The first step in the process is to complete an on-line application. Within a day or two, a loan officer will get in touch with you with questions about your business. Existing businesses will be asked to submit additional information. Depending upon the size of the loan and complexity of the loan, you may be asked to submit a personal financial statement, the last 2 years of personal and business tax returns, projections of future revenue and expenses of the business and the resumes of key management personnel.
If you have a new business (less than 1 year old), you may be asked to submit a business plan. A business plan is an essential tool for every new business. According to the SBA, "A business plan precisely defines your business, identifies your goals, and serves as your firm's resume. The basic components include a current and pro forma balance sheet, an income statement, and a cash flow analysis. It helps you allocate resources properly, handle unforeseen complications, and make good business decisions. Because it provides specific and organized information about your company and how you will repay borrowed money, a good business plan is a crucial part of any loan application." Your loan officer will prepare an analysis of the information you submit. Your loan will then be sent to a committee for approval and a decision will be made regarding the necessity for an SBA guarantee. If a guarantee is needed, ASI will submit an application to the SBA. The SBA usually responds with a decision or a request for clarification within 36 hours of receiving the application. After the loan is approved, ASI will collect remaining documents that may be needed to proceed to closing |
