Negotiating a Business Loan?

Here are 5 tips when it comes to negotiating a business loan:

1.) Do the investigation to pick out the correct banks. No one is the same and you need to do the homework in order to eliminate the wasting of your valuable time.

2.) Know the language. No one is going to take you seriously if you come half-cocked and not schooled. When you can talk shop, you demonstrate a responsibility that banks look at in order to grant loans.

3.) Come in prepared and able to wage battle. Bring copies of financial statements. Bring in your business plan. If there are negatives, bring documents explaining why.

4.) Limit personal guarantees if you can because making plans for what to use as collateral is going to be a win or lose. Think long-term!

5.) Absolutely negotiate the right to prepay because banks will oftentimes penalize you for lump-sum payments with an added cost.