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It’s safe to say that the media paints a rather negative picture of seasonal small businesses. Though virtually all businesses are technically seasonal (everyone has customers whose behavior is influenced by changes in weather), the term usually refers to businesses that perform the majority of the year’s sales in the summer or winter. You don’t have to be a business financing expert to imagine the disadvantages of this situation. And owners of seasonal businesses are not shy to admit them. But if seasonality was so hazardous, would countless seasonal businesses be doing extremely well today? Their success proves that, like any business model, the rewards can be huge if you effectively capitalize on the right advantages.

Here are 3 major benefits to having a seasonal business:

1. You Know When To Ramp Up Spending

Entrepreneurs often praise the value of data, partially because it tells them the best times to launch marketing campaigns, order bulk inventory, or offer discounts. After all, rule number one on almost every New Years’ Resolution list is to carefully examine last year’s numbers. Without this information, many businesses would not be absolutely sure when to make significant investments, apply for small business loans, or maybe cut back on certain expenses. Heavily seasonal businesses, on the other hand, know exactly when their busy season begins and ends. They know when inventory is cheapest, when their competitors are making bulk orders, or how many weeks before the busy season they should begin conceptualizing marketing materials.

This makes seasonal businesses less likely to procrastinate as well. When you have a full 12 months to meet your objectives, it might be easier to put things off or develop loose spending habits. Seasonal businesses simply have no time to procrastinate because they operate on a schedule. Their busy season is undoubtedly the most sensible time for them to spend large sums of money, which explains why an increasing amount of seasonal businesses have used business loans or business lines of credit during such periods.

2. You Have Time To Strategize And Prepare

The slow season can be dangerous if it is not taken advantage of correctly. You’re probably going to lose money, but that doesn’t mean you should spend the slow season worrying about what you’ll do without it. This is your opportunity to focus on strategy for short and long term goals. Any veteran business owner knows that preparation is paramount for success. The more time you have to prepare for the busy season, the stronger your performance will be.

While other businesses might not have the time to coordinate complex marketing campaigns, experiment with a new product, or train new staff, seasonal businesses can take extra measures to ensure massive improvements in revenue year after year. In order for a seasonal business to achieve sustainable growth, each busy season must be better than the last. This is only possible because seasonal businesses actually have the time to figure out how to make it happen.

3. You Have Better Access To Small Business Loans

Before the arrival of companies like United Capital Source, running or growing a seasonal business was unnecessarily difficult. Banks tend to only approve business loans for applicants with perfectly consistent revenue and plenty of money in their bank accounts. It also didn’t help that heavily seasonal businesses like retail stores, hotels, and restaurants were forced to provide collateral or take on high interest rates because of their “risky” cash flow cycle. But traditional business financing institutions are no longer the only option. It is now entirely feasible for even a smaller or younger seasonal business to access considerable amounts and convenient terms. The latter typically comes with programs that are specifically designed for extreme ebbs and flows in cash flow, like a merchant cash advance or revenue based business loan.

And unlike your bank, companies like United Capital Source are able to approve applicants and distribute funding during slow periods. This allows you to save money whilst becoming fully prepared for the busy season by the time it starts. New staff members will be trained and ready for busy shifts. Marketing campaigns can be launched when your target demographic is most receptive. As for inventory, you can place large orders long or just slightly before the busy season, depending on what makes sense for demand. With programs like a business line of credit, you can place additional orders of items that are selling unexpectedly well and for discount prices.

Don’t Let Momentum Go To Waste

While time off is unquestionably important, the most successful seasonal businesses do not view the slow season as an extended break. When they have momentum, they don’t let it go to waste and instead do whatever they can to maintain it. Our business funding programs give you the ability to stay vital all throughout the year, regardless of changes in demand. You’d be a lot more stressed if there was nothing you could do to minimize the losses of the slow season.

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