My husband and I own and operate a small business with aout 300,000.00 in sales each year. we have grown VERY quickly. We now need a small business line of credit or loan to obtain more equipment.
We applied through bank of america. Our credit scores are not bad. They ranging from 640-715. They denied us for stupid reasons. (not having enough personal credit history…my husband is 30 hes had credit forever!) Now, we are frustrated!
has anyone else had a problem or found a company that is easy to work with good credit?
Its ridiculous that everything in life revolves around a computer generated FICO score.
Any advice?
This is really easy. Go to another bank. If you want you can go to the Small Business Administration.
As long as you show a profit, banks love to give you money.
Another option is to lease the equipment from the vendor without the use of a bank.
Good Lucj
You could try the mortgage company that you have your house through. Then keep trying banks. You will need a current cash flow report, balance sheet, profit and loss reports etc. A business plan that can be given to the loan company would certainly help. Especially if it is from start up to present and show what you have done so far. Most companies want to know they will get paid back.. Sometimes you might have to guarantee your loan with your home as collateral. Another area you might consider would be your local SCORE office or SBA office. Good Luck.
Hello,
What you should do is establish your business credit with d&b. it is very very easy to develop your business credit score I mean in less than 2 months and with that banks will be begging you to take out lines of credit, particulalry if what you say it true that you and your husband gross 300,000 per annum.
This is a very common situation for many young small businesses. Stay calm.
I suggest that you contact this company. Siegal Financial of Bala Cynwyd Pa. http://www.siegalcapital.com
This company specializes in brokering SBA gaurenteed loans for small business. They are experts in this area.