How To Get A $100K Business Loan

A $100,000 business loan can be all that it takes to launch your small business to the next level. These funds can be used to purchase new company equipment, pay off outstanding bills, or cover working capital costs. Access to a six-figure loan could also very possibly be the difference between succeeding or failing as a business owner.

How To Get A $100K Business Loan

How To Get A $100K Business Loan

The process of applying for a $100,000 business loan is similar in nature to most business loan applications. However, because the amount of the loan is significantly larger than smaller loans of a few thousand dollars, the screening process may be a bit more rigid in terms of your income, which documents are required, and how likely you are to repay the loan based on these factors.

There are various ways to apply for a $100,000 business loan. Two of the most common methods of getting a six-figure business loan is to apply through a bank or consult an alternative lender. The types of documents required to submit your loan application may differ according to the institution. Whereas banks have a stricter application process, an alternative lender could be more lenient in terms of loan qualifications and requirements.

$100,000 Business Loan Requirements from a Traditional Lender

In order to qualify for a $100,000 business loan, you must be able to prove your eligibility. This is typically done by showing a range of important documents. Some of these documents will be related to your finances, whereas other documents are regarding your business information, revenue history, and internal company operations.

Here are five of the many requirements associated with getting a $100,000 business loan:

  1. High Credit Score: To get approved for a large loan, you will need high personal and business credit scores. In addition to a strong credit score, borrowers must also possess a history of submitting payments on time and several mixed sources of credit (auto, mortgage, credit cards, etc.).

  2. Financial & Legal Documents: Some of the financial and legal documents that you will need to show a potential lender include a copy of your driver’s license/ID, business licenses, balance sheets, and bank statements. Consult with potential lenders ahead of time to determine which documents you will need when it’s time to apply for your loan.

  3. Articles Of Incorporation: Before applying for a $100,000 loan, your business must be incorporated as an S-Corporation, an C-Corporation, or an LLC. In order to get approved, you must be registered as a for-profit business and bring proof of your incorporation. If you aren’t already registered, you will need to register for business incorporation prior to submitting a loan application. If you are in a rush and need to quickly incorporate your business, consider utilizing reliable business incorporation services.

  4. Detailed Business Plan: How are you planning to use a $100,000 loan to grow your business? Create a strong business model which outlines your goals, plans, and other information regarding your company’s income history and how long your business has been in existence.

  5. Collateral: Whether or not you are willing to pay collateral as a down payment for your loan may result in being accepted or rejected from a lender. Secured business loans require collateral as a form of security deposit. Unsecured business loans do not require collateral but may require you to sign a personal guarantee to ensure you will pay back the loan.

How To Get A $100K Business Loan With Bad Credit

Oftentimes, the most important factor of whether or not you qualify for a business loan is your credit score. If you have a score higher than 680, then you are more likely to be approved for a larger small business loan. If your score falls below FICO’s “poor credit score” mark of 580, you will either need to work on building up your credit score or pursue other lending options.

Loan terms may significantly range depending on your credit score and the organization that ultimately issues your business loan. This includes time (short-term or long-term), interest rates, fixed payment amounts. For example, a bank may not approve your application for a $100,000 business loan. If you are approved for your loan, then your repayment terms may include higher interest rates and more difficult terms to abide by. If you apply through a private lender like National Business Capital & Services, then you may be more likely to receive the loan with affordable rates and better terms.

Apply For A $100,000 Business Loan With National Today

If you need a $100,000 business loan in the shortest amount of time with limited paperwork, and the best terms as quickly as possible, call National Business Capital & Services at (877) 482-3008 or fill out our 60-second online form to speak with a representative about your eligibility and business goals today.

National Business Capital & Services is the #1 FinTech marketplace offering small business loans and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.

Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.

We strengthen local communities one small business loan at a time. For every deal we fund, we donate 10 meals to Feeding America!

About the Author, Megan Capobianco

Megan Capobianco is the Marketing Manager at National Business Capital & Services. Megan is passionate about helping business owners along their journey - providing them with relevant content they can use in their day-to-day operations.

Dislcaimer: The information and insights in this article are provided for informational purposes only, and do not constitute financial, legal, tax, business or personal advise from National Business Capital & Services and the author. Do no rely on this information as advice and please consult with your financial advisor, accountant and/or attorney before making any decisions. If you rely solely in this information it is at your own risk. The information is true and accurate to the best of our knowledge, but there maybe errors, omissions, or mistakes.