Hmmm… Should I borrow? That’s the question we are all faced with at one time or another when debating a new purchase or investing in our small business. No matter what we decide, the question will continue to linger in the back of our heads for a while.
Personal loans for personal purchases
I have a few rules that I follow when making a purchase for personal pleasure. First and foremost, I look at the long-term potential use of the item. Am I just excited about this right now, or will I continue to use it for the next 6 to 12 months?
If I decide it is a spontaneous purchase, then I’ll only buy it with my extra disposable cash. However, if I decide I have a long term use for it, I’ll take it to the next level to see if the pleasure it will bring is worth the cost. If yes, then borrowing at a low and reasonable rate becomes an option.
For these types of purchases the best option is generally a low interest rate credit card or a personal loan like the ones you find on Getmoney.com.
Personal loans are quick and easy. You’ll generally have your money within 1 working day. Let’s get started
Investing in my business with a business loan
This is where things get a little complicated. We are no longer making decisions based on emotions. We now have to calculate margins, potential revenue, cost savings, and all other effects of a business loan on the business.
There is no easy solution. For example, if you automate the business process, you’ll have long-term cost savings, but will face upfront expenses which can result in long-term savings.
If you expand your showroom, you’ll have more items on display. This could require a larger inventory, which means you’ll need a bigger warehouse and a higher line of credit to buy inventory.
There is a domino effect on everything you do, so you have to consider everything. Fortunately, the rates on business loans are usually moderate and affordable if purchasing new equipment or inventory.
If you are looking for access to quick capital to expand and grow your business, a quick non-bank business loan is a great option.
If you are unsure of your plans and how much you need, then get a business line of credit. The beauty of a line of credit is that you’ll only pay interest on the portion you’ve drawn; which give you great flexibility.