Architecture Firm Loans

Designing Business Growth with Architecture Firm Loans

The architecture sector is going through a period of growth. Billings in the U.S. grew to $45 billion in 2017, the American Institute of Architects found. Funding for your architecture business can help you take advantage of the growth opportunities available to you. Today, you no longer need to sit back wishing you had more capital. Alternative lenders are making small business loans accessible in a way they haven't in the past. When it comes to architecture firm loans, there are numerous options to secure business funding. However, alternative lenders in particular can get you financing quickly. If you need money for a key project or run into a cash flow problem, they can help. These types of lenders are modernizing small business lending, separating themselves form the other funding sources.

Where to Find Lenders for Architects

Architecture firm loans are available from a wide range of sources for building designers. Some of the most common destinations for such financing are:

Traditional Banks

Banks are ideal if you need a large loan. You can trust a bank to do its due diligence to ensure you can handle a loan. Banks will also work closely with you to plan your growth strategies in light of the loan. The problem is that all of this care and attention comes with a lot of time and effort. Banks will often spend weeks or even longer processing a loan application. The scale of bank loans also means most are conservative about risk. This means that loan rejection rates - particularly for small business loans - are high. There are times when a bank is a good option for architecture firm loans, but they may not be a great first choice.

Small Business Administration

The U.S. Small Business Administration runs a wide range of loan programs. You still go to a bank for these loans, so expect slow application approvals. But the support from the SBA program ensures a higher approval rate and more favorable terms. Loans backed by the SBA are a good fit if you need the kind of large, structured loan that you'd get from a bank, but can't secure a bank loan.

Alternative Business Lenders

As we mentioned earlier, alternative lenders are a great fit for small business architects. Alternative lenders use highly automated processes that mix digital decision-making and human expertise. This means you can get a loan quickly to meet a key need. Much of the process is online, in which decisions happen within hours. If the loan is approved, lenders typically deliver funding in a matter of days. All of this adds up to an efficient process for small, short-term loans.