The Top 16 Tips Ever for Getting Small Business Loans

Do a keyword search on the internet for “small business loans” and you’ll be swamped with results offering you hundreds of ways to get the funding you need for your small business. If you have time to wade through page after page of information, you’ll get an idea of what you need to do. However, if you have been rejected by the bank for a small business loan due to bad credit or no credit and want to apply with alternative or hard money lenders--- bottom line, here’s what you need to be prepared:

• Create a business plan and put it on paper
• Write down your financial projections
• Register your business with the state
• Get a Federal Tax ID or EIN
• Get current & stay current on your business taxes
• Get your past 2 – 5 years of tax returns
• Obtain all the appropriate licenses & certificates
• Get your bookkeeping in order
• Set up a debt repayment program for past debts
• Pay your business bills on time
• Register with Dun & Bradstreet to build a Paydex score
• Acquire vendors that report to Dun & Bradstreet
• Get a brick & mortar business address
• Get a business phone number with a live person that answers it
• If your personal credit sucks, take action to repair it
• Find an underwriter that will introduce you to several legitimate lenders

This looks like a lot of effort and it is, but if you want to get a business loan, accomplishing these items is what it takes.  A potential alternative lender or hard money lender will take all of this into consideration.