What Do I Need for a Business Loan?

Today we’re continuing our look at some of the most frequently asked questions that we’ve received over the years, by answering an inquiry that comes up many times throughout the day: “What do I need for a business loan?”

What the Banks Require for a Business Loan

If you apply for a business loan from your bank -- which is certainly your choice if you decide that’s the right decision for you -- then you should be prepared to submit many official documents, including: 

• P/L statements for at least the last two years (though in some cases longer will be required).
• Your personal and business credit scores, which will need to be very high and virtually flawless -- any dings, even if they occurred years ago, will likely lead to your application being rejected.
• Your strategic business plan, which must be include comprehensive financial projections, marketplace and competitor analysis, and so on.
• A detailed, up-to-date resume for every key staff member in your business.
• A detailed personal statement outlining your “credit worthiness”.
• A list of all business and personal assets and debts, including accounts payables in your system.
• A detailed description of what you will use the business loan for (e.g. to purchase inventory, to upgrade your location, to pay for marketing, etc.).
• All business certificated and licenses, which of course must be in good standing.
• Signed personal and business tax returns for the last three years.
• A copy of your business lease, and any other leases associated with your business (e.g. equipment).
• A detailed history of any loans that you’ve applied for in the past – including those that may not have been approved.
• A comprehensive list of assets that can be used as collateral for the business loan.

Again, this is not a comprehensive list, and some small business loans – especially those offered in conjunction with the Small Business Administration (SBA) – will require much more documentation. Furthermore, if any documents are deemed by the bank to be incomplete – or frankly, if they just misplace them or claim they never received them in the first place -- then you’ll need to re-submit them. This will further delay the business loan application processing time, which can take anywhere from a couple of months, to more than half a year.

At Shield Advisory Group, we know what “real life” is like in the small and mid-sized business world, because that’s where we come from, too. Specifically, we know that the vast majority of business owners – if not all of them – don’t have 50+ hours to collect and submit business loan documents, and then wait months for their application to be evaluated.

And that’s why we offer a streamlined application process that can be completed online, and requires only the following information:

• Basic business information (e.g. address, phone, website, corporate structure, DBA, etc.).
• Basic personal information (name, phone, SSN, etc.).
• The amount of funding that you’re requesting.
• Your gross annual sales.
• How long you’ve owned your business.
• Basic business property information (this is not for collateral purposes, as our business loans don’t require collateral).
• Basic information on your credit card processing (in part this information helps us determine whether it may be better for you to apply for a merchant cash advance instead of a working capital loan).
• The names and contact information of two professional references.

As you can see, we do NOT require tax returns, P/L statements, resumes, business plans, or any other documents. What’s more, you don’t have to have 2+ years of credit history, of have perfect credit.

At most, once we receive your completed application, we’ll ask you to provide us with a monthly cash flow chart or table that helps us determine the optimal business loan amount to offer you. If you need help preparing this information, our experts will be happy to guide you and make the process straightforward and efficient.

Contact Us to Learn More 

321-430-6828

To learn more about our transparent business loan programs and streamlined “business-friendly” application process, contact us today for your free, no obligation consultation.