Who Can Get A Personal Loan For Their Business?

10 November 18

 important factor for personal loan

 The higher your personal credit score, the better the chances of being qualified for a personal loan. Potential lenders will look at the following information to determine if you qualify for the loan:

  • Personal information
  • Tax returns
  • Bank statements
  • Pay stubs or W-2

A personal loan makes sense in certain situations:

  • You’ve not established a business history
  • You just need a minute amount (banks don’t feel comfortable giving out small amounts in a business loan)
  • You don’t have a sufficient collateral

While a business loan makes more sense for larger companies, it’s much harder for small or startup businesses to attain. So, if you can’t get a business loan, a personal loan may be what you need to get your business off the ground and running.