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Rejected Business Loan Application: What to Do Next?

Your business loan application has been rejected. Your bright vision of a simple startup venture suddenly turns gloomy and you have no idea how on earth you can bounce back after this. Yes, rejection is a common part of being human. There may have been other instances in your life in which you were rejected, yet, this may very well be one of the heaviest that you have ever experienced. Well, allow us to turn that frown upside down, as with all things in life, there will always be a solution and another chance for you. You may ask, what do I have to do in order to pass my next business loan application then? Look no further than our tips:

1) Never hesitate to ask for help.

You may ask assistance from a consultant regarding the next step that you would do. More often than not, there are details that we may have missed, causing the incompletion of our loan requirements, thus, ending in a negative result. A consultant may be able to point out your mistakes and shortcomings, and may even provide you with some valuable tips on how to bag the business loan application the second time around.

2) Be sure to garner feedback regarding the rejection.

Remember in your high school days, when you asked your parents to raise your lunch money, only to receive a firm “no” and a scolding to top it off? Your parents would explain why you were not granted such hefty request. The same goes for rejected loan applications; you must know why your business plan and ideas were rejected in the first place. You are bound to make the same mistakes over and over again if you do not know where you went wrong, so asking about what to improve on would definitely help you prepare the next time you decide to apply for a business loan.

3) Smoothen out your business plan and proposal.

It may have been due to the fact that your business ideas were not presented in a very complete and convincing manner, thus your application was rejected. Analyze what went wrong and focus on either changing or improving on that. Point out the weak part of your business proposal and convert it to a formidable plan, well enough to convince the lenders to chime in on your venture. Remember, not everyone succeeds on the first try, so be sure to give it another shot.

4) Settle your past debts.

Alas, the past always tends to get in the way of our future, especially if there are still unsettled concerns which were not dealt with. Your records may have been the reason for the lending company to reject your proposal, as any company or institution would have second thoughts approving your business plan if you were not even responsible enough to settle recent debts. One main way of showing that you are capable of fulfilling your future tasks ahead is by fixing your past records and resolving your unsettled accounts.

When you’re ready to give it another try, get a jumpstart on your business venture with a trusted name that offers only the best service possible Cebuana Lhuillier’s Lucky Loan is definitely your top choice. It is a multi-purpose loan offered to registered entities such as tricycle operators, credit cooperatives and other groups, as well as SMEs such as restaurant and mini groceries, among other businesses. Our network of more than 2,200 Cebuana Lhuillier branches and online presence give customers unlimited access and utter convenience in applying for a loan. Our five-point application to disbursement process ensures services are delivered on time. So what are you waiting for? Visit your nearest Cebuana Lhuillier branch now – we assure a fast, easy and secure transaction.

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