Sometimes one of the best things a felon can do for themselves is to start their own business. This would eliminate pesky job interviews, background checks, and a whole other host of problems. However, there is one thing that stands in the way of many felons who are looking to start a business, money. There are plenty of places that offer small business loans for felons. These places sometimes overlook your past if you can prove to them that you have a good idea and can most likely turn a profit.
How does a loan work?
A loan is money that you borrow with the agreement that you will repay the amount borrowed with interest. The interest on a loan is the percentage of money you are charged to get the loan. When applying for a loan, they loan adviser will go over all the details with you.
How to apply for a loan
The US Small Business Administration has many different options for loans and some you may qualify for. Some of the loans only apply to specific types of small businesses. They also offer a variety of other loans as well.
SBA Offers General Small Business Loans For Felons
These types of loans have been used for many different types of businesses that felons have started. While they do not list the types of business that they will give out loans for, they do however offer a list of the businesses they will not give out loans for. Just like all other loans out there, these do have their drawbacks. The biggest being that you must have a reasonable amount of invested equity to get the loan.
Alternatives For Felons Seeking Small Business Loans
LendingTree is an online lending exchange that connects consumers with multiple lenders, banks, and credit partners who compete for business. LendingTree is not a direct supplier of loans; it is instead a broker.
Kickstarter is an American public-benefit corporation based in Brooklyn, New York which has built a global crowdfunding platform focused on creativity. The company’s stated mission is to help bring creative projects to life.
Go Fund Me
Go Fund Me is another crowfunding website similar to Kickstarter. Other people will donate to your goal. Just find ways to spread the message out there.
You Might Not Need A Loan
Sometimes all it takes to start a business is some business cards and a website. These are both cheep and easy to get started with.