Prepare and defend a Loan Application from a small business perspective.
Complete the following.
1. Obtain a loan application (online or from a physical location) from a bank or the SBA for your small business.
2. Fill out the application and avoid providing personally identifiable information.
3. Prepare a defense plan for any weaknesses discovered during the application process. You can consider addressing a history of bad debts, bankruptcy, a poor credit rating, or a similar issue. For example, if your small business has a history of serious bad debt, your strategy in tackling customer delinquency through tightened credit policy and reinforced collection will be effective approaches.
Please do not simply consider your small business is free of weakness. Here you can improvise a little bit by taking into account of a commonly encountered scenario for small business and create your improvement plan accordingly. When writing, consider your audience being a lender from which you try to get loan approval.
4. Attach the loan application form(s) you filled out in the assignment section preferably in one file.
Rubric for SA4 (Loan Application Assignment)
|Activities||Possible Points||Actual Points|
|Obtain a loan application from a bank or the SBA||10|
|Fill out the application (attach the form(s) you fill out to earn the credit)||40|
|Prepare a defense for any weaknesses discovered during the application process. You will need to address a history of bad debts, bankruptcy, a poor credit rating, or a similar issue.||50|