Category: Business Credit

Need a Business Loan? Data Drives Loan Decisions

Need a Business Loan? Data Drives Loan Decisions

Several years ago I was talking with a local community banker that did a lot of SBA-guaranteed loans every year. As we were talking about the challenges some of the smallest small business owners face when looking for a loan, she casually mentioned that her bank’s SBA loan application was 40 pages long. I understand that data drives loan decisions and that bankers (as well as the SBA) want to make sure they have all the information they need to… Read More
What is Commercial Loan/Mortgage Forbearance?

What is Commercial Loan/Mortgage Forbearance?

Many small businesses are suffering financial hardship right now because of COVID-19 and shelter-in-place orders that have shuttered many for weeks if not months. Those that own their buildings or that are landlords to other businesses may find the worry of foreclosure looming large as cash flow grinds to a halt. Paying bills, including that monthly mortgage payment if you have a commercial mortgage, may be more difficult than it’s ever been. With all the other economic stimulus packages we’re… Read More
What is Commercial Loan/Mortgage Forbearance?

What is Commercial Loan/Mortgage Forbearance?

Many small businesses are suffering financial hardship right now because of COVID-19 and shelter-in-place orders that have shuttered many for weeks if not months. Those that own their buildings or that are landlords to other businesses may find the worry of foreclosure looming large as cash flow grinds to a halt. Paying bills, including that monthly mortgage payment if you have a commercial mortgage, may be more difficult than it’s ever been. With all the other economic stimulus packages we’re… Read More
What Lenders Want to Know Right Now

What Lenders Want to Know Right Now

Whether you're talking to an SBA lender or any other lender, they all are trying to get the answer to basically three questions. They might not all ask the questions in the same way, but they are all trying to find out the same thing: Can you repay a loan? Will you repay a loan? Do you have a plan should something go wrong? You need to know what lenders want to know before you apply for a business loan.… Read More
The Importance of Trade Credit Post COVID-19

The Importance of Trade Credit Post COVID-19

One of the most undervalued credit opportunities a small business owner can leverage is the trade credit he or she has with their suppliers and vendors. Not only is this a powerful way for a new business to build a strong credit profile, it can also be a great way for small businesses to leverage credit to build their businesses while other sources of capital have dried up as a result of the health and economic crisis we find ourselves… Read More
3 Things You Need to Know About Your FICO Score Post COVID-19

3 Things You Need to Know About Your FICO Score Post COVID-19

For most small business owners, your personal credit score will likely always be part of any business creditworthiness discussion you will ever have with a lender. Most lenders working with small businesses will consider both your personal credit score and your business credit profile when they review your business loan, line of credit, or credit card application. With that in mind, there are things you need to know about your FICO score post COVID-19 to position your small business in… Read More