When disaster strikes, we assess the damage it causes in different stages. Much like first responders, we initially focus on physical well-being. When physical wellness is restored, we move on to emotional triage. We begin dealing with feelings of loss, grief, anger, and depression. As we round the final corner, and begin pulling ourselves up by our bootstraps, another level of damage becomes our bedfellow: financial hardship.
Understanding the Cycle of Damage
In the aftermath of Hurricane Sandy, thousands of business owners went through the cycle of damage described above. The physical damage and revenue losses totaled over $50 billion. That’s not the type of financial hit you recover from easily. In fact, many businesses don’t recover at all. Local Small Business Associations (SBAs) have stepped in to stem the tide of post-disaster closures. They recently surpassed the $1 billion lending mark.
Businesses that have stuck it out are scraping by on unemployment, mortgage relief, tax extensions, and disaster loans. For many owners, it’s not about starting over as much as it’s about getting through another work week.
That said; there is light at the end of the tunnel. More funds are being made available to business owners in need through unsecured lending options like a small business line of credit. For more information on this subject, let’s turn the conversation over to the Advanced Funds Network (AFN), an unsecured business loan source for all American businesses.
Parachutes, Umbrellas, and Safety Nets; What’s Financial Security Really Made of?
People associate business ownership with high-rises, board rooms, Fortune 500 Companies, and Forbes Magazine. While this rung on the professional ladder does exist, it is not a reality for most business proprietors. To truly apply the resource of a small business line of credit, you have to bring that professional lens back down to earth.
Local main street businesses don’t have the investment backing of their corporate cousins. This simple fact almost drove us off of the fiscal cliff in January. With that in mind, when disaster strikes, where do these owners turn? It’s AFN’s hope that a small business line of credit can be part of their financial solution.
The reason a line of credit is a strong contender for small business disaster relief is two-fold:
- It is reusable and unrestricted.
- It gives them the ability to plan ahead.
The application and approval decision are processed quickly. Most applicants have access to their small business line of credit within a day or two. There are no collateral or credit headaches to worry about. Each line comes with a pre-set limit, interest rate, and re-payment schedule. Use it when you need it, pay off the outstanding balance, and reuse the credit. There’s no need to wait or re-apply. It can give you the money to rebuild, remodel, and start over.
AFN recommends that small business owners get a small business line of credit before they need to use it. That way, there’s a backup plan in place for the unexpected. Apply for yours today!