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Getting a business started might seem like the most difficult challenge for you, but once your business is up and running, you’ll discover there are more challenges ahead. Managing to gain the level of exposure you need to generate sales can seem complicated, especially if you’ve entered a competitive market. This is why you need to create a comprehensive marketing plan that gives you the opportunity to increase your visibility among your target audience and raise brand awareness in the industry.
In addition to the effort and strategic thinking marketing requires, you also need to have a budget in place to implement your marketing plan. If money is currently tight, this can be a problem. If you need help finding the budget to execute your planned marketing initiatives, the following recommendations might help you find an appropriate solution.
Determine How Much Money You Need
Before you actually start looking for financing options, you should have a clear idea of the amount of money you need. Depending on the size of your business and what strategies and campaigns you’re interested in implementing, the marketing budget might vary significantly.
While you shouldn’t make cheap choices if you expect high returns, overspending is not a wise decision. Think about your goals and objectives, write everything down, do the math, and decide on a specific amount. Once you’ve established all the necessary details, you can focus on actually finding financial help.
Look into Loan Opportunities
When it comes to getting funding for different projects and purposes, there are a number of options available to business owners. Because alternative investors and private lenders are often willing to give businesses monetary support, you no longer have to meet the strict criteria of traditional banks.
There are various loan opportunities available, and each one of them is suitable for various scenarios. As guided by financial experts at OnDeck, you need to assess all of your options and pick one that provides the most benefits for your specific situation. When it comes to covering marketing costs, there are two types of loans that you can research and evaluate based on your needs and goals. They are:
Lines of Credit
With a maximum obtainable amount of $50,000, a line of credit is a popular choice among small business owners who want to finance their marketing initiatives while keeping their debt reasonable. A line of credit provides you with flexible working capital.
You can draw exactly how much cash you need from the line of credit into your bank account, and the interest rates you’ll be subjected to are limited to the drawn amount. You can cover your repayment completely at any time.
To be eligible for this loan, your business needs to have been operating for at least one year and your annual revenue should exceed $100,000. However, it’s important to understand that this is the bare minimum criteria, and other factors will affect the final approval or disapproval decision.
A term loan can be the ideal choice when your financial requirements are a bit higher. You can access an amount of up to $250,000 maximum, although small amounts are more common.
Depending whether you choose a short-term or long-term repayment plan, you’ll need to return the borrowed amount somewhere between six and 24 months. This option is usually preferred for business projects with rapid returns, which includes marketing campaigns.
Create an Appropriate Loan Application Presentation
After you’ve researched various loan types and find an option and a lender you’re interested in, and you believe will meet your current demands, applying is the next step. You need to show the lender that you’re not only eligible for the loan but also that you meet all of the approval requirements.
There are various details that need to be handled here, and the requirements you’ll have to meet will vary depending on the loan and lender you’re interested in. However, in order to increase your approval odds, you should be prepared to offer all the requested information and to have a presentation that incorporates all the details your lender would want to hear.
Some funding options even give you the chance to get your money in as little as 24 hours, so if you have everything you need, and present your situation in a way that shows the lender you’re a safe investment, you’ll have a better chance of getting an approval. You can also work with a knowledgeable financial advisor, if you think you need a bit more support.
Keep Track of Your Marketing Expenses
Your challenges won’t stop just because you’re able to get the money you need to fund your marketing plan. For example, there will be times when you’ll need to increase your advertising and marketing investments. You don’t want to spend your entire marketing budget before your plan has actually been completed or has helped you generate the returns you need, so you need to be wise with your spending.
Keep a close tab on all your marketing expenses, choose how much money you want to invest in each strategy, and always keep some savings aside for unexpected expenses. It’s not always about getting the money you need but knowing how to manage things and be properly organized and prepared.
Businesses of all sizes have to invest in advertising and marketing to gain a competitive advantage in their industries. Increasing brand awareness and sales to generate revenue and profits means you need to prioritize and optimize your marketing strategy. However, a marketing plan that actually works and brings positive results requires a financial investment. When your budget is limited, this can be an issue.
Because compromising on marketing efforts is not something you can do, at least not if you truly want your brand and business to be successful, you should take the time to find financing solutions to cover your monetary investments. The tips mentioned here might come in handy, so look them over and choose an option that you believe would suit the specifics of your situation.