What are Banks Hiding about Small Business Loans?

You apply for a small business loan¹ to expand your business, hire more hands, and improve your company overall. You’ve come up with some creative ideas on how to get ahead of your competition, and you’ve asked the bank some tough questions. But, there are some things that the bank won’t tell you, even if you ask.

You need to dig for answers and be well-informed before applying for a small business loan at a bank. Some aspects to keep in mind are:

  • the larger the bank, the longer the wait
  • loyalty isn’t worth much
  • small loans are frowned upon
  • alternative lending may be your solution

Large Banks

Some people prefer applying to a large bank because it has the appearance of a professional and well-oiled machine. In the banking industry, bigger means more time spent waiting on application feedback, and no one will say how long the process will take, whether it’s a general estimate or a personalized one. Banks take a long time before deciding to approve or reject loan applications because they review your qualifications and all the documentation you provided them with, including your personal and business’ credit history, the size of your business, and what collateral you have to offer. In all fairness, it’s a lot of paperwork to wade through.

Because of their size, large banks won’t provide personalized service or suitable products for your business. You will receive, instead, the generic brand.

Loyalty

Banks do not value your loyalty, and they count on their customers to not shop around for competitive products and rates. Loans are the bank’s specialty product, although not every business should apply for a loan. If your small business accepts credits cards, the bank may not tell you about other non-loan products, such as a Merchant Cash Advance² (MAC) with flexible repayment options.

Small Loans

Banks also don’t provide much flexibility. If you apply for a small loan, you’re more likely to be declined because they think only significant amounts are worth their effort. When you need a small amount for a loan, an alternative lender, like Greenbox Capital, is a better choice.

¹ Greenbox Capital Small Business Loans may not be available in all regions of the United States or Canada.
² Greenbox Capital Merchant Cash Advances may not be available in all regions of the United States or Canada.

Alternative Lending

The application process at banks can take you weeks or months to complete with the result being a declined application. With Greenbox Capital, your application is more likely to be accepted because we work with small businesses that have bad credit. We also review your application with minimal documentation, which allows us to provide working capital in as few as 24 hours.

Many industries have turned to us because we offer various funding solutions that suit their small business. Moreover, we won’t turn down your application based on the amount. Small or large, we value business expansion and provide you with the amount you need to do so.

Greenbox Capital works with its customers and advises based on your business and application details. We support female entrepreneurs and establish strong partnerships to become their trusted lender. 

Contact us today for more on how we can help grow your business!