by Kimberly Lebron
The Commercial Banking Department at the Savings Bank of Danbury is contacted regularly from prospective customers looking for information. Some frequently asked questions include “What do I need to apply for a commercial loan?”, “How do I go about applying for a commercial loan?”, and “What are your rates for a commercial loan/mortgage?”
If it is your first time applying for a business loan, you should contact a couple of commercial lenders from different banks. Find someone you are comfortable with. If you have a relationship with a bank, ask to speak with someone from its commercial loan department. The lender you choose will inform you as to what they will need to start the application process. Standard requirements include a Personal Financial Statement on everyone having ownership in the business, 2-3 years of personal tax returns on those same individuals, 2-3 years of business tax returns if an existing business and a business plan for a start-up business. The lender will also schedule a time to meet with you to gather information and to discuss your needs. If there is anything you are unsure of, ASK! It is better to start the business banking relationship being fully informed.
Rates are very important to consumers, but commercial loans are unlike retail products in that they do not have standard rates.
These loans are rated based upon the risk surrounding a loan request and the mitigating factors supporting it. Once a commercial lender has reviewed all pertinent information, he or she can provide a proposal outlining the terms of the transaction including rate, collateral, payment, etc.
The Commercial Banking department at the Savings Bank of Danbury can be reached at (203) 731-5446.