Getting a business loan

By WIC

A business loan used to be a lot easier to get. Because of the recent financial meltdown, banks are scared and therefore not very eager to take business loan applications into consideration. Regular loans are still a very good product for a bank, but business loans are considered 'shakier' and higher risk. This means that you will have to back up your application for a business loan.

Your request for a business loan will be carefully screened by a bank employee. They will want to know if you have the income to support the loan, if you have stability and if you have collateral.

This means that collateral is one of the mist important factors when applying for a business loan. If you don't have overwhelming collateral, preparation and planning become important.

Preparation is the key to getting your business loan request looked at seriously. Make sure you show your history, your plans and any smidgen of proof of trustworthiness you can find. Every little thing helps, so try to look the part when you're applying. Suit and tie is best, even if you're not comfortable in them. Looking good for this process is more important than you might think.

Even when banks tighten their policies, getting a business loan is still possible. The right preparation gets you a long way towards your business loan goals.

About the Author:

WIC is an institution that dispenses advice in English and Dutch on the subjects of loans, zakelijke lening and mini leningen