*Note - this material is also available in my paid course, "The Ultimate Guide to Funding a Business", along with more information.
Not every business needs capital to grow. But to those that do, the process can be intimidating. And not understanding how business lending works can cost you energy, money, and time.
Here's the good news. As someone that has been involved in over $500,000,000 worth of business loans I know the process inside and out. And I am going to teach you!
No more frustration from being turned down over and over!
In this course I will take you through the various technical aspects of how business loans work.
I'll guide you through over 30 video lessons (with accompanying written explanations) detailing an inside look into the types of information lenders ask for and why they ask for it.
In a few hours you will know as much as most lenders! Imagine how much easier that will make your next business loans application feel!
Business owner and/or startup looking to fund your company's growth through business loans? Then this course is for you. By the end of our time together you will know exactly how lender's evaluate loan requests and how to negotiate the best rate and terms.
A bit about me. See additional resource link to a brief bio on my personal website.
This lesson explains how I intend to deliver the material. In short, mostly via lecture format. However, be on the lookout for additional resources after each lesson. Particularly, sections where I lay out the key take-aways.
Also, I intentionally kept the video length for most of the lectures very short. The fact is that I could have just as intentionally rambled on to make my course seem longer, and thereby perhaps more important. But I have spent years boiling this material down to the basics and only wanted to take enough of your time needed to get you the information you need.
That's also why I have shared handouts for most lectures that reiterate the material and allow you to download them.
Lastly, since 80% of the loan approval is financially driven, make sure to spend a large part of your time on this course by using the Business Loan worksheet in Lecture 17. In fact, once you have completed this I highly recommend you save it and share with lenders you speak with.
Defining some of the key acronyms and terms I will be using in this course.
Every loan request has a reason behind it. Lenders call this the loan purpose. i.e. What is the loan for? Your loan purpose will drive literally your entire conversation with lenders.
Too many borrowers apply for business loans with any and ever lender you can find. We call this a shotgun approach. Its a mistake to apply for business loans this way. Be more targeted with your efforts.
Every lender has an "appetite" for certain types of loans. Make sure that lenders you approach are used to giving loans to businesses like yours.
A lender's loan portfolio, and its performance, can affect their likelihood to approve your loan.
What industries are easiest to get business loans for? The ones with the best historical performance.
What percentage of loans do lenders expect to lose
First of three quizzes for the course. No pressure!
What documents are needed to apply for a business loan?
How do banks decide to approve business loans
How do banks get paid back for business loans
How do credit scores effect business loans
The attached workbook was designed to walk you through the process of analyzing your financial position in the way a lender would, including calculating the "Big Three" for you. Just plug in the appropriate numbers in the fields and the spreadsheet will run the calculations for you.
If you run into any questions please add them in the course directly so that other students will benefit from the answer(s) as well.
How do banks calculate cash flow
Do backs prefer secured or unsecured loans
What collateral do banks require
Testing your knowledge of subject matter covered in lessons 11-20
How are business loan payments calculated
How are business loan rates determined
Do business loans have maximum and minimum rates
How can I get a loan rate discount
How do SBA loans work
How do lenders show they have approved my loan
Can I pay off business loans early
Quiz on lessons 21-30
What restrictions do business loans have
What are the costs for business loans
I am crazy passionate about helping people launch and grow the business of their dreams. More specifically I advise companies and entrepreneurs by focusing on the ways culture, innovation, and strategy can impact their businesses.
In hopes we can learn more about each other, here are a few things that define me: