Texas Business Loans

The great state of Texas has a rare and flourishing economy, it is considered by many to be one of the best states in the country to do business. The old saying, “Everything’s bigger in Texas” certainly pertains to their local economy, as the state has one of largest economies in the country. With a GDP of over $1.6 trillion the growth of states economy has blossomed over the last quarter century. Known for years as strictly an oil and gas powerhouse, a variety of other industries have recently become key elements in the state’s economy. Texas’s economy today relies on the manufacturing, agriculture, information technology, electric power, banking, an oil and gas industries to pioneer their economy.

Getting a small business loan in Texas is similar to getting a business loan in any other state. Here are some steps you can take:

Determine the loan amount and purpose.

Lenders are interested in how much money you want to borrow and how you’ll use it. The most common small business loan uses are buying equipment, covering cash flow gaps, and expanding operations.

Review your credit history.

Check your credit history to ensure they’re accurate and up-to-date. Correct any discrepancies before applying for a loan.

Research lenders.

Look for lenders that offer small business loans in Texas and compare their rates, terms, and requirements. It’s best to consider both traditional banks and alternative lenders. But with online lenders, you’ll be able to apply for a loan online no matter which state you’re from.

Prepare your loan application.

Gather financial statements, business plans, tax returns, and other documentation lenders may require. The requirements vary depending on the lender you’re working with, so it’s important to ask for a complete list of the necessary paperwork.

Apply for the loan.

Submit your loan application to the lender. Be prepared to answer questions and provide additional information if needed.

Wait for a decision.

The lender will review your application and make a decision. If approved, you’ll receive a loan agreement that outlines the terms and conditions of the loan.

Accept the loan offer and get funded.

If you choose to accept the offer, be sure to carefully review the repayment terms, interest rates, and fees. Sign the loan agreement and provide any additional information requested by the lender. Once complete, they will forward the amount to your business bank account.

It’s important to note that Texas has several programs and resources to help you access financing, including the Texas Small Business Development Center (SBDC) and the Texas Economic Development Corporation (TEDC).

Texas’s oil and gas industries impact is enormous, making up more than 9% of states GDP and contributing over $130 billon of revenue to the state’s economy annually. The state is home to more than a quarter of the country’s largest oil fields and over a third of the country’s oil reserves. Being so dependent on one single industry is dangerous for the state economy; it causes the entire local economy to struggle when things aren’t going smoothly. Equipment financing and business loans in Texas provide businesses the opportunity to purchase new machinery and properly manage expenses.