Cash flow is a constant battle for most small businesses. Today’s tough economic environment doesn’t make it any easier. With the mortgage crisis, home foreclosures, and rising inflation, banks are very hesitant lending money right now. I’m experiencing that firsthand with my own companies, so I’m always on the lookout for alternative sources of cash.
I came across an article in Entrepreneur magazine recently that talked about a website iBank.com that lets you apply online for mortgages, credit cards, lines of credit and small business loans. The site provides users access to 325 different lenders. According to the article, iBank made more than $81 billion in loans to small businesses last year. You can store and organize your business data in a secure, electronic “vault” that you can access any time from anywhere in the world where there’s an internet connection. Whenever you need the cash, you simply select the type of loan you want and the information stored in the vault is automatically entered into your application form. The company that owns iBank claims that borrowing costs are 30% lower than applying for loans the conventional way, and funding time is less, with many loans approved on the spot. Fees to prepare a loan application range from $49.95 to $300, depending on the loan size.
Be aware that I’m not recommending or endorsing iBank for your company because I’ve never used the service myself. I would suggest that if you are in need of funds, it wouldn’t hurt to check this out. If anyone reading this has used iBank before, I would love to get your feedback.
