Finding Business Funding in New Places
Americore has built its business services success on knowledge of a vast group of programs, from rebates and incentives to alternative business funding resources. If the search for “funding my business” seems to go on and on…maybe you should consider us as your avenue to growth funding. Whether you are looking for funds or simply trying to improve your business position, there are some steps that can take your business in the right direction.
Finding Business Funding for Growth
Make, or restructure your business plan.
Lenders may not require a formal business plan, but organizing your thoughts on where you want your business to be in 1 year, 5 years, or more can help you understand the best way to use funding for your business. It will also change the impact those funds can have on your business’ achievements. If your business is already operating, tally all your business expenses and do an expense analysis. This will detail the costs of operation and help you, as well as your lender to see the whole picture.
Gather the paperwork.
Yes, lender requirements vary, but some documents are regular requirements for the commercial underwriting process. Most lenders want to review your bank statements. Be prepared to supply several most recent consecutive months of statements, but if COVID-19 is part of why you need funds, include more to show the pattern of profit before and after the “COVID dip”. You will need to supply two years of tax returns, and if the most recent year is extended, you should have a profit and loss statement prepared and signed.
Write up a short, concise letter of explanation for any irregularities in business cash flow. You may be required to show both your personal bank statements and your business bank statements. Lenders are checking for actual income from the business, and will look for money that flows from one to the other account, as well as for deposit patterns. Lenders look for stability as well as for opportunity. By having these documents ready, you can save loan processing time if the documents are required.
Check your credit.
Knowing what your credit score is can help you know which lending opportunities may be available to you. For your personal credit, you can go to the FTC site to access your credit reports for free once a year and can check the accuracy of what is reported on each of the three credit bureaus: Transunion, Experian and Equifax. Once you know the information is accurate, you can pay to get a report with the score. Your business credit has a score too, available from each of the same three credit bureaus. According to the Small business Association, here is the normal information on a business credit report:
- Company information – number of employees, sales, ownership and subsidiaries
- Historical data of the business
- Business registration details
- Government activity summary
- Business operational data
- Industry classification and data
- Public filings ( liens judgments and UCC Filings)
- Past payment history and collections
- Number of reported accounts and details on those
A free business Credit Report PAYDEX score is available on Dun & Bradstreet, and at Experian with an Intelliscore Plus score system.
Once you, and your business are prepared, you need to know what options are available. At Americore, our business services expertise and experience will make navigating your eligible business funding options a smoother process. We can help you find the right funding fit for your business structure and position. Americore works with your team of advisors, or with you directly, to find the funds you need to improve your business position not just for today, but for years to come. Your future is important to us. We should have a conversation about your options. You’ll be glad we did. Phone (747) 224-8110.
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