The closing process can take another business week if all the documents have been assembled, and if the legal department has a normal workload. Once a loan is approved and all parties agree to the terms and conditions, the documents are passed on to a loan closing department or third party lawyers. (I am not referring to payday lenders that will close in 24 or 48 hours but will charge high interest rates.) If you are working with an on-line lender you may be able to close a loan in less than two weeks. All these underwriting requirements add to the processing time. There are many SBA programs available to both start ups and existing businesses.Īny loan involving real estate will require an inspection, an appraisal, perhaps an environmental report. The preferred status expedites the SBA approval process.

You should make certain the lender has “Preferred” SBA status. If the loan requires an SBA guarantee, there are additional underwriting criteria and therefore the approval process can be longer. In most cases the loan approval process should not take more than 30 days. The length of time for the loan approval may vary slightly with the type of loan that is being sought and the collateral that will support the loan request. Start-up lenders with the best lending rates rely heavily on personal credit scores.Īll applicants will have to prepare a personal financial statement. You can make some inquiries to be certain your business meets the loan criteria of the lender, but don’t start the application process until you are ready to provide the required documents and have the time to go through all the following up documents that will be requested.įor a start up enterprise you will have to prepare cash flow projections that will reflect anticipated profit and loss for the first three years of operation. For an existing business you should have all the historical financial information available before you start the loan process.

Payday 2 trainer 103.1