest variety of alternative lending in Texas:
- A Term Loan is a lump sum you borrow and repay on set terms, including the annual percentage rate. This is generally the least expensive type of financing.
- A Line of Credit gives you access to a set amount of cash that you can tap when necessary. This is generally used by businesses that need short-term financing to bridge cash flow gaps (ex. seasonal businesses).
- Invoice Factoring, also known as invoice financing or accounts receivable financing, is an option for small businesses that deal with unpaid invoices. Instead of just waiting to be paid, you can get an advance on those invoices, which you then pay back along with a fee when customers settle their accounts. This is popular option.
- A Merchant Cash Advance offers a way to get an cash advance on future credit card/debit card sales.
Elan Capital Inc, has many subsets including;
- INVENTORY LOANS
- UNSECURED BORROWING
- FACTORING RECEIVABLES
- WAREHOUSE FINANCING
- ACCOUNTS RECEIVABLE LOANS
- AGRICULTURAL LOANS
- FLOORING LINES
- MACHINERY LOANS
- INSURANCE AGENCY LOANS
- MEDICAL PRACTICE LOANS
- WORKING CAPITAL LOANS
- GOVERNMENT GUARANTEED LOANS
- INTERNATIONAL LOANS
- ACQUISITION LOANS
- EQUIPMENT LEASING
- BUSINESS START-UP LOANS
- COMMERCIAL PROPERTY LOANS
- SBA LOANS
- AND MUCH MORE
The increased demand for quick and easy access to working capital has sparked fierce competition among lenders to provide alternative lending options that meet the needs of small businesses. Elan Capital has access to some of the best options available for small business loans in here in Texas.
Most importantly, wouldn’t it be nice if you could talk with a local professional?
Because having a solid understanding of all the options available and how they meet your business needs is key to determining the lending option that is best for your small business here in Texas.
Elan Capital has a multitude of options available for small businesses to obtain the capital they need to start up, sustain operations, expand a business and ultimately succeed. We look forward to a long, beneficial relationship.
Maybe you need a working capital loan, or a bad credit loan, or a general cash advance, or a loan for new equipment…you get the idea.
You need to talk to a financing expert.
You need to talk to Elan.
With offices in Dallas/Fort Worth, San Antonio, Austin, Houston, El Paso, and Lubbock, Elan combines small business alternative lending in Texas with a personal touch not found “online”.
Additionally, as an independent entity, Elan is not tied to one lender and instead, we can have many lenders working their hardest, to gain your business. All your questions answered. No hidden fees.