7 Steps to Secure a Working Capital Loan for Your Business

From preparing a solid pitch deck to ensuring your goals are clearly defined, here are seven answers to the question, “What are some crucial steps to take with securing a working capital loan for your business?”


  • Craft a Pitch Deck
  • Prepare Your Bank Statements
  • Get Your Financial Health in Order
  • Make Sure You Know What You Are Going to Need
  • Build a Good Relationship With Your Lender
  • Draft a Solid Business Plan
  • Have Clearly Defined Objectives



Craft a Pitch Deck

If you want to secure a capital loan for your business—small, medium, or large—you’d better have an impressive loan pitch. 

It needs to contain two things upfront: a compelling narrative and market research. What is the reason for you to start this business? What inspired you? What is missing in space “x” that your company would cover? 

After that, prove your point with metrics. You can’t convince anyone to invest with you if you haven’t convinced them you’ve dug up and analyzed all the pertinent data points. Get them emotionally invested, but also let them know that you have the math on your side, too. Both things need to be covered early in your pitch deck.

Brittany Dolin, Co-Founder, Pocketbook Agency


Prepare Your Bank Statements

Whenever I am looking to secure a working capital loan for my business, one of the most important steps I take is to prepare my business bank statements. 

It is essential that they are accurate, complete, and up-to-date since they will be used as proof of income and expenditures. This information allows lenders to gauge the overall financial health of your company and helps them determine whether a loan is suitable for you. 

My priority when applying for any kind of loan is always to have my business bank statements prepared in advance so that the process can move forward quickly and smoothly.

Lorien Strydom, Executive Country Manager, Financer.com


Get Your Financial Health in Order

The first thing business owners need to do to secure a working capital loan is to get their financial house in order by organizing their records, financial statements, history, business plan, and other documents. 

This will help them conduct a self-assessment of their business, serving as the foundation for building their strategy. Business owners should then do a comparative analysis of their business and their competition’s performance in the market. They should be frank and forthright about issues that will come up during due diligence, then create a business story that notes the factors contributing to their success, competitive advantage, and recession resilience. 

By creating a clear narrative for the year-to-year growth, a banker will clearly understand what a small business owner has done for the last few years.

Laura Slawny, PR Director, 10 to 1 Public Relations


Make Sure You Know What You Are Going to Need

The biggest ways to secure a working capital loan are: 

  1. Have your books in order. Nothing will kill a process faster than a lender questioning the integrity of your financials. Have clean financials you can explain and you don’t have to call your CPA or bookkeeper. Own the information and the process. 
  2. Know the value to the lender and to your company. Lenders want to make money, and you are the vehicle to do that. Obviously, lenders don’t want to lose money. It would be best if you conveyed you are the former and not the latter. 
  3. Understand the market. How do you do that? You should talk to no less than three providers of capital. You can’t know everything, but you will see trends the more you talk to capital providers. You will understand what they want, how they want it, and what you have to give up in return. Access to capital can be more important than the cost of capital.

Isaac Bunney, Chief Investment Officer, RevTek Capital


Build a Good Relationship With Your Lender

The best way to secure a working capital loan is to have a strong relationship with your bank or lender. You should have a track record of on-time payments and a solid business plan. If your lender knows you well, they may be more willing to take a risk on you.

Matthew Ramirez, CEO, Rephrasely


Draft a Solid Business Plan

One step to take to secure a working capital loan for your business is to prepare a solid business plan that shows your ability to repay the loan. This includes outlining your business goals, financial projections, and a repayment plan that shows how you will use the loan to grow your business and generate revenue.

In addition, it’s important to have a good credit score and financial history, as this will show lenders that you are a reliable borrower. You may also need to provide collateral or a personal guarantee to secure the loan. Once you have prepared your business plan and gathered the documentation, you can approach lenders, such as banks or alternative lenders to apply for a loan. 

Be sure to compare interest rates, terms, and fees to find the best option for your business.

Dan Johnson, Business Development and Sales Manager, Pearl Scan Solutions


Have Clearly Defined Objectives

The first step to take when considering a working capital loan for your business is to assess its financial situation. Consider the amount of money you need, as well as the repayment terms that best align with your business goals and objectives. 

Once you clearly understand what you need and how long it will take to repay the loan, research different lenders to find the best deal. Look at the interest rates, terms, and other fees associated with each lender and determine which one is most beneficial for your business. 

Once you’ve found a suitable lender, contact them directly to discuss your loan options and move forward in securing the working capital you need.

Yusuf Shurbaji, Co-Founder and Managing Partner, Prismfly