Lending application checklist
This checklist is a useful snapshot of the things banks may need to see from you when making a lending application. These are the standard requirements – individual banks may provide more detailed guides to help you prepare a lending application, so you should always check what additional information you may need. But this checklist provides a good starting point.
Please note that banks may not ask for all of the information listed below in every case. For example, if you are an existing customer a bank might not ask you for a business plan. If you are interested in applying for finance you should go through the checklist and tick the boxes to double check that you have gathered all of the standard information you might need, before starting your lending application.
| New and Existing Customers | Start Ups | ||
|---|---|---|---|
| First, outline what you need | |||
| State how much you would like to borrow – because the bank needs to quantify your request | State how much you would like to borrow – because the bank needs to quantify your request | ||
| State why you would like the finance – so the bank can check it is for a suitable business purpose and decide which type of finance best suits your needs | State why you would like the finance – so the bank can check it is for a suitable business purpose and decide which type of finance is best suited to your needs | ||
| State long you would like the finance for – the bank needs to know the term of the loan to help assess affordability and ensure the right finance is suggested for your business needs | State long you would like the finance for – the bank needs to know the term of the loan to help assess affordability and ensure the right finance is suggested for your business needs | ||
| Next, demonstrate your financial viability. This enables the bank to assess your ability to repay the loan. You need to provide: | |||
| Your management accounts | Your cash flow forecast | ||
| Your cash flow forecast | Any assets | ||
| Any assets | Your business plan | ||
| Your business plan | |||
| Any historic accounts | |||
| Finally, disclose any information that might help your application | |||
| Profile the owner and/or management team – this helps the bank assess your capabilities | Profile the owner and/or management team – this helps the bank assess your business capabilities and experience | ||
| The owner’s investment in the business – this shows the owner’s investment relative to the bank’s proposed investment | The owner’s investment in the business – this shows the owners investment relative to the bank’s proposed investment | ||
| Whether or not security is available – this shows whether you have security to support your proposal | Whether or not security is available – this shows whether you have security to support your proposal | ||
| Other business interests – this allows the bank to assess any other commitments you have | |||
Download the factsheet in PDF format - here.
