Getting Approved For Commercial Loans

Henry Martinez
May 15, 2009 — 1,466 views  
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Capital and finance are the two important ingredients of entrepreneurship. On turn they also involve getting commercial loans. Depending on your handling of the issues the obtaining of such loans may be easy or difficult. However any one who aspires for such factor as the commercial loans must learn the terms of trade such as the commercial foreign exchange, merchant accounts trade finance and process payments etc.

Varied Practices- Learning the process of getting the commercial loans with best terms and easy way is important for your peace of mind and success. Once the borrower learns exactly how to get such loans the rest is easy for him. Some of the lenders and borrowers are pre-qualified owing to their repayment capabilities while others use divergent methods. However the inherent advantage of pre-qualifying is learning exactly the requirements of each case specifically.

The Process- It all starts with submission of a loan application. Thereafter in all probability a designated loan officer would verify the credit report as well as the financial status of the client. Documentation would follow immediately afterwards and the process involves several other steps. Whether you pay by credit card or the prepaid debit card, such checks are at times routine affair and some other times bit stringent. For instance buying real estate would mean not only the submission of the financial statement and the financial status of the client but also many other reports on environment, area, title, property appraisal and summaries of lease taken. Again if some mediator is deployed to ensure approval of commercial loans such mediator or broker may submit the loan request to multiple lenders.

Use of Commercial Loan Packages- Very often the lender provides loan packages instead of separate loans to the borrowers before the loan is finally presented before the sanction committee or the underwriter. Letter of intent issued by the company or its authorized representatives will follow. Such letter of intent will also include the terms and conditions of the loan disbursed as well as the detail information about the lender. Additional information may also be required at times for the finalization of the verification or underwriting process.

Broker for Better Benefit- Use of the services of broker or mediator could result in the borrower getting the best of the terms and conditions possible. Such terms and conditions may benefit them both financially as well as in business in the long run. The little disadvantage of paying fees to the mediator or broker is suitably compensated by the results in the end.

Points To Ponder Before Availing- While most of the commercial loans will look very inviting and attractive, availing them without proper application of mind may lead to trouble. When someone becomes defaulter he or she may face innumerable financial problems. A few factors need to be paid careful attention in the process. They include the extent of loans the nature and types of funding, the amount required at the inset and purpose of availing the loan. Other considerations could be your intent to send money online or to use the prepaid debit card instead of credit card.

About the Author

Duales, a privately owned Canadian Corporation founded in 1994, is a licensee of the McAfee Privacy Program. They have a committed team with the best combined banking and trust experience coupled with a growing network of first order international and national banks and alternative finance companies. For more information, visit the website

Henry Martinez