18 Business Loan Requirements
2 – Commercial Lease
A commercial lease lays out the terms of your occupancy when it comes to brick and mortar office or warehouse space. Upon applying for a loan, the lender is going to want to have verification of this. This way, if something does happen to the landlord, for instance, it proves that you still have the right to remain in the space and thus conduct your business accordingly.
A copy of your lease will also indicate the rent you are paying, the duration of the agreement between tenant and landlord as well as providing any other pertinent details which may be relevant to your business. Financial lenders are merely trying to gather as much information as possible before qualifying you for business funding. We can’t stress enough that one of the main things you need to do when looking into getting a short-term business loan, equipment loan or merchant cash advance is to gather together all necessary documentation first, ensuring that the process will go smoother than if you have to scramble to come up with requested pieces on the fly.
Also, it is critical that you stay current with your commercial lease. Late payments and any such delinquencies are red flags for a lender, as this is an indication that your repayment ability may be impaired. If you have any disagreements with your landlord, try and iron those out—you want to be in good standing with as many business related associates as possible.
At First Union, we are here to help you get the money you need when you need it. We will walk you through the process start to finish, and a dedicated advisor is here to answer any questions you might have. Call today and let’s get started!
You’re reading Part 2 in our 18 part series – 18 Business Loan Requirements
18 Business Loan Requirements 15 - Business Credit Score Different from a personal credit score, your business credit score is focused on precisely what—your business. This means it takes into account your timelines as far as payments to creditors and suppliers....
18 Business Loan Requirements 14 - Loan Amount So you have decided that you need a business loan, now you need to figure out the total amount you want to try and procure. With typical banks, generally, they like to deal with larger amounts. They have more...
18 Business Loan Requirements 13 - Loan Purpose Why are you trying to get a business loan? This is a pretty basic question and one the lender is probably going to want to be documented- particularly if you are going the more traditional lending route. Some companies...