What would your business do if your essential equipment breaks or if you need cash quickly to complete a project? Would your business be able to secure a business loan to get your business through a crisis? By having a good business credit score, your business will have a better chance at securing business funding.
Whether you are considering forming a corporation or LLC, or even if you already have a business entity, one thing is certain; sooner or later you will need to borrow money. Whether you need money to get started, or to develop or expand your business, getting a business loan is not easy.
To make the process of qualifying for funding for your business simpler, you'll need to understand the process and plan ahead. Planning ahead means that you need to start building a line of credit for your business now. The credit experts at Nevada Corporate Headquarters are here to help!
Factors to consider before you apply for a business loan:
- Are you looking for a business line of credit for working capital or growth, or do you need to lease premises or equipment?
- Do you have 2 years of financials prior to setting up your corporation or LLC?
- Can you provide the following requirements for your loan application; business summary, personal profile, loan proposal, business plan, loan repayment plan, supporting documentation?
- Are you equipped to identify the many scams in today's market place that make unrealistic promises about business credit?
Every business at some point has needed funding so that they can expand and continue to grow their operations. If you are looking for funding for your business or expect to be getting funding in the future, then you will want to start building business credit.
Finding the Best Business Loan or Lease
It can be extremely difficult to find someone willing to give your business a loan or lease without the proper credit profile. Before looking for financing, make sure you're prepared to present the offer to a lender. Learn what it takes to obtain the loan or lease your business deserves. Our Nevada Corporate Headquarters experts advise that you take the following steps:
1. Prepare You and Your Business
- Have a favorable PAYDEX score with D&B.
- Have a favorable Intelliscore with Experian.
- Have a favorable personal credit score (FICO).
- Have a minimum of three trade references.
- Have a good bank reference.
- Do the research on what type of loan or lease you want.
2. Develop a Plan
- Find someone with good credit to sign for the loan or lease.
- Determine what business entity you will have when you apply.
- Determine why you need the money.
- Determine how much you need.
- Determine how you will pay it back.
3. Put Together a Written Plan
- Prepare a business plan.
- Prepare a marketing plan.
- Have two years' financial statements and tax returns prepared.
Almost any lender will want to see these three things before looking at an application, and they will be crucial to obtaining the loan or lease you want.
4. Packaging the Request
- Lenders want the loan request presented in a specific manner.
- Use a professional loan packager, especially with a SBA Loan request.
- The packager will provide the lender with what they want to see and increase your chances of approval.
- The packager will also save you time and money.
Whatever your financing needs are, it is possible to obtain a line of credit for your business. NCH can improve your chances of success, build your business credit profile and position your company for favorable credit terms. Start building business credit today so that when the time comes to get funding for your business you'll be ready. Give the credit experts at NCH a call today at 1-800-508-1729.