Yes. You can use a Sole Proprietorship, LLC, S Corp or C Corp. However, banks prefer to lend to individuals that have formed LLC’s or Corporations. Forming a business entity shows the banks that you are serious about your new venture and that you are willing to take the correct steps to legally protect it. Don’t have an entity yet? That’s no problem, we can help get your business started correctly no matter what state you are in.
The Rise Capital program is the result of vast amounts of bank research, credit bureau research, legal consultation and trial and error. Our level of understanding comes from the ability to compare and contrast thousands of applications and the resulting credit granted. It may seem like it’s too good to be true, but in fact the results of our program aren’t magic, they are simply the function of experience, technical knowledge and a lot of hard work.
There are no officially set minimums on annual sales to become a client and the Rise Capital program is STATED INCOME. However, it is of the utmost importance that you are truthful in your statements of business information as banks will be comparing your statements with their own research and due diligence.
The CEO’s credit score is by far the most important aspect, but at least one of the partners in the business should have a credit score of 680 or higher. Banks believe that if you have been vigilant in achieving a high personal credit score then it is likely you will apply the same financial responsibility to your business. Banks want to see consistent repayment history over time and the stronger your credit is the more they will be willing to lend.
There is no risk to you or your company other than the owner will receive inquiries on their personal credit report and those can have a minimal negative impact on the personal credit score for up to 6 months.
Any type of Business is eligible for the Rise Capital program; however, businesses with clear paths to profitability are preferred. Remember, the credit lines will help get your business up and running fast, but you do have to service the debt, so be sure you can start ringing up sales quickly.