Impetus is pleased to provide non-bank business loans in Worcestershire and right across the West Midlands.
We usually help people who have a great business idea but require some financial support to get it off the ground.
They may be starting a new business from scratch, growing an existing business or launching a second business.
How to get started with a loan
When approaching a bank or social enterprise lender (like Impetus) for a business loan here are the key things you’ll need to have in place.
1: A clear business plan
This should include concise details of how you’re going to make your business work, together with forecasts on income and expenditure.
2: An understanding of the market you are entering
You’ll need to show that you’ve done your homework into the current requirement for your product or service and that you understand the existing businesses that will be your competitors.
You will also need to know what your differentiation/ unique selling point (USP) will be.
3: An understanding of how you’ll actually use the money
You may for example use the finance to cover the cost of new premises or advance rent, to buy products/ acquire manufacturing equipment, for marketing or for other business start-up needs or perhaps to support a combination of a number of these.
Be sure that you ask for a large enough loan to cover the gap between opening your doors and cash starting to flow. The best way to do this is to prepare a cash flow forecast demonstrating how much cash you’ll need at each stage.
4: Knowledge of your personal credit score
Your lender will look at your personal credit score to ascertain your reliability as a borrower.
5: A clear picture as to how you may guarantee the loan
You may be asked to provide personal guarantees or security based on your property or other assets. This is because if things don’t go according to plan, you will still have to repay the loan.
Therefore, before talking to a lender, if you take a little bit of time to ensure you have all the above in place, this will make your application process a whole lot smoother.
Alternatively take advantage of our free and ‘no commitment’ Impetus mentoring advice service to discuss the best way to finance your business.
We’d be very pleased to give you some help.
Call 01386 556000 or email email@example.com