How Not to Conduct a Small Business Loan Interview
A Home Business Article Contributed by Fiona Mclaren
Mistake Number One in the Small Business Loan Interview
Everywhere you look, there are rules and regulations telling you how you should act and speak when applying for a small business loan. There are one hundred and one things to remember, and sometimes it can be difficult trying to figure them all out. But don't worry! There is actually a much easier way to successfully survive a small business loan interview. It is much better to memorize the top three 'don't dos' than it is to remember all the positive things that are expected of you. If you can manage to do this, then you won't go too far wrong.
The first thing you need to remember is to NOT be rude. As simple as this might sound, you would be surprised at the amount of people who go into their small business loan meetings and act like they know it all. They forget that they are asking someone they don't know to invest their money into something that has no ironclad guarantee of success. That's a lot to ask of someone you DO KNOW, let alone someone that you don't. Make sure that you remember your manners at all times, and never forget that you are asking these people for their help.
Mistake Number Two in the Small Business Loan Interview
The second mistake you can make when asking for a small business loan is to be unrealistic. If you ask for much more than you actually need, the people you are approaching for a loan will see through you quicker than a piece of seran wrap with a hole in it. It is important that you ask only for what you need, and that you don't try to be greedy.
That doesn't mean to say that you should only ask for miniscule amounts, but it does mean that you have to be able to (reasonably) justify exactly what you need the money for, how it will affect your business, and how you propose to pay it back.
Mistake Number Three in the Small Business Loan Interview
The third mistake that you can make when called to partake in a small business loan meeting is to turn up late. In order to show that you are truly serious about running your own home business, you need to be able to turn up on time, and prove that you are reliable, and true to your word.
If you are going to be late for any reason (as in you broke your leg, the car exploded, and you lost your house keys all at the same time), then you must phone well in advance of your interview and let your prospective lenders know.
You don't want to keep them waiting around for you, as this can create a very bad impression indeed. How will you manage to make your repayments in time if you can't even turn up to your interview at the specified hour? Don't give your prospective lenders any opportunity to turn you down.
