Small business loans are a popular form of business financing. They can provide you with the money you need to run your business, expand your operations, and grow. They also offer some of the best rates and terms of any other financing option on the market.

If you’re looking at small business loans, here are a few tips that can help you nail your application.

Learn Your Credit Score

When it comes to small business loans, your credit score plays a significant role in your approval, as well as how much you receive and your interest rate. Before you start looking at your options, take some time to find out your credit score and review your credit history.

Know Your Reason for Applying

While you can use small business loans for almost anything your business needs, it’s beneficial to know why you’re applying in the first place. A lender may ask, and the reason can help them ensure you get what you need.

Check Out Multiple Lenders

Don’t settle for the first lender you find. Research your options. There are many small business loan lenders, including large banks, credit unions, and online lenders. Each offers different rates and terms, and they all likely have different fees. Understanding what each offers (and what they charge) can help you find the best deal.

Gather Your Documents Early

Small business loan lenders will ask for several pieces of information, including bank statements, business information, tax returns, and more. Gather all of your essential documents and keep them in a safe location. That way, when you need to provide them, you’ll have them ready to go.

Be Ready to Work with the Lender

Your lender might not ask for all of your documents upfront. Or, they may request additional information that can help them during the underwriting process. If your lender reaches out for something, reply promptly. The sooner you provide the necessary information, the faster you can receive a decision.

If You’re New, Consider Waiting

Small business loans may be one of the most popular and desirable options, but they’re not for everyone. Most lenders require at least two years in business, a good credit score, and a set minimum annual revenue. If you’re a new business, you’re less likely to receive approval. There are, however, other options that may be more suitable for your needs. You can work to build up your credit and establish yourself. Then you can apply for a small business loan later.

Get the Funds You Need to Run and Grow Your Business

Whether you need additional capital for more inventory, new equipment, or a second location, small business loans can be incredibly beneficial. Doing your research and preparing ahead of time can help ensure a smooth, quick process.