A Common Barrier for Small Businesses
For years, credit scores have been the primary measure of financial health for traditional lenders. While these scores may provide a snapshot of past financial behavior, they often fail to capture the full picture of a business’s potential.
At Magenta, we know that a single number doesn’t define your business or its ability to succeed. That’s why we never decline an application based on credit scores. Instead, we focus on your revenue and business health, making financing accessible for more entrepreneurs.
Why Credit Scores Lead to Declines
Traditional lenders rely heavily on credit scores to assess risk. Here’s why this approach often creates roadblocks:
- Historical Bias: A credit score reflects your past, not your present. Financial setbacks from years ago can linger, even if your business is thriving today.
- Inflexible Cutoffs: Many lenders set strict score thresholds, automatically disqualifying applicants without considering other factors like steady revenue or loyal customers.
- Limited Context: Credit scores don’t account for crucial elements like your business’s cash flow, industry potential, or strong operational history.
This reliance on credit scores leaves many capable business owners without the support they need to grow.
How Magenta Looks Beyond Credit Scores
At Magenta, we believe your credit score shouldn’t define your potential. Our revenue-based financing approach removes this barrier, making it easier for you to access the funds you need.
Here’s how we’re different:
- No Minimum Credit Requirement: Approval is based on your business’s revenue and performance, not your credit score.
- Fast Decisions: Receive a decision typically within an hour, so you can move forward with confidence.
- Funds as Soon as the Next Day: We prioritize getting you the capital you need quickly.
- Flexible Repayments: Payments align with your revenue, giving you financial breathing room during slower periods.
The Real Impact of Looking Beyond Credit Scores
By removing credit score barriers, we’re able to support more business owners and empower them to focus on what matters most: growth. Here’s how this approach makes a difference:
- Second Chances: Financial setbacks don’t mean you can’t succeed. We provide opportunities to businesses ready to rebuild and move forward.
- Faster Access to Capital: By focusing on revenue and performance, we streamline the process to get funds into your hands quickly.
- Greater Inclusivity: Businesses in underserved communities or industries with volatile income can access financing tailored to their needs.
A New Way to Fund Your Business
At Magenta, we believe in investing in possibilities, not just numbers. By looking beyond credit scores, we make financing more accessible, helping you turn challenges into opportunities.
Ready to take the next step? Contact us today to explore flexible financing solutions that focus on your business’s potential, not your credit history.