Yes, it’s Possible: Getting a Commercial Loan During COVID

The global pandemic has had a far-reaching impact on commercial lending across virtually every industry. Companies in multiple verticals are attempting to navigate through the continually evolving financial terrain, doing less with more to protect bottom lines and profit margins. Many business owners, particularly those running small to mid-sized operations, assume that the current economy, coupled with the consumer marketplace climate, will make it challenging to secure a loan.

Yes, coronavirus disruption has forced lending institutions to tighten their qualification standards and more closely examine the details found on every application. However, it is still possible to qualify for a commercial loan during COVID-19. Here are a few things you can do to improve your chances of getting approved for commercial lending right now.

Know Your Options

Perhaps the most critical step in securing financing is understanding the options available to you. Despite more stringent lending requirements, there are still many current loan programs that can help business owners sustain their operations, drive cash flow, or even expand their reach during these uncertain times. Discussing your specific needs with a lender specializing in a wide range of loan products can help you quickly zero in on the best model for your business.

Assess the Qualification Process

Once you’ve determined the commercial loan best suited for your needs, it’s essential to recognize the qualification standards based on loan type and chosen lender. Knowing what’s expected in advance can ensure you don’t waste time, effort, and resources applying to loans beyond your current qualifications. Some qualification requirements typically include credit score, years of operation, and annual revenue. Lenders may also want to see current projections and consider your specific industry to gauge how quickly your business may bounce back from the downturn.

Complete Your Application

Even amid a global pandemic, the application process is critical in obtaining funding for your business. Beyond the application itself, your lender may have a specific document checklist outlining all of the required paperwork. Standard documentation may include bank statements, tax returns, debt schedule, profit and loss statement, balance sheet, legal documents, and intended loan use. A reputable lender will walk you through what’s needed to expedite your loan application approval and help you keep your business moving forward during COVID-19 condition. Are you considering a commercial loan to build or expand your business? Avid Commercial can help. Contact us today to learn more about our agile lending solutions.

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Yes, it’s Possible: Getting a Commercial Loan During COVID

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