The veterans have a hard time adjusting in civilian lifestyle. To help them adjust, they might need to get a job. Sometimes, they have to struggle more than an average civilian when looking for a job.
This is because they might not have much experience. So, to maintain a lifestyle, they often start a business. According to the SBA report, in the US, veteran-owned businesses consists of one-tenth of the business economy. In the report, it was mentioned that these businesses employed approximately 5.03 million people; the annual payroll is $195 billion.
For starting up their business, they might need capital. Since they were deployed to different places, they don’t have the required capital. This is where a VA business loan comes in handy. It is loan provided to veterans for starting, growing or improving their businesses.
Now that you know about the VA business loan. Have a look at the requirements of this loan.
How You Can Apply for VA Business Loan?
Though the loan is not directly provided by SBA, they have various SBA programs. This is useful for decreasing the risk of lenders. It encourages the lenders to offer small business loans through the SBA programs.
If you want to get a VA loan through SBA, you need to fulfill the following requirements. You will have to provide complete documents including:
- If the spouses are applying for the loan, then they need to provide proof of marriage
- Military identification forms
- Military discharge papers
- Business paperwork like bank statements, business licenses, balance sheets, and legal proof of ownership.
How to Qualify for a VA Business Loan?
If you want to increase the chances of loan approval, you need to make sure you are qualified for this type of loan. There are many requirements and steps for getting an approval for VA business loan. By now, you will know that you need to prove that you an eligible veteran. This is why you must provide evidence that you are a member or was a former member of the military.
There are many other requirements, have a look at the requirements of the VA Business Loan.
- You must do business in the US
- It is essential to operate for profit
- Your financial resources must be exhausted
- You should have equity invested in the business
- You should meet the guidelines set by the SBA
- The need for a loan must be clearly expressed
- You should not be delinquent on any government debts or taxes
- At least 51% of the ownership must be by either one, honorably discharged veterans, active reservists, current spouses of any veteran, widowed spouses of the member died on duty, or active duty military service members.
- You will need a copy of the form DD 214, it is for the members of the military who are not dishonorably discharged.
Therefore, you will need the help of professional if you want to increase the chances of getting approved for the loan. A professional will be able to help you fill the forms and gather all the required documents. So, reach out today to get more details.