One of the toughest aspects of starting a small business is handling the financial side of things. Small business owners want to gain freedom from working a 9AM to 5PM job, and they want to realize the dream of making it as an entrepreneur in America. But they also want to mitigate the financial risk they are taking, and they want to provide a steady and sizeable income for their spouse, children and grandchildren. It is the same thing most Americans want – to realize and live the American Dream so things can be a little easier for their next generations. But how to achieve it?
The best way to start a small business successfully is by obtaining funding. Sites such as Kabbage and Kiva Zip are a very interesting way for small businesses to get funding in the modern economy. Kabbage is a site that takes an analytical and innovative approach to assessing the creditworthiness of a small business owner. They will assess your financial situation, the type of business you are starting and the area where you are starting it, and they will provide you with a credit line that corresponds to those factors.
Kiva Zip is another interesting site, because their microfinance platform can help partner businesses with lenders who may want to invest in their given industry. Another site to look out for is The Lending Club, where businesses can find themselves matched with individual lenders who are looking to make some solid returns on their savings. Lenders are presented with various individuals and businesses who are in need of a loan, with the prospective borrowers grouped based on their creditworthiness. Lenders will then choose the individuals or businesses that appeal to them the most. While peer-to-peer lending is not mainstream in America, it is growing every year, and it represents a great funding source for small business owners.