When your small business needs a financial boost, waiting months for a loan isn’t always an option. Whether you’re expanding, managing cash flow, or seizing new opportunities, securing funding quickly is essential. That’s where New Bridge Merchant Capital comes in. Specializing in speedy and efficient loan processing, New Bridge Merchant Capital offers a stark contrast to traditional, often sluggish, loan methods. Dive into the factors that affect loan timelines and discover how you can expedite the process to get the funds you need right when you need them.
Key Takeaways
- The type of lender and loan can significantly influence how long it takes to secure a small business loan.
- Gathering necessary documents, such as business plans, financial statements, and tax returns, is the first crucial step and can vary in time based on document availability and organization.
- Completing a loan application can take anywhere from one day to 30 days, depending on the lender’s requirements and the complexity of the application.
- Approval times range from 24 hours to 90 days, with online lenders typically providing faster approvals compared to traditional banks and SBA loans.
- For fast and efficient loan processing, contact New Bridge Merchant Capital at 844-228-0593 or fill out the online form.
How Long Does It Take to Get a Small Business Loan?
The time it takes to get a small business loan depends on the kind to which you applied. If you choose to use an online lender like New Bridge Merchant Capital, the processing time of your application is much shorter than popular SBA loan options. However, there are other factors aside from the type of loan that can lengthen or shorten the time it takes to receive your small business loan in New Jersey.
The Loan Process and Duration Factors
When you apply for a loan, the time it takes to get the funds dispersed is going to differ depending on the lender and the loan. That said, most steps are common across the board. Knowing more about these steps can help you estimate how fast you can get your small business loan in New Jersey:
1. Gathering Necessary Documents (Time Varies)
Before you apply, you want to make sure you have all necessary documents gathered. Certain lenders, such as the SBA, need you to fulfill specific requirements. For example, if you are indeed going to for an SBA loan, then you are going to need documents that establish you as a for-profit business of a certain size who generates enough income to repay the loan. Other lenders may only want to view your credit and review your business plan.
As such, you should have the following information available:
- Amount of funds required
- Business plan
- Business credit score and personal credit history
- Financial projections
- Annual business revenue
- Industry experience and age of business
- Whether you plan to provide collateral
2. Finding a Lender (Time Varies)
Different lenders offer varying loans. Typically, traditional loans mean more demanding lenders. Research the loan types and who provides them. For instance, a bank may have SBA 7(a) loans available. Generally, if you go through a bank, you may need to wait longer for the application to process. However, SBA 7(a) loans need about 30-60 days to process, although the turnaround time once the application is complete is between 2-10 days. By weighing such an option against an online lender like New Bridge Merchant Capital, who provides MCAs, lines of credit, and term loans, can offer you the same loan amount in less time.
3. Applying With the Lender (1-30 Days)
The duration for completing and submitting a loan application can range widely:
- Simplicity of Application: Online lenders typically offer streamlined applications that can be completed within a day or two.
- Detailed Requirements: More comprehensive applications, such as those for SBA loans, can take several weeks to finalize.
- Assistance Needed: Some business owners might need to consult with accountants or financial advisors to accurately complete the application, which can add time.
Ensuring that all information is accurate and that all required documents are attached can prevent delays caused by the lender requesting additional information.
4. Awaiting Approval (1-90 Days)
The approval process is where the most significant time variations occur, influenced by the type of lender. Online lenders typically provide approval within 24 hours to a week due to automated systems and quicker verification processes. Traditional banks often take several weeks to a couple of months as they perform more extensive due diligence and risk assessment. SBA loans, known for their rigorous and thorough review processes, can take anywhere from 60 to 90 days for approval. Fully completed applications with all necessary documentation are processed faster, and businesses with strong financials, good credit scores, and solid business plans might experience quicker approvals.
5. Receiving Your Funds (1-90 Days)
After approval, the time to disburse the loan funds can also vary. Online lenders usually make funds available within one to two days after approval, making them the fastest option. Traditional banks may take several days to a few weeks to disburse funds, depending on their internal processes and any additional paperwork required. SBA loans, similar to traditional banks, can extend to several weeks for disbursement due to further verification and compliance checks. In conclusion, the total time from starting the loan application process to receiving funds can range from a few days with online lenders to several months with SBA loans.
Tips to Speed Up The Process
Since receiving a loan can take up to 90 days, depending on the kind you choose, you may be wondering if there was a way to accelerate the process so your funds become accessible sooner. Here are some tips to ensure that the process moves along quickly:
Prepare Your Documents in Advance
Having all your necessary documents ready can significantly reduce the time spent in the initial stages.
Choose an Online Lender
Opting for an online lender like New Bridge Merchant Capital can drastically shorten the overall process due to their faster application and approval procedures.
Maintain Good Financial Records
Up-to-date and accurate financial records can facilitate a smoother and quicker approval process. The more you know immediately, the less time it will take to gather that information and verify it.
Aim for Accuracy
Ensure all parts of the application are filled out correctly and completely to avoid delays caused by requests for additional information. Such requests can slow down the overall process and leave you waiting for your funds.
Contact a Small Business Loan Provider in New Jersey Today
If you’re ready to move forward, contacting a small business loan provider can get you started on the path to securing the necessary funding for your business. Online lenders like New Bridge Merchant Capital are an excellent choice for efficiency and speed. Not only is the process less demanding than traditional lenders, but you can get your funds within days, not weeks. Ready to boost your business and start moving forward? Contact New Bridge Merchant Capital today at 844-228-0593 or by filling out the online form.
