Question 1

How long does the funding process take?

Accepted Answer

It depends on the product and how quickly documents are provided. Many term loans and lines of credit move in days; SBA loans typically take several weeks due to SBA review.

Question 2

Do you work with startups?

Accepted Answer

We primarily work with established businesses that have financial history. If you're a startup, reach out — we'll let you know honestly whether bank financing is a fit right now.

Question 3

What's the minimum credit score required?

Accepted Answer

Most institutional lenders prefer a personal credit score of 680 or higher. However, some programs will consider lower scores depending on the business's cash flow, collateral, and overall financial strength.

Question 4

What's the difference between business credit and personal credit?

Accepted Answer

Personal credit is tied to your Social Security number and reflects your individual borrowing and repayment history. Business credit is tied to your company's EIN or DUNS number and tracks the business's payment history with vendors, lenders, and creditors. For most small business loans, lenders review both — and the owner's personal credit is often weighted heavily, especially for newer businesses.

Question 5

What's the difference between a secured and unsecured line of credit?

Accepted Answer

A secured line of credit is backed by collateral such as accounts receivable, inventory, or equipment, which can improve the rate and limit. An unsecured line of credit doesn't require specific collateral and is usually supported by a general UCC filing and the business's financial strength.

Question 6

What is a UCC filing?

Accepted Answer

A UCC (Uniform Commercial Code) filing, often called a UCC-1, is a public notice that a lender has a security interest in certain business assets. It's commonly used for secured lines of credit, term loans, and equipment financing. The filing does not mean you've done anything wrong — it's a standard step that helps protect the lender's collateral. When the loan is paid off, the lender typically terminates the filing.

Question 7

How is an SBA loan different from a conventional loan?

Accepted Answer

SBA loans are partially guaranteed by the U.S. Small Business Administration, which allows banks to offer longer terms, lower down payments, and competitive rates to businesses that might not qualify for conventional financing. Conventional loans are funded directly by the bank without that government guarantee, often requiring stronger cash flow or collateral.

Frequently Asked Questions

Still have questions?