How to Get an SBA Loan
It can be a huge benefit to your company if you can secure an SBA loan, because you will have funding which is guaranteed by the federal government. That will probably mean you’ll have a low interest rate, and a relatively long term of repayment, during which time you can improve your business and make it more profitable. However, there is typically a considerable amount of paperwork involved with securing an SBA loan, and you’ll have to know exactly which type of loan you want to apply for.
Securing an SBA loan
Keep in mind that the SBA itself does not provide any loans, and that means you’ll have to find an actual lender to work with you. This shouldn’t be difficult, because most banks do provide SBA loans, and some of them work very frequently with the SBA. Not all these lenders will have the same requirements, but you can count on having to provide much of the same documentation for any lender you choose to work with.
When choosing a lender, you will need to supply a personal financial statement, a schedule of your current business debt, a current balance sheet and income statement, and a cash flow projection for at least the coming year. You’ll also need to provide copies of any lease agreements which you’ve entered into, all real estate appraisals, a full year of business bank statements and personal bank statements, three years worth of business tax returns as well as personal tax returns, and a formal business valuation for your company.
All this documentation will give any lender a fairly complete picture of how your business is doing, and whether or not you would make a good candidate for a loan. By having all this paperwork ready, you can ensure that the process goes more smoothly, and that you won’t have numerous interruptions which call for additional paperwork.
Interested in securing an SBA loan?
If so, we may be able to work with you to provide the financial assistance you’re seeking. Contact us today at Kasher Capital so we can consider some options for securing the working capital you need.