If an entrepreneurial venture is to succeed, it needs ready access to funds. But are small business loans in Texas available to the companies that require financing?
According to the Small Business Credit Survey: 2019 Report on Employer Firms in Texas, by the Federal Reserve Bank of Dallas, some companies find it difficult to get the money they need. Only 42% of firms reported that they received all the cash they requested from banks or other financial institutions.
What about the remaining 58%? Did they get the funds to meet their business requirements? Or did these firms lose out because of a lack of credit availability?
In this post, we’ll take a close look at small business loans in Texas. We’ll discuss how entrepreneurs use the money they raise from banks and other financial institutions and what they can do if their loan applications are turned down. We’ll also tell you how you can find an excellent solution for all your funding needs.
Small Business Loans in Texas: why are they hard to get?
Let’s take a moment to understand why 58% of loan applications made by business owners in Texas aren’t approved or are only partially approved.
According to the Texas Small Business Needs Assessment Poll, the main reasons for small business loans in Texas being unavailable to applicants are:
- The business was established recently.
- The loan applicant had a low credit score.
- The loan applicant couldn’t provide adequate collateral.
Camino Financial can be an excellent alternative for small business loans in Texas. We are a tech-driven online finance company that specializes in providing loans to companies in low-to-moderate income communities.
Our motto, “No business left behind”, is our guiding principle. If you require funds for your business, get in touch with one of our loan specialists. We understand your needs and will suggest the most cost-effective loan for your company.
A Camino Financial loan is right for your business
Fortunately, there’s an easy solution for entrepreneurs looking for small business loans in Texas. Camino Financial has two financial products that can help company owners get the funds they need.
Here are the highlights of these two loan categories:
|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|
Now that you have an idea about these two financial products, you should know why they can be a perfect match for entrepreneurs who are looking for small business loans in Texas:
- You don’t need a social security number to apply. An ITIN will do.
- Don’t have a FICO score or a credit history? No problem. You can still apply.
- Our loans are unsecured. This means that you don’t need to provide any collateral.
- We provide customer service in both English and Spanish.
- We accept loan applications from businesses that have operated for at least 9 months and have gross annual sales of $30,000 or more.
We not only lend, we help business owners
Camino Financial is committed to helping entrepreneurs who find it difficult to raise money from traditional financial institutions. Additionally, we focus our efforts on the Latino business community. Our role doesn’t end with providing you with the money you need for your business. As a Camino Financial member, you get the following additional benefits, as well:
- 1-on-1 business consultations via chat, SMS, email, or phone with our business experts.
- Access to webinars and videos that will help you manage your business and improve your profitability.
- We have a wide variety of educational resources so you can become a top-notch business owner.
- After 9 timely payments, you have the opportunity to access more cash with fewer interest rates and more time to pay.
In the words of Kenny Salas, one of the co-founders of Camino Financial:
“We also want to educate entrepreneurs, because capital in isolation is not the solution… Many of our clients are motivated but still need direction.”
Small Business Loans in Texas: what is the funding used for?
When a company takes a small business loan in Texas, what does it do with the funds it borrows?
The Dallas Fed says that 67% of loan applicants seek loans to expand their business or pursue a new opportunity. Here are some of the specific ways in which you can use small business loans in Texas:
- Buying machinery and equipment.
- Purchasing inventory.
- Meeting payroll costs.
- Paying for a new marketing campaign.
- Launching a new product or service.
- Opening at a new location.
Getting a loan is as easy as 1-2-3
Entrepreneurs looking for small business loans in Texas will be pleasantly surprised to learn that Camino Financial can meet their financing requirements in a matter of days! All you have to do is to follow these 3 easy steps:
- Complete our online form. You’ll need to provide contact details, particulars about the funds you’re seeking, and some other basic business information. We promise to get back to you within 24 hours.
- If you were prequalified, this step involves uploading your small business documents online or sending them to your financial records to your business loan specialist. We’ll guide you every step of the way. Subsequently, we’ll carry out a careful review of your documents and match you with a small business loan that meets your needs.
- At this stage, we’ll make you an offer. Sign the business loan agreement, and you’ll receive funds directly to your bank account in a few days.
Remember that Camino Financial’s loan application process is quick and straightforward. The entire process, from application to receiving funds, can be completed in as little as three days.
Businesses in Texas need capital
It’s a well-accepted fact that everything is bigger in Texas. This assertion is especially true when it comes to small businesses and their financing needs.
The Office of Advocacy of the U.S. Small Business Administration points out that there are 2.7 million small firms in Texas. They account for 99.8% of businesses. These companies employ 4.7 million workers. That’s 45.1% of all the employees in Texas.
But many of these businesses suffer from a lack of capital.
A look at the April 2017 Texas Small Business Needs Assessment Poll reveals that just under 40% of business owners experience some difficulty in receiving the requested amount of credit.
The COVID-19 pandemic has worsened the negative impact that the shortage of credit has created. Small business owners across a broad spectrum of industries have seen a sharp drop in revenues. Many of them are facing closure due to a lack of funds.
What can these entrepreneurs do?
Where can they get the cash they need?
Camino Financial: your next lender
At Camino Financial, we consider it our mission to help small businesses like yours. We will do our best to provide you with the liquidity you need to grow your business.
But our role doesn’t end there. We’ll be happy to offer you business-related advice, as well as the guidance that you may require.
Camino Financial’s small business loans and microloans could be the perfect match for your company.
Apply for a business loan today.
You’ll know within a few seconds if you prequalify and your credit score won’t be affected.