Applying for a small business loan and pursuing funding takes time and effort. Despite the online loan process greatly simplifying what goes into an application for capital, it is advised to be prepared in advance of the online application. After identifying the lender that offers the loan product you are interested in, be prepared for what will come next.
SnapCap only asks what is essential to qualify your funding request and to progress your file to the underwriting stage. In addition to initiating qualification as quickly as possible, the information you provide educates your dedicated loan officer prior to the initial conversation- we want to be informed as much as possible on our first conversation to make the most of your time.
Through the course of an online application, you will be expected to provide some of the following pieces of information:
- Annual Revenue- Projected annual revenue based on the established cash flow is an important factor in determining the maximum approval amount.
- Bank Statements and Cash Flow Details- Financial details surrounding current business performance and cash flow are critical to validating the annual revenue projection and loan amount. These cash flow details include specifics like the number of deposits made last month and the ending bank balance. You can securely upload PDF bank statements or connect directly to your bank during the application.
- Date of Incorporation- When the business was founded (whether or not you were the owner when at the start) is an indicator to the long-term stability of the business. Generally speaking, a business with a proven track record and longer time established is a lower risk borrower.
- Credit Score- This metric provides understanding of your past borrowing behavior. Do not worry if you have poor credit- SnapCap and other alternative lenders are accepting of applicants with lower credit scores.
- Entity Type- Does your business operate as a Limited Liability Company (LLC), Sole Proprietorship, S Corporation, C Corporation? Knowing the entity type gives the lender and idea on how the funding contracts need to be put together.
- Employer Identification Number (EIN)- The EIN is a nine-digit business tax identification number assigned by the IRS and is used to apply for credit.
- Social Security Number- The social security number helps verify identity and validate the credit score that was provided in the application. Do not worry- SnapCap only performs soft credit checks are when they are needed.
We understand that you may not have all the information at hand when you initially start your application because you might be on-the-go on your mobile device or do not have current access to your bank statements. That is okay- we will send you a confirmation email that will allow you to pick up your application where you left off, or you can work directly with your loan officer to complete the application. Try to be as accurate and thorough as possible so that we can provide the most value to you as possible right from the start.