Underwriters want to understand exactly how financing will be used and how that use supports the business.
Common categories
- Inventory.
- Equipment.
- Payroll.
- Marketing.
- Insurance premiums.
- Project costs.
- Expansion expenses.
Be specific
A detailed breakdown is more credible than a vague request for general working capital.
Bottom line
Clear use of funds helps connect the financing request to a sensible business purpose.
Educational information only. Financing and approval criteria vary by funder, product, industry, and applicant. Nothing on this page guarantees approval, terms, or a specific funding amount. Consult appropriate financial, tax, legal, and insurance professionals for advice specific to your business.