A loan proposal is an abbreviated form of a business plan and can be used in place of a business plan in some circumstances in order to seek financing. Start Up businesses and existing businesses planning significant changes or a major expansion may need a business plan. Owners of existing businesses or individuals planning a business acquisition who need financing can use a Loan Proposal to communicate their loan project to potential lenders. In order for lender to make a decision on a loan deal, you must provide them with information in writing about the business and future plans. A quality loan proposal contains written narrative, financial information, and supporting documentation. The goal is to provide a clear picture of the business and financing needs. Developing a professional loan proposal to present to the potential lender will enable you to make a good impression and increase your chances of obtaining financing.
The ASBTDC offers a variety of types of assistance to existing business owners that are developing a loan proposal to submit to a lender.
At some point, most existing businesses will seek financing and will, therefore, need to develop a loan proposal. To assist in this process, the ASBTDC offers suggested Action Steps for Developing a Loan Proposal. These steps are intended to help guide you through the process as point you towards suggested information and tools.
In addition to offering live classes, the ASBTDC offers several online training programs that can be very helpful in the process of developing a loan proposal.
The ASBTDC provides articles, information, and tools pertaining to developing a loan proposal.
Arkansas residents who have questions regarding developing a loan proposal, contact your local SBTDC office.
