Tier 3 - Bank Lending
and Alternative Financing

Not all Tier 3 financing requires excellent personal credit or a personal guarantee.  That isn’t to say you will never have to provide a personal guarantee or credit check in the future. The key is to make sure the credit isn’t reported to your personal credit bureaus if it is for business purposes. 

Tier 3 -  Bank Lending - This is the most commonly thought of type of business financing. Typically banks offering unsecured business lines of credit. Personal and business credit checks and personal guarantees are required in most cases. The most basic level of bank financing, for the most part, is score and business history driven. For larger lines and loans, you need to be prepared with a business plan and financials. Banks and credit card companies are Tier 3 lenders.  In addition to bank lending in Tier 3 are also many alternative sources of small business lending, in which many do not require A+ personal credit.  An example of which is factoring and merchant account cash advance programs. 

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