Getting the Loan

Be entirely prepared before you apply for the loan.  Have all documents in good order.

Financials 

Applying for Your Loan

Detail precisely how much money you need to accomplish the goals of your car detailing business.

Detail exactly why you need the money, whether it is for new equipment, start-ups costs or for any other reasons.

Stipulate the terms needed on the loan including the number of years you will need to pay it back, etc.

Declare what kind of collateral that you can offer.

Financial Statements

When operating an existing business, provide financial statements, balance sheets and income tax returns going back two years prior and also show an interim statement that is no older than 90 days.

Capital Equipment List
 
Account for all costs on the present value of your existing equipment as well as the equipment that you will be purchasing.

Income Projection

Write a projection of your profits and losses over two years. Calculate what you anticipate will take place with the business, each month, for the next two years.

Show a full one-year projection of the seasons of the detail business, including all ups and downs.

Show how you detailed these figures; what is relevant to coming to them in every aspect in support of your statement.

Project your cash flow over a two-year period. Your projection should show whether or not you would have the necessary funds to run a business.

Create a comprehensive balance sheet, listing all assets and liabilities of your business.

Your business plan will include a start-up balance sheet and a projected balance sheet at one year out.

Supporting Documents

  • Tax returns for principals for the past three years
  • Personal financial statement (available from banks)
  • Copy of proposed lease or purchase agreement for the building space
  • Copy of licenses and legal documents
  • Copy of resumes for all principals
  • Copies of letters of intent from suppliers, etc.
  • Marketing studies, articles, etc.

When you develop a realistic business plan you can expect to receive a very good outcome.  So long as your credit and collateral is viable, you can expect to get your loan on very good terms!

Preparing your business plan is the most important aspect in getting started on your new business venture. It is the best way for you to build your strategy and plan your course of action.