July news & updates

What's Inside:

  • Credit Score 101
  • Client Spotlight
  • Advisor Spotlight
  • Upcoming Events

Credit Score 101

So What Score is Needed For a Loan?

varied lenders have varied views on what constitutes a respectable credit score. While some desire flawless credit, others may accept lesser scores if sufficient funds and/or collateral are given. For certain lenders, it all depends on what the loan is for. If the bank has a lot of expertise with a particular Business Industry, they can be a little more lenient with the credit score requirements for that Industry than they would be with a different Industry. It's helpful to know that you can ask more than one bank. 

As a General Rule of Thumb

  • 700+ and a good business plan : you are usually going to be lendable
  • 680-700: typically still good with strong business plan & financials
  • 650-680: sometimes depending upon market conditions, not as guaranteed even with good plan & financials
  • 600-650 : sometimes local gap financing groups will work with you by providing some financing & taking a Secondary position on the Lien so a traditional lender might get on board. SBA will go as low as 620, but the issue is finding a participating SBA eligible lender willing to go that low. Your Local Kansas SBDC Advisor will know your options.
  • Below 600: no one is going to lend to you until you repair your credit.

What's the best way to Repair/Improve your Credit Score?

One of the best suggestions to help repair your credit is to look at your credit report & look for the bigger dingers to your score like " uncollected write-offs" - we have seen people denied loans go back and offer to pay 25-50 cents on the $1 for $100 old cell phone bills to the companies to remove the item from their credit report. When the company agrees and removes the item, we have seen scores improve 30-50 points in 30 days. Aside from that, there isn't much we can help you with until your credit score improves to a lendable range of 600-650+. While a bank will run your credit through there preferred Credit Rating Agency during Loan Review, www.CreditKarma.com can allow your a Free way to get a ballpark score.

Visit our site at BECOME A CLIENT for more information.

Upcoming Virtual & In-Person Events

Virtual Events (Free Unless Noted)

  • July 11, $24 - Fundamentals of Business
  • July 13, 2:00 PM - Business Plans 101
  • July 19, 8:30 AM - Marketing Meetup
  • July 20, 2:00 PM - Employee Retention Credit Program

In-Person (Free Unless Noted)

  • July 11, 10:00 AM, (JCCC), $24 - Mapping Your Pathway to Success
  • July 12, 5:30 PM (WU) - How to Start a Business
  • July 18, 1:30 PM (JCCC), $30 - Trademark & Copyright Basics
  • July 19, 1:00 PM (JCCC), $45 - IRS Small Business Tax Workshop
  • July 27, 9:00 AM (JCCC), $20 - Kansas Retail Sales and Compensating Use Tax
  • July 27, 1:30 PM (JCCC), $15 - Kansas Sales and Compensating Use Tax for Construction Contractors

To register for our upcoming virtual and in-person events, click here

Find an SBDC Center near you!

With 8 regional offices and several outreach centers covering the state, no matter where you are, there is an SBDC nearby to help! 

Find Your Local SBDC Office

Call our Kansas SBDC Statewide Call Center - 7 days per week assistance

(800) 949-7661

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Kansassbdc.net | (800) 949-7661 | info@ksbdc.net
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Questions? Don't hesitate to contact our 7 day-a-week assistance line at (800) 949-7661.
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