Category Archives: bank-statement-loan

Get a Bank Statement Loan for your Businesses today!

New niche bank statement loan program. No need to try to provide major Collateral or high credit score. Get a bank statement loan today based on what your company already has – Sales! Does your company have Sales?
Get your bank statement loan now! As low as 500 and Lower scores.

Click on the “Contact Us” link above, complete the Mini “Contact Us” app or call us now Toll Free at: 855-787-1113 and an experienced professional will discuss your businesses sales and cash flow and will quickly assist you in determining how much of a bank statement loan your business qualifies for.

Business owners ask:
If we have excellent cash flow and have shown a long previous history of being able to amortize debt, then why should we be declined for limited collateral or “derogatory” personal credit?

We agree!
Small business loans depot can provide a loan against your bank statements now. If your business has the cash flow, we can assist you in getting money, quickly and easily.

Complete the Contact Us on the menu above, or call us Today Toll Free at: 855-787-1113 & start your bank statement loan today!

Bank Statement loan features
- High Approval Rate
- Among the highest qualification % of any business financing
- EVERY business has Cash flow
- Approximately 3 months bank statements requested, Quick
program only 1 Months statement required
- 1 Page Application
- Fast turnaround, one or two day approval common

Frequently asked Questions:
Question: Can you tell me if I will qualify?
Answer: If your business has at least $10,000 or more per month in deposits, makes 5 deposits per month
and has an average daily balance of $3,500 or more, your business can qualify.
Question: Do I have to provide a lot of extra documentation?
Answer: No. You only need to provide a simple one page application and the most recent 3 months business
checking account statements for approval.
Question: How long does the whole process take?
Answer: The approval process is one to three days. The entire process takes approximately 5 to 8 business days
and funds are wired directly into your business account.
Question: Are there any application fees or closing fees?
Answer: No. There are no application fees, no upfront fees and no fees paid to close.
Question: How much can I qualify for?
Answer: You can qualify for approximately up to 150% of your monthly deposits or average daily balance. The amount of the bank
statement loan will also depend on the time in business, and the average daily balance. If the business has business credit, this
can help as well.
Question: My business is growing and I will need more later. Is the process for higher limits based on growth?
Answer: Yes, to a large extent, limits are increased as you grow, almost automatically. As your cash flow numbers grow and you repay,
the limit on this loan will increase and you can borrow again for any of your business needs.

Credit Inquires you cannot avoid

“Credit Inquires” has been a topic of much conversation and concern in recent years.  The following is current information you should know about “credit inquiries you cannot avoid”.

Do not try to avoid virtually all credit inquires.   A growing number of people do not want any, or virtually any credit inquiries to be pulled on them even if they are applying for credit.  They tell lenders that they want to be considered for the financing without their credit being pulled.  There are “credit inquires you cannot avoid”.
This is not feasible or realistic, especially if the request is in the name of an individual.  In most of these cases, these request are in the name of a small business and the owner wants the request to stand in the name of the business by itself without their name.
If a business has less than 35 employees, in most cases the lender requires the owner’s credit to be reviewed.

Virtually no lenders will decide your loan request with a consumer obtained bureau.  Consumers can contact credit reporting agencies as well as outside vendors that provide bureaus and get all 3 credit reports.   These reports are not the same reports that lenders obtain.  Consumer reports are formatted differently and are simpler than the lender’s report.  The consumer version often provides more written explanation and sometimes less numerical detail.  Consumers will sometimes take these reports and tell the lenders that they want the lenders to use their consumer obtained reports rather than what the lenders use.   However, the lender’s version is usually more current than the consumer’s version.  The consumer version may be two or three weeks old.  The lender feels that the consumer’s version may not reflect items on the bureau that may have happened within those most recent two or three weeks.

There are many outside vendors that provide intermediate party credit reports.  Lenders are not, and should not be expected to know whether those vendors provide updated and satisfactory information.  Lenders are not obligated to use those reports.  As a result, consumers should not expect to avoid credit inquires by demanding that lenders use their consumer credit report version.

Credit inquires you cannot avoid Resources:

SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided.

U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad.

U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more.

Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business.

Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies.

International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries.

More credit inquires you cannot avoid resources:

Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health

U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products.

U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries.

CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary.

E-Network for CEOs – Online articles and much more for CEO’s

Public Radio Planet Money – All issues money related to the public.

Thank your for visiting our credit inquiries you cannot avoid resource page!

How to payoff your merchant cash advance

If your business is trapped in a merchant cash advance, you can,
“escape my merchant advance” by paying off the balance and terming
it out much longer, from 6 or 9 months, all the way out to 36 months
or longer.

Determine what your balance is.   Complete a list of your equipment assets,
which includes Computer, medical, industrial equipment and machinery.
We will approve a loan to payoff your balance and payoff your merchant cash advance
and help you set up a 24, 36 or 48 month repayment term.   Even if you only want
to term the balance off to 24 months, this will significantly reduce your monthly payment compared to what your business was paying.

If you took out a $25,000 merchant advance for 6 months you were paying around $248 per day, or $5,457 per month.   By terming the financing out to 24 months, you will reduce the monthly payment to $1,562 per month, which is only 28% of what you were paying.  If you go out 36 months, you will reduce your payment to $1,083 per month, 19.8% of the amount you were paying.   This difference will make a dramatic positive influence on your cash flow.

You will only need to complete a short 1 page Mini app and provide an equipment list which can be completed online.   The approval process takes 1 – 3 business days.  If you are approved, the closing documents are E-Mailed to you.   You complete them and return the completed documents via fax.   A verbal verification call is completed with you and you receive funding within 1 to 2 business days afterwards.

Escape the merchant cash advance now and call us today at Toll Free: 855-787-1113 and we will assist your business in correcting this highly restrictive negative to your business cash flow.

 

How ugly will the next debt ceiling fight get?

The Government will completely run out of money and ability to use extra ordinary measures to pay current obligations sometime in the fall.  The worry is how ugly the fight will get.

There is no evidence, and there are no signs that the act of raising the debt ceiling will be congenial.   All indications are that the amount of the debt ceiling increase will be minimal as well.   Rather than increasing the amount of the debt ceiling by a larger amount that will last 2 or 3 years,  congress has already indicated that they expect the amount of the debt ceiling increase to be only around $500 billion, an amount that will have to be revisited by 2014.

It appears that both parties are more concerned about their own agendas and appearing to hold out for the best deal possible, rather than the fiscal health of the domestic economy and the long term credit of the country.   In 5 to 10 years, a high percentage of sitting politicians will not be in office.   However, any damage they do now in terms of the credit rating of the country will be either permanent or last for decades.

Any further downgrade in the country’s credit rating will be solely attributed to how much the two parties fight.  Credit rating agencies have already stated that the U.S. credit rating downgrade in 2011 and any upcoming are mostly due to the inability of the government to come together and solve the problem.

The credit rating agencies have already stated that they may downgrade again if there is further intense fighting between the parties and go to the brink before a deal is closed.

Another credit downgrade coming with the debt ceiling fight?

The treasury department is currently engaging in extraordinary measures of moving money around to meet the government’s commitments.  Congressional Republicans are finalizing a list of requirements they will demand that the administration meets in order to ensure their cooperation.   However, bond rating agencies have already stated that another round of fights may trigger another credit downgrade of U.S. Treasuries.   Is another credit downgrade coming with the upcoming debt ceiling fight?

Counter arguments have been made by some U.S. politicians that not increasing the debt limit will not be as dire as predicted because Congress could authorize payment of principal and interest on existing U.S. debt, while not paying other obligations in other areas.   However, bond rating agencies such as Fitch has indicated that such a ploy may basically be considered a thinly veiled default and may well still trigger a review of the Government’s credit rating.   Their view is that this is nothing more than debt prioritization, which pays certain obligations but not others, and is just another term for default.

Politicians have already shown that they are apparantly willing to use the debt ceiling to score perceived short term political points on an issue that will be forgotten in a few weeks at the expense of the nation’s credit, rather than compromise, or at least make it a priority not to fight on such a critical issue.   The nation’s credit deserves far better than this from both parties.  It appears that the extreme wings in both parties are driving the debate to a head.

Another major danger in this type of fighting is that the debt limit has to be increased every few months, or roughly every year at the longest because it is only increased by a relatively small percentage on each occasion.  If the branches of Government would agree on a plan to raise the debt ceiling ongoing by an agreed set of circumstances, these credit downgrade threats would largely go away.

Get out of Merchant Advance

“I need to get out of my merchant advance.”, or “I want to payoff my merchant advance”, and “I want to payoff my cash advance” are becoming more frequent and louder requests by businesses.  Other very common pleas include “Escape my cash advance”, or “solve merchant advance problem”.

Regardless of the plea, many businesses have taken out significant short term loans against their credit card sales, which are advances against their future sales.  These loans are as short as 3, 6, and 9 months.  By taking out this type of loan,  your businesses cash flow during the term of the financing is substantially tightened because you not only have to use future sales to pay back the loan taken out, but have to do it in the very short time frame of a few months.

Call us today at Tel: 919-771-4177 or Toll Free: 855-787-1113.   We will help you get out of your merchant advance loan with several long term options of 24, 36, 48 or 60 months. 

Many businesses in this situation would greatly help their short term cash flow to get out of these merchant advance loans.   Businesses needed the funding at the time for critical reasons, but then they are finding that 6 and 9 month terms are too short term,  and require them to pay far more per month than they can comfortably handle.   If sales are not significantly on the upswing, cash flow can become even tighter than before the advance.

The good solution to the”I want to get out of my merchant advance” dilemma may well be to take the amount they owe, and extend the term out to 24, 36, or 48 months.  Businesses can take out an asset based loan against their equipment,  or a general loan against the business.   Smallbusinessloansdepot can help.  We specialize in helping you get out of a merchant advance with often simple and easy loans that range from 24, 36, or 48 months.
Since most businesses have equipment and other assets, the vast majority of businesses will qualify asset wise.

Get out of merchant advance

Call us today at Tel: 919-771-4177 or Toll Free: 855-787-1113.  Don’t remain in the restricted cash flow difficulty of a merchant advance loan.   Pay this loan off, and add back hundreds or thousands of dollars per month into your businesses monthly cash flow by extending the term through a leaseback against equipment, or other longer term loans based on the strength of the business in general, not it’s future sales.

Call us today and get out of the Merchant loan advance circle with an asset based or business based long term loan.

Sample “Get out of merchant advance” solution. Mike’s wholesale auto parts in Charlotte, NC took out a $50,000 merchant advance for 6 months.  The monthly repay on the advance is $10,900 per month.    Mike’s wholesale realizes this monthly cash flow outlay is far more of a strain on their cash cash flow than they anticipated and are interested in significantly extending the term to get out of the merchant advance.

Mike’s wholesale applies for a long term asset based loan, based on assets such as computer equipment and industrial equipment, though they could have chosen real estate, or the strength of the business as a whole.   They are approved for $50,000 over a 36 month term with a monthly payment of $2,075 per month against their Computer equipment.  The closing documents are E-Mailed to the customer.  The customer completes and faxes in the documents and overnights the originals.   Upon receipt, the the closing documents are reviewed for accuracy.  Mike’s wholesale is contacted on the phone for a final verbal confirmation and authorization.   Funds are wired into their business checking account within 1 business day.  They want to payoff the merchant loan and do so.  Mike’s wholesale was able to reduce their monthly outflow for this financing by $8,825 per month.

Frequently asked questions:

Question: How do I know whether I can get a 24, 36 or 48 month term?
Answer: In most cases, if approved, the business can choose any of these
term options.   Most businesses that do tell us “I want to payoff my Merchant
advance”, and are happy to be able to extend the term to 24 or 36 months, which
are the 2 most frequently chosen options.

Question: I am not sure I have enough Computer equipment or industrial equipment to cover the loan amount.  Can  I still get the amount I need? 
Answer: Yes.  We have programs that allow companies to get the full amount they
need, even if they do not have that much equipment.

Question: All I have to put up as collateral is some of my equipment?  I don’t have to assign part or all of my sales also, or put up Real Estate? 
Answer: Yes, in most cases, you only have to put up the equipment, or some of the
equipment you have.   Your future sales are never put up for this option to help you
get out of your Merchant loan.   If you do have Real Estate and are interested in a large
amount, such as $150,000 to $250,000 then you can choose to use both your equipment
and Real Estate to go higher.   This is an option you have.  The terms for this option of financing may be as high as 72 months.

Question: What do I have to provide to apply for this?  Do I have to provide bank statements for this type of loan also?
Answer:  You do not have to provide bank statements for this request.  All you need
is a simple one page application and one page equipment list.  You can easily complete this online or print out the short application and equipment list and Fax it in.

Question: Do I have to provide any financial statement or any other cash flow information for this request?  
Answer: In most cases, you do not have to provide any financial information.  However, if you need a significantly larger amount and your financial statements are readily available and show good cash flow, you can choose to provide them as part of the request.

Question: Do the assets, or equipment have to be new or almost new?
Answer:  The assets, or equipment do not have to be new.  The main factor is the condition of the equipment.  The equipment can be several years old, as long as the condition of the equipment is good or very good.

Question: Can I take this loan out personally and then use the funds to pay off the merchant advance?
Answer:  For this product, your business will need to apply in the business name.  Once the funding has been approved in the merchant name you can use it to pay off the merchant transaction.   Simply provide us with a balance.  We will call the merchant, get a final payoff and wire the funds to the merchant and pay off your transaction.   You will then begin paying the transaction back on the monthly basis instead of a daily basis, dramatically improving your monthly cash flow and have achieved your “get out of merchant advance”
goal.

Get out of Merchant Advance Resources:

SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided.

U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad.

U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more.

Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business.

Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies.

International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries.

More Get out of Merchant Advance resources:

Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health

U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products.

U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries.

CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary.

E-Network for CEOs – Online articles and much more for CEO’s

Public Radio Planet Money – All issues money related to the public.

Thank your for visiting our get out of merchant advance resource page!

Declined for a business loan, now what?

You have applied for a business loan and been turned down.  What should you do now?

The first step is to call up the company that turned you down.   Determine if you are speaking with someone that has the knowledge and experience to provide you with useful information about the decline.  If you received a letter, call and confirm the decline reasons.   In many cases, you may have been formally turned down for more than 1 reason, and as many as 4 decline reasons.

Ask if significantly lowering the amount of the request,  adding a strong co-signer, or adding more collateral would cause them to reconsider and possibly approve the application.  For these questions, if possible, speak directly with the credit department that makes the credit decision.

If any of the reasons are for credit, you will want to contact at least one of the credit reporting agencies to determine what is on your credit file.   You may already know most of what is on your file, though you should get a copy of your file to confirm it.   If there are any inaccuracies, you should dispute them with the bureau.   This is easy to do and can improve your bureau without significant effort.  If the bureaus cannot prove the information is accurate, you may have success in getting it removed.

Once you accept what is on your credit report, begin looking for other alternative loan options.   First determine what are the strengths of your business and weaknesses of your business.   When you contact companies, find out as much as you can about what their alternative loan options are based on.   Instead of choosing the business loans you like best, organize the loan types in terms of what your business is most likely to qualify for.  Of those loan options,  then decide which ones you believe you should proceed on.

Discuss the loan options with the representative and speak with someone who is knowledgeable, rather than someone reading from a script.   If they don’t give you logical answers to your thoughts or concerns, try to speak with someone else.  Don’t feel that you must get all the funds you need through 1 type of loan, or all of it immediately at that time. There may be 2 loan types that you should proceed on.   If your business needs $100,000 in total,  and you only qualify for $50,000, this may still work by getting the funding in segments over time.   You can take the $50,000 you qualified for and work on getting the rest of the funding required over the course of the next few weeks or months.  Chances are you did not need the entire $100,000 immediately.  Most businesses that receive $100,000 do not spend it all or even most of it within the first 30 days.

If you have financial statements and they are strong, consider submitting them with the application even if the are not being requested.   If certain information is not being requested, it may still be very helpful to your request to provide it.   If your last 3 months business checking account statements are strong, you should consider providing these as well.

Equipment Loan

Learn how our equipment loan program can solve your businesses equipment needs.   Our features and benefits page will help you understand and learn how to use this equipment loan financing program for the life of your business.   Since almost all businesses need equipment, virtually all businesses can benefit from this program.

Businesses can find a flexible solution to their equipment needs today, including short time in business,  and lower credit score concerns in the $3,000 to $150,000 range.

Complete the contact form in the menu above, or call Toll Free at: 855-787-1113 to find out how to get the equipment you need at your place of business as fast as 3 business days.   Approvals can be obtained in as little as one day and funds are wired into your business account as quickly as 2 to 3 days.

Use this equipment loan program to obtain computer electronic equipment, industrial equipment, machinery and medical equipment fast and easy. Scores as low as 600 and in some cases, lower,  are accepted.    There is no minimum time in business.  New businesses can qualify to get equipment.

Other Equipment loan Features include:
- Very flexible qualifications
- Application and processing is fast and easy
- No minimum time in business minimum requirement
- Equipment loans as low as $3,000 to start
- The equipment loan does not appear under the borrower’s personal credit

Frequently asked Equipment loan program questions:

What are my chances of being approved?
If you have been in business for as little as 2 months or longer, you may qualify for an initial equipment loan to get up to $25,000 in equipment.

What is the most equipment I can get under the equipment loan programs?
The higher the Gross Sales of the business, the longer the time in business and the higher the credit scores are, the more the business can get in equipment.

What are the terms of financing?
Available terms are 12, 24, 36, 48 and 60 months.  

How fast can it be done?
The full process takes approximately 5 business days from the time the application is submitted, to the Vendor, or your business  being funding by wire.     

Business Lines of Credit – The most difficult business loan

As part of their decision making process for obtaining a business loan, business owners should also consider which type of loan will be the most difficult to qualify for, and which will be the easiest to qualify for.

In most cases, business owners carefully consider the terms, including interest rates, number of months, total amount of the repay, and early payoff considerations.   Not often enough do business owners consider whether or not they will qualify, and other detailed conditions of the loan.  If a business loan has good basic terms, but is very difficult to qualify for, then the fact that it has advantageous terms may not be very relevant.

Some lenders can place one or two conditions on a line of credit which can completely negate all of the other advantages of the financing.  For instance, for some lines of credit, the lender may come in at the last moment and require the borrower to put up residential real estate, or even their primary residence as collateral.  When the lender does this, the borrower should be savy enough to see that this is worse than if they had taken out a home equity line of credit because even on a home equity line of credit, only the house is taken as collateral.

If the lender is asking for the applicants primary residence on top of a business line of credit, and the borrower agrees, then they are agreeing to doing a home equity line of credit and offering to give the bank many of their business assets as collateral as well.   Unless the borrower really needs that financing that is being offered, borrowers would be advised to look for other financing, or attempt to negotiate the terms of the approval with the lender.

Business Loans – Annual Payout Provisions

When business loans are approved, they are often approved contingent on certain loan conditions being met.  One of those provisions may be an annual payout requirement.

In most cases, traditional funding sources most often are the institutions that may require an annual payout provision as part of the loan requirements.  For this condition, the loan typically has to be paid down to zero at least once per year.  This is a major condition that borrowers should be very cautious about.  This may seem like a minor aspect of the transaction, but could end up being very hard for the business to accomplish.

Businesses need to ask what will happen if this condition is not met.   If the company does not pay out the loan one time per Year, what can the lender do?  Does the lender, in this instance, have the right to call the loan?  Will they raise the interest rate?  Do they have the right to consider taking some or all of the collateral?   Can they liquidate any listed stock or bonds that were put up as collateral?  If so, how likely is it the lender may do this.  Will they do this quickly or only after a protracted period of the loan not being paid?  These are questions that need to be asked.   The borrower may have put up real estate as collateral.

The borrower needs to carefully consider the requirements if real estate is held as security for the transaction.   If the transaction is for a larger amount, $50,000, $100,000 or more, the borrower must carefully consider their cash flow throughout the year.  Even for businesses that have Gross Sales of $1,000,000 – $2,500,000 per year,  coming up with $50,000 or $100,000 at any given time will be very challenging or may not be possible.

The business should consider their average monthly bank balance as an estimate of the maximum amount they can come up with at any given time.  Whatever that amount is, will likely be the maximum they should have as a balance for a business line of credit that has an annual payout.

Congress will pass on next debt ceiling fight

With the latest requirement to raise the debt ceiling approaching, Congress has, for many months, promised to fight each debt ceiling increase request.  On this occasion in March 2013, all indications are that Congress will not fight the administration in it’s request to raise the debt ceiling.

The vast majority of representatives sense the political environment is not conducive to a fight at this time due to the Sequester battle just having ended.   The public has been told for weeks that due to budget cut requirement of the Sequester, a variety of services they hold as important will be cut, that many employees may be hit with job furloughs, and other similar bad news such as this for several weeks.   If this is followed by a massive Government shutdown, the public backlash is expected to be fierce.  For this reason, Congress has indicted it will not shut the Government down.

The public’s perception is that Government not only cannot agree on anything, but that it can do nothing other than fight, blame each other, and spew out the harshest vitriol it can think of.   Basically, it cannot accomplish anything.  While there still is the possibility that things can turn and a shutdown can happen, a shutdown now is a long shot.   During the last debt ceiling debate at the end of last year, one month before the deadline, both parties were pleasant with each other and saying nice things.   Possibly what is most likely to happen is for the basic problem to continue to not be solved,  and for the solution to the problem to be delayed, much as it has for the last 25 or more years.