{"id":307,"date":"2018-04-25T16:03:46","date_gmt":"2018-04-25T20:03:46","guid":{"rendered":"http:\/\/www.atyourbusiness.com\/blog\/?p=307"},"modified":"2018-04-25T16:03:46","modified_gmt":"2018-04-25T20:03:46","slug":"what-to-know-about-secured-business-loans","status":"publish","type":"post","link":"https:\/\/www.atyourbusiness.com\/blog\/what-to-know-about-secured-business-loans\/","title":{"rendered":"What to Know About Secured Business Loans"},"content":{"rendered":"

If you want to be successful at obtaining a secured business loan, you need to know what they’re all about first. Read on to learn about secured business loans.<\/b><\/h4>\n

When <\/span>starting a new business<\/span><\/a>, most young companies will look into securing some type of business loan in order to prop them up from the beginning. <\/span><\/p>\n

There are two primary types of business loans: secured and unsecured loans. While both can serve well for a business, there are many differences between them.<\/span><\/p>\n

For more information on secured business loans, as well as what they can mean for your company’s interest rates and loan amounts, read on!<\/span><\/p>\n

1. Collateral<\/b><\/h2>\n

The primary difference between secured loans and unsecured loans are the fact that secured business loans are guaranteed with some form of collateral by the borrower.<\/span><\/p>\n

This collateral, which can come in the form of real estate, accounts receivable, or inventory, should be of equal or sometimes greater value to the loan. If a borrower happens to default on a line, the collateral will be taken by the lender.<\/span><\/p>\n

2. Terms<\/b><\/h2>\n

The terms of a secured business loan are significantly different to that of an unsecured loan, as the secured loans are less risky for banks. These terms can lead to lower interest rates.<\/span><\/p>\n

Another aspect of these terms that is a significant difference is the fact that these loans also come with an extended repayment period. <\/span><\/p>\n

That will allow a small business more time to make more money to pay off the loan. This is especially beneficial to small businesses that may take longer to get off their feet.<\/span><\/p>\n

Banks are also open to offering larger loan amounts as the collateral will help the borrowers increase their loan amount. <\/span><\/p>\n

Ultimately, the amount of a loan will almost be entirely determined by the collateral. Real estate collateral, for example, can be a great start point for any small business.<\/span><\/p>\n

3. Approval Rates<\/b><\/h2>\n

Secured business loans are significantly easier to obtain than unsecured loans. Banks are much more open to loaning to small businesses that have collateral to back up their loans.<\/span><\/p>\n

With significantly less risk to loan and a solid repayment plan, there are many potential secured business loans to choose from. Be sure to read this <\/span>lendr review<\/span><\/a> to see what one loan provider, lendr, requires before you can apply for one of its loans.<\/span><\/p>\n

4. Future Planning<\/b><\/h2>\n

Future planning is vital when attempting to obtain a secure business loan. Lenders will often want to know whether your company has a plan to successfully pay off the loan over the repayment period.<\/span><\/p>\n

can be a great tool for borrowers. This planning can be vital if a borrower does not want to risk its collateral to the loaning institution. With low-interest rates, this loan will not have a hugely negative impact on any profits the company is making.<\/span><\/p>\n

Are You Looking for Secured Business Loans?<\/b><\/h2>\n

If you’re starting your very own small business and are looking for a great source of capital to kick you off, a secure business loan may be the ideal option for you. If the collateral is there, this is a great source thanks to its extended repayment options and low interest rates.<\/span><\/p>\n

For more articles like these on how to make your small business a success, be sure to visit <\/span>.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

If you want to be successful at obtaining a secured business loan, you need to know what they’re all about first. Read on to learn about secured business loans. When starting a new business, most young companies will look into securing some type of business loan in order to prop them up from the beginning. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"_links":{"self":[{"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/posts\/307"}],"collection":[{"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/comments?post=307"}],"version-history":[{"count":1,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/posts\/307\/revisions"}],"predecessor-version":[{"id":309,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/posts\/307\/revisions\/309"}],"wp:attachment":[{"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/media?parent=307"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/categories?post=307"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.atyourbusiness.com\/blog\/wp-json\/wp\/v2\/tags?post=307"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}