Gun Shop Business Loans
The gun and ammunition store industry has been among the fastest growing in recent years. One of the most significant factors in the increased demand for gun shops is the fear of more strict regulations. Each year, gun and ammunition stores get well above average sales results during an election year. During the month of October of 2016, there were over 2 million background checks conducted throughout the United States. Whenever a Republican candidate becomes president, gun sales decline and gun and ammunition shops experience a considerable decrease in revenue.
Whenever gun and ammunition shops experience a decline in sales, they will sometimes experience financial difficulties. They will often be in need of additional funding in order to stay in operation. Fortunately for gun and ammunition shops, there are plenty of sources of funding available. With these funding sources, they will be able to get the financing they need quickly and easily.
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UNIQUE BENEFITS OF BUSINESS LOANS
Gun and ammunition shop owners can take advantage of a variety of options that will benefit them and meet their specific needs. While all of these funding options can help a gun and ammunition shop, there are certain options that work better in some situations. Therefore, owners of these establishments will want to consider these options and what they offer. Owners of gun and ammunition shops can take advantage of bank loans, SBA loans, alternative loans, asset based loans and cash advances.
When getting a loan for a gun shop, there are a number of benefits that they offer. These loans are able to provide financing for unique purposes such as gun and ammunition inventory purchases, technologies and marketing and advertising for the shop. With most of these loans, bad credit is not a problem since the store revenue and profits are the things that are usually considered to get the funding. The loans are also provided in a timely manner as well so a gun and ammunition shop can get the money they need immediately.
An alternative loan is available for gun shop and ammunition owners who have been turned down for a traditional bank loan. With an alternative loan, a gun shop owner will be able to get funding for working capital and operating capital. This type of gun shop business loan is offered by fintech companies which rely on technology to underwrite the loans. Each of these loans has their own unique criteria and requirements. Whenever a gun shop owner is looking for this particular loan, they will need to have documents that include tax returns, debt schedules, bank statements and a profit and loss statement.
REVENUE BASED LOANS
While gun and ammunition shops can get financing through a variety of loans, one of the most beneficial and easiest to get is a cash advance. These are sources of funding where a lender will give the gun shop a short term loan and then expect it to be paid back over time. Instead of making monthly payments, a cash advance takes a percentage of the daily sales as payment. This can be a very convenient way for a gun and ammunition shop owner to finance their business. The qualification criteria is usually much less rigid compared to a bank. Cash advances don’t require any collateral and also provide funds within a matter of 48 hours. The amount loaned out is usually between $20,000 and $250,000.