small business loans

Good Morning,

We have a small laser aethetics business and are looking for some information about obtaining a small business loan.  Does anyone have ideas about the best way to do this?  and what are some of the options out there for women in business?  If you have some experience in what works and what doesn't, please let us know.  Thank you in advance for any help.     Lee

Lee,

Where you go to get a loan depends in part on how much money you need, your credit rating and how much documentation (e.g., business plan, extensive financial statements) you’re willing to provide. Some options:

• Commercial loans that are SBA-sponsored (because the U.S. Small Business Administration guarantees most of the principal, banks are more willing to lend money). In today’s credit market, you may have greater opportunity through local banks rather than with national financial institutions. For information about SBA loans, go to www.sba.gov/services/financialassistance/index.html. Some credit unions also make business loans to their members.
• Peer-to-peer lending is gaining as a financing tool today, especially for modest loans. Individuals offer to lend you money here at rates that may be more attractive than commercial lenders. Example: Lending Club (www.lendingclub.com).
• Loans from family and friends, the tried-and-true method because these lenders know you personally. You can structure the loan with appropriate documentation and support by using VirginMoney (www.virginmoneyus.com).