Do I have to pick on service or can I apply for multiple solutions?

No. One application for your business starts the process for all offers that you want to receive and that you can qualify for.

Will you pull my credit?

Any owner with a 20% or greater ownership stake needs to pull their own Credit Report (the FULL report, not just the summary). We highly recommend using Credit Max Pros. If you pull your own 15-100 page PDF report, it doesn’t count as a “pull” against your credit. If we do it, it will, so please do this yourself. Plus, there’s no hard pulls until you go to closing with most lenders. All owners with a 20% stake or greater should IDEALLY have a 680 FICO credit score with all three bureaus but that is not required. We have other low-cost, facilities where the file may still fit.

Do I need to personally Guarantee the solutions that you offer?

Sometimes a business applicant is strong enough, as a business-only, to borrow funds without the owner’s own PG (personal guarantee). Other times, it will make the bank feel more secure to have ownership’s PGs. Each scenario is different. In either instance, if you plan on repaying your debt, it really shouldn’t matter.



Why can the approval process (underwriting) take several business days?

Everything at a bank takes time. Many times we’ll get a Y/N decision in just 3 – 4 business days. Other times a bit longer. Good news is that we usually have declined files come back sooner. So, in theory, the longer we hear nothing, the better the chance an offer will be extended.

If I do get approved, what is the maturity or term that will be offered?

A Bank Term Loan will go for a specific period of time, or term, like 2, 3, 4, 5, 7, or even 10 years. On the other hand, a Line of Credit (LOC) may not have a set maturity or term. This is called “revolving credit” where the credit line can be used, paid back, and re-used without a maturity term. Offers and terms will be based solely on the qualifications of each individual file. Each offer will be explained to you in detail, so you can make the best decision you can for your business and your unique situation.

What’s the difference between a BTL (Bank Term Loan) & an LOC (Line of Credit)?

As the name implies, a BTL is when the bank loans your business a lump sum of money for a specified period of time, called the term. As an example, a $100,000 5-year BTL means the bank will offer you a $100,000 lump sum to be paid back monthly for the 5-year (60 month) term. A $100,000 LOC, by contrast, is when the bank earmarks $100,000 for your business to use when and where you need it. You may borrow up to the $100,000 maximum LOC amount for as long or as short a time period as you need to within the structure of the LOC business. You will pay interest only on funds drawn down, or outstanding, and only for the number of days the money is drawn down by you and your business. As an example, say you drew down $50,000 of the $100,000 available to you, and only used the money for 30 days. In that example, you’d only owe interest for the 30 days outstanding, and only for the $50,000 of principal that you borrowed. With both the BTL & the LOC, clients will make small monthly repayments – with lower credit it can be daily or weekly.

Do I need to pledge collateral?

No, all credit facilities being applied for here are for unsecured financing. To be clear, this typically means that a borrower is not required to pledge collateral to secure the transaction. Knowing this information is helpful, however many banks will still place a UCC lien on the general assets of the business. This does 2 things: 1) establishes the Bank as a lien holder for legal purposes, and 2) alerts other future lenders that the client has an outstanding debt, which can serve to help the applicant avoid getting over-leveraged in the future.