The Underlying Issue That Needed Attention

It’s not always easy to admit when something isn’t working as well as it should, but that’s what led to this company seeking a loan. When the self-storage company first opened, it was the only one in the area. It had all the needed space and equipment to get the job done but not much else. Of course, that wasn’t a problem until other self-storage companies started to move into town.

 

This small business was doing okay in terms of revenue but had a significant need to renovate the space. It needed to be modernized with better security and an easier way for clients to rent a space and access information about it without driving out to the storage location.

Financial Assistance Needed to Handle the Problem

After some research, the business owners did the math and realized they would need about $500,000 to update their facility, create a modern website, and build an app for customer usage. Therefore, it was essential to the owners that the loan terms they chose were fair if they decided to go in that direction.

 

 

Selecting the Right Loan for Business Needs

While a standard loan was possible for the business to become competitive again, the family owners wanted to look into potential SBA loans. The traditional loan would have met their needs, but they opted for the SBA 7(a) Loan.For equipment, inventory, and working capital, the business could make payments over 10 years and the interest rate was low. They also had the real estate collateral needed to secure the loan.

A Happy Ending with Problems Solved

After receiving their SBA 7(a) loan, this company immediately rectified the lack of modernization. With the help of new security, an app, and an optimized website, the business soon brought in new customers and retained those who had been using them before.

 

All things considered, the loan was the most intelligent choice the owners could have made. The company is no longer just another self-storage company in a location with several of them but the self-storage spot for anyone who wants top security for their stored items. Revenue has increased, and that’s expected to continue in the coming years.

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