WASHINGTON Loan officers at U.S. banks reported largely unchanged lending requirements and barely looser phrases for business loans in the last three months of 2016, the Federal Reserve reported on Monday in a quarterly survey.
Lenders hold extra of the playing cards with regards to small business loans, but you must nonetheless shop around earlier than you begin a prolonged application process. Consider attempting your personal bank first, particularly if in case you have a long, responsible relationship with that lender. Banks that know your backstory is perhaps extra sympathetic to your wants. Also contemplate credit unions that make small business loans — they may have more flexible standards and extra willingness to listen to you make your case.
Pros and cons: The government guaranty, which generally covers between seventy five and 90 p.c of the mortgage, eliminates much of the chance for the lender. In addition, the terms of … Read more