Read up on tips, how to’s and steps on how to get a small business loan.
Small business loan articles and resources. Information including tips and steps on how to get a small business loan. Find articles on different types of small business loans including asset based loans as well as loans on equipment. Other articles cover mca merchant cash advances and accounts receivables financing. Merchant cash advance information includes getting low rate cash advances and how to get out of a merchant cash advance if they are causing your business a cash flow problem.
When a business has more than 1 cash advance, they have multiple advances . Does the example below look like your business?:
A business has three mca positions:
# 1: Balance of $20,000 with daily payments at $333 per day.
Merchant has 60 business days left or approximately 3 months.
#2: Balance of $10,000 with daily payments at $166 per day.
Merchant has 60 days left or 3 months.
#3: Balance of $5,000 with daily payments of $83 per business day.
Merchant has 60 days left which equals 3 months.
If your business has advances from stacking, complete the secure 30 second application below to rescue your business today! Get payments now you can afford that will not hurt your business, or credit or reputation.
Several options to reduce your daily and weekly cash flow for advances and longer term options such as weekly and monthly payments.
Add up and know your total daily, weekly and monthly payments on the advances as well as how much longer you have to pay on them. Also get your total payoff balances. Know your approximate credit score.
Search for lenders that either payoff or restructure your debt as earlier options. Funding programs that recommend you close your business checking account or negotiate a settlement hurt you the most and should be your last possible options.
Choose a program that best matches your business profile for your amount of debt, ability to pay and urgency for a fast loan on any new program that allows you to get out of your advances.
Talk to a representative of the program. Tell them about your business and ask them about their underwriting criteria. Try to assess what your chances of approval or being declined are for each program. Once you find the best matching program, then apply.
If approved, review the terms of the approval. If you are satisfied, close the transaction.
Receive funds into your business account and begin repayment with improved cash flow.
We have excellent programs with a high approval rate to fix your multiple mca multiple positions problem. Almost all businesses can improve their cash flow. Apply above or contact us at Tel: 919-771-4177.
FAQ Frequently asked Questions:
How can I get out of these without missing payments or defaulting?
You can either pay them all off through a consolidation or refinance them and extend the term several more months. You may qualify to extend the term for up to 10 years.
How much lower can you get my Payment? I need to reduce my payment by half or more. Can you do that?
We have programs available that can reduce your payment between approximately a third to more than half. In some cases your payment can be lowered as much as two thirds.
There are links to several other financing options below and also helpful articles. Review funding program details below. We offer free consultation because we want your business to succeed.
Definition of a Real Estate merchant cash advance. What is a Real Estate Merchant cash advance?
A business loan with short term daily or weekly repayments using real estate as collateral. The real estate may be commercial or residential.
One of the closing requirements is residential or commercial real estate with enough equity in the property to cover the amount of the loan. As stated, the Business Owner can offer:
– Commercial real estate
– Residential Real Estate
– Raw land in some cases
If you do no have the real estate needed for a real estate merchant cash advance, then contact us below at SmallBusinessLoansDepot.com for several funding options such as bank statement loans that do not require real estate.
FAQ Frequently asked questions on how to get a real estate merchant cash advance
How can I get an mca cash advance using real estate?
The amount of the loan or mca merchant cash advance is usually higher if there is equity in the real estate. The cash flow of the business and amount of monthly deposits is important. The approval amount is increased because of the value of the real estate and equity it has.
We have several cash advances and are suffocating in the debt. We have equity but need help immediately. Can you help us immediately or will it take weeks?
You can get funding to payoff your advances fast with this program. It typically does not take weeks as with a traditional real estate. Funding can be as fast as several days or one to two weeks.
Why do I have to use real estate to get financing that is basically cash advances?
You do not have to use real estate to get cash advances and it is not required. If you qualify to get a regular unsecured mca merchant cash advance then you can do so. This is an additional option that may allow your business to get approved instead of being declined. It may also allow your business to get approved for a higher amount of financing using real estate instead of unsecured.
Can we get longer cash advance terms by using our real estate?
Longer terms are often 1 year and sometimes up to 2 years. This is longer than a regular merchant cash advance. An offer you may received with a term of 1 to 2 years with real estate would have probably been a 6 to 9 month offer without real estate.
Does the property have to be free and clear?
The real estate does not have to be free and clear. It only has to have enough equity in it collateral wise.
Can I payoff all of my cash advances and other debts and get cash also?
If the cash flow of the business qualifies along with any equity needed then you can get enough to payoff all business cash advances along with other debt and get the remainder in cash to use for any reason your business needs.
Below you can consider other financing options. Review funding program details below.
Did your business default on an mca merchant cash advances in the past? If your business wants to get a cash advance again, consider new program options here.
Some businesses that have defaulted on one or several mca cash advances in the past decide they want to get advances again because they now understand the amounts and daily payments they can handle and make. Programs are also available for businesses that have missed cash advance payments, or have had delinquent or lapsed payments.
How to get another MCA Merchant Cash Advance after a default
Step 1: Research companies online that offer merchant cash advances to businesses that have a previous default on an mca cash advance. Closely review restrictions for terms and conditions of approval.
Step 2: TIP – Repayment of a previously defaulted merchant cash advance as well as the amount of time since the default may affect your ability to be approved under different programs. Ask if there is a minimum time requirement since the cash advance default. Know the month and year your business first officially defaulted and the amount of the default. Default reporting drags on time wise in business and personal credit reports and makes it look like the default was much more recent than the original date the merchant cash advance company declared a default. Any payments you made on the default often do not appear on the business and personal credit reports a lender looks at and you will not get credit for any payments made. Provide documentation of the payments made.
Step 3: Select the programs that your business will most likely qualify for.
Step 4: Make contact with these lenders that fund with previous defaults. Try to verify how likely your business is to meeting the funding program conditions and requirements.
Step 5: Submit an application for funding. Provide all documentation you have that improves your chance for an approval. Provide documentation that proves the time since the default and if any payments were made.
Step 6: If approved, review terms and conditions. Rates and terms will not be as favorable for some time on your advances after defaulting.
FAQ Frequently asked Questions on getting an mca merchant cash advance after defaulting
Why will most cash advance companies not fund me after a merchant cash advance default?
If your default was within the last two years, almost all cash advance companies believe your chances of going past due again are too high. Lenders want to see an extended period of time after a default before giving your business funds again. That often is two years. A few programs will consider funding again after approximately six months. The amount of time may be shorter based on your businesses situation. Does your business generates over $50000 per month in revenue? Then it will be more likely to get another cash advance sooner after a default.
Can I get a merchant cash advance after a default?
Yes. In about 6 months after a default your business may be considered for another cash advance and other types of financing. Approval depends on how well your business has recovered and also how much revenue it now has per month.
How long after a default can I get another cash advance?
Your business can be considered for another cash advance and other funding types 6 months after a default. Keep good records and documentation on the exact time you were formally declared a default by the previous cash advance company.
How do I know if I defaulted on a cash advance in the past?
You should have received correspondence through the mail or email or by telephone that your delinquent cash advance was declared a default.
What if I did not repay any of the the defaulted cash advance?
It may be easier to get another cash advance if you repaid or settled the defaulted cash advance. This is because future lenders would rather know that your business made an effort to repay some of the advance or tried to reach a settlement to pay a lower amount to try to satisfy the debt.
Can I get more if I repaid the merchant cash advance that I defaulted on?
The dollar amount of a future advance after a default depends more on your current revenues and situation rather than if you repaid the merchant advance you defaulted on. Partially or fully repaying a cash advance after a default will play a bigger role on whether you will be approved or declined.
I defaulted on more than 1 cash advance. Can I still get another mca cash advance?
Yes. You may still be able to qualify for a new advance. Approval depends a lot on how many advances you had as well as how long it has been and the total amount you defaulted on.
Does it matter how much the amount of the defaults were?
The amounts of the defaults do matter and will be looked at along with other things such as how much revenue your business is making now.
I am still in collections on my old merchant cash advances. Can we still be approved for funding?
Yes, your business still has a chance to qualify for more funding. Provide the details of the collection activities and they will be reviewed.
I am still negotiating with attorneys on my previous defaults. Can I still qualify for a new advance?
Your business may still qualify for a new advance if you are still negotiation on your previous defaults. Collections and negotiations on old defaults and non payments can go on for months or years. Any repayment or settlement will be looked at along with how much time has gone by since the original default.
I paid a settlement on a merchant cash advance instead of defaulting the entire amount. Can I show a settlement letter and get another business loan or advance sooner?
You may be able to get another business loan or cash advance sooner if you paid a settlement instead of the full amount. Defaulting on the full amount of the mca cash advance is the worst way to go. Paying a settlement shows that your business made effort to pay money that was owed and that your business was still profitable enough to pay a settlement amount rather than a total default.
Definition of business location. What is proof of business address?
Proof of business location are documents provided that prove the physical address of a business. What can a business owner show as proof of business location or proof of business address? Learn which documents you can use to prove to prove the business address or business location, and how to get them.
Common problem: I can’t prove my business address or business location. Contact us or apply below today. We are experts and can easily show you how to prove business address and business location. You will learn what the easiest and fastest way is to show proof of business location for your business.
Examples of proof of business location and proof of business address.
A business owner applies for a small business loan and is approved.
Closing requirements almost always require the owner to provide documentation of proof of the address of the business, or location of the business. There are several options in showing proof of business address.
The business owner can submit any of the following because almost all are accepted.
Business rental lease agreement, or a copy of the business rental lease agreement.
Mortgage statement showing the business address. If the business purchased the real estate through a commercial real estate loan, then a current mortgage statement can be provided.
A current business license if the business address has stayed the same since
the business was established and the original business license was obtained. An option a sole proprietor can provide is a business license or a schedule C.
Articles of Incorporation or a partnership agreement that has the same address on it.
The most recent business tax return if the address is the same as the address of the business loan application and approval.
How to prove your business address and business location
Step 1: When making any request or application in the name of your business, review in advance what may be required to prove your business location or business address.
Step 2: Tip: Gather information you have on your business location and business address in advance. Have the items available or make a list to discuss.
Step 3: Do business with companies that will accept the proof of business address that you have, or can get.
Step 4: Make contact with funding programs and confirm your business address information will be enough.
Step 5: Submit a request or application.
Step 6: If you receive an offer, first review the terms including the items required to prove the location and address of your business. If ready to complete an offer, submit the required items. Get final questions answered before closing. Finalize the transaction.
If you do not have, or cannot provide the types of documentation for proof of business location or business address, contact us below. We can guide you, and give you tips on how you can get proof of your business location.
You don’t have any proof of business location and don’t know what to do and how to get it?
Sometimes business owners cannot prove the address of a business that is required to close a business loan.
How to prove business location. Are there other ways? What is the lender asking for? There are other options in addition to the ones listed above.
If you cannot prove your business address now, review your options and fixes below:
How you can fix the following problem: “I can’t prove my business address and business location.”
Get an updated business license. Your city or county can reprint or resend a copy of your business license that shows the updated business address. If the city or county shows a previous and outdated business address, then provide the current address before requesting a reprint of the business license.
Review the address at the secretary of state to see the current business address and business location listed. If the current business address is wrong, contact the secretary of state and update the articles of incorporation to update and list your current address.
Remember: Evidence of your business address and business location is often required for small business loans. The person applying in the name of the company has to be able to prove where the business is located. This prevents mail correspondences from going to the wrong address and also helps prevent owners from making changes without the knowledge of the other owners.
F.A.Q., Frequently asked Questions:
The following are frequent requests and statements:
Question: How can I prove my business address? I don’t have proof of my business location and cannot provide it. What can I do?
Answer: Find and provide either a copy of the business lease, rental agreement, business utility bill, mortgage statement, business license or articles of incorporation.
Question: I’m having trouble getting proof of my business location. The lender will not accept my website as proof of business location. What should I do now?
Answer: If you are close to an approval, ask the lender for all the options they will accept to provide the location of your business. The lender may accept more for proof of business address than what they are saying. If you are still having trouble, contact us. We can provide information on you will need to get what are want – “Proof of my business location” and “proof of my business address”. You can apply with us for a small business loan. We have the expertise to best solve this problem.
Examples of what generally will not work for proof of address:
Virtual office address
P.O. Box: post office box
Address to a vacant lot
Address to a physical location that does not have a building or structure on it
An out of state address. This happens when the business is located in one state but a business address to a different location or another location in another state is provided.
When the business address is in one state and the owners home address is in another state. This is referred to as an absentee owner or out of state owner.
There are exceptions to some out of state owner situations. If the business address is on the border of one state and the owner lives within a reasonable distance in a neighboring state. A business owner that lives less than 50 miles from their business is usually acceptable. Examples are a business that is listed in Kansas City, KS, and the owner lives in Missouri. Other examples are a business in Chicago, IL, and the owner’s home address is in northwest Indiana, less than 50 miles away.
Business loans with very low credit scores. Credit scores below 500 and as low as 383 are considered for a small business loan. This low fico credit score business loan program is a good match for below 500 and sub 500 credit bureau fico scores for small business loans.
Many programs do not offer small business loans with the owner’s credit score below 500, or have limited offers. Get up to $150,000 in business funding with credit bureau and fico scores below 400 and down to 383. Business funding is based mostly on the revenue of the business, not the credit score.
Contact us below or first read the “Howto” section steps, direction and tips to getting low fico credit score business loan and also other business financing and then apply below. so call us. We will be happy to discuss your situation first. Almost all callers will find out if they have a strong chance for approval after calling in.
How to get a very low fico credit score business loan
Step 1: Research companies that have low fico credit score business loans as main programs. Review minimum funding amounts, rates, features and benefits and processing time from application to completion.
Step 2: Tip: Prepare explanations or documentation for any unfavorable or incomplete information in your business profile. This can be slow business periods or limited information on your business.
Step 3: Choose the program that most fits your very low fico credit score and overall customer profile.
Step 4: Make contact with funding programs and confirm your business criteria meets minimum funding program requirements. Discuss amounts with the lender representative.
Step 5: Submit an application for funding. Provide documentation you have that improves your chance for an approval, higher offer amounts and better terms. This can include financial statements, additional bank statements or tax returns.
F.A.Q., frequently asked how to get a very low fico credit score business loan questions.
Question: Can I get a business loan with a credit score below 500?
Answer: Your business still has an excellent chance of qualifying. If your business has the cash flow and revenue to make the payment then you may qualify.
Question: I am a business owner and have a very bad credit score under 500. It could be as low as 450 or lower. Does my business still have a chance to get funding?
Your business still has a good chance to get funding. The reasons for the low credit score will be looked at to see what is happening right now on your credit bureau. The score is usually not the reason for any denial.
Question: My credit was hurt and severely damaged due to a divorce. Does that disqualify me from a business loan?
Answer: This program is focused on the ability of your business to pay and not on credit.
Question: How can I get a business loan with charge offs and tax liens on my credit?
Answer: Your business can still get funding with the owner having charge offs and tax liens. Programs that your business may still qualify for include funding based on the monthly business deposits as well as the assets of the business. Funding based on the assets can be based on the accounts receivables of the business or the real estate or equipment.
Question: How low can my credit score be and still get a business loan?
Answer: Your credit score can be as low as 383 and still have a chance to qualify. If your business has revenue and cash flow and assets then it still has a good chance to qualify. There are many ways for your business to qualify than just the credit score.
Question: I have a business and have bad credit but am only a 50% owner. Can the other owner with much better credit apply instead?
Answer: Yes. Apply using the other owner with better credit and a higher credit score. If more than 50% ownership is needed then you can be added as the second owner.
How to get same day business loans and next day business loans. The following are steps, direction and how to tips:
Search online for lenders that specialize in getting a business loan the same day you apply. Consider reviews if available.
Read program requirements to determine if you qualify to get a business loan the same day or the next day. Verify they are not payday loans or title loans.
After reviewing, make a list of the top two or three funding programs that best match your business.
Contact those funding programs. Verify features, benefits and requirements with a representative. Ask if there are cut off times or deadlines during the day for providing information, documentation, or other stipulations.
If your business meets the requirements, consider applying for the program that best aligns with your business.
On any offer made to your business, review the terms with a representative. Before closing, verify with the representative that you will be funded by the day and time of day your business needs to receive funding into your business account. Confirm that funds will be wired by a certain time and that your bank immediately credits incoming wires into your business account. Complete the transaction and receive funding.
F.A.Q.: Frequently asked same day and next day business loan questions:
How fast can I get funding for my business?
Application to funding for your business can be as fast as three or four hours
How do I know for sure I will get a business loan the same day or the next day?
Ask your representative for specific details. Ask about cut off times and deadlines for business being funded the same business day or next business day
I wont need the money if I do not get it by a certain day. What if I get the money for my business too late?
Ask if you can return the funds and cancel the contract if funds are not sent out by an agreed day and time. If the lender agrees to void the contract, try to get the agreement in writing. If you do not get it in writing, then you will have to decide whether to accept a verbal promise. Some programs are automatically set up by law to allow you to return funds or cancel the contract up to 72 hours after closing. it is called right of rescission. This can vary by lender and by state. If you rescind the contract you must return all of the funds by that deadline.
I did not receive my business funding through ach or wire yet. What can I do?
contact your bank. Find out what their rules and regulations are for incoming Ach and wires. How long does it take them to process and credit an ach or wire once it is received. ask if an incoming wire goes directly into your business account or if it first goes into a general wire account at your banK? Does your bank have to transfer funds from a general wire account into your business checking account? How long does that take?
What do I need to qualify for a business loan?
Strong and increasing business revenue as well as good personal and business credit are the most important factors needed to qualify for a business loan. Other factors to qualify for a business loan often include time in business as well as business assets available for collateral if needed and amount requested.
How much do you have to put down on a business loan?
Down payments range between $0 and 10% down on business loans. Mca merchant cash advances do not require money down. Business loans to obtain equipment usually require 1 or 2 payments down at closing. Some business loans may require 5% down depending on the purpose of the funds. Down payments cannot be debited from proceeds.
Does your business need money to pay taxes? Funding programs are available that cover federal IRS taxes, state taxes and local taxes. The money can also be used to pay quarterly tax payments , OIC offer in compromise settlements, and income tax settlements.
Identify business funding programs that offer money to pay IRS Taxes, including business back taxes, tax liens and OIC, offer in compromise, and tax settlements.
If your business has the cash flow, select programs are available to satisfy the need to pay your specific tax debt. Tax debt and liens of all amounts are usually considered by these specialty programs. Some may require additional collateral such as real estate, listed stock, or other collateral that covers the amount of the tax debt. Open tax liens over $10,000 are more difficult to get funding for without collateral.
After evaluating, choose the program that is most likely to provide the funding needed for your business to pay and satisfy the required tax debt.
Contact the lender. Check features, benefits and program requirements. Ask about restrictions, including what is needed for approval and closing.
When you determine your business meets the requirements, apply for funding.
For any offers made, review the full terms and determine if your business can make the payments. If so, provide the items needed by the funder to close the transaction.
FAQ Frequently asked questions on how to get money to pay irs business taxes and business back taxes.
Can I get a loan to pay my business taxes?
You can get a loan to pay your business taxes. Get an unsecured loan to pay your business taxes through several programs with terms between 2 to 12 months. With a good credit score you may be able to get up to 60 months and up to 120 months in some cases. Other programs to pay business taxes are based on the sales of your business. More loan options to pay your business taxes include asset based against commercial or residential real estate. Programs are fast funding and the business can usually get funds within days.
Can I pay my business taxes late?
You may be able to pay your business taxes late. File an extension on your business taxes and pay as much of your estimated taxes as you can pay. If you do not know what your estimated taxes are you can file an extension before april 15th and complete and then pay your taxes by October 15th. Interest and penalties may apply. In some cases you cannot pay your taxes late. If you have filed an extension already you must pay all taxes due by October 15th of the same year. Contact a cpa for confirmation of your situation.
Do I have to be in a payment plan to pay back business taxes?
If you cannot pay the amount of the back business taxes plus interest plus penalties then you will need to get a payment agreement with the IRS or state for state taxes.
Do I have to provide information on the IRS payment plan to the lender?
When you or your business has an IRS or state payment plan it is better to provide the payment plan documentation. Doing so may help you secure the funding you need. Provide information on an OIC offer in compromise if you have that.
What if I have an open tax lien?
Programs are available to allow your business to payoff or settle an open tax lien if approved. Approval depends on the amount of the open tax lien as well as the cash flow of the business and the owner’s credit score. Other factors include the average daily balance of the business as well as the time in business and assets of the business and owner. .
If the cash flow and revenues of your business show that you can handle the payment amount needed for funding to payoff the open tax lien, then your business has an excellent chance of being approved.
How long does it take to get funding?
Processing time from application to funding on approvals is usually 2-3 business days. Time to funding may depend on how many tax liens you have and if there are state and federal tax liens.
What if I have an IRS tax lien on my credit already? Can I get funding to pay the IRS if there is a lien listed on my credit bureau?
Having a lien on your credit is usually not the deciding factor. You still often have an excellent opportunity to get money for your business. The cash flow of the business and being able to show documentation on the lien is more important. The information from the IRS or state on the lien will provide all the details needed on the lien. There are programs that will payoff irs or state back taxes directly with a lien on your credit report. The lien can be on any bureau report including Equifax as well as TransUnion and Experian. The owner can use the funds to pay off and satisfy or settle the lien.
Is the tax lien paid off at closing or do I payoff the IRS or state tax lien myself?
This depends on the program. In most cases you are funded into your business checking account and payoff and satisfy the IRS or state tax lien yourself. A requirement for closing your business loan may be to provide documentation on the lien so funds funds can paid to the IRS or state directly. This applies to IRS tax liens as well as state tax liens and real estate taxes.
Do I need collateral for a business loan to pay back IRS taxes?
You do not have to have collateral to try to qualify for funding to pay IRS business taxes with many programs.
If I file an extension can I still get a loan to pay business taxes?
Yes you can still get a loan to pay business taxes even if you file an extension. The extension allows to to pay by October 15th of the same year. If you pay the amount owed by October 15th of the same year then it does not matter whether or not you get a loan to pay the business taxes owed. You are supposed to pay the estimated taxes owed by tax day which is usually April 15th. If you have not completed your taxes then you may not know what your estimated business taxes are. Pay what you can and then pay the rest by the extension filing deadline of October 15th.
If you do not qualify for programs that do not require collateral there are programs available that use commercial or residential real estate with equity. Other programs may use equipment owned outright such a construction equipment or tractor trailers
Definition of a used car dealer loan:
Business loan programs especially for used car dealers, small used car dealer loans, exotic car dealer loans and program information.
How to get used car dealer loan:
Find lenders that offer a used car dealer business loan
If your used car lot has more than $15,000 per month in revenues and bank deposits, then your business has an excellent chance to be approved for a used car dealer loan
Select the program and approval requirements that best matches your business profile
Ask the representative what their approval requirements are for that program. If your used car dealership meets those approval requirements, apply for funding
Complete application and provide any additional documentation requested to show business revenues, like bank statements or financial statements
Review approval terms and closing requirements. Submit the items requested. Complete closing and receive funding into your business checking account
Buy here pay here used car dealer loans, new car dealer loans , specialty car dealer loans, luxury car dealer loans, exotic car dealer loans and short time in business car dealer loans, and new used car dealer loans. Newer programs include small car dealer loans, auto sales loans, used car lot loans, and longer term used car dealer loans.
What are the rates for your used car dealer loans?
Rates depend on the time in business, the cash flow and credit. Rates start in the low teens on up
How long does our car lot have to be in business? We have only been open 5 months.
Your Dealership needs to have at least three months time in business and 3 months business checking account statements to pre-qualify.
My credit is bad. How much does credit matter?
Credit scores are a minor factor. Credit scores can be as low as 383.
We are a small used car dealer. How much can we qualify for?
The amount you can get depends mostly on the average daily deposits. Most offers are between 35% and 75% of average monthly deposits.
as an example we can calculate the following:
ABC Auto Sales has the following total monthly business checking account Deposits:
July business checking account Deposits = $30,000
June business checking account Deposits = $20,000
May business checking account Deposits = $25,000
Based on the mathematical formula first add each months deposits and get a total.
$30,000 + $20,000 + 25,000 = 75,000
So it follows that:
$75,000 % 3 = $2500.
If an offer is 50% of monthly deposits then:
$25000 X .50 = $12500.
Therefore a typical offer with these numbers would usually
be approximately $10000 – $15000.
Because this is the average offer the maximum and minimum expected offers can be calculated.
The maximum expected offer is calculated as $25000 X .65 = $12250.
The minimum expected offer is calculated as
$25000 X .35=$8750.
We sell our used car dealer notes. Does that matter?
Selling notes does not affect an offer amount because notes are future income. offers and approvals are calculated using the most recent cash flow.
If the car lot has been selling notes for some time then the recent cash flow already takes that into account.
Our dealership specializes in exotic cars. Can we still get financing?
Yes. specialty used car dealers fall into the same used car dealer business loan funding program and are not restricted.
Can we use this financing to buy more cars?
Yes. The working capital can be used to buy cars at auction or anywhere your dealership wants to buy cars from. You can also use the loan proceeds. For example, you can use the proceeds to buy cars from wholesalers and customers.
Do you have longer term used car dealer loan programs?
Yes. One used car dealer loan program offers terms up to 10 years. This program is only available in certain states. Ask if your state is in the program.
We want to buy a lot for our used car dealership. Can we use this financing for that?
Yes. This financing can be used to buy real estate as well as a building, including repairs and improvements.
How long does our car lot have to be in business? We have only been open 5 months
Your dealership needs to have at least three months time in business and 3 months business checking account statements to pre-qualify
We need a loan for our used car dealership fast. Can we get one in a day or two?
Yes, you can get a loan for your used car dealership within one or two business days. This is also for buy here pay here lots and new car dealerships.
We hope our “How to get a used car dealer business loan” tips and direction have been helpful. Contact us with questions. Fast turn around and quick funding.
Different programs on how to get a large business loan. How to search and contact lenders that offer a big business loan and review their approval criteria. Get larger business loans of $50,000 and up to $1,000,000 through various programs. Fast and easy large business loans. Little documentation and financials in many cases. Bigger business loans over $1,000,000 available with either real estate or unsecured with strong monthly cash flow
Search and contact lenders that offer a big business loan and review their approval criteria
If your business generates more than $50,000 per month in gross revenue, or your personal credit score is over 700, then your business has a good chance to be approved for a large business loan
Identify the program that best matches your business profile
Ask the representative what their approval guidelines are for that program
Complete an application for funding and provide any supporting documentation requested to show business revenues such as bank statements or tax returns
Once approved, verify closing terms and conditions. Provide required items. Complete transaction and receive funding.
FAQ Frequently asked questions for a large business loan.
How can we qualify for a larger business loan?
Businesses that have revenues over $50000 per month with credit scores over 600 and time in business over 1 year may qualify for a larger business loan. The higher the average bank balances or average daily balance the more your business can qualify for.
Do we need to provide more financial information to get higher amounts?
For amounts over $250000 more financial information may be required. This can include the most recent years business tax returns and interim financial statements.
How many months bank statements do you need?
Between 3 and 12 months of the most recent business checking account statements are needed.
We are a startup business. Can we get a higher amount for a business loan as a start up?
A start up can get large business funding amounts if they have had significant revenue in the first few months of operation. The business will need to have been operating and generating significant revenue for at least three 3 months.
Our business will keep needing higher amounts of business funding in the future. Can we use this like a business line of credit?
yes. When the business pays the balance down to 50% or more it may qualify for more funding immediately. Programs are available that allow businesses to draw funds after every 30 days of repayment.
Do larger business loans take longer to close?
Larger business loans often do not take any longer than smaller business loans to close. the repayment will be based on the cash flow of the business so most of the same information is reviewed.
Will Real estate and other assets be required?
Real Estate is not required but it may allow for an approval and a higher approval amount. Most businesses take the maximum they qualify for without involving real estate or their other assets.
We filed an extension and do not have the most recent business tax return available yet. Will this be a problem?
amounts less than $100000 do not require a tax return in most cases. Amounts over $100,000 may require the most recent tax return.
What are the main reasons businesses are declined for a larger business loan?
The main reasons are low business revenues as well as very low credit scores and a short time in business.
My business partner has very bad credit. Will that keep us from getting a larger business loan?
Business owners with bad credit that have less than 20% ownership should not cause a decline. over 50% ownership percentage may cause a lower approval amount or a decline of the request.
Can we get a big business loan with a month repayment?
Yes. monthly and weekly repayment business loans are also available for larger business loans and may be up to 36 months or longer.
For other financing options, please review other alternate financing programs that may better match your business needs, below:
Get excellent merchant cash advance renewal terms your business will qualify for.
Get terms as long as 12, 16, and 18 months and lower rates. In some cases, 24 months and low rate factors.
How to get the best merchant cash advance renewal terms, lower rates and longer terms. How to Direction:
Step 1 Talk with a representative at your current mca company. Give them your most recent three months business checking account statements and ask them to review your file in advance of their underwriting reviewing your request.
Step 2 Ask the representative to estimate the renewal amount, the number of months and rates. Ask for a better rate on a renewal.
How to Tip: If a renewal offer is made, ask for at least a 2% lower rate on each renewal. Some cash advance companies will not pre-review your file. If they won’t, let underwriting process your file.
Step 3 Tell your current cash advance company that you are shopping for a better offer and are comparing their offer to others.
Step 4 Apply with one or two competitors. If they beat your current mca cash advance companies rate and terms, take their approval offer and ask your current cash advance company to beat that offer. Review the funding stipulations to make sure you can provide everything needed to close.
Step 5 Decide on the best of the offer terms, complete the transaction and receive funding.
People also ask, F.A.Q.’s frequently asked questions and comments.
Why is my renewal not longer than before?
In most cases, the cash advance renewal term will be the same as the one you originally took out. You must ask for a longer term.
If you have had a good pay history or your credit score has gone up, then the funder may give you a longer term on a renewal, but only if you request it.
Do not expect the funder to offer you longer terms on their own. MCA Companies want to put you in the shortest term possible and the shortest term you will accept.
Many businesses believe that if they had an excellent repayment history on their first cash advance, then they should get a much longer term and much better rates on all renewals. Your business may qualify for a longer term on a renewal. Request that immediately when you request the renewal.
What if my company’s situation has gotten worse since I took out the advance? Should I even apply for a renewal of my cash advance?
Contact your representative before you apply for a renewal and ask them, “what would prevent my company from getting another cash advance renewal?”
Listen to what the Representative says. Ask him what are the most common reasons companies are declined for a renewal. If he does not mention decline reasons that your company has, then you have already gone through a partial pre-review.
What can I do myself to get a better offer for my mca cash advance renewal?
Review your most recent 3 months business checking account statements yourself.
If the numbers are better than they were when you received your first advance and your credit is the same or better, then you have a good chance to qualify to get a better renewal offer from your current mca cash advance company, or a competitor.
What is interest on interest on an mca cash advance?
Interest on interest on a cash advance is when you renew your cash advance before it is paid off but you still pay interest or finance charges on the amount you have not paid yet. Even though the old contract is ending the interest on that old contract is not forgiven and it is rolled into the new mca contract. Some funders will forgive the remaining amount owed but most will not.
Make a list of this specific information. Discuss it in advance of applying with all cash advance companies you want to talk to. You may be able to either pre-approve yourself or pre-decline yourself before applying. It is better to know you will likely be declined before applying, rather than applying and being declined.
If the cash advance company is not willing to seriously pre-review your file, you can choose to apply anyway. Your goal is to get as many cash advance companies to pre-assess your file as possible. Do not demand they do in order to apply. If you demand that the cash advance company pre-reviews your file, you may be eliminating yourself from the best option available.