Business Starting Grants

Small business financing?

I am ready with a business plan and want to approach a bank for possible financing, in general what amount of dollars can I look forward to the bank approving a first time small business owner?

Public Comments

1. You are in for a surprise... From what I have experienced, banks really lend if you have enough collateral. Most likely they will want you to put up your home equity to secure the loan if the equipment is not sufficient to cover 100% collateral. I wish you luck....
2. It is not going to be easy, especially if this is your first business, and more so if you have no experience whatsoever in that industry Banks will look for your: - Your background and experience in the business -- in my experience, this is KEY in the eyes of the bank because they want to make sure that you know what you are doing and that you can make the business work. If you don't have any experience with the business, have someone on board that knows the business to give banks assurance that someone will guide you - Your credit factors because it shows your dependability and how well you handle credit. They will do a credit check on you and poor credit history may be frowned upon, or even reason for the disapproval of your loan application - Your collateral. Banks, even SBA guaranteed loans, want the borrower to show collateral. They want to be guaranteed that somewhere somehow they can get payment from you - Condition or terms of loans. Banks would want to know three important things: "How much money are you requesting? What will it be used for? and For how long will it be needed?" Banks oftentimes prefer to approve loans for items that can be identified, has lasting value, and can be repossessed and sold if things fail. - Equity investment - banks will not give you 100% financing and they want to be sure that you are committed to the business and willing to put up your money