Getting Business Funding as a High-Risk Borrower
Operating a business is no easy feat. As your company grows, you can expect an increase in expenses. For high-risk borrowers, securing access to working capital can be a difficult but necessary part of achieving business success.
Fortunately, at Clarify Capital, we offer a wide variety of funding options for high-risk borrowers. While risk will always be a key factor that lenders consider, we believe it shouldn't define the borrower. After all, most small business owners and entrepreneurs take on some level of risk to build their empires.
If you've been turned away by traditional lenders, don't be discouraged. We work with borrowers who have bad credit, minimal credit history available, and work in “risky” industries.
Whatever your situation, Clarify is here to help make your dreams a reality. With a marketplace of 75+ lenders, competitive products, and a streamlined, fast approval process, we're experts in getting you the fast business loans you need to keep your business running at its best.
Types of High-Risk Business Loans
Finding the right small business loan for your company depends on your needs and business goals. We have a diverse selection of loan products, so you can choose what financing option makes sense for you. Compared to more traditional loans like bank loans or loans from credit unions, these types of loans from alternative lenders can get your business funded in just a few business days.
High-risk business loans put less focus on your creditworthiness, business plan, or business track record than other loans, including SBA loans. At Clarify, we're passionate about helping high-risk borrowers secure funding with favorable repayment terms.
Merchant Cash Advance
With a merchant cash advance (MCA), you exchange a portion of your future sales for working capital. This short-term loan type offers immediate access to funds. Common uses include bridging cash flow gaps and covering expenses when the unexpected happens.
Installment Loans
Term loans are the most popular type of funding. Borrowers receive a lump sum, which is paid back over time in fixed increments. If you've been in business for at least six months and your company generates over $10,000 in gross monthly revenue, a short-term business loan could be a great option for your business.
Equipment Financing
Equipment financing provides capital to purchase new or used machinery. A personal guarantee is not needed, which means your personal assets are never on the line. The equipment is used as security, so your personal assets stay protected.
Invoice factoring
If you have low credit or don't have an established credit history, invoice financing is a great loan option. The receivables of outstanding invoices are used as collateral, which means that borrowers with all types of credit can be approved. Many high-risk borrowers choose invoice factoring loans because credit is not a primary qualifier for funding.