Starting a business usually starts with a great idea. But it also requires some money to make it happen. A lot of entrepreneurs have the finances to get their business off the ground, or at least have the means to get it. But what happens when you want to start a business with no money - is it possible?

The good news is that despite what you might think, it is possible to get a startup business loan with no money, if you look in the right places. Learn more about securing a startup business loan in our quick guide.

Understanding Startup Business Loans with No Money

A startup business loan with no money covers a variety of financing options for entrepreneurs who lack the funds to invest in their ventures. The main purpose of these loans is to help people get their business off the ground, or to help them expand their business in some way. As many loans require you to have some form of collateral, this can be a barrier for would-be business owners, but there are some loans that are favorable to those who are just starting out.

Securing Business Loans with No Revenue

If your business is just getting started, it’s unlikely you’ll have any revenue. Often, you’ll need funds to invest in stock, create websites and buy equipment that will then enable you to start making money. While traditional lenders may run a mile from offering business loans with no revenue, you could have more success with tailored loan solutions and those that are aimed specifically at new business owners.

A Guide to Startup Business Loans for Bad Credit

Having bad credit is another barrier to securing a small business loan, but it doesn’t mean that it’s impossible. Some online lenders or peer-to-peer lenders may be more flexible in their lending criteria, although may charge a higher interest rate due to the risks involved in lending. Other types of business loan sources, such as government-backed loan programs, may be more willing to lend to those with poor credit history. This is where having a loan broker like American Capital Express can be useful to help you access loans that aren’t generally on the market, as well as to find options that you are more likely to be eligible for.

Navigating Easy Approval Startup Loans with No Revenue

One option to help you secure the funds you need is to use easy approval startup loans that contain no revenue requirements. While these loans may come with higher interest rates and shorter repayment terms, borrowers can benefit due to a faster approval process, minimal paperwork and fast payment. It’s important to consider the pros and cons of these loans carefully, to ensure that borrowers are aware of the risks before they take out the loan.

Can You Get a Business Loan with No Money Down?

It’s not always easy to secure a business loan with no money down, but it can be done. The Small Business Administration’s (SBA) 7(a) loan program is in place to help new business owners start a business with low down payment options. It’s also possible to find lenders who will take another form of collateral, or even a strong business plan with significant growth potential.

Getting a Business Loan Without a Business: Is It Possible?

As you can see, there are some routes you can explore if you want to get a business loan without an established business in place. A loan can be vital for getting your business off the ground, providing you with equipment and services that could then help your business bring in revenue. Ultimately, getting a business loan without a business will depend on your personal circumstances, credit history and the type of loan you’re applying for. If you’re struggling to get a loan or you’re concerned about the risks involved, you might want to consider crowdsourcing or angel investors as a way to raise your initial capital and get your business started. You could then look at business loans once you’re confident that you have a viable business.

Exploring Small Business Loans for Startups with No Revenue

One of the simplest ways to explore small business loans for startups with no revenue is through a loan broker. A broker like American Capital Express can search for suitable loans on your behalf, that are a match for your unique circumstances. Not only will they navigate the many loans being offered by lenders, but they’ll also help you with the application process and provide you with aftercare services to help you manage your loan and repayments.

Looking for a loan for your startup? Contact American Capital Express today and let us help you get the best rate on a small business loan.