Commercial Lending Process
We are here to support you ~ whether you have worked with a lender previously or if this is your first experience, it is always helpful to know what to expect. So let us provide some insight designed to assist you in understanding practices and expectations that are common throughout the lending process.
Initial Meeting ~ During our first meeting, we will obtain the details of your business needs in an effort to assist you in meeting your goal. Our discussion may include details such as:
- Details of your business
- Cash conversion cycle
- Property and equipment values (Estimated)
- Current debt load
- Goals and purpose for the loan
Documentation & Financials ~Throughout the lending process, you will need to provide various documents and financials. The most common items requested include:
- Business tax returns ~all pages and all schedules (Previous 3 years )
- Profit & Loss Statements & Balance Sheets (Previous 3 years)
- Current year-to-date Profit & Loss Statements & Balance Sheet
- Most recent months deposit account statements ~all pages (Previous 3 months)
- Business Debt Schedule
- Copies of Articles of Incorporation including bylaws
- Personal tax returns for each owner ~all pages and all schedules (Previous 3 years)
- Current Personal Financial Statement on each owner
Application Process ~Now that you have collected the documents and financials needed, JTB Business Advisors, LLC will collate and compile all of your information and assemble a portfolio for submission to financial institutions for underwriting approval. Depending upon the complexity of the request, the approval process could be as short as 7 days or up to 4 months. Upon underwriting approval, you should receive a letter detailing the final loan amount, as well as terms, and conditions of the loan. After you sign the letter of acceptance, your loan will be scheduled for closing.
Choose a Lender ~When considering a lender, seek one that you trust and has a history of working with your specific kind of business.