Additional Business Loans Queries Part One

Can I get a government grant that I don’t have to repay instead of a business loan?

Inspite of the late night TV hype and recent Obama Administration grants being the theme of the “rags to riches” common man mentality, the chances of you obtaining business loans are thin at best! Do not fall prey to the scam artists selling “government grant kits” promising you easy money! Bear in mind that starting and expanding businesses aren’t given grants by the government. Grants from the federal government are only available to non-commercial organizations and/or non-profit and educational institutions or for research and development in areas such as education, medicine, scientific research and energy efficient technologies. In addition, these grants are not necessarily free money, and usually need the recipient to match funds or combine the grant with other types of financing such as a loan! Do not be easily swayed by outrageous claims for “free money” - come to Global Financial Services for expert assistance on obtaining a business loan for your company.

What is the timeline for getting a business loan request approved?

The amount of time varies based on the loan amount, the financial strength of the business verified by the lender through Dun and Bradstreet and other major business credit reporting agencies, length of time in business, credit scores and history of the principal(’s) and nature of the business. For a free analysis of these factors for your situation and for quick answers, please contact our office. Approvals can be arranged starting in as little as several days to about 1 week once all of the above is completed and verified and has met lender requisites. Don’t be mislead by some brokers who guarantee that funding can be done in 24 hours from your initial contact with them - these are merely “dignified telemarketers” who just take your application regardless of your individual qualifications and send it to a lender. Otherwise, your loan application would fall under the following negative results: numerous credit inquiries, lowered FICO scores, denial of credit request and the principal being “blackballed” from future financing. If it were really this fast, everybody would get loans!

Can direct lenders promise me a business loan?

NO! No broker can guarantee any business a loan since they are not the lender and it is illegal for them to do so. Moreover, no direct lender that we know of will guarantee a potential principal borrower or entity a loan without reviewing first the pertinent financial information. Do not ever count on any guarantee of funding from a lender until there’s a formal approval of the application even if some applications may be done on a “stated or projected” revenue loan without tax returns through a streamlined application.

Defining SBA (Small Business Association) Loan

The Small Business Association (SBA) works in connection with designated lenders known as SBA lenders to make it easier for a business entity to qualify for a loan or credit line. SBA guarantees about 40-50% of the amount of the loan in case the business or the borrower defaults. Remember, on the other hand, that not all businesses - due to restrictions and certain requirements - won’t qualify for an SBA loan. For complete details, consult the professionals at Global Financial Services for the straight facts on how the SBA works as well as on which loan product is best for you.

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