Beyond Banking: Our Small Business Loans
Accion goes beyond banking to work with business owners who are not able to obtain loans from traditional lenders. If you are determined to start or grow your small business and are committed to good credit management, Accion East can provide the small business loan or alternative financing you need.
Basic Loan REquirements
Your loan consultant will work with you one-on-one to walk you through our loan requirements when you apply. But before you get started, learn about our basic loan requirements below or check out our FAQs by clicking here . In general, to qualify for a loan you must:
- Have a credit score of 525 or more.
Find out if you are likely to meet this requirement: use MyFico's Credit Score Estimator for free, or obtain your actual credit score for a small fee at AnnualCreditReport.com
- Have not have declared bankruptcy in the past 12 months or foreclosure in the past 24 months
- Have not had any late rent or mortgage payments in the past 12 months
- Be up-to-date on all bills
- Not have more than $3,000 in past due debt, generally acquired under emergency circumstances (such as layoff or illness)
- Exhibit steady cash flow and the ability to support monthly loan payments. Learn More
- If you have a mortgage, it must be fixed-rate or an adjustable rate mortgage that does not adjust during the term of the loan.
- Additional security may be required depending on strength of application.
Accion cannot consider businesses involved in the following: weapons sales, real estate development, money lending or financing, multi-level marketing programs, illegal or polluting activities, or adult businesses.
Special requirements for Emerging and Transition business loans
Emerging business loans: for businesses that have six or more months in operation, but are not yet profitable
Transition business loans: for the purchase of an existing business or change of business location
- Six or more months in operation are required. You must be prepared to show 6 months of business revenue before applying for a loan.
- Must provide a qualified cosigner
- A market study and 12 months of projected financials (or a business plan) are requiredIf the business is not yet profitable, a borrower must have external income that is fully able to support the loan. If this income is spousal income, the spouse must sign on the loan.
Special requirements for Sprout loans
Sprout loans: a $1,000 - $10,000 loan for individuals who are looking to start a home-based business or have had a home-based business for less than six months.
- Between zero and six months of business sales
- Business located at home or in an incubator
- Less than $500 in past due debt
- Must present your two most recent paystubs
- A business plan with a 12-month cash flow projection