Small Business

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The financial services industry has come a long way in recent years. It’s easier than ever for consumers to search for lenders and compare rates for the services they need.

Even Financial has had a hand in that. Founded in 2014 by Phillip Rosen, Even creates technology that helps financial companies better serve their customers.

Rosen serves as CEO of Even, now a top fintech provider with more than $50 million in capital raised. Some of the top companies in the world use Even’s technology, including SoFi and Marcus by Goldman Sachs.

What’s Ahead:

Why Even?

Whether you’re looking for a loan or investment opportunity, tracking down the best deal can be overwhelming. Comparison engines have simplified the process in so many industries, including consumer products and electronics.

The financial industry is the perfect market for a search, comparison, and recommendation engine. Even was founded with the belief that financial services are ideal for comparison shopping. Even provides the definitive search, comparison, and recommendation engine for financial services.

You won’t see Even’s work directly. Instead, they operate in the background on some of the most popular fintech sites.

Meet Even’s CEO – Phillip Rosen

Phillip Rosen has watched Even grow rapidly since founding the company in 2014. Initially, the company sought to transform finance by becoming the search, comparison, and recommendation engine for the sector.

Rosen’s background in data analytics makes him the perfect fit for a technology that powers comparison shopping. Prior to conceptualizing Even, Rosen co-founded Orchard Platform, an investment platform geared toward peer-to-peer and online lending. He also led the development team for Offerpop, a next-generation analytics platform.

Rosen serves as CEO for Even, which has now focused its efforts on further personalizing the results consumers get. Recently, he gave us some great financial tips and discussed Even’s goals.

Money Under 30’s interview with Phillip Rosen

We’d love to hear more in-depth about how and when Even began. Tell us more about how you got to where you are today.

We started Even when we saw a clear gap in the market for an easy way for consumers to search, compare, and get matched with financial services products. As a group of fintech and adtech veterans, we saw the expensive ineffectiveness in how financial institutions were reaching consumers and the lack of accessibility for those same consumers in their search.

Our first MVP was a personal loan API that programmatically matched consumers with pre-approved loan offers. Since then, we’ve built an extensive platform with over 400+ premium partners with a wide range of financial services such as loans, life insurance, credit cards, savings accounts, and mortgages. This was only possible due to our team building strong and collaborative partnerships with both our channel partners and financial institutions partners.

Every day is a continued effort to innovate, bringing the same level of programmatic decisioning to each financial services vertical—while continuing to make the ease of entry for channel partners lower and lower through turkey integration options.

What problem is Even trying to solve?

Our mission has always been to build the definitive search, comparison, and recommendation engine for financial services.

Prior to founding Even, the financial services industry was severely fragmented. Our channel partners had no easy way to provide financial services to their users beyond static ads or embarking on a lengthy process of growing and maintaining their own relationships with lenders (and the compliance and regulatory monitoring that requires). 

Even has worked to unify the financial services industry, with use of the Even API and platform. 

The Even API is facilitating a transformation in the financial services industry similar to what happened to the travel industry between the late nineties and early 2000s, when the software company ITA, that powers Google Flights, created a data-driven marketplace for airlines. In short, airlines provide data to Google Flights, which then works with content partners like Orbitz and Kayak to provide travelers with recommendations that fit within their budget and needs. 

Through ITA, consumers had access to a programmatic marketplace and no longer had to rely on travel agents. Similarly, Even has created a data-driven, programmatic, turnkey marketplace for the financial services industry focused on connecting consumers to a variety of personal finance products. For our financial partners (such as SoFi or Marcus by Goldman Sachs), Even has proven to lower the cost of acquisition, improve monetization, decrease delinquency rates, and deliver transparency at scale—all while delivering programmatic compliance monitoring. For our channel partners—we’ve created easy to implement solutions to add financial products to their business and monetize.  

We’re fascinated by your background in data analytics. How do you see data analytics transforming personal finance? How do you use data to benefit your partners and consumers?

One of the four values we uphold at Even is being empirical—more specifically, emphasizing testing, data, and iteration as an approach to making informed decisions.

From our utilization of first, second, and third-party data to generate personalized offers backed by machine learning, to the extensive dashboards we provide partners, to the level of testing we implement before launching a new feature—data is at the heart of all that we do at Even. 

We work to consistently provide our partners a better understanding of their consumers and the market as a whole. Alternatively, that same data ensures that consumers are matched programmatically with products that will work best for their needs.  

What advice would you give to a Millennial who is looking for a financial service of some sort? And if you were connecting with a Millennial who felt ‘stuck’ in indecision about which product works for their needs, what advice would you give?

The technology is now at your disposal to more easily find the financial services that best meet your needs—it’s similar and as easy as a Google search now, especially with the Even platform. Long gone are the days of your parents going from lender to lender applying for loans and taking a hit to their credit each time. Long gone are the days of meeting with life insurance agents to find the policy that works to best protect your family, only being shown rates from that agent’s carriers, and filling out piles of paperwork.

We’ve enabled our partners to provide consumers like yourself a fully functioning search engine, enabling you to get matched with the financial services offers that work best for you, backed by machine learning. 

Content is your friend, as financial services are being de-mystified. Websites like Money Under 30 break down more complex financial information into easy-to-read content—making the answers to any questions you have only a Google-search away. Use your technological savviness to your advantage! 

You’ve worked primarily with startups throughout your career. What do you like about working with startups versus a large corporation?

Startups enable a level of agility in development that ensures we’re able to consistently adapt according to the current condition of the market, as well as the needs of our partners. I prefer that agile nature, to ensure that the team I’m leading or working with can consistently deliver the solutions that work best in real-time, while further iterating on them as the need emerges.  

As a startup founder, you’ve been praised for your ability to raise capital and acquire businesses. What advice would you have for someone interested in launching a startup or starting a small business?

Though I can’t speak on small businesses, in regards to startups—raising money is a means to an end, but it isn’t “the end”. It’s important to have a defined mission, along with a set of core pillars in how you envision your company will both advance and grow. Invest in your people, and enable them to feel empowered and fearless as they find solutions collaboratively as a team. 

People are at the heart of every successful business, and investing in them will pay the biggest dividends. For every successful feature launch or extension into a new vertical we’ve had, there was a team of talented and hard-working people that made them successful. 

Do you have an experience you can share with our readers – where you learned a ton from what happened?

I’ve recently been learning the importance of focus. No matter how many great ideas you have, the ability and importance of focus on one could make or break one’s success in accomplishing their goals and objectives. 

During such a chaotic and unprecedented time, it’s easy to lose sight of the finish line by taking new paths and running towards emerging opportunities. Focus on the task at hand, and ensure you’re seeing it through to the completion of the objective you originally set, there will always be time to follow up on the other ideas that arose during the journey. 

We create yearly and quarterly “OKRs”, or “objectives and key results” that we utilize as a goal-setting framework to define and track objectives and their outcomes. By creating them both company-wide and per-team, we ensure that everyone can focus on what needs to be done—no matter the ideas and distractions that may arise along the way. 

A good example of this can be found in how we transitioned into a fully distributed workforce with the pandemic. We already had many distributed teammates through the world, so moving fully-remote was less of a hurdle—but an understanding company-wide regarding what our OKRs and discussing them at bi-weekly company meetings ensured that no matter where and when our teammates were working, they knew the overall goal and could work straight towards them, even as the market and our everyday lives changed.  

Your team is growing fast. What have you done to ensure you build a team that works well together? 

We have a People Team that works incredibly hard to ensure that we’re seeing the widest and most diverse pool of possible applicants for each position. Once hired, we have a variety of systems and platforms in place that work to ensure we have transparency in our communications, and resources that enable flexible and async onboarding such as an extensive wiki built on

Atlassian that is continuously used to document and memorialize our work and process, Lattice to enable mentorship and succinct 1:1 management and growth, and a company-wide continuing education program we call “Even School” that provides new employees the knowledge they need to jump right into the action and make a difference. 

Where do you see financial services going in the coming years? How will technology continue to change how people find and use financial services products?

Every company will be a financial services company. As the market further unifies, and integration for companies (especially at an enterprise level) become easier and easier—everyone from large-internet retailers to workforce platforms will have the functionality to offer consumers a programmatic and easy to use marketplace of the financial products that make the most sense for them. 

This will substantially benefit the consumer, no longer requiring them to search extensively for the financial products they need. Accessibility will increase, and consumers will be able to find the financial products they need, where and when they need them. It will also be easier than ever for consumers to accomplish securing those financial services, as technology simplifies their process exponentially. 

An example of this can be found in how we’ve helped simplify the process of purchasing life insurance. Prior to the use of APIs, consumers had to speak to a life insurance agent who was only able to offer them the policies that they had on hand. We’ve modernized this approach, enabling the broadest end-to-end, multi-carrier, all-digital online life insurance flows in the industry.

A consumer can now interact with the Even platform on one of our channel partners’ website and secure personalized life insurance policy quotes for their specific health and financial needs, and finalize the process completely online—with some carriers on our network not even requiring a medical check (depending on several insurability factors). 

The future of financial services will be streamlined, simplified, and will improve for all parties involved. 

Who in your life has been the most instrumental in teaching you about money management?

Many people have provided me insights and teachings along the way, but working in the fintech space—you learn so much about the vast degree of financial products and services that exist beyond what is taught by one’s family or parents when you’re younger. 

After years working in this space, and just being an adult in the financial world—nothing was a better teacher than experiencing all of it in my own life. 

For example, after years of utilizing credit cards—you start realizing the value of utilizing credit cards that reward you for your specific spending habits, but someone else won’t be able to teach you what those spending habits are—you’ll have to notice them, and then pivot the cast of cards in your wallet to reward you for them.  

What’s the best advice you’ve received (not necessarily money-related) that has shaped how you lead your life?

When it comes to management, always make sure that the wins go to your people, and the losses are socialized amongst the leadership. 

For example, if a pitch doesn’t go according to plan, placing blame on the sales team that led the pitch doesn’t make much sense and it is unproductive—it’s more productive to just have a post-mortem across the leadership team to understand what went wrong overall, and what would have made your company more attractive. Alternatively, if a pitch goes well, that should undoubtedly be credited to the sales and marketing teams that made that pitch successful—and the leadership team should congratulate them accordingly. 

What’s your top personal finance tip?

Buy crypto in 2012. No, but more seriously—as once said “compound interest is the most powerful force in the universe”. Use it to your advantage. 

What is the financial book/website/podcast that has most influenced you?

I’ve found that Twitter, especially the FinTwit end of it, is an extremely valuable resource to not only understand the current condition of the market and industry but to also understand what consumers are facing so you can create solutions based on it.

With constant real-time updates coming from the most intelligent people in this industry, consistent and important journalism being shared, and consumers reacting to the markets and news in real-time—it’s an unending source of information.  

What piece of wisdom would you give your 20-year-old self about managing money?

Have an IRA and put money into index funds each month. 

Summary

Thanks to the work of Even, it’s easier than ever for consumers to find the perfect financial services to meet their needs. Phillip Rosen and his team are leading the platform into the next phase, as companies of all types seek recommendation and comparison engines. With a mind for data and a long history of working in tech, Rosen is the perfect leader to guide Even into the next era.

Read more:

Source: moneyunder30.com

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In the competitive world of real estate, effectively and consistently securing listings is the key to success. Whether new to the industry or a seasoned vet, it’s important to keep an open mind and innovate your strategies. By embracing different opportunities, agents can expand their chances of securing more listings and growing their business.

Here are five strategies I consider highly valuable for securing listings.

Set the appointment

To make a strong first impression with potential sellers, avoid overwhelming them with too many questions upfront. Instead, focus on scheduling an appointment. Then, engage in a  meaningful discussion about their needs and goals. Be enthusiastic and confident in your ability to help them. This approach establishes a solid foundation for a lasting relationship, minimizing any doubts they may have. 

Online tools

In today’s digital landscape, leveraging the right tools is vital to success. A trustworthy Client Relationship Management (CRM) system is an important asset, allowing agents to effectively manage and track interactions with clients. Consider integrating a follow-up bot to ensure no leads slip through the cracks. Additionally, making a compelling weekly email newsletter using platforms like MailChimp keeps you relevant in the eyes of clients. 

Personalized communication is a powerful tool. Regularly reach out to clients through phone calls, demonstrating a commitment to their needs and maintaining strong relationships. Embrace social media platforms such as Facebook and Instagram to engage with your audience, share listings and establish your online presence. Staying updated on the newest technologies and industry trends ensures you’re ahead of the competition.

Building your offline reputation 

Building an impressive offline reputation is a cornerstone of securing listings. By consistently delivering exceptional service, you build trust and loyalty with clients. Satisfied past clients become valuable advocates, referring you to their family, friends and neighbors when it’s time to sell. Over the years, I’ve built a large network by prioritizing customer satisfaction and nurturing long-term relationships.

Networking 

Networking is a powerful strategy for gaining real estate listings. Shift your focus from simply completing transactions to building genuine relationships with clients. This not only strengthens your network but also leads to more business opportunities. Attending networking events, seeking referrals from vendors and engaging with industry professionals and small business networking groups can expand your reach even further.

Teamwork

Joining a brokerage or team can be a game-changer for securing listings. By aligning yourself with a reputable brokerage or team, you gain access to a network of experienced agents who can refer business to you and provide valuable guidance. Collaboration, shared knowledge, access to resources and enhanced credibility are among the benefits of teamwork, helping to get you on your feet and boost your chances of securing listings.

Success lies in embracing the abundance of opportunities, going out and achieving your goals. As agents, our actions define our results, so we must take the initiative to find business opportunities. Join a reputable brokerage, engage in neighborhood prospect calls, host open houses and proactively interact with everyone you meet. 

Robert Martin is a certified real estate professional with Huntington & Ellis, a real estate agency with over 17 years of experience. Robert is an expert of the southern Nevada market and specializes in using the newest technology in real estate, cutting edge digital marketing tools and combining those with traditional negotiating practices to deliver an unparalleled client experience.

Source: housingwire.com

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Kris and I love our neighborhood. People are friendly and helpful, yet mostly mind their own business. It’s a perfect combination. One of our favorite neighbors is the old guy next door. Let’s call him John.

John is a 71-year-old retired shop teacher who lives in a modest ranch house on half an acre, the same house he’s had for over forty years. He has an old barn filled with salvaged lumber, outdated appliances, and who knows what else. When he’s around, he drives a junkie 25-year-old station wagon. But most of the time, he’s not around.

He spends his winters in New Zealand helping friends on a dairy farm. His summers are spent fishing in Alaska. For a couple of months each year, he’s home, puttering in the yard. Year-round, he rents his house to boarders. He leads a very active retirement.

John is full of advice, all of it laden with colorful euphemisms. When I erected my berry patch, he was the one who told me how to build the trellises and gave me the material to do so. He’s eager to help us prune our shrubberies. “I can get my chainsaw and cut the damn things out,” he says with a big grin.

A few months ago, John asked if I had a roll of plastic. “Actually, I do,” I said. “It’s greenhouse plastic. Will that work?”

“Sure,” he said. “I’m just going to use it to make storm windows. I build a wooden frame and then stretch the plastic around it, and that lets me save money on my heating bill.”

John was working in the yard recently when I returned from a trip to the book store. “What do you have there?” he asked by way of conversation.

“Nothing much,” I said. “Just a few books on personal finance.” I showed him the titles. His face broke out in a grin, and a twinkle appeared in his eye.

“That’s great,” he said. “That’s really great. I’m glad to see somebody as young as you are interested in investing.”

“I’m not that young,” I muttered.

“Sure you are,” he said. “You have a long time ahead of you. And if you get started now, you can save a hell of a lot of money.” We’d never talked about money before (and he had no idea I keep a web site about personal finance).

“Let me tell you something,” he said. “I was a school teacher. I didn’t have a big salary. But I saved what I could, and I invested it. I got a little lucky, but mostly I just kept putting the money away. Do you know much I have now?” I shook my head. “Over a million dollars,” he said. “And all because I kept at it. And because I did stuff like this.” He waved his hand to indicate his yard.

I looked at his apple tree and his grape vines and his raspberry canes. I looked at the house with the make-shift storm windows. I looked at his 25-year-old station wagon. I looked at his beat-up charcoal grill. I looked at his shabby clothes.

“I don’t buy anything unless I need it,” he said. “And even then I try to find something used. Let other people buy the new stuff. I try to scrounge for everything I need. It may not seem like much, but it makes a real difference. By pinching my pennies right along, I’ve been able to set aside money to invest. And now I can do whatever the hell I want.”

This exchange made me smile, of course. Here’s a man who has lived the philosophy I’ve adopted for myself, who has lived the philosophy I espouse on this web site. He has lived this life and has been successful. Here’s a man who is happy and fulfilled. Here’s a man who is a real-life millionaire next door.

Best of all, here’s a man who brings me fresh-caught Alaskan salmon every fall.

Sometimes people write to tell me that nobody can get rich slowly. “That’s no way to live,” they say. I don’t believe them. I’ve seen enough examples of people in my own life who have become rich the slow and steady way. John is one of them. It’s true I’ve known a couple of people who inherited wealth, and a couple more who achieved wealth via small business. But I’ve never known anyone personally who got rich quickly.

Source: getrichslowly.org

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Farm loans help farmers and ranchers start, grow or maintain their farming businesses. These small-business loans can be used to cover operating expenses, purchase livestock, buy farm machinery and agricultural equipment, as well as construct farm buildings, among other purposes.

Loans for farms are available from a range of sources, including government agencies and lenders that specialize in agriculture. The best farm financing for your business will be the most affordable option you can qualify for that meets your needs.

How Much Do You Need?

with Fundera by NerdWallet

Best farm loan options for agricultural businesses

1. Farm Service Agency (FSA) loans

Best for: Low interest rates; the variety of loan options.

Through the U.S. Department of Agriculture (USDA), the FSA offers several types of farm loans. FSA loans can be a good choice for first-time and established farmers alike. These loans have competitive interest rates, long repayment terms and can be used for a range of different purposes. Here are your options:

  • Direct operating loans. These loans can be used to cover daily operating costs and family living expenses. They can also be used to purchase livestock, seed and equipment. Loans are available in amounts up to $400,000 with repayment terms up to seven years. The FSA sets monthly interest rates — and as of July 2023, the interest rate on these loans is 4.5%

    . No down payment is required.

  • Direct ownership loans. Farm ownership loans are used to buy or expand a farm or ranch. These loans are available in amounts up to $600,000 with repayment terms up to 40 years. As of July 2023, the interest rate on these loans is 4.875%.

  • Microloans. FSA microloans are designed to provide financing to small and beginning farmers, as well as niche and nontraditional farm operations, such as truck farms, farms participating in direct marketing and sales, and Community Supported Agriculture (CSA). You can choose between an ownership and operating microloan; interest rates and eligible use cases mirror their standard loan counterparts. Funding amounts for either microloan max out at $50,000.

  • Guaranteed loans. Unlike FSA direct loans, which are issued directly from the agency to the farmer, FSA guaranteed loans work similarly to the SBA loan program. With these farm loans, the FSA guarantees up to 95% of the financing, and the loans are issued by USDA-approved commercial lenders. Rates and terms are negotiated between you and your lender, subject to the FSA’s maximums.

  • Additional loans. The FSA also offers youth loans, Native American tribal loans and emergency loans. Rates, repayment terms and maximum funding amounts vary based on the individual program.

To qualify for one of these FSA farm loans, you’ll need to meet a variety of industry- and loan-specific requirements. You’ll need to prove your operation is an eligible farm enterprise, show your managerial experience, as well as describe your acceptable loan purpose.

As a borrower, you’ll need to show your ability to repay the loan. Although the FSA doesn’t rely on credit scores to make eligibility determinations, it’s helpful to have a good credit history. However, the FSA will not deny applications based on credit problems or a lack of credit history.

Applications for these government business loans will require extensive documentation. You have the option to apply online through the e-Gov system, by mail, in person at your local FSA office or by phone. You can expect to receive funding within 60 days after the FSA has received your application and corresponding paperwork.

2. SBA loans

Best for: Established businesses with good credit.

Like FSA farm loans, SBA loans offer long repayment terms and competitive interest rates. Plus, SBA loans have larger maximum funding amounts — up to $5 million.

Although the U.S. Small Business Administration recommends that farms and agricultural businesses look at FSA loans before applying for SBA loans, SBA 7(a) and SBA 504 loans can both be good options for established farmers with strong credit

.

SBA 7(a) loans can be used for a variety of purposes, including working capital, buying inventory and purchasing equipment. Interest rates range from 10.5% to 13%, and repayment terms are up to 10 years for working capital, inventory and equipment purchases and up to 25 years for real estate.

SBA 504 loans, on the other hand, are specifically designed for equipment and real estate purchases. Unlike 7(a) loans, which are issued by banks or credit unions, 504 loans come from three places:

  • A bank (50%).

  • A Certified Development Company, or CDC (40%).

  • The borrower (10%).

Typically, the borrower would provide 10% of the financing, but because farms are considered a “special purpose property” by the SBA, you’re required to provide 15% of the loan amount.

SBA loan rates on 504 loans are tied to the 10-year U.S. Treasury notes. You’ll also have to meet a job and retention requirement to qualify, which is not an element of the 7(a) loan program.

You’ll generally need multiple years in business, good credit and strong finances to qualify for either of these SBA loan options. Although — like FSA loans — SBA loans can be slow to fund, you can expedite the process by working with an SBA preferred lender. These lenders have extensive experience with SBA loan applications and are authorized to accelerate the underwriting process.

3. Farm Credit organizations

Best for: Industry expertise; personalized experience.

Farm Credit is a network of lending institutions across the U.S. that are owned by farmers, ranchers and other agricultural businesses. These institutions are divided into four districts and each district has its own regional wholesale bank.

In each of these districts, you can find organizations that offer loans exclusively for farms and other agricultural businesses. These banks offer farm equipment loans, first-time and beginning farm loans, livestock loans, poultry loans, land loans and lines of credit, among other options.

Loan amounts, repayment terms and interest rates will vary based on the specific institution and loan program — but regardless of which Farm Credit institution you work with, you’ll receive guidance and expertise that’s unique to your industry.

Representatives at these institutions can offer a personalized experience, as well as educational resources and a continuous relationship with your business. If you’re looking to work closely with your bank throughout the loan process and beyond, a local Farm Credit organization may be an option to consider.

4. Farm Plus Financial

Best for: Beginning farmer loans.

Farm Plus Financial is an asset-based lender that offers both farm loans and lines of credit. All of the lender’s available products are secured by agricultural real estate, making it a good choice for newer farmers who may not have the financials to qualify for other options.

Farm loans from Farm Plus Financial are available in amounts that range from $200,000 to $50 million. For term loans, the company can finance up to 75% of the loan-to-value (LTV). For lines of credit, on the other hand, this amount falls to 50% LTV.

Interest rates vary based on the product you choose, your repayment terms and your qualifications, among other factors. You can reach out to a lending representative to receive more information about current interest rates.

Although the value of your farm’s real estate will be one of the most important factors in your business loan application, Farm Plus Financial also requires that all borrowers have a minimum personal credit score of 660 or higher. In addition, your farm property must be five acres or greater to be eligible.

You can start an application by submitting an online inquiry form with basic information about your farm and its financing needs. Once you’ve sent the form, a farm loan specialist will reach out to discuss your options and help you with the application. In general, it can take anywhere from one to three months to get funded.

5. National Funding

Best for: Bad credit; quick access to capital.

If you need capital quickly — or you have bad credit (a personal credit score of 620 or below) — you might consider National Funding for a farm loan. National Funding is an online lender that offers two distinct options: short-term loans and equipment financing.

With National Funding’s short-term loans, you can access up to $400,000 and can use the money to cover working capital needs, inventory purchases and other day-to-day expenses. These loans are available with repayment terms up to 24 months and interest is quoted as a factor rate, which starts at 1.1 for borrowers with strong credit.

The lender’s equipment financing program, on the other hand, provides equipment loans and leases in amounts up to $150,000. You can finance or lease new and used equipment, such as combines, tractors and trucks.

These farm loans have repayment terms up to five years and factor rates that also start at 1.1 for borrowers with strong credit.

Regardless of which option you choose, National Funding offers flexible business loan requirements and a streamlined application process. To qualify, you’ll need to have been in business for at least six months, a personal credit score of 600 or higher and an annual revenue of $250,000 or more.

When you’re ready to apply, you can fill out a simple form on the lender’s website. Next, you’ll talk to a funding specialist who will help you decide which type of farm loan is right for your needs. This representative will also guide you through the application — and once you’re approved, you’ll receive funds in as little as 24 hours.

How to get a farm loan

To get a farm loan for your agriculture business, you can follow these steps:

Understand your financing needs

Think about why you need capital and what you’re going to use it for — this will help you determine which type of financing is right for your business.

You should also consider how much debt you can afford to take on. You should make sure that you’ll be able to handle any potential loan payments based on your current income.

Evaluate typical farm loan requirements

Overall, the farm loan requirements you’ll need to meet will vary based on your loan type and business lender. Most lenders, however, will consider your personal credit score, time in business and annual revenue.

Additionally, as an agriculture business, lenders will likely pay close attention to industry-specific criteria, such as your farm management experience, the amount of land you have, your farm business plan and assets.

Research and compare lenders

With a better understanding of your needs and qualifications, you should be able to focus your lender search to find the options that will be best suited to your business. In general, if you think you may qualify for an FSA loan, you might consider starting your search with these low-interest options.

As you explore different lenders, you should compare them based on factors such as:

  • Loan types.

  • Maximum funding amounts.

  • Repayment terms.

  • Down payment requirements.

  • Funding speed.

  • Application process.

  • Customer service.

  • Industry experience.

  • Lender reputation.

Gather your documentation and apply

Once you’ve found the right lender for your needs, you can gather all of the documentation you need to submit your application. In many cases, you’ll be able to work with a lending representative who will be able to help you through the process and answer any questions you may have.

Once you’ve submitted your application, approval and funding times will vary. Government and commercial lenders tend to have longer timelines, ranging anywhere from several weeks to several months. Online lenders, on the other hand, can fund applications much faster — with some companies providing capital in just 24 hours.

Frequently asked questions

Can I get a farm loan with bad credit?

Yes. Although there may be fewer farm loan options available to borrowers with bad credit, it is still possible to get financing. The FSA, for example, does not exclude its loan applicants for poor or non-existent credit histories. Online lenders are also more likely to accept borrowers with bad credit.

Can you get a loan to buy a farm?

Yes. In fact, the FSA offers a direct farm ownership loan specifically designed to help borrowers buy a farm or ranch. Commercial and online lenders may also issue business loans that can be used to buy a farm.

How can you get a farm loan with no down payment?

If you want a farm loan with no down payment, you can start by looking into FSA loans. Some of the FSA direct farm loans do not require a down payment.

You might also consider online lenders, such as National Funding, many of which don’t require down payments for their loan options. However, to get a loan with no down payment, it will be helpful to have strong qualifications.

And it’s essential to keep in mind that lenders may charge higher interest rates on no-down payment loans than they would if you provided a down payment on your financing.

Source: nerdwallet.com

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A business credit card is a lot like a personal credit card: Both let you borrow money and pay them off on an ongoing basis. But business credit cards typically come with features tailored toward entrepreneurs, like free employee cards and rewards on common business purchases, like office supplies.

Business credit cards offer other benefits as well. They are great tools for separating your business and personal finances, on-time payments can help you build business credit, and unlike other types of business financing, you may be able to qualify for one even if your business is new or small.

What is a business credit card?

A business credit card is a revolving line of credit that lets you spend up to a certain amount, pay off some or all of what you owe, then repeat that process. This can help you make purchases you need, even when your cash flow is uneven.

Technically, you can use consumer cards for business expenses. However, card issuers have products designed for business owners. These cards often come with higher credit limits than personal credit cards and make it easier to spot potential tax deductions, among other features.

Business credit cards are one of the easiest types of business financing to qualify for. Eligibility largely depends on your personal credit history, which can make business credit cards for new businesses and very small companies more accessible than traditional business loans.

How do business credit cards work?

Business credit cards work a lot like personal credit cards do. But for bookkeeping and liability purposes, you should only use a business credit card for your business expenses.

Broadly speaking, here’s how to use a business credit card:

  • Charge business expenses to the card.

  • Receive a statement that specifies how much you borrowed over the statement period and how much you need to pay back.

  • Make at least your minimum payment, but try to pay down your balance in full. If you can’t, you’ll pay interest on the remainder. Annual percentage rates (APRs) on business credit cards typically range from 20% to 30%. 

  • Earn rewards, like cash back or airline miles, as a result of your spending. 

Business owners may also have access to business charge cards. Charge cards have no credit limits, but you’ll need to pay them off in full every month or face stiff penalties. They’re best for businesses with robust cash flow that want to maximize rewards.

Benefits of business credit cards

Business credit cards help you build business credit. Business credit card issuers report your payment history to business credit bureaus. Making early or on-time payments can help build your credit history and strengthen your business credit score.

You can finance purchases as needed. Your business may not always have enough cash in the bank to stock up on inventory or make large purchases while keeping up with day-to-day expenses. Using a credit card can help spread out big-ticket items over time — especially if it’s a business credit card with a 0% APR intro period — or help you keep buying what you need during slow seasons.

You can get rewarded for your spending. For instance, business travel cards offer perks like airline miles, airport lounge access and hotel points. And using a cash back business credit card means you’ll get a percentage of what you spent — either across the board or in certain categories — typically as a cash deposit or credit at the end of each statement period.

Drawbacks of business credit cards

They’re not covered by the Card Act. The Credit Card Accountability Responsibility and Disclosure Act of 2009 (Card Act) created new consumer protections for credit card users, like limiting credit card fees and sudden changes to interest rates. But the rule doesn’t extend to business credit cards — which means interest rates can change with little warning and you may encounter fees that you’re not used to on personal credit cards.

They’re more expensive than other forms of financing. If you need to finance large expenses that you probably can’t pay back in one statement period, consider applying for a business loan or business line of credit instead. Those products are harder to qualify for than business credit cards, but they usually come with lower interest rates.

Is a business credit card right for you?

Business credit cards can be useful tools for companies of all sizes. You may be able to qualify for a business credit card whether you’re a solopreneur with a side gig or running a small business with multiple employees.

Source: nerdwallet.com