In this guest post, PMA referrer Gus Gilkeson, Managing Director of Grow Capital, writes about the benefits of working with a broker for small-to-medium businesses when trying to access commercial funding.
Obtaining funding for your small-to-medium business can be hard work. It takes a ton of time to do all that research, analyse your business needs, find a respectable lender, negotiate a deal you can live with, understand the terms of your financing, etc. That’s why working with a broker can be a really great idea. Brokers match up business owners and business lenders so that you can get the best outcome for your business. A broker could save you time, energy, and money, if you consider the costs of searching on your own.
Top 5 benefits of working with a broker:
Here’s five reasons you should consider working with a broker to access funding for your business:
1. Get the best rate. Brokers will work with lots of different lenders so that they can find the best rate possible for your financing.
2. Get the best solution. Sometimes it’s not just about getting the cheapest rate. A good broker will understand that getting the right solution is most important. For example, a short-term loan might be the best option. Your broker can help you look at alternatives to the banks that can offer specialised short-term finance.
3. Don’t sweat the details. This goes hand-in-hand with not wasting your time and effort. The point is that you can focus on running your business while your broker works on funding it. The nitty gritty? Let the professionals handle it.
4. They’re experienced. The best brokers have relationships with an extensive network of lenders and getting good deals is often all about having the right contacts. Plus, they’ll be able to tell quality deals from highway robbery — they’ll have seen it all before.
5. They’re knowledgeable. The finance world can be a confusing place with all the jargon and acronyms. However, a good broker would be in the know and could explain all the complicated terms and help you to navigate through the borrowing process.
Gus Gilkeson is the Managing Director of Grow Capital where he helps Australian business owners, investors, and individuals harness their capital growth opportunities through funding.