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industrial loan

What You Need to Know About Getting Commercial Loans in the Industrial Goods Industry

Funding is a key component for any business, especially for the commercial and industrial goods sectors that bear the cost of widespread production of goods. To qualify for a loan, you need to consider factors such as your company’s operational capacity as well as the financial conditions surrounding your industry.

In the event of an urgent need like financing a transaction or developing your business on short notice, where do you turn? Taking care of needs like equipment costs and employee payroll will allow you to take advantage of opportunities that will propel your company forward. Getting an industrial loan from LQD Business Finance can help accelerate growth for your business. But before you apply, what things should you consider? Here are five things to keep in mind and some ways that you can use commercial and industrial loans.

1.     Can an Individual Get an Industrial Loan?

Unlike other types of loans where individuals can get the funds, an industrial loan is only available to a business or corporation.

2.     What Documents Do You Need to Get Started?

To get an industrial loan, you need a few initial documents for your application process. The first is a current aging A/R and A/P report, followed by a debt schedule and a pro forma projection. Lastly, is three years of historical tax returns and YTD financials.

3.     What Is the Interest Rate?

The interest rates for our industrial loans range between 15% and 19%. Unlike traditional banking options that often come with hidden costs, commercial and industrial loans from LQD Finance give you an APR and traditional monthly payment structure, which allows you to easily keep track of your loan schedule.  

4.     What Is the Loan Term for Commercial and Industrial Loans?

Commercial and industrial loans can be advanced for 1-3 years. LQD Finance offers funding up to $10MM, allowing you to experience accelerated growth and expansion.

5.     Are There Any Limitations to the Use of an Industrial Loan?

An industrial loan operates within specific parameters, where it can only be used for purposes relating to your corporation. This means financing your company’s expenditures and other daily activities. Examples of areas to use these loans are outlined below.

Uses of an Industrial Goods Loan

Acquisitions and Mergers

Succeeding in the commercial scene requires agility and may occasionally have you looking for avenues to help you enjoy reduced production costs. This means working with businesses with a skilled workforce or even those with specialized technical capability that you may lack. Acquisitions and mergers come into play here, with the result requiring you to join forces with businesses in your area of operations or those in your line of production such as suppliers. Funding such growth opportunities requires enormous funding, and an industrial loan is an excellent place to start. Your business needs support during such consolidation. An industrial goods loan will factor in these new elements of your business and ease your financing requirements and is your best bet for stability.

Purchase Inventory

Every business needs inventory to generate revenue, and industrial goods companies are not any different. Given the vast inventory needs of companies in this sector, raising capital for purchases can often equate to lengthy funding processes. However, the availability of commercial and industrial loans through LQD Finance means that you can quickly take on as much inventory as needed and streamline your growth needs. So, if you are looking for ways to get increased returns, an industrial loan will come in handy.

Working Capital Needs

Cash flow needs are normal for businesses, most notably during growth cycles, like expansion phases and the startup process. These stages are characterized by an increased rate of cash outflow, as opposed to inflow. If you are looking to take care of payroll costs or unplanned expenses, an industrial goods loan will ensure that all your operational needs are met. With this, you can enjoy rapid growth during those crucial stages of your business cycle and get increased returns to stabilize your company.  

Equipment Financing

Equipment funding is essential to your business’s growth and is an element that may require you to invest in capital property. Whether you need new machinery to expand your industrial capacity or invest in technology to reduce manual operations, funding is critical in achieving this. An industrial loan focusing on equipment financing will ensure you grow your operations depending on your needs and expand your production capacity. Worn out equipment may end up costing you more to repair, so it may be time for new additions to allow you to enjoy increased efficiency from your equipment.

Why Are Industrial Loans from LQD Finance a Great Funding Solution?

Fast Lending Solutions

When getting an industrial goods loan, speed is likely what you are looking for. LQD Business Finance delivers fast and quality solutions, aided by state of the art technological funding services that reduce time and cost. Our financing technologies, LQD Matrix and LQD Synthesis, provide proprietary underwriting that eliminates traditional manual underwriting processes. With this, you can get loans of up to $10MM in under 30 days.

Custom Solutions

Funding should be tailor-made to serve individual businesses’ needs, especially those that have been overlooked by traditional finance solutions. With LQD Business Finance, you get a funding service that looks at your past, present and future needs. Our custom-built technologies generate financing solutions based on your every requirement to meet your stipulated time frame goals. 

Flexible Solutions

Whether you are looking for short-term loans to take advantage of one-time or long-term ventures for your working capital needs, LQD Finance is the way you go. We provide a variety of short term loans in diverse industries, from commercial and industrial and retail to wholesale. LQD Business Finance will cover all your needs with an automated lending process to further accelerate your growth.

If you are looking for additional working capital for your business, commercial and industrial loans are what you need. You no longer have to endure additional documentation or lengthy trial processes. But to benefit from industrial goods loans, go for services that stick to transparent and streamlined funding processes. LQD Business Finance is the partner that you need. Our alternative lending solutions are comprehensive and cater to all unique business needs. Apply for an industrial loan with LQD Business Finance today.

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