Business Bank Statement Loans
Does your business know how to find a product to solve it’s cash flow issues? This is where a business bank statement loans program comes into help. Go to the features and benefits of our business bank statement loans program to quickly understand and learn about how easy it is to fix your temporary cash flow issues today and in the future.
With business bank statement loans, your business can obtain fast working capital based on the cash flow of the business. Your business can then use the capital for any purpose, such as expansion, advertising, inventory, adding employees, any reason. The flexibility can work well in a businesses favor as they can use the capital for several reasons.
Businesses have long desired to be able to obtain financing without having the collateral, a high credit score and financial statements that reflect steady or increasing gross and net income that traditional sources demand. Now this financing is available. With business bank statement loans, businesses can obtain $5,000 to $250,000 within 5 to 7 business days by providing only their most recent 6 months business bank account statements. In addition, businesses need only be in business for 9 months and credit scores as low as 500 and lower are approved.
Features of the business bank statement loans include:
– Flexible approval requirements, with scores of 500 and below accepted.
– Only 9 months in business minimum requirement
– Total time to funding as little as 3 business days
– Qualify using only the most recent 3 months business checking account statements.
– Just a 1 page application
– Difficult deals done routinely.
– Customers do not have to have collateral. The approval is based on the business cash flow.
Simply complete the “Application” or “Contact Us” form in the menu bar. You can also contact us at Toll Free: 877.679.4455 or Tel: 310.997.2541
Customers consider and use this product like a traditional business line of credit.
This product can be used almost like a traditional business line of credit. Funds are wired into the customer’s account. The customer repays the line within 6 to 9 months and can reuse the line repeatedly. Similar to a line of credit, once the balance that was drawn is 60% paid down, another draw down can be taken even before the line is fully paid down.
If a business requests $100,000 with a repayment term of 48 months, even if they receive a lower approval amount with this line of credit style product, they will be able to get more total funding for the same term than with the 48 month product. The credit style product is typically for 6 to 12 months and can be renewed at the end of the term. If the customer is approved for $50,000 for this product and renews every 6 months, they will have received $400,000 over a 48 month period. If the term is 12 months, they will receive $200,000 over the 48 month term, more than twice what they receive with the traditional loan product.
This business loan product is the easiest and most flexible business financing product on the market today. Businesses should take advantage of the one thing almost all businesses have, their sales. By using just their sales, your business can leverage sales into working capital.
Most frequently asked Questions:
Question: Since the repayment is daily, how will I know if I can handle it?
Answer: Since the approval amounts are based on the cash flow, several factors
are considered as part of the approval, including the average daily balance and the consistency of the cash flow. Based on these factors and an analysis of your cash flow, only an amount your business can handle is approved.
Question: We have three partners in the business and we are each 33.33% owners. Do all three of us need to apply and sign the closing paperwork, or can it be just one of us? Can we get approved just in the business name with none of the owners signing?
Answer: For this loan, at least 51% of the ownership has to apply. In your case, 2 of the 3 owners would need to apply. This product is not approved just in the name of the Corporation. The owners are on the application and then sign on the closing paperwork.
– Question: Can we qualify? Answer: If your business has sales, it can qualify. The higher the sales, the more your business can qualify for. In general, the business should have at least $10,000 to $15,000 in deposits per month and making at least 5 deposits per month. The higher the average daily balance is, the higher an approval will be for. A business that deposits $100,000 per month into the account and keeps an average daily balance of $50,000 will qualify for significantly more than a business that deposits $100,000 per month but only has an average daily balance of $5,000.
Question: We have had some slow business credit reporting recently due some of our clients that have paid us late. How closely is the business credit looked at?
Answer: The business credit is looked at, but it is only a small part of what is looked at
that is considered. The business credit score can be somewhat low and it will not affect
the decision or approval significantly in most cases. The business credit has to be significantly deteriorated in order for it to have a significant effect on the decision, or even turn what would be an approval into a decline.
– Question: How fast can we obtain the funding? Answer: In most cases, funding can be obtained within 7 business days, in many cases, as fast as 3 business days.
– Question: Can we use the line again after it is paid down? Answer: Yes, your business can use the business bank statement loan over and over, just like a line of credit. In fact, once the line is paid down 60%, your business can draw the remaining credit line, and use it again for its working capital needs.
– Question: How likely can we qualify for larger line sizes later? Answer: Very likely. In most cases, line size limits are increase significantly just based on repayment. If your business has increased cash flow during the term of the repayment, line size increases can be dramatic, as much as 100% or more.
– Question: What is the term of the financing? Answer: Terms vary, and in most cases are 2, 3, 6, 9, 12, and 18 months.
– Question: Is there an advantage to early payoff? Answer: Since this is short term financing to begin with, the vast majority of customers do not have the interest to pay off early since the repayment is 6 months or less in many cases. If early payoff does occur, early payoff advantages are limited since the repayment term is limited to begin with.
– Question: Is there any way to get a larger line size? Answer: Yes, if your financial statements are strong, please provide your most recent year’s Profit and loss statement or the prior years business return. Strong financial statements are statements which have good Gross Sales and net income of $50,000 per year or higher. In addition, if the average balance or average total deposits of your most recent 6 or 12 months business checking account statements is higher than the average balance or average total deposits for just the most recent 3 months, then provide 6 or 12 months. The approval obtained may be higher by doing so.
Question: I have not done this type of financing in the past, and I am concerned about the short repayment term. I am worried that I may be able to handle the daily repayment for a while, but that it would catch up to me and I would have problems repaying. Will you work with customers if this issue comes up?
Answer: Yes. One advantage of this business bank statement loans program is that you do not need to take the full amount approved. Your business can begin with a lower amount that it feels very comfortable with. Once you repay that, you can go up to a higher amount.