If you are a business owner or an aspiring entrepreneur, you may have a dream of taking your business to the next level. You may have a brilliant idea, a passionate vision, or a unique opportunity. But you may also face a common challenge: how to get the funding you need to make it happen.
You may have heard of various options for business financing, such as bank loans, angel investors, venture capitalists, or crowdfunding. But you may also have doubts about their availability, suitability, or affordability. You may wonder if there is a better way to get a business loan that meets your needs and goals.
Well, there is. And it’s Discover.
Discover is a financial institution that offers personal loans for business purposes. These are loans that you can use to start or grow your business, with competitive rates and no fees. You can borrow from $2,500 to $40,000, with repayment terms from 36 to 84 months. You can apply online or by phone, and get a decision in minutes. You can receive your funds in as little as one to two business days. And you can enjoy the excellent customer service and financial resources that many know Discover for.
Sounds too good to be true? It’s not. It’s real. And it’s possible. Explore this article to learn how to get a business loan from Discover in five easy steps. Also, you are going to know the benefits and features of Discover personal loans for business purposes, and answer some frequently asked questions. Are you ready? Let’s get started.
To get a business loan from Discover:
- Understand Discover Scope of Service
- Assess Your Business Needs
- Prepare Your Business Plan And Financial Documents
- Check Your Eligibility And Pre Approval Status
Choose Your Loan Terms And Submit Your Application - Verify Your Information And Sign the Loan Agreement
- Receive Your Funds And Start Using Them for Your Business
1. Understand Discover Scope of Service
To obtain a business loan from Discover, understand Discover’s scope of service. Discover is a financial institution that operates mainly online, with only one branch in Delaware. It offers a range of products and services, such as credit cards, online banking, personal loans, student loans, and home loans. One of the products that Discover offers is personal loans for business purposes. You can use these loans to finance a startup or an existing business, with competitive rates and no fees. Discover personal loans for business purposes range from $2,500 to $40,000, with repayment terms from 36 to 84 months. To apply for a personal loan for business purposes, you need to be a US citizen or permanent resident, at least 18 years old, and have a minimum household income of $25,000. Discover does not offer traditional business loans, such as term loans, lines of credit, or SBA loans. However, it does offer other options for business owners, such as cash-back credit cards and cashback debit accounts.
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2. Assess Your Business Needs
To apply for a business loan with Discover, assess your business needs. One of the first steps to getting a business loan from Discover is to assess your business needs. Have a clear idea of how much money you need, what you want to use it for, and how you want to repay it. Here are some questions to help you assess your business needs:
- What is the purpose of the loan? Do you need it to start a new business, expand an existing one, buy equipment, hire staff, or cover operating expenses?
- How much money do you need? Do you have a realistic estimate of the costs and revenues associated with your business plan?
- How long do you need the loan for? Do you need a short-term or a long-term loan? How quickly can you repay the loan?
- What is your credit profile? Do you have a good credit history and score? Do you have any outstanding debts or liabilities?
- What are your alternatives? Do you have any other sources of funding, such as savings, investors, grants, or crowdfunding?
3. Prepare Your Business Plan And Financial Documents
To acquire a business loan through Discover, prepare your business plan and financial documents. Before you apply for a loan, have a clear idea of how much money you need, what you want to use it for, and how you are going to repay it. Have your personal and business financial statements ready, such as your income, expenses, assets, liabilities, and credit history. These documents can help Discover evaluate your creditworthiness and ability to repay the loan.
4. Check Your Eligibility And Pre Approval Status
To get a Discover business loan, check your eligibility and pre-approval status. Discover offers personal loans for business purposes to US citizens or permanent residents who are at least 18 years old and have a minimum household income of $25,000. You can check if you are preapproved for a loan without affecting your credit score by filling out a short online form on Discover’s website. Provide some basic information, such as your name, address, date of birth, income, and loan amount. You can then receive an instant decision and see your estimated interest rate and monthly payment.
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5. Choose Your Loan Terms And Submit Your Application
To request a business loan from Discover, choose your loan terms and submit your application. If you receive pre-approval, you can choose the loan amount and repayment term that best suits your needs. Discover offers personal loans for business purposes ranging from $2,500 to $40,000, with repayment terms from 36 to 84 months.
The interest rate and monthly payment vary depending on the loan amount, term, and your credit profile. Once you have selected your loan terms, you can submit your application online or by phone. Provide some additional information, such as your Social Security number, employment details, bank account information, and financial documents.
6. Verify Your Information And Sign the Loan Agreement
To access a business loan via Discover, verify your information and sign the loan agreement.
After you submit your application, Discover reviews it and verifies your information. You may be asked to provide additional documents or proof of income or identity. You can upload these documents online or send them by mail or fax. Once Discover approves your application, expect an email with a link to sign the loan agreement electronically. You should read the agreement carefully and make sure you understand the terms and conditions of the loan.
7. Receive Your Funds And Start Using Them for Your Business
To obtain a Discover business loan, receive your funds and start using them for your business. Once you sign the loan agreement, Discover deposits the funds into your bank account within one to two business days. You can then start using the money for your business purposes as planned. You should also set up automatic payments from your bank account to avoid missing any payments or incurring late fees. You can also track your loan balance and payment history online or through the Discover mobile app.
Recap
To qualify for a business loan from Discover, Familiarize yourself with Discover’s range of services and evaluate your business requirements. Create your business plan and gather financial documents and confirm your eligibility and pre-approval status. Select your loan terms and complete your application and validate your information and sign the loan agreement. In addition, receive your funds and put them to work for your business.
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