Top reasons business loans don’t close

Top reasons that prevent businesses from closing loans

Apply Here – Business Closing Specialists Or Call Tel: 919-771-4177

Cannot prove time in Business

Businesses often begin as a Sole Proprietorship or Partnership and Incorporate later.
When this happens, the Secretary of State will only show the time in business since the time of the Incorporation.  The time the Company was a Sole Proprietorship or Partnership will not be added.

For example, if a Company was Unincorporated for 3 Years and has been incorporated for 2 Years, it will only show on the Secretary of State as 2 Years Time in Business.   If the Company wants credit for the full 5 years, they should provide the business licenses since it began as a Sole Proprietorship.   Lenders will give the Company credit for the full 5 years.

Not being able to provide proof of the existence of the business

Some States do not require a business license to operate a business.   The owner will operate the business in their personal name and say they run a business.  They will not be able to get a business loan because they cannot prove the existence of the business the way Lenders require it.

Business Account balances are too low or overdrawn at the time of closing

After a business is approved for a business loan, their Business Checking account may be reviewed before closing.  This will include a review of the current balances, the Month to Date balances, NSF’s and Overdrafts within the last 30 to 60 days.

 
If these are too many NSF’s and overdrafts, the Lender may withdraw the approval.   Review your balances and activity to make sure this will not impact your approval.
Cannot pass bank verification

Many business loans require a verification of the business bank account.   This is often done through 3rd Party Vendors such as DecisionLogic, and Joinme.  Bank verification can also be done through phone verification.

The business cannot provide all of the documentation required in the closing stipulations.

Business loans have a list of closing requirements that have to be met. If the applicant can get most of them but not all of them, they may not be able to close the loan. If you fall short in getting the Documentation required to close a business loan, talk to the Lender about what is missing. You may be able to get the remaining items waived. Another option is to provide substitute information.  Many times alternatives to what was asked for may be accepted.

Frequently asked questions FAQ: The top reasons business loans don’t close

What are the main reasons businesses can’t close a loan?

Problems at closing and denials include not being able to satisfy closing requirements and
customer background checks. Other reasons include low revenues, bad credit, short time in business and type of business.

What can we do if there is a problem before closing?

Many obstacles to closing can still be overcome and the loan might still close. Possibilities include asking the lender for a lower amount. Ask them specifically what can you do to correct any closing problems and still fund the loan. Some things cannot be corrected but get them to offer solutions to you.

What business loans can we get after the banks have turned us down?

There are many alternative options your business can consider when traditional banks won’t
close the request. Contact us to review your specific situation.


Top Reasons Business Loans Don’t close

Avoid these problems and you stand an excellent chance of having your business loan close fast.

Top 12 customer complaints with Business loans

Customers have several common complaints about Business Loans.   We will take a look at the Top 12 customer complaints with business loans.  Customers often do not close an approved business loan because of one or more of these reasons.

Complete the secure DocuSignFast Application
Or just call us at Tel:  1-919-771-4177, or Question? Just complete contact info

Or call us at Tel:  1-919-771-4177.

Top Customer Complains with Business Loans

Top 12 customer complaints with business loans:

  1. The rates and cost is too high.   They want a better rate and terms.
    Customers often want and need a business loan with a lower rate and better terms.
    Another requirement is they need a business loan with lower total repayment and lower cost overall.
  2. The approval amount is not enough
    Customers often call in and say they need a higher approval amount and more money
    for my business loan.   They will go for a different loan if they cannot get what they want, or also get a second loan.
  3. The term of the loan is not good.
    Customers also say the term is too short and needs to be longer.  Another requirement is a business loan longer than 24 months.
  4. It is not a Monthly Payment.
    A very frequent request is to get a business loan with a Monthly payment.   Customers really want a Monthly payment if they can get it.
  5. It is a daily payment.
    Applicants will say right away if they do not want a business loan with a daily payment.   They have had this type of business loan in the past and they will not close business loans that have a daily payment.
  6. It is a Merchant Cash Advance.
    Customers oftentimes do not want a Merchant Cash Advance.   They will say they need a business loan that is not a Merchant Cash Advance. When this is the case, the customer will look for alternatives to a Merchant Cash Advance.
  7. The Prepayment option is not good.
    Another complaint is they want a business loan with no prepayment penalty.   They want to be sure they will get a good discount if they pay off early.
  8. The type of loan is not what they wanted
    Sometimes customers will tell you they don’t want the type of loan they have been approved for.   They do not want an expensive business loan or want a different type of business loan.  They are not sure what type they want, but they have decided they don’t want the one being offered.   Have a conversation about other business loan types so Customers will get the loan that works for them.
  9. They don’t want to put up Collateral
    Many do not need or want a business loan with Collateral.   They do not want to put up Collateral, or they do not have Collateral.
  10. Do not want to give a Personal Guarantee.
    Customers may not want to close a business loan with a Personal Guarantee.  They believe they can get a business loan with no Personal Guarantee.    There are very few business loans that do not require one.
  11. The loan will, or will not be reported on Personal Credit
    A business loan that reports on Personal Credit is sometimes requested.   Applicants insist on a business loan that reports on their personal credit.In other cases, customers want the opposite.   They want a business loan that does not report on Personal Credit and want to make absolutely sure there will be no reporting on their Credit Bureau.
  12. The request took too long.
    Some business loans that are eventually approved do not close because the processing time was too long.   Customers will tell us they need a Fast business loan that does not take long to get.These are the Top 12 Customer complaints with business loans.Contact us for programs to avoid these common business loan problems.

Canadian small business Loans

Complete the secure Docusign
30 Second App for Canadian business loan now.
Or call us at Tel:  1-919-771-4177, or Question?

What type of alternative business loans can I get in Canada?

Canadian Business bank statement loans

Canadian companies can find alternative working capital loans available in the United States.

Another option is a business bank statement loan.

The company’s business cash flow is how they can qualify.  Because of this, the business needs to have the following:

  • $10,000 per Month in deposits each of the last 3 months.
  • 5 or more deposits per month.
  • An average daily balance of $1,500 or more.

How do I qualify for a business loan in Canada?

Review the alternative business loans for businesses in Canada on this page.   Decide which option you may qualify for.   Complete the Online application above or call and talk to a representative and discuss which loan option might be best for your business.

Canadian Accounts Receivables financing

After a Company’s products have been delivered or services rendered to another company, they send an invoice for payment.  Canadian Accounts Receivables financing funds about 75% of the face value of the invoice is paid immediately to the company issuing the Invoice.   When the paying company pays the invoice, the last 25% is paid minus a service fee. As a result, the company’s cash flow is accelerated by 100% during the year

FAQ Frequently asked Canadian business loan questions and requests

Can I get a business loan in Quebec?

We have excellent options for businesses in Quebec. Terms between 3 and 9 months with competitive rates and fast funding.

Amounts range from $10,000 as high as $500,000 for Canadian companies. Establish a relationship now for easy future funding. Underwriting offers fast renewal funding options. Apply above.

Canadian small business loans. Get easy and fast alternative business loans for businesses in Canada. Online 1 Page short 30 second Application.

Bank Statement Business Loans – high approval rates

What are bank statement business loans?    They are loans that rely on the bank statements of your business as your ticket to get approved for financing.

Why can they be good for your business?

Your can get around problems that cause declines for most requests.    Does your business have revenues?   Then your business has an excellent chance right now to get fast funding.

Get an offer today for the capital your business needs using just the last 3 months business bank statements.    Start below with same day approvals.

Complete the secure DocuSign 30 Second application now. Or call us at Tel:  1-919-771-4177, or Question?

Features and benefits:

  1. High approval rates and high approval amounts
  2. almost all businesses can prequalify based on their cash flow.
  3. Same day approvals common
  4. Large business loans also available
  5. Review options on how to get a large business loan over $100,000, 250,000 and as high as $1,000,000
  6. Daily, weekly and monthly repayment options available for many businesses
  7. No prepayment penalty for some programs
  8. Does your business have tax liens?   We have a program that specializes in business loans with tax liens.
  9. Soft credit pull for some programs
  10. No collateral needed

Other bank statement business bank statement loan advantages:

Get up to 125% of a customer’s total monthly deposits. If your business has average monthly deposits of $100,000, then expect your approval to be up to $125,000 if there are existing loans.

How to qualify

– Provide a signed and dated application online.
– Send the last 3 months complete bank statements from the main business account along with the application.

FAQ Frequently asked questions:

Question: What is the most we can get?
Answer:The approval amount depends mostly on monthly deposits per month, the average daily balance,  credit and time in business.    With high deposit volume your business certainly may get a high offer.
Question: We are in Canada.   Can we get funding?
Answer: Yes.   This loan based on business bank statements  is also available in Canada as well as Puerto Rico.
Question: How long does funding take?
Answer: Approvals are usually the same day and as fast as 2 to 4 hours.  Funds can be in your business checking account that same day or next day.
Question: What are the repayment terms?
Answer: The repayment terms are between 1 Month and 24 months.   Most offers are 6 to 12 months.  Sometimes approvals for 12 to 24 months are available.
Question: Can my business have overdrafts and nsf’s?
Answer: Yes, the most is 7 overdrafts or 7 NSF’s per month. If your business has more than 7 overdrafts then it can still be reviewed for approval. Over 5 overdrafts or NSFs per month are considered high.

In conclusion:

For all the reasons above, your business has an excellent chance of getting funding based on the monthly revenue it deposits.    This funding is an excellent way to do that without being denied for bad credit, time in business and not having financials.

For further expert general small business assistance, visit SCORE, Counselors to America’s Small Business.

Large Business Loans $50,000 + fast and easy

Large business loans: Tips, Steps, Funding

$50,000 to $10,000,000
Minimal Documentation
Same Day Approvals
Next Day Closings
500+ Credit Scores

Higher approval amounts can be asset based for top offers. Apply below: Now same day approvals:

Secure DocuSign 30 Second Application here.

How to get a large business loan: How to steps, direction, and tips:

How to get a large business loan fast and easy
Estimated Cost: $0
Total Time: 1 Day
Supplies Needed:  Financial statements if available, Business bank statements, and Tax returns for requests over $100,000.
Time available.

Tools needed: Internet connection, phone, computer

Step 1:  Preparation.

Research companies that offer big business loans. Search for programs that best match your business for the amount requested, your annual sales, credit, time in business and use of funds by your business.

Search for companies that offer specific programs that you are looking for.

Step 2: Ready your Financials.

Tip: Start the process a few weeks before needing business funding.  Larger funding amounts over $100,000 often require more time for an approval. If your business generates more than $50,000 per month in gross revenue and your personal credit score is over 700, then your business has a better chance to be approved.
Review your business bank statements and financial information before providing. If there are any problems then write an explanation for those problems before applying. This can include slower business periods during the year, low net income on financial statements or any other reason.
Start weeks before you need the loan if possible. You may need that time to get documentation together.

Step 3:  Settle on top companies.

Contact qualifying companies and ask about their qualifying criteria
Try to find out if your business has a good chance to be approved.   Some lenders may be able to prequalify your business over the phone
Call and talk with a representative of the most qualifying programs. Tell them your company’s main characteristics such as amount requested, time in business, credit and ask if you will qualify.

Step 4: Submit an application.

Go with the most likely program you have determined can get your business a big business loan based on your review and any conversations you had with the lender.   Complete an application for funding and provide the supporting documentation requested to show business revenues such as bank statements or tax returns.
Is the program the best fit? Then apply!

Step 5:  Review approval offers.

Once approved, review all details of closing terms and conditions. Make sure you can provide required items. Complete transaction and receive funding.
Was your business declined? Contact the lender and try to find out why you were declined.  Can you do anything to get the decision reversed?  If not, then go back to other lenders you looked at during your initial search. Ask the other lenders if the reason you were declined will be an issue for them.  If not, then consider applying with them
Review approval terms. If you are satisfied, provide closing stipulations and get funding into your business checking account.

FAQ Frequently asked questions on large business loans.

How can we qualify for a larger business loan?

Businesses that have revenues over $25000 per month and time in business over 3 months may qualify for higher amounts. Higher deposit amounts and average balances per month qualify for bigger loans. For some programs higher credit scores or strong financial statements can increase approval amounts.

Do higher amounts take longer to close?

Many of the programs get money to businesses in the same one or two days as smaller loans. Certain longer term programs and amounts over $500,000 can take longer to approve.

Can newer businesses qualify?

A start up can get large business funding amounts if they have had strong sales in the first few months. The business will need to have been operating and generating revenue for at least three months.

Can we get funding from the same program again later?

Yes. When the business pays the balance down to 50% it can qualify for more funding right away. One program is available now in which businesses can get funds after 30 days of timely payments.

Will Real estate and other assets be required?

Real Estate is not required. Customers that offer real estate or other assets can get higher approval amounts. Most businesses close the maximum they qualify for without using real estate or any other assets.

Can we get a monthly repayment and a longer term?

Monthly and weekly repayment business loans are available with longer terms of up to 60 months.


Many businesses need funding for over $500,000 or as high as $1,000,000 and higher.

Paying off a large Merchant Balance with a loan

You can take a merchant cash advance with a high or large balance and pay it off.     Doing this can extend the term several months longer.  A large merchant cash advance of over $100,000 or over $200,000 with less than 6 months left can be paid off and the term can be extended to 10 or 12 months.  Terms up to 120 months may be available with same day and next day loans.   Payoff your advance today!

Business owners say they have been declined because the amount they asked for was too high.  They requested a business loan over $250,000 or more and were denied.  Our programs are designed for higher dollar business loan needs.

Callers call in and ask:

Business revolving line of credit:   Callers request.”We need fast same day funding

Use the following chart below to determine what you will need when applying.
$50,000 to $100,000 Business Loan:  Provide an application and last 3 months bank statements.
$100,000, $150,000 and $200,000 business loan.   Provide an application and last 3 months business checking account statements.
$250,000 to $300,000 business loan.  Submit an application, last 3 months business checking account statements and Year to date interim Profit and Loss (P & L) Statement.
$350,000, $400,000, $450,000 and $500,000 Business loan.   Submit an Application, last 4 Months business checking account statements, Year to date Profit and Loss and Balance Sheet.

$500,000, $600,000, $750,000, $1,000,000 and $1,500,000 business loan

$500,000, $750,000, and $1,000,000  business loan:  Submit an application, last 6 months complete business checking account statements.  Provide the last 2 Years business Tax Returns.
$1,000,000, $2,000,000, $3,000,000, $4,000,000 and $5,000,000 business loans.   Submit an application, last 12 months business checking account statements and last 3 years business Tax returns.

Businesses that have been denied by a lender because the amount of the request was too high will still try to get  small business loans another way.   Ask lenders upfront if they have a maximum loan amount and if they have different criteria for different dollar amounts.  If so, what are they?

Because the lender has different lending criteria for higher business loan requests, they may not provide you with the information.   Ask these questions to help get approved and also avoid unnecessary declines.