What Documents Are Required For An LLC Loan?

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Key takeaways

LLC business loan document requirements are similar to those of other types of business loans
Lender and loan type determine the type of documentation needed
You’ll need documentation about yourself and your business finances, including tax returns and debt schedules

Limited liability companies (LLCs) are a business structure that provides the owner with legal protection, separating the business from personal assets and risk. Because the documents needed for LLC establishment are limited and managing the company is fairly simple, it’s a popular choice for small business owners.

Those owners often seek out loans to support their companies. As they start the LLC loan shopping process, business owners can also start gathering the documentation they’ll need to apply for loans. Be aware that different types of LLC loans and different lenders often have differing documentation requirements. There are still some requirements that broadly apply, though.

So, what documents are needed for LLC loans? We’ve gathered up LLC required documents into general categories to help you prepare.

Documents needed for LLC business loans

We’re talking about the documents needed for LLC loans here but be advised that these don’t really differ depending on your entity type. The documentation to get a loan as a C-corp or S-corp, for example, won’t necessarily be different from an LLC’s required documents.

For any small business loan — including alternative options like business lines of credit — you’ll generally need to provide documentation in three different categories:

Documents about yourself

Lenders often want to see substantial information about your personal finances before approving you for a loan. The reason is that your personal finances can give lenders a window into how you will handle finances for your business. Be prepared to provide:

Your name
Your address (and, if different, your business address)
Your Social Security number
Your date of birth
Personal bank statements
Personal tax returns

Documents about your business

Lenders want to know if your business can afford to repay your loan and is stable. They also want to make sure you’re actually the owner. To prove all of that, collect:

Business bank statements
Business tax returns for the last three years, if available
Receipts from quarterly tax payments
Profit and loss statements, plus other cash flow documentation
Business tax ID number or EIN, which acts much like a Social Security number for businesses. (if you don’t already have one, you can apply for one online through the IRS).
Business licenses and permits, if applicable
Foundational documents, including articles of organization
Business lease information, if this applies
Outstanding invoices, especially if you’re applying for invoice factoring or financing
Business debt schedule

Documents for SBA LLC loans

U.S. Small Business Administration-backed loans are designed to improve access to capital, supporting growth and recovery for small businesses that don’t qualify for other financing. The SBA works with approved lenders to back the loans. As a result, these loans typically require additional documentation not required with conventional loans, including SBA-issued forms. In addition to the documents needed for LLC loans that we’ve already outlined, borrowers should also be prepared to provide:

Information about how much you need and how an SBA loan will help the business
Projected financial statements and/or a financial plan for the future
SBA forms, which vary by loan type (for example, 7(a) loans require Form 1919 and Form 413) and can be downloaded from the SBA’s website

Where to find an LLC business loan

Now that you have a handle on the documents needed for LLC business loan applications, you can start the application process. You can explore getting a loan from traditional banks and credit unions, online business lenders and lenders who offer loans backed by the SBA. Each lender will offer different benefits and features.

Bank lenders tend to offer the lowest interest rates, but may require high revenue and strong credit. Online lenders can offer fast financing with lenient eligibility requirements, but you may pay a higher loan cost than with other loans. And SBA lenders offer SBA loans with competitive rates and long terms, but you will need to be patient since the loan application process takes longer.

Experts recommend choosing at least a few lenders and applying with each of them. This lets you see the details of your potential loan options so you can make sure you’re getting the best deal.

Again, you won’t be seeking out LLC loans specifically. Instead, you should look at small business loans in general. Getting an LLC loan means choosing the right small business lender that offers the loan type you need with a competitive interest rate.

Bankrate insight

The best LLC lenders offer competitive interest rates paired with good customer service and plenty of loan options. Compare your choices from at least three to ensure you’re choosing the right financing option for your LLC.

Bottom line

In many cases, LLC loans will require the same documentation as other business loans. Your LLC’s required documents will vary depending on your lender — traditional lenders often have more extensive requirements than online ones, for example.

Before applying, make sure that you research multiple lenders to find the best deal on your LLC loan. As you narrow down your lender options, make sure you’re doing so with a long-term plan in mind. You should only take out an LLC loan if you’re confident you can manage it. That way you can keep your business running smoothly and build positive business credit as you make business loan repayments.