One of the things that makes Loanability’s programs appealing to many businesses is that we don’t request any extraneous documents–we keep our requirements as easy and straightforward as possible. If you’re applying for an SBA loan, business plans, resumes, and so on will be required. With us, you won’t have to send any of that, because we keep the process streamlined to make your path to obtaining funds as easy as possible.
That said, it’s never a bad idea for a business to have a business plan, even if it’s only for your own use. When you’re speaking with a loan officer, business plans can give you a better idea of how much money you’ll need to accomplish your goals and what sort of payback plan you’ll be able to support. Once you’ve obtained funds, a business plan can be useful for keeping track of expenses and ensuring that you’re putting your resources to good use. If you’re using the funds to expand or do construction on the business, a business plan can help you make a timeline and stick to it, so you don’t fall behind on your plans.
The question you might be asking yourself is how to make a business plan for a loan. It can seem like an extensive undertaking, but it doesn’t have to be complicated. Really, a business plan is just a snapshot of how you expect your business to grow over the course of a few years. Look at where your business is now and think about where you’d like to be in three months, in a year, in two years. Decide what you need to do to reach those goals–do you need to hire more employees? Expand to additional locations? Run an advertising campaign? Once you have some concrete ideas in mind, you’ll have a clearer idea of how much funding you need to get started on your plan.
One problem that can arise when you create a business plan for an SBA loan is that the future isn’t always predictable. Business plans can be useful, but you don’t want to be locked into a long-term plan and not be able to change course if something comes up. One of the best features of our programs at Loanability is that our funding is flexible. Sure, a business plan can help you keep track of your goals for the business, but there will always be unforeseen events and you want to be ready for whatever happens. Many of our merchants take advantage of our programs that allow them to take additional funding after their original deal funds, whether it’s because they realize that they can get more done with more money or because there’s an unexpected need for funds. We just want to make sure that each merchant has access to funds they need, regardless of why they need them.
While they can be of use, we never require merchants to have a business plan to apply for funding–we think how you run your business is up to you. A business plan can be useful as a way to keep track of your goals, but it shouldn’t be a binding document. As always, the key is to know where your business is headed while being ready for whatever circumstances arise, and at Loanability, we’re here to help businesses accomplish those goals.