by Priscilla Huff, Work-from-Home Helper (see more from this expert)

Sooner or later, every business will need capital to start up, expand and/or survive. Though the good news is that more loans are being given to women business owners, the bad news is that your loan application may still be rejected -- not because you are a woman, but because bankers want to feel confident that you and your business are a good "investment." Here are some guidelines to help you:

1. Preliminary Steps:

Assemble the following (your accountant can assist you):

  • A business plan (most important tool for obtaining a loan)

  • Your business' cash flow projections

  • 3 years company tax returns (if applicable)

  • A personal financial statement

2. Research

  • Talk to your own financial institution first. They are familiar with you and may be able to make some recommendations. Ask them what kinds of businesses they give loans to.

  • Talk to other women business owners in your area or in your industry who may give you tips, or leads on lending institutions with which they were successful in getting a loan.

  • Check with community business associations like the Chamber of Commerce, a home business association or a local chapter of the National Association of Women Business Owners to see what microlenders exist in your town. They may also be able to inform you of the existence of "angel" investors: local businesses that invest in other local businesses.

  • Ask your state senator or state representative if there are special state loan programs for women and minority business owners.

  • Contact your local Small Business Development Centers and/or Women's Business Centers, which are sponsored by the U. S. Small Business Administration (SBA), for information about the availability of SBA LowDoc Loan Programs.

3. What Lenders Want to See:

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