If you are looking to get a small business loan, it is important that you understand everything that is involved. You’ll have to demonstrate your credit worthiness, you’ll need to show that you have a solid income, and you’ll need to demonstrate that you have a solid plan to make your company profitable (or demonstrate that it already is). We’ll discuss this in further detail, in today’s article.
Demonstrating your Credit Worthiness: This is really step one when you are trying to get a small business loan. You’ll want to pull all of your personal and business credit reports before starting the process of seeking funding. Make sure there are no mistakes. If there are legitimate negative marks, you should call your creditors to see what you can do to work this out.
Demonstrate your Income: It isn’t enough to have a great credit score, anymore. Banks want further assurance as to how you intend to make your loan payments. Unless your company is very well established, you’ll have to personally guarantee the loan. Also, you must demonstrate that you have enough personal income to cover the payments, if need be.
Demonstrate your Business Plan: This is the final step in getting ready to get a small business loan. You’ll want to have a solid business plan that includes your current financial statements, as well as your profit projections. If you don’t know how to make one of these documents, you should search online for instructions. Either that, or contact the Small Business Administration for assistance in creating this document.
For more information, go to Small Business Loan at http://www.unsecuredbizloan.com/small-business-loan/