Need advice on obtaining loan/line of credit for additional truck and consolidation of small loans/debt we acquired while bringing this company off the ground. Been in business 2 years. Our credit scores are 640-700 so it has been difficult getting bank financing. Would do stated income, can provide banking statements. Not sure where to turn seems like there's little help while you're small and growing.

Please advise

Small Business Administration

Go to their site and read up on their credit requirements and different loan programs.

Remember, the SBA does not give loans, they guarantee them. You will eventually have to go to a private lender.

If you are trucking company with many accounts receivables, you should consider factoring.

Business debt consolidation is often not availble to those that need it most. I dont think your credit is the problem, unless you have severe negative items showing. There must be some other business/finance factor that is tripping you when it come to local bank. SBA will give new loans and loans that save you costs i.e. interest expense (some view this as a refinance, which it is in a way but tough to qualify for and the tranactions costs render is less than attractive). You may have applied at your local bank. Do take what they say with a grain of salt as most brick and mortar branches have poorly trained LOs who just follow an institutional manual and one specfic to their company at that. Many times banks dont even do certain types of loans for asset poor clients but LOs are in the habit or are told to write paper up.

You need to get your books together, remove any severe negative items on credit, put together a summary of what your business past/future resume etc and knock down the doors of an equipment leasing or financing company for your truck financing (plenty of those around). Stay away from your local brick and mortar bank. Research first and pull fill out applications later as you dont want your credit pulled too many times. If the truck is more important to your biz than consolidating debt, go after the truck finanicng first. With interest rate where they are i doubt you will save too much in the short term. You may always consolidate business debt a little later. If the debt consolidation is more important, you need to show a lender on paper significant cost savings resulting from consolidation and their impact on your bottom line to make a case. hope that helped!

[quote name='rwalker4906' date='Oct 13 2006, 02:16 PM' post='5738']
Need advice on obtaining loan/line of credit for additional truck and consolidation of small loans/debt we acquired while bringing this company off the ground. Been in business 2 years. Our credit scores are 640-700 so it has been difficult getting bank financing. Would do stated income, can provide banking statements. Not sure where to turn seems like there's little help while you're small and growing.

Please advise

I will help you refinance and take out the cash you need. Call me

What kind of money are we talking about? Does your company take credit cards? Email me and I might be able to help you.

There is more information needed to see if you could find a loan that suits your needs.
1. How much do you need? If it's small-up to 75k- there are some banks that will give you a line of credit on stated income but you need at least 2 yrs in business and 680 score. If it's higher, there are some lenders out there working in the under 500k range but you need to show some cash flow. Depending on the lender, sometimes you can add back more than depreciation and interest to show cash flow (i.e. certain auto expenses and insurance, non-recurring expenses such as start-up costs etc).
2. Is there any way you can show some income w. the add backs? There are lenders that will do a equipment purchase loan with as little as 10% down but it's not stated income. Your DCR will need to be at least 1.2x and the interest rate is anywhere between prime +1.5 to prime + 2.75.
As far as debt consolidation, this will be hard to do.