• Welcome to Small Business Loans!

    Small Business Loans is a website devoted to merchants and small business owners who are looking for information regarding obtaining a small business loan. Try out our new small business loan calculator by just filling out your information to the right!  Merchants and small business owners alike, will find a wealth of information about business [...]

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Personal Loans vs Credit Cards: Which is right for me?

Looking to borrow money for a start-up or even for home improvements can be a stressful time. One of the first questions to ask yourself is whether you should be borrowing from a bank or obtaining a line of credit from another financial institution. Here, we take a look at the pros and cons of each route… If you’re after more than five thousand pounds, be it for a large purchase or to consolidate... [Read more of this post]

Looking for a small business loan?

Are you looking to obtain a small business loan for your business? You probably have been to your local banks already and they either declined you or are engaging you in a long drawn out underwriting process. If you are in the service industry then you can probably forget about it. If you haven’t been in business for at least 10 years as well then well you probably won’t qualify either.... [Read more of this post]

New Small Business Loan Bill Passes

The Senate passed the Small Business Lending Fund Act of 2010 which will free up bank’s capital by allowing them to amortize or write down losses over a 6 to 10 year period. The new legislation will create a $30 billion fund designed to boost lending to small businesses which suffered over the past few years in the financial crisis. This new program would provide the funds to local community... [Read more of this post]

  • 2010 Small Business Loan Act – Just An Act

    Small businesses have been suffering this last economic recession – there is no doubt in that. But it is simply not true to say that businesses have not been able to receive credit lines from banks. Bad businesses have not been able to because after the largest banks including Bank of America, Citigroup, and Wells Fargo collapsed and needed to be bailed out by the government, they decided to tighten up their lending practices by not investing in failing and extremely risky businesses.

    This new act is just that: an Act! It’s another way for President Barak Obama and the government to flush more money down the proverbial barrel. It’s simply more pork to appease the small business loan lobby. Good businesses have always been able to receive funding.

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  • “But I thought credit has no effect on receiving a small business loan.”

    Often, small business owners will say that they thought credit has no effect on receiving a small business loan.  While credit has minimal effect in receiving funding from a merchant cash advance company, it still does play some part; however, it is far less strict than traditional bank loan programs.  An underwriter checks to see if the merchant has any major debt that he owes, and if he does, is he on some sort of payment plan?  Many times these are issues that the underwriter and the merchant are able to get around – and in rarer cases, the lender will have to pass up on the merchant’s business.

    This type of small business loan is extremely risky on the lender’s behalf.  Lender’s are dealing with restaurants, retail businesses, and auto repair centers which have a high rate of defaulting to begin with.  Coupled with poor credit, it is surprising, that there are small businesses which lenders are still able to loan money to.

    Before asking your lender this question ask yourself this: If I were a lender, would I lend to my business?

    To read more about receiving a small business loan click here!

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