A bank loan might not be easy to obtain, so that is when working with commercial lenders come in. Income verification is usually needed when dealing with banks and if you are self-employed, that can sometimes be difficult. But when working with other sources for funding, they might not always require this, but other documentation and financial information will be taken into consideration for approval and won’t hold any of it against you.
Sometimes credit issues from the past can creep up and result in low credit scores. Financial issues from the past can hurt your chance when working with banks, but commercial lenders can be easier to work with because they will usually take the time to listen to the reasons for your low credit score and try to understand. This will give you a better chance at obtaining a low if you might not have the best credit history.
It isn’t uncommon for businesses to owe money to the IRS. This can make it really hard to get extra financing from a bank. Commercial lenders can help when this becomes an issue. They are willing to work with you if you are in debt to the IRS and will even try to help you crawl your way out.
It can be very stressful dealing with someone else when it comes to your finances and sometimes obtaining extra funding is going to either make or break your business. Take the time to do the research to find the right person to work with and this will help your chances at getting a loan. Opening up about your financial struggles isn’t always easy, but can be a little easier when talking to the right person that will understand what you are saying.
There are a number of banks and lenders to choose from when it comes from loans. Just like there are several different options when it comes to choosing a loan. Each loan and lender come with different requirements and terms, so always make sure to read the fine print. And also keep in mind that if you aren’t dealing with banks, you might face higher interest rates. But this is the price you pay when the deal is risky and is a better option than being completely turned down.
Level 4 Funding LLC Private Hard Money Lender
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701
About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.