By Live Oak Bank
Small business owners often ask us about the loan application process. What is required to apply for financing and successfully complete the process? How long will it take to receive funds? Whether you need financing today or are hoping to gain a better understanding of the loan process to plan for future needs, it is important to know what to expect from application to closing.
Depending on the financial institution you choose, the process and the time it takes to receive funding may vary. Generally, once the loan application and all related documents are submitted to the bank, the rest of the process can take anywhere from two weeks to six months. The timing may vary based on the bank’s experience with lending to the borrower’s industry, the borrower’s responsiveness in submitting the necessary documents and the accuracy and completeness of information collected. At Live Oak Bank, our lending team specializes in various industries and understands the intricacies of those business models, which can make the process smoother.
During each phase of the loan process, a borrower will work with different members of the loan team. The three stages of every loan are the application, underwriting and closing.
To read the full article, visit Live Oak Bank’s website.