If you’ve operated your small business for a year, and have financial records proving business profitability, you’re ripe for approval for a small business loan from traditional lenders such as banks or credit unions.
Start-ups may also attain bank loans, even as personal loans. A personal loan may be an unsecured loan as you’re not putting up business assets as collateral.
If you opt for a personal loan, get business credit cards from the same bank. Make your monthly payments. That will up your personal credit score and improve your positioning to get a business loan in the future.
Let’s look at getting a traditional bank loan for your business.
