Small business loans provide the capital for owners to expand their companies faster than ever before. With a partner like Delancey Street by your side, you can get business loans, lines of credit, and cash advances for up to two million dollars. We fund businesses in all industries. Here are some benefits you’ll receive from dealing with us for your funding needs:
- Quick Approval Process
- Flexible Payback Plans
- Acceptance For Bad Credit Borrowers
- No Restrictions On How You Use The Funds
We know that you work hard to keep your small business operating. With our small business loan offers, you can allow your business to grow to the next level. But, before you jump at the chance of filling out a loan application, there are a few things that you should consider. These will help to ensure that you’re properly prepared for the loan approval process.
Your Credit Situation
When you ask a lender for money, they want to be assured that they’ll get repaid the loan amount plus interest. Part of identifying what business owners are responsible financially is checking out their credit score. In fact, a credit score is the number one factor that a lender looks at when deciding on who to approve for a loan.
Credit scores also play a role in the terms of your loan. From the approved principal amount to the interest rate, your credit is going to affect each part. Those with a higher credit score are considered a safer risk for the lender. Therefore, those borrowers are charged a smaller interest rate. Borrowers with less than perfect credit are more likely to see higher interest rates and stricter loan terms.
After analyzing your own credit score, you should also take a look at your business’s credit history. The way that you manage the money for your business is going to be a big part of whether you get approved for a loan or not as well as how much. A reliable business is less of a risk for a lender. Those reliable businesses have an established record of on-time payments.
Why You Need The Money
Ask just about any business owner if they could use more money and their likely answer would be yes. More money means more capital to utilize for high revenue streams. However, just getting more capital without a proper plan in place for what you’re going to do with it is a disastrous setup.
You should take the time to evaluate the needs of your business. What do you need to do in order to grow and move forward? A specific project, new location, or new inventory can be a few ways that will help bring your business to the next level. Once you know what you’re going to be doing, now it’s time to determine how much capital you’re going to need to complete your task. Having a clear idea of how much money you need and what you’re going to be using it for is a positive indication to a lender that you’re a responsible business owner.
Know Your Financial Statements
The most important part of any business is its financial statements. These are the financial facts about a business and it’s overall financial health. Any business loan lender is going to want to read over specific financial documents to determine how well a business is doing financially. These statements include the cash flow statement, balance sheet, and income statement.
Tips For The Application Process
It’s a good idea to have all of your financial statements prepared before applying for a small business loan. This will save you much time later during the actual approval process as the lender won’t have to ask for these documents. We suggest putting them into a portfolio for ease of use.
Once your application is approved with the lender, it’s time to read over the terms. Just because you’re approved doesn’t mean that you must accept the terms of the loan. You should read over the entire loan contract to determine whether or not your business is going to be able to meet the repayment terms. Anything that you’re not sure of should be discussed prior to you signing on the dotted line.