It’s crucial that business owners in need of small business loans in California can receive the financial aid they need. After all, it’s no secret that money is the key to growing a business.
According to the Open the Books report about the SBA, between 2014 and 2018, the agency granted $24.1 billion to 43,061 California businesses. Now, let’s compare this to the total number of businesses: there are 4.1 million small businesses registered in the state.
That means only 1.05% of all businesses in California received capital from the SBA.
This report also reveals that many of the loans went to luxury-brand businesses or fairly prosperous businesses. This means that small businesses, like mom and pop shops, do not get the help they so desperately need.
In this article, we’ll talk about the financing options out there for those ready to apply for small business loans in California. We will also tell you how you can receive the capital you need.
Why is it so difficult to get business loans in California?
As a California business owner, you know that getting a loan can be difficult. Credit score, collateral, stringent requirements… things can get complicated very fast.
In addition to the usual challenges, business owners have to overcome other difficulties:
- Long processes. Banks can take between one and two months to evaluate your loan application. And while you wait, the growth opportunity could be fading for lack of timely financing.
- Minorities are at a disadvantage. Business owners, particularly immigrants and black and brown communities, have more difficulty accessing capital.
In 2016, the SBA granted $5.1 billion in loans in California. Latinos were only able to access 13% of those resources, and African Americans only accessed 2% of the capital.
And, right in the middle of a crisis, things don’t seem to have gotten better for minorities in 2020.
But it’s not all doom and gloom. At Camino Financial, we understand your needs. Our priority is to help small business owners get the capital they need to grow their businesses and achieve their goals. Our loans were created with you in mind.
Camino Financial Loans are right at your fingertips
Fortunately, many alternative lenders have very simple requirements for those seeking small business loans in California. If you need capital, Camino Financial is your best choice. We offer loans and microloans:
|Camino Financial Small Business Loans||Camino Financial Microloans|
|Annual interest rates||12% to 24.75%||25.5% to 40%|
|Loan payback period||24 to 60 months||24 to 36 months|
|Type of rate||Fixed||Fixed|
|Loan size range||$10,000 to $400,000||$5,000 to $75,000|
|Origination fee (% of the loan amount)||5%||6.99%|
|Early payment penalty||None||None|
|Time from application to funding||3 to 10 days||2 to 14 days|
It’s super easy to access our financial products. Your business needs to have been in operation for at least 9 months, earn $30,000 gross in annual sales, and you must be the owner of at least 50% of the business.
And we can make things even easier for you:
- You don’t need a good credit score or have a previous credit history to apply.
- If you don’t have an SSN, that’s ok! You can apply with an ITIN.
- We will never ask for collateral: your assets will never be at risk.
- The online application process is easy, secure, and bilingual.
- You’ll know immediately if you pre-qualify.
- You can receive the funds up to 2 days after submitting your application.
Even better than our loans are our additional benefits
It’s easier to get small business loans in California with Camino Financial. But you will also get benefits that you won’t find anywhere else:
- Build your credit history and increase your score.
- Receive personalized advice from our specialists.
- Access educational resources: our webinars, videos, and newsletter will help you make your business more profitable.
- After only 9 timely payments, you can access a bigger loan, with lower interest rates and a longer payment term.
Small Business Loans in California: How to Invest Them?
If you apply for a loan because you think that is what your business needs to grow, you must be clear about how you will invest the funds. You can finance small projects or large ventures.
Here are some of the ways Californian businesses invest their money:
- Buying new equipment and machinery
- Paying your employees’ payroll
- Hiring staff
- Buying inventory
- Investing in marketing
- Opening a new location or store
It doesn’t matter if you need to expand your business or get through tough times; Camino Financial will lend you the money you need. Even better yet, the process is quick and hassle-free.
The loan your business needs in three easy steps
At Camino Financial, we understand how difficult it can be to access capital with traditional banks. That’s why we have made our small business loans in California very accessible.
Our loans and microloans have great terms and amazing benefits. Here’s what you need to do to get one:
- Complete a simple online application; you just need to fill in basic information about you and your company. You’ll know if you pre-qualify in less than 24 hours.
- If you pre-qualify, you’ll need to send us some business information and documents. Our specialists will review them to determine the loan that best suits your needs.
- We’ll send you a final offer with the terms of the loan. When you sign it, you will receive the capital directly into your bank account.
To learn more about the application process, keep reading:
Businesses in California need capital
California is the 5th largest economy in the world. The state’s impressive economic performance is achieved, in part, by the 4.1 million small businesses that employ 7.2 million people.
Although these figures are quite revealing of the importance of small businesses in California, the truth is that they don’t often get the financial help they need.
Small business owners in California need capital now more than ever. Due to COVID-19, owners must put on-hold all their projects and their businesses’ growth to get through the emergencies that arose during the pandemic.
Business owners must have access to the capital they need to pay their employees, buy supplies, or cover rent.
But you can start investing in your small business today.
At Camino Financial, we are ready to help you. Together we can help your small business achieve the success it deserves.
Small Business Loans in California: Time to Grow
Growing your business or surviving tough times are reason enough to consider a loan as an alternative to raising capital. Camino Financial makes it easier to get, and we offer you many more benefits than other alternatives.
If you need external financing to strengthen your company or if you’re dreaming of an expansion, we can grant you a loan that fits your needs.
This is your opportunity to grow your business and reach your dreams.