Partner Logo
Home  > Model Loan Application Forms
 Share  Print Version  Email

Model Loan Application Forms

Simple Alliance, Kenya Limited


Loans

Importance

If your small business is to successfully stand on its feet, it needs to have access to financing. Debt financing is a major method of financing your small business. Usually, such financing is available in the form of business loans. 

Accessibility

So as to procure a business loan, you need to submit your application to various lender entities such as:

  • Commercial banks
  • Credit unions
  • Savings and Credit Cooperative Societies (SACCOs)
  • Other relevant financiers

Loan Application Form

After you register your desire to procure a loan with a lending firm, your chosen financial institution asks you to fill in a loan application form. This form is usually divided into several sections each of which contains different aspects about yourself as well as your business.   

Elements

In the loan application form, you will be required to provide details about issues such as:

  • Your reason for seeking the loan
  • The amount of money that you need

Reason for Pursuing Loan

The information you provide in this section pertain to your motivation for asking for the loan. You specify the capital or non-capital investments that you need to make. You need to carefully consider your real need for seeking a loan. 

The Cash Amount Needed

Based on your reason for the loan, you define the loan amount that you are seeking in this section.   If your planned investment will be for non-costly items, your stated loan amount would be low. On the other hand, if you intend to undertake a major asset acquisition, your loan amount will be high.  Your careful thought is required so as to clearly determine your needed monies.    

Debt Financing Advantages

Debt financing offers you a number of merits, including:

  • Tax rebates
  • Safeguarded business ownership

Tax Discounts

Mostly, the interest payment and the principal on your business loan are treated as business expenses. This expense item is subtracted from your business income taxes.  

Maintained Ownership

So long as you make your instalment payments on time, you have complete control over your business. Your financier has no control over you. This means that you can operate your business as you wish without external interference.   

Sample Bank Loan Application & Review Forms

The attached model bank loan application and review form merges two common loan-related documents, namely:

  • Sample bank loan application form
  • The form small banks use to internally review your loan application

File Description

The sample bank loan application and review form contains a 6-page document in Rich Text Format (RTF). The file can be used with majority of Windows Word processing programs.  

Why Combine

This merge in the bank loan application and review form is useful as it informs you of:

  • The data banks want from prospective debtors
  • How banks utilise this information so as to make loan advancing decisions 

Unique Features

The sample bank loan application and review form file is useful to you in a number of ways, namely:  

  • It offers you a functional outline for use when making a normal loan application
  • It emphasises the pertinent loan principles used by banks to evaluate small business clients
  • It identifies characteristic loan to value ratios for the most frequently utilised collateral for small business loans    

Attachments

Your business could benefit from debt financing. You obtain such business loan financing from lending institutions. A loan application form helps you to provide certain details to your target creditor.  Such details include; your reason for seeking the loan and the amount of money that you need. The advantages of debt financing include; tax rebates and safeguarded business ownership.

Copyright (C) 2016, Simple Alliance Kenya Limited

 Share  Print Version  Email
Comments &Ratings (0)
If you are a human, do not fill in this field.
Click stars to rate.
   Comments are truncated at 1000 characters