Guide to No-Doc or Stated Income Business Loans
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What Is a Stated Income Business Loan?
Is Stated Income the Same as No Doc?
How Do No Doc Business Loans Work?
Bank statements Employer identification number (EIN) Tax returns Personal and business Business license Business permits Business registration Proof of collateral Financial statements Balance sheet Profit and loss statement Cash flow statement Accounts receivable Accounts payable Debts Business plan
Uses of Stated Income Business Loans
Cash flow shortages If you have a few invoices that are overdue, a no-doc loan can tide you over until you receive funds. Taxes and payroll A no-doc loan can help you meet immediate needs, such as making a tax deadline and paying your employees on time. Inventory If your business is seasonal, a no-doc loan can help you prepare for upcoming sales. It can also be useful if you experience a sudden increase in purchase orders but don’t have enough inventory to complete them. Equipment Whether you need a new computer, a company car, or heavy machinery, you can use no- or low-doc financing, such as an equipment loan, to get the tools you need for day-to-day operations. Emergency expenses Sometimes your available cash is simply not enough to handle a sudden emergency or short-term opportunity. When this happens, credit cards often can’t handle the size of the expense and a loan is often your only option.
Pros and Cons of Stated Income Business Loans
Qualifying for a No-Doc Loan
Finding Stated Income Business Loans
Typical Requirements for No Doc Business Loans
One-page loan application Age of the business Business’s credit score Business bank statements Invoice or merchant processing statements (if applicable)
Stated Income Business Loans vs Conventional Business Loans
Low-Doc Business Loans
Short-Term Business Loan
Merchant Cash Advance
Business Line of Credit
Alternative Loan Options
Business Credit Card
Small Business Loan Options with Lantern
Frequently Asked Questions
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