Our goal at Lending Valley is to provide all small business owners access to the best loans possible for their business. You can rest assured we will get you the best rates in the market!
Nevada is located in the western part of the United States. The state has earned the name “Silver State” because of the significance of silver in its history and economy. The economy of Nevada depends greatly on tourism, cattle ranching and mining. According to study in 2018, Nevada’s per capita income was about $43,820 and the total state product was about $170 billion. The state’s low-tax climate is one of the reasons to start new businesses and it has a great employment rate. The state is a very comfortable place for small businesses to thrive. Moreover, Nevada small business loans are always there to assist them.
How can I get a small business loan in Nevada?
With a pleasant business climate, small business loans play a crucial role in maintaining a steady state for the businesses in Nevada. There are many options a company in Nevada can choose from.
Conventional Business loans are usually the first choice for any companies as they offer the best rates and terms among all commercial lenders. The loan is offered by both large and small banks in the state, and comes in form of term loans, lines of credit and equipment financing. They are mostly utilized by Nevada small businesses to take hold of other businesses, purchase commercial real estate, refinance a business mortgage, help with expansion financing of other businesses, and offer small businesses working capital. Banks in Nevada offers varying rates.
Small Business Administration’s (SBA) lending program is a traditional loan provided by conventional lenders in Nevada with competitive rates. SBA loans are backed by the government. This means, when a Nevada small business defaults, an SBA loan reduces the lender’s exposure to losses as the government helps to compensate for most of their losses. This is why SBA lenders provide this service especially for small businesses as it minimises the risk. However, being controlled by the government, the process requires a lot of paper work.
USDA Loans are very similar to SBA loans where the government compensates for most of the losses of the businesses. The only major difference is that to qualify for USDA loan, your company must be in a community with 50,000 inhabitants or less.
Asset based loans help the Nevada businesses to legalize their assets on the company’s balance sheet. Assets such as buildings, land and other commercial property, along with account receivable, inventory and equipment and machinery can be legalized and utilized for an asset-based loan.
Invoice Factoring is a business-to-business transaction that allows a company the potential to leverage unpaid 30, 60- and 90-day invoices to gain specialized short-term business financing before the customer actually pays the invoice. Nevada small businesses receives much needed working capital to help with cash-flow at a reasonable rate.
Private business loans are offered by non-bank lenders. Lenders for this type of loan can include fintech lender, marketplace lenders, cash advance funders, equipment leasing companies, factoring companies and private business. Private lenders can also include investors. Private loans can be a good choice as it allows much more flexibility unlike conventional lenders. Varying rates are offered by lenders for private business loans.
Cash advances are not actually any kind of business loans as they are business-to-business transactions where the small business sells a small portion of their future revenue to a much more established company in expectation of more efficient profit. Cash advances include long-term merchant cash advances, bad credit cash advances, additional position cash advances, and advances used for consolidation, which are repaid by either making a remittance to the cash advance funding company, or by having a set amount automatically sent to the funder using Automated Clearing House transaction via the business’s bank account.
Challenges faced by small businesses in Nevada
Nevada has been experiencing a bustling economy. However, there are challenges that businesses have to face in the market to survive. Companies have been dealing with lack of skilled workers which may have occurred due to less training resources. Moreover, the companies are working hard to maintain a steady employment rate.
Unsecured Business loans in Nevada
Business lines of credit is a kind of small business loan that offers flexibility which usual loans does not offer. This type of loans is offered by Nevada banks with varying rates.
New or used business equipment can also be financed in many ways through equipment financing. There are instances when small businesses find leasing equipment much better than buying them. By doing so, the Nevada company won’t be obliged to pay the full-price for the equipment beforehand. Moreover, they will enjoy updated equipment in the following years.
Term loan is another form of loan which is paid in instalments over a set period of time. Term loans can also be used as acquisitions, and consolidations and refinancing business debt. Conventional bank lenders in Nevada provide this type of loan.
Documents required to get a small business loan in Nevada
– 1-page application
– 3 months of bank statements
Nevada has created a very good environment for new businesses to thrive. With that, various financing options in the state has made it much easier for Nevada small businesses. Moreover, the government is anticipating further economic growth in the future. To summarize, Nevada is a perfect state for small businesses to survive and flourish.