Small
business loans tips
Early
repayment penalties. Some banks charge a 2% to 5% penalty
if you decide to repay the loan early. Repaying early can be a great
way to reduce your costs, so if you're going to try to get ahead,
make sure the contract allows it without penalty.
Start building relationships now. Personal relationships
matter more than you might expect: a lender who knows and trusts
you is much more likely to take a gamble on your small business
loan. Take the time to talk to your primary business banker and
get him or her on your side before you need a loan.
Avoid eating out. From pizza shops to gourmet bistros,
restaurants come and go very quickly. Unless you have specific food
industry experience, a great concept, and experienced staff lined
up, you'll find it almost impossible to get general startup financing
for a restaurant.
Don't pinch pennies. Saving every possible dime
shouldn't be the emphasis of your search for the right loan. A small
business loan that carries conditions you can live with from a vendor
who will be on your side now and in the future is much more important
than a small cost savings.
Next
Topic 
Trade
Finance |
