Today women are nowhere behind the men. Whether it comes to government, private jobs, or in terms of trying their hands in the business, gender equality seems on its best these days around the globe. That’s why each country is working hard to motivate Women in the best possible way.
And business loans for women is one of those facilities, which is working amazingly well to boost their fiscal confidence. If you are one of those ladies who are mentally prepared to start their business or have an idea that can revolutionize the market and can impress the investors and buyers then you are at the right place.
Since money is the primary thing to start the business, finding it always a hard deal. And this is the real why business loans for women come as a great rescue.
Here we will be covering 5 types of funding schemes for women entrepreneurs.
1. Government-backed start-up loans
Before you hunt for anything the best way we or anyone will suggest you is the Government-backed start-up loans. Yes, each country has specific loan and funding policies for their young emerging entrepreneurs. And if you believe your idea of a start-up then you should never hesitate to apply for so. Here, from the government, you get a lot of perks and relaxation also the lowest interest rate.
2. Secured Loans
As the name suggests, secured loans are those loans that provide you money for your business on some sorts of collateral such as a home, car, etc as security. However, that’s more suitable for the companies rather than start-ups but if you have any of this collateral then you can also go for it for sure.
3. Short term business loans
Sometimes you just need urgent cash to settle down anything in your business. For instance, a higher electricity bill occurred, extra expenses, business expansion, or anything comes urgent, short term business loans that are offered for a couple of weeks to months. Since they are provided on the short period basis, the interest rate is comparatively higher.
4. Invoice financing
The term describes itself clearly. This is where your invoices are bought by your lenders. It means you don’t have to pay the bills, just handover invoices to the lender, and they will be cleared. Sounds interesting? Well, it’s but doesn’t forget, it’s a loan and eventually, it has to be paid back.
You would find two types of invoice financing: discounting and factoring, discounting is where the fund is released by the lender and you pay back the outstanding balance wherein, in the case of factoring, lenders collect money directly and manages the sales.
5. Cash Advance Loans
These are the loans where the money is borrowed against your business’s future or credit sales. So consider it carefully before taking them carefully. Because there will also be a daily ongoing fee along with the likely fees.
Best of Luck!
Shweta Pandey 
Layla Tovey