Here are some real tips and issues we encounter when reviewing and processing finance applications; if you can address these in advance the chances of going through the underwriting and approval process smoothly and with less stress will increase dramatically.

1) Check and ask how long your vendor has been in business; less than one year could be an issue for a lender to work with them particularly if they require advance money for your project. Plus newer vendors could be risky for you regarding your warranty agreement.

2) Have your financial statement statements and documents in order so you can quickly complete any requested information. Key items clients often forget include:

a) Secretary of state business filing; important for companies under 5 years old

b) Interim (up to date) profit & loss statement and balance sheet

c) Latest bank statement; if the month hasn’t closed out then print your online transactions for that period

d) Corporate articles; important if several owners with varying ownership percentages are involved

e) Current mortgage statements for all investment property; if you listed it on your personal financial statement then it will be needed

3) Landlord waiver; if upgrading your site with LED lighting, solar or any equipment which attaches to the property then make sure to ask your landlord first if they will sign a landlord waiver which specifies the equipment is not part of the property; in the case of default the lender will have the option to remove it. Most landlords are fully aware of this document and fine with it but there are always a few which will throw a wrench into your project.

4) Get a copy of your own credit report; now almost all credit card, mortgage, bank services offer free credit reports for their clients so they are easy to get. Make sure it’s accurate; this is the time to contact your credit bureau to report any wrong postings, not after the lender has brought them to your attention. Also, tell your lender what your personal score is when filling out an application; that way you can get honest feedback on what your rate and terms could be. If you’re expecting “A” credit interest rates with a low FICO score then this is the best time to understand the reality of what you will get.

5) If you plan to use a truck or equipment as your main source of collateral for either working capital or another equipment lease then you should have pictures, serial numbers, year-make-model and most importantly, proof of ownership and or a purchase invoice for all the equipment you plan to use. This task can often take owners some extra time to gather especially if they have to request a copy of the title from the company they purchased it from.