Is your dental practice poised for growth?
Then you need a small business loan. A loan can help you hire new employees, buy equipment, increase marketing, pay off high-interest debt and more.
In order to make sure you get the most out of your financing, here are the top five things smart dentists do before they apply for a loan.
#1 – Smart dentists….understand the different types of funding.
Different loan products and lenders have different features and benefits. There are SBA loans, peer-to-peer lenders, credit cards and more. Investigate each before you make a decision. Typically, SBA loans have the lowest rates, longest terms and lowest monthly payments.
#2 – Smart dentists…build and maintain high credit scores.
Business and personal credit scores are both important. Lenders use them to determine repayment ability and interest rates. Low credit scores decrease your chances of getting a loan. High credit scores qualify you for the best rates and the lowest monthly payments.
#3 – Smart dentists…organize their business records.
When you apply for a loan, you need to produce bank statements, personal and business tax returns, lease agreements, a list of business assets and more.
Do you have these readily available? Most bookkeeping applications like Xero and Quickbooks includes features that make producing these documents a breeze. Your accountant may also have some time saving advice on how to gather these documents quickly.
#4 – Smart dentists…seek advice from mentors.
Experienced mentors are a valuable resource before, during, and after the loan process. Finding a mentor can be as simple as dialing another dentist in your local area. A short conversation may be all it takes. Local organizations like your local Small Business Development Center or SCORE office are also helpful.
#5 – Smart dentists…look into an SBA loan first.
SBA loans offer some of the lowest interest rates, longest terms and lowest monthly payments. An SBA loan’s attractive rates make it great for working capital, consolidating high-interest debt, or buying new equipment.
Apply for a business loan like smart dentists do.
Avoid a costly financing my by understanding your options, maintaining a high credit score, organizing your records, seeking advice, and looking into an SBA loan first. If you would like to be prequalified for an SBA loan in less than 5 minutes, enter your information here. Checking will not impact your credit.