So, you have a vision that would be a great small business idea but you have no clue as to how you would be able to make it a reality without a loan. You know that you do not want to have to listen to anyone anymore and you also know that you want to be able to work on your own time. Furthermore, you know that there are certain things that must be done to get a small business loan yet you are not sure whether or not you will be approved for one. So, today we are going to share with you some tips for getting a small business loan so you can jumpstart your new career.
Prepare, Prepare, Prepare
When it comes to being approved for a small business loan you can never be too prepared. Just think of the show, Shark Tank. The lenders are going to want to know how your business is different from the others in the niche as well as why they should give you the money. You do want to have petty answers to their questions. Instead you want to be able to tell them exactly what they want to hear. So, what do they want to hear? The lenders want to know the background on your competitors, how much they make, how much you will make, and how you can be so sure your business will be a success. If you need visuals to remember your points consider even making a PowerPoint presentation to show them. However, the thing you do not want to do is go there and just state whatever comes to your mind. That is one sure way that you will be declined.
Make a Business Plan
Along with your presentation you are also going to want to make sure that you have a business plan. If you are someone who is not good for words it will be a good idea to invest some money into hiring someone to write a business plan for you. However, before submitting your business plan to the lender you will want to read over it yourself to make sure that it is as close to perfect as possible. If you doubt your own talents have an editor review the business plan before you take a look at it.
Smile and Be Yourself
When meeting with the lender do not be stiff and uptight. Pretend that they are not a lender but instead a customer that you are trying to secure a sale with. The lenders are not only going to be listening to you but they are also going to be watching your body language as well. If they do not get the vibe that you are good in the selling department or lack customer service skills they will have no problem declining your request no matter how good your business plan or presentation may be.
Fix Your Credit
Everyone in the US is allowed one free credit check each year so use it. If you have anything that is lowering your credit pay it off and keep the receipts. Even if it does not show up on your report yet as being paid off at least you can show them that you have cleared yourself of any prior debts so you will have no one else to pay back except for them if they approve your loan.
Author Bio: Peter Higgins works for Smallloans.net an website that helps people with information on small loans.