Overdraft Facility or Credit Card for Startup

[dbz0e]

Hi, Which is the best form of credit, Overdraft Facility or Credit card for Startup, thnks

 

[Pearson6]

Overdraft facility, lower interest rate

 

[Greig Whitton]

Hi, Which is the best form of credit, Overdraft Facility or Credit card for Startup, thnks

That depends on your financing requirements, risk profile, and personal preferences. For example, credit cards may have higher interest rates, but they may also be a quicker source of financing than an overdraft facility (which may not even be accessible depending on your risk profile, business plan, collateral, etc.)

Apart from credit cards and overdraft facilities, there are many other sources of debt funding (e.g. SEFA, NEF, NYDA). And, of course, there are many sources of non-debt financing (e.g. grants, equity, mezzanine, crowdfunding).