There is a new cash flow loan financing program to help businesses get financing. Companies provide statements such as their bank statements to show their gross sales.
This program give many companies flexibility they would not normally have. Many companies do not have financial statements that have a strong net income. Most companies pay their accountant to take as many deductions as possible so they show the lowest possible net income. Even more companies have business owners with damaged personal credit and limited or no business credit.
This program which focuses only on the cash flow as the main requirement for approval, eliminates these decline reasons. Businesses can get approved with bad personal credit, bad business credit and weak financial statements. Businesses with several owners will need to have at least 50% ownership apply.
Approval terms are for between 2 to 18 months. If a business has strong financial statements they can be used to strengthen the request and get a higher approval amount.
This new product lets a business use their sales to get a business line of credit. The approval process requires little documentation and is fast. The process normally takes between 4 to 7 business days.
Applicants can call in to discuss the features of this new financing to determine if it is a good fit for them. A development officer will review the business profile and make a recommendation to the customer. The customer can first discuss the plan with their Accountant so they can take all tax consequences into account.