How to Apply for a Commercial Loan
If there were no problems to solve, you would probably be out of business. Everyday, you help customers and clients satisfy their needs. However, who helps you when you need information, such as how to apply for a commercial loan?
For most small business owners, getting access to fast business cash is an ongoing concern. Taking on debt to solve this problem could be the answer, but first, you have to know how to apply for a commercial loan. It is important to learn what to do and what not to do in order to protect your business.
What You Need to Know before You Apply for a Commercial Loan
Deciding to apply for a commercial loan is not an option to be taken lightly. It can be a long, mind-numbing process and you must be prepared.
After you have determined how much money you will need and what it will be used for, you then have to know what lenders are looking for and how well your company stacks up. For example, it is vital to complete a report on injury risk, a report on cash flow and to know your debt to income ratio.
In addition, you should know your credit score. Most traditional lenders won’t even consider granting you a commercial business loan if it’s less than 700.
You also have to assemble mountains of paperwork. This includes three years worth of tax returns, financial projections and results and a business plan. Still, if everything is not perfect, you will likely be denied.
Are There Alternatives to a Commercial Loan?
A bank will ask for an extensive application to be filled out that will take anywhere from 8-20 hours to complete. Alternative lenders like Financing Solutions (www.financingsolutionsnow.com) are built for speed and are used to dealing with small businesses where the owner’s time is super valuable.
Financing Solutions can give you an answer after filling out a 2 minute application. If you are approved then they will ask for backup documentation to verify your application. The whole process can take less than 48 hours.
Best of all, since this is short term business financing, they will not lock you into lengthy contracts. They offer convenient options so you can repay the money in a few weeks or months, when your cash flow has improved.
How to Use Untapped Resources to Improve Your Business
If cash is king in business, then the people around you could be looked at as the oft-silent queen. Getting people to speak up for your business can put you ahead of the competition and increase your profitability.
Customers are perhaps your most important audience but many businesses do not utilize them to their full potential. If they like your product, they can be your biggest fan, so let them. Give them the tools they need to help promote your business, such as sharing buttons on your website, links to relevant consumer review sites and incentives for recommending you to others.
Your employees are another frequently unused voice that can serve as great representatives for your business. Make sure that their customer service skills are exceptional, even non-front facing staff members. This is one reason it’s important to make payroll on time every time. Also, if possible, encourage them to be customers as well. There is no better message your brand can send than this kind of positive demonstration of trustworthiness.
Your best untapped resource may be the small business professionals at Financing Solutions. They will give you the fast business financing necessary for growth.