Frequently Asked Questions

 

Maybe you have a lot of questions floating around right now. Perhaps you want to know items such as how you can use the money, what type of collateral do you need, and what if your credit is less than perfect. Here are the answers! We want to make this process as easy as possible by providing all the answers to your questions. If you don’t find your question here, feel free to contact one of our friendly representatives today!

 

What type of business loans can I apply for?

 

You could get a loan to start up your business, fund payroll, or even buy equipment. These loans help your business move forward, even if your business is struggling.

 

How do I apply?

 

You can fill out the application here on our website and send it in securely. It’s that easy! There’s no hassles. You can fill it out on your time frame and complete it when you’re ready.

 

How long does the process usually take?

 

In most cases, it takes around 24-48 hours for us to hear back from a lender. Depending on your situation, it could take more or less time.

 

Do you check my credit?

 

Yes. We check your personal credit as well as the credit with the business. This is in part because your credit for the business may not be fully established yet. We have to check your personal credit and those who will be on the loan with you.

 

How great does my credit really need to be? What if I have dings?

 

We understand that credit can be a tricky situation. We work with all types of credit and in most cases, can get lending offered with dings on your record. It will all depend on what your personal situation is, but we can work with most types of credit.

 

What documents do I need to provide?

 

There are several items that you need to have with you for a business loan. You’ll need to gather up documents such as personal background, personal and business credit, your business plan, and financial statements. You’ll also need items such as bank statements, tax returns, and any legal documents you have with the business.

 

What is considered collateral if I need it?

 

Items such as equipment, buildings, vehicles, etc count as collateral towards your business loan.

 

How do I put together a business plan?

 

To start with you need a financial statement for your business. This includes items such as your budget for the business, income, a balance sheet, and a cash flow statement. All of these items work together to help your lending officer know what is coming into the business, what’s going out, and how your balancing is working. You also need your company vision, what your goals are with the business, what your projected profits will be, and who your competitors are. A sound business plan will include all of these aspects and help you to get a clearly defined goal in mind for your small business.

 

What can the loan funds be used for?

 

Depending on the type of loan, you can use them for a variety of items. Use it to cover payroll for your employees on weeks when the budget is tight. You can use the money to buy or repair equipment so that you can get the job completed. Use the money to improve your current location, buy a new one, or expand into a larger sight. The money can also be used for inventory renewal or day-to-day operations. If you need to do some marketing or upgrade your current marketing plan, the money can help you do that as well. Sometimes you just need assistance getting through a down time in your business. That’s what the loan is for!

 

Are there income requirements for a business loan?

 

Yes. You do need a certain amount of income to be approved through our lenders. Typically the amount you want to produce is around $2,500 or more in business sales. This is where you financial statements come in handy. Be sure to have all the paperwork ready that shows your income to help speed the process.

 

Will I need to provide a personal guarantee on the loan?

 

In most cases, the answer is yes. While it may seem frustrating to put your personal and business together, it is a must in some situations. Some lending offices want to know that if the business does not succeed, you can still pay for the money loaned to you. It also depends on what percentage of the business you own. If you own half of the business, you may need to put up personal guarantee if the other owner is not on the loan as well.