Small Business Loan Application
Airfare Daily Deals eCigarettes Eyeglasses Hotels Jewelry Online Backup Online Dating Online Printing Online Tickets Skin Care Textbook Rentals Vitamins Web Hosting Weddings
Find thousands of shopping-related forums
SEARCH

Small Business Loan Application

SBA loans are meant to assist qualified small businesses at succeeding. You need to do your homework and understand that you will be working through a SBA approved lender, under the SBA small business guidelines

It’s no secret that Americans are entrepreneurial and that small businesses hold an important position in the USA economy.  If you are already in business, looking to expand and grow or about to start a new business at some point you will need financial support.

SBA loans are meant to assist qualified small businesses at succeeding.  By law, the SBA may not guarantee certain types of loans if the business can obtain funds on reasonable terms from a bank or other private sources.  If you have decided to pursue a loan with the SBA, you need to do your homework and understand that you will be working through a SBA approved lender, under the SBA small business guidelines.

SBA Guidelines

As with any financial transaction there are numerous reports and loads of information required for submittal. The records and information must be accurate and true. The SBA provides a loan package with all of the forms and information required to process your application. It is highly recommended that you review the information requirements prior to approaching the SBA lender.  As a business owner, you need to be prepared and understand the commitment and the financial consequences in obtaining a SBA loan. 

You will need the following documents:

  • SBA Form 4 - Application for Business Loan
  • SBA Form 912 - Statement of Personal History
  • SBA Form 413 - Personal Financial Statement, Business Financial Statements; Profit and Loss (P&L), balance sheet, 90 days current statements, 3 years of fiscal schedules, 1 year's income projection with a written plan for execution.
  • Ownership and Affiliates, Business license and Corporate Seal
  • Loan application history
  • 3 years of tax returns; business and principals

Depending on the type and size of the small business loan, collateral requirements may be imposed.  Loans involving higher risk factors require substantial collateral.  Are you ready to sign a lien to the company or personal property as collateral, in order to obtain the SBA loan?

Prepare a narrative of why the company needs the SBA loan and how the loan will be used for the company.  Know exactly how much you need to reach the business goals projected.  Be prepared to describe and illustrate the business plan to the SBA lender.

Summary

The lender is concerned about repayment; it’s up to you to present the company’s ability to repay the loan. Getting a SBA loan is possible, you need to be a good credit risk by demonstrating, good business practices, executing organized and well planned business strategies and maintaining accurate financial records.

Source: SBA, Small Business Administration, U.S. Dept. of Commerce, Census Bureau: Statistics of U.S. Businesses and Business Dynamics Statistics

Photo

Need an answer?
Get insightful answers from community-recommended
experts
in Retail Small Business on Knoji.
Would you recommend this author as an expert in Retail Small Business?
You have 0 recommendations remaining to grant today.
Comments (0)
ARTICLE DETAILS
RELATED ARTICLES
ARTICLE KEYWORDS