A condensed version of an article by BCR’s Jeff Dobbins for NEFA’s Newsline
By applying a few simple strategies at the start of a deal, you can reduce the time it takes to get loans approved by days while increasing your close rate.
Every deal hinges on getting complete and accurate credit information to evaluate a company’s ability to pay. Having a set approach on how and where to get this information will help you determine the appropriate financing and terms for the client, the appropriate credit bureau to use and whether the deal is even worth your time.
On January 10, the National Association of Government Guaranteed Lenders (NAGGL) reported that the SBA had reversed the policy that made DUNS numbers a mandatory requirement to get a credit score on 7(a) loans of $350,000 and under. The new policy, that will be reflected in the technical corrections, due out within the next few weeks, is that a DUNS number is required if it is available. However, if no DUNS number is available, the lender can proceed with credit scoring.