We all listened carefully to lenders on the radio, television, newspapers and the Internet promises of “small business friendly”, “Small Business” is oriented, want your own personal “Small Business Advisor” and a whole range of packages, with his foster the all your needs. What small businesses really need is money, not hand personal care services. Thus, it is because someone out there really make small business loans? Yes. If you can know where you see you can find.

You can usually banks to categorize into: 1) 10%, which is to actually make small business loans and now are serious, 2) 70%, which will talk to you directly and do not make loans to small businesses this time because of the economy, and 3) 20%, that slap on the back, you invite and easily to your application. It is the latter group that we both heartburn. It is not for the initial review of your application for an unusual bank represented to signal you have a good chance. Overjoyed, you begin to make plans, including the execution of orders and receive offers for inventory, raw materials or goods. Two months later, to review after the fourth loan committee, you get a call that they decided not to make the loan. The reason has little to nothing to do with credit. It is usually something that had never before been mentioned, and after reflection, it seems like an excuse not to make the loan in the first place.

Intermediaries like me are victims of the same misleading conduct. I can not tell you how many banks have looked into my eyes and said, “Sure, we make many loans. For unsecured loans of $ 75,000 to $ 150,000, we just need a credit score above 680, in business for over a year and a half, and decent financials. real estate security is required. We would be pleased to entertain your applications. “Right.

What they really do is pour over the applications and select one of 100, carried out the bubbly positive cash flow, little competition, have the following fancy credentials: Platinum credit score, that would be Bill Gates proud of and that could support a small country , contracts, stacked high on your desk, then to a booming niche market. In other words, someone who does not need the loan in the first place. You know the old saying, banks only give money to people who do not need it.

It’s just one hundred and first psychology Banks are stuffed with loan officers and they must show that they are employed. If her boss goes to her office and sees nothing on the desk, they could be fired. You have to show they are busy earning their salaries, accepting applications and resources through the review process. It has gotten so bad that we had the other day a client whose grandfather was a founder of the bank, whose father’s best friends with the President and received two successful loan. He too was rejected. They also have to tell you the big commercial SBA Loan Department job dismissals of employees across the nation.

To avoid being in this case too, caught your banker look in the eye and ask these questions:

1) “Tell me, honestly. I do not want your time or overburden. I know the credit crisis is rather depressing and there really is no secondary market. Are you really entertaining small business loan at this time or should I wait.”

2) “How many small business loan you have personally made over the past 30 days?”

3) “What the loan conditions of the loans are made to last three, including interest rate and monthly payments for the search, the amount of the loan I have?”

4) “How long will it take until I get a definitive answer?”

5) “Can you briefly describe to me the process to go through I, to get the final approval? Will you be the one, the final decision and what other people think you or committees to make the decision?”

But do not despair. There are actually real live-prime lenders out there making small business loans. You just have to know where to look. In the next article I will discuss if these loans are available to startups.