What Do You Need For A Small Business Loan?

Are you thinking of expanding your premises or hiring and training new staff? Not sure of the small business loan requirements, though? Do you need new equipment? Or are you just a little short on cash flow at the moment? These are all the reasons you might be in need of a small business loan.

Applying for a small business loan can be a tedious and time-consuming task. It can also be quite obtrusive to provide all your personal and business financial records, and scary to use your personal assets as collateral. It’s important to break down some of the aspects you need for business loans in order to increase your chances.

The Necessities For Small Business Loans

Good Credit History

Don’t wait until you need a small business loan to build good credit. This applies for both personal and business loans. Good credit can take years to build, especially if you’re aiming for a high FICO score. Always maintain a good working relationship with your lenders and potential lenders by making payments on time and keeping accurate up to date financial records.

If you do have past issues in your credit history be prepared to discuss this with your lender and take steps to satisfy any outstanding debt to rebuild your credit history.

Strong Business Plans

A solid business plan is not only a great asset for yourself and your business but assists when applying for credit, especially from traditional lenders who love to be bogged down in paperwork. Even if you don’t need one when applying for credit it’s always a good idea to have a formal business plan in place for your business to thrive and succeed.

Your Personal Resume

Much like a solid business plan, a good personal resume is a must. It’s important to update your resume from time to time. Things to note include your recent roles and emerging formatting and layout that both employers and lenders like to see. Depending on your lender, you may have to provide your personal resume when applying for a business loan, so make sure you have one on hand at all times.

Profit and Loss Statements

A good business owner will already be using profit and loss(P&L) statements. These are generally part of your monthly, quarterly and annual financial processes. If you’re not, it’s time to start. Much like a business plan and personal resume you may need to supply a P&L Statement when applying for business credit. Even if you don’t, P&L statements help business owners keep track of their business assets and liabilities. Without this, how do you know if you can service the repayments on the loan you’re about to apply for?

Alternatives To Small Business Loans

It’s a reality to many small businesses that they won’t be able to hit every mark on this list. Some of these require time, keeping startups out of the fold. Other times, a lack of collateral or past credit issues will hurt your chances. Several alternate funding options are here to service those in the business community who can’t meet these hard criteria. One of the most popular options in this area is merchant cash advances.

eBusiness Funding helps businesses that may struggle with traditional lenders. To do this, we provide merchant cash advances that are accessible to a wider spread of businesses than bank loans or private lenders. 95% of businesses that meet our simple requirements qualify for funding. All you need is to be in business for at least six months, with over $10,000 in monthly revenue. With us, it’s not about past credit history or collateral, but about your business’s potential.

It’s important to us that you use the funds we offer in the most helpful way possible, so we place no restrictions on how you spend our advances. Payroll, expansion, repairs, spend on what you need! We also get you your funds fast, sometimes as soon as 72 hours after you first apply. Repayment is also very simple. Rather than large monthly payments, we take an established percentage of your future sales. This is set up by our skilled consultants. This percentage stays the same, so if business slows down, you pay less.

Interested? If you’re ready to begin, just fill out this simple contact form. We’ll be waiting, and are looking forward to helping your business get the funding support it needs.