In these tough economic times obtaining small business loans is getting tough. Most lending institutions are being leery of all but the most promising of applicants. In a recent report the Federal Deposit Insurance Corporation has found that lending is at its worst since 1942. This as you remember was the time of ” The Great Depression” here in the United States. Getting small business loans can still be the possible if you have a sound business strategy. The key to getting small business loans today seems to be persistence. Do not get discouraged when bank number 15 says no brush it off and get back into the fray. Keep knocking on those doors eventually someone will answer you.
Go back to drawing board if you have to. If obtaining small business loans were easy there would be no need for the process. And the economy is making it harder but hang in there it can be done. Be willing to go back and start over. Examine your business plan even dare to ask why the other guys turned you down. What you can fix do so and go knock on the next banks door. Some times you may have to go to a private investor. There are those out there with money to lend and getting small business loans that way can save an ailing company.
Finally consider changing the amount you are asking for. It might be better to get some of the money you need than having nothing at all. Banks and other lending institutions will readily lend less as they can fore see its return. Whether you are looking for startup capital or small business loans to sustain an existing business through these troubled times here are a few tips about items that you will need in your search.
1. Business plan
3. Personal credit report
4. Credit report for your business
5. Financial statements
6. Tax returns and financial statements
7. All licenses and certificates pertaining to the business
8. Above all else come to the loan interview well organized