Get Your Business Funded: Creative Methods for Getting the Money You Need

Applying for an SBA Loan

There really is not a lot of difference between applying for an SBA loan and applying for a conventional business loan. You will need to provide extensive documentation as to your need and use of the monies and you will need to make a great impression. The main difference is that here, you will need to fill out SBA forms in addition to whatever else the lender typically requires.

The basic SBA forms that you should expect to encounter, among others, are the following:

• Form 4: Application for Business Loan
• Form 4A: Schedule of Collateral
• Form 413: Personal Financial Statement
• Form 912: Statement of Personal History
• Form 1846: Statement Regarding Lobbying

Again, although lender loan requirements vary, you should expect that your SBA loan package should include the following. (Note that some of these items are covered in the loan proposal package that was discussed in the last chapter. It is equally applicable here too.)

Executive Summary. As with your business plan, your SBA loan proposal should begin with an executive summary that highlights who you are, what your business is, the amount and purpose of the loan, and how you expect to repay it and when. Put your best foot forward!

Business Profile. Describe your business, its background, sales figures, number of employees, the competition, your vendors, and your competitive advantage.

Management Team. Do not underestimate how important this is. Lenders and investors will often look to the strength of your ...