Business Loans

Perhaps you own a business and have decided to expand it by purchasing a new business property or new equipment, but you need a business loan to move forward. Where do you get started? We sat down with an experienced ANB lender to address some important considerations when applying for a business loan.

What documents should I have prepared before meeting with a loan specialist?

It really depends on the type, nature, size, and complexity of the loan and overall relationship! In general, it's good to always have the following readily available when you're ready to meet with a lender or apply for a loan:

• Last 3 years of full tax returns for the business and for the (20%+) owners of the business,
• Current personal financial statement for each (20%+) owner,
• Most recent Fiscal Year End financials (balance sheet and income statement) if taxes haven't been filed yet,
• Tax return extension (if past the filing deadline),
• Year-to-Date interim financials (balance sheet and income statement) if more than 6 months into the year,
• Operating agreement/by-laws,
• And insurance information (for the collateral securing the loan).

Additional information may be needed depending on the type of loan. Please see your loan officer. 

How do you assess a borrower's creditworthiness?

In general, a lender will look at the cash flow of the borrowing entity, the cash flow and financial strength of the owners/guarantors, the credit history of the guarantors, and the collateral. All items are important in the qualification of a loan.

What are my options if my initial application is denied?

It depends on the reason for the denial. Each loan is reviewed individually. Your lender would be happy to explain any options. 

How does the loan approval process work?

At ANB Bank, you will work with a local lender using our streamlined loan application process. The lender will then send the application and requested list of items to the customer to complete and return to the Bank. Once received, the lender will review and work toward an approval. Additional information may be needed throughout the process.

What factors affect the interest rate I can get?

ANB Bank is a relationship-driven bank. Several factors are used when determining the rate, including the loan size, property type, occupancy type, loan-to-value of the collateral, fees charged, and relationship with the Bank, etc.

What advice would you give someone looking to apply for a small business loan?

Be prepared but also be willing to share the story of the company and how you got to where you are today. As a community bank, our lenders are excited to learn more about the people and businesses in our community, and we hope to be the right fit to help you out!

Loans subject to credit approval and underwriting.  Other terms and conditions may apply.