Tip No.1:

During the loan process many applicants forget the essential elements required to obtain financing. Do not attempt to obtain business loans or line of credit until you have the following in place:

1) An excellent Dun and Bradstreet report on your business without any delinquencies

2) Two years personal and business tax returns.

3) A current balance sheet

4) At least a 700 FICO score on the Principal without recent delinquencies, judgments, tax liens or other negative information. At Global Financial Services our priority is to make certain that you are completely prepared in the loan process before we start the application process – proper planning for a loan is equally if not more important than merely preparing an application for financing.

Tip No. 2:

Before applying for a business loan or line of credit at Global Financial Services we are sensitive to possible misrepresentations to a lender and the effects on your application. The key factor in determining a misrepresentation is the borrower’s intent in the incorrect information provided to the lender. Is this misrepresentation intentional or unintentional, what is the degree of the incorrect information provided, does the misrepresentation materially alter the application. In other words would the lender most likely have approved the application anyway knowing that the misrepresentation was there in advance? At Global Financial Services we review all documentation provided by the borrower before submission to a lender to avoid these problems and possible loan fraud.

Tip No. 3:

In today’s real world of business lending it is clear more than ever that lenders are tightening up on their requirements. Correct selection of a lender for your business is half the battle before submission of the application. Does the lender generally loan money to your type of business? Does the business loans lender specialize in geographical areas nationally or are they a nationwide lender? What is the documentation required by this lender as they vary? What is the time frame for an approval? These are the critical questions which must be determined by the borrower before an application is submitted. At Global Financial Services we take great care in selection of the correct lender for you business.

Tip No. 4:

Many borrowers have an overly aggressive attitude about applying to multiple lenders when securing their business financing. It is not necessary to apply to multiple lenders and doing so will decrease your personal FICO scores as each credit inquiry will lower your scores about 3-4 points. At Global Financial Services we have seen such clients apply to ten or more lenders within a few days or weeks and lower their credit scores dramatically. This is even more damaging if they made the same mistake on all applications resulting in a decline from each one! Once this happens the next lender will see the inquiry and wonder why you have made this many applications and why you were not approved thereby encouraging them not to approve you either! At Global Financial Services we are sensitive about your credit and will not apply to more than two lenders at a time to avoid reduction of your credit scores. Once we receive a decision if it is negative we analyze the reason, correct it and then apply again to another lender. Be advised that in most cases once your business is rejected on business loans you generally cannot go back and apply again to the same lender for at least six months and if you do so it is highly probable that you will be rejected again due to the fact that the application has been “red flagged”. At Global Financial Services we strive to “get it right the first time”!