Securing Growth Capital for Your Small or Medium-Sized Business in 2016
Most business owners are readying themselves for a year of significant growth. Discover the challenges and solutions to securing the expansive financing you need to implement your growth plans this year.
Business Owners Anticipate Growth in 2016
CEOs are feeling increasingly optimistic about the outlook of their businesses. According to a recent survey by Pepperdine University, nearly three quarters (72%) of small and medium-sized businesses (SMBs) expect to increase their revenue in 2016 by an average of 10%. Reflecting this, 59% of businesses reported that the main purpose for raising expected financing over the coming six months is growth or expansion, including acquisition.
Challenges in Sourcing Growth Capital for Your Company
Because of the increased regulatory constraints placed on banks as well as the fragmented nature of the commercial finance sector, securing sufficient capital to support growth remains a challenge for many SMBs. Even the commercial finance sector is facing increasing constraints on lending because bank leveraged lines are being reduced and underwriting criteria are becoming more stringent for their lines of credit. As a result, nearly two-thirds of SMBs reported that it is currently difficult to raise new external financing.
Many loan applicants seeking additional working capital or growth capital are thriving enterprises that for one reason or other fall outside the standard parameters for traditional bank finance, and now even commercial finance. Often, they approach the wrong type of lender or fail to present their application in the best way from a lender’s perspective.
How US Capital Partners Can Help
US Capital Partners Inc. is at the cutting-edge of SMB finance and has been for over 17 years. The firm has a proven and well-developed capability for providing growth capital for smaller enterprises. The firm offers debt financing off its balance sheet, co-investment and syndication, and also equity financing, always intelligently structured to meet the particular needs of its clients.
Recently, for instance, US Capital Partners provided a $750,000 growth-capital term loan for Action Craft Boats, a manufacturer and vendor of high-quality boats, to support rising demand and to expand the company’s footprint in Florida and the Southeast. Similarly, US Capital Partners provided $3.25 million in growth capital to Capriati Construction Corp., a leading general contractor in the construction industry, to fund the expansion of its services to additional Midwestern and Western States.
US Capital Partners examines transactions on a case-by-case basis. Its financing professionals have years of experience, allowing them to structure custom finance solutions for SMBs quickly and efficiently.
To learn more about how your business can secure the funding it needs, email Jeffrey Sweeney, Chairman and CEO, at jsweeney@uscapitalpartners.net or call (415) 889-1010.
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