Saturday, 21 July 2018

Information and commentary for the small business banking industry

Small business loan applications – preparation is key

21 Feb

As a bank, you’ll understand better than anyone that bank financing is essential for most small businesses, whether they’re just starting out or looking to expand and grow their business. There are few businesses that can launch or grow without bank financing, so to give them the best chance of succeeding in their application, there are easy ways to guide them through the process.

Of course, all banks have different criteria that’s relevant to the individual bank, but there are things almost all banks have in common when they’re considering a business loan application. It can only boost your relationship with your business customers if you’re able to give them a guide or checklist so they can maximize their chances of their application being approved.

What you’re looking to do is underline the importance of being prepared and of having all pertinent information at their fingertips.Sit down with them and outline all the details they’ll need to provide around what the money’s for – stock, equipment, set-up costs, working capital etc.

It’s also important to make sure they’ve checked their credit rating. They can do this at Equifax or TransUnion, and it’s an essential step because they’ll need to clarify any credit rating errors before they apply for a business loan.

The below article looks at how to go about fixing a credit rating.

Read the full article at:

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