Small business loans are no more a hassle to get. Are you considering getting one to start your business too? Then, you have arrived at the right place.
Hancock Whitney is an agency dealing with loans and other financial assets. Small Business Administration saves lenders from several risks and eases the task of accessing capital. With the competitive loan terms and the unique benefits, every business seeks loans.
Hancock Whitney’s small business loans are in the market, gaining the popularity they deserve for their many benefits and features.
An Overview of Hancock Whitney’s Loans
Centuries ago, the founders of Hancock Whitney realized the need for such a financial institution. To make their dream a reality, the founders put their efforts into curating business foundations that reflect the character and community of the Gulf of South.
Today, Hancock Whitney stands as one of the strongest and safest banks in the country. Hancock Whitney extends its historical achievements and commitments to each of its customers. They open their services from families to business parties.
Additionally, the bank offers mortgage loans, personal loans, and other loans besides loans for your small business. The Hancock Whitney Bank under the Hancock Whitney brand offers contemporary solutions to banking.
These solutions include solid ideals of the institution involving pride and confidence in their origin. The company stands by its mission and promise to its associates and its large network of clients.
Types of Loans Offered by Hancock Whitney
SBA is meant for fulfilling your requirements of capital while starting a business on a small scale. It can be private holding or a group of business persons sharing the loaned amount to begin their company’s share.
However, there are different finance options at Hancock Whitney to cater to your small business financing requirements.
Small Business Financing
Whether it is for starting up your small business or expanding an established business, a business loan poses to be the backbone of your capital. Hancock Whitney offers various flexible finance options to fulfill your business needs. Additionally, an SBA Express loan offers several SBA benefits.
Business Line of Credit
With a line of business credit, you get the benefit of accessing business funds at competitive rates. Additionally, the agency also has a fixed rate option that allows you to make bigger purchases without an extra loan.
Business Equity Line of Credit
A Business Equity Line of Credit is more or less similar to the Business Line of Credit. It enables you to use your home equity loans to make up for larger line amounts. Additionally, your interest may be subject to tax deductions.
Any business calls for equipment, expansion of projects, etc., that require long-term financing. This type of financing must be made in monthly intervals at a fixed rate. The term loans vary according to the purpose of the loan and the collateral type.
When you restart any project, funds are required to break new ground. With construction loans, you can expect to have funds while paying the interest on the borrowed amount.
Leasing allows you to access the benefit of increasing the productivity of your business. The agency manages the equipment lifting and offers a suitable lease to your best interests. This way, you can save capital and use them at times of emergency. You also get to enjoy the tax returns.
Equipment financing enables an end-to-end lending solution required for prospects and structures to create support for credit and management of assets. The experts of Hancock Whitney guide you through the processes of financing business cycles, seasonal needs, or other requirements.
What Lending Criteria Does the Bank Have?
The lending criteria followed for the SBA loan at Hancock Whitney is almost similar to any other bank. It’s simple and easy to follow.
Build Your Business Credit Score
Hancock Whitney requires you to have good records of credit scores to qualify for an SBA loan.
Small business lenders need their borrowers to have a personal credit score to justify their state repaying the loan. You can improve your credit scores by rectifying the inaccuracies in the credit report and paying your debts and bills on time.
Fulfill the Minimum Qualification Required by the Bank
You need to be on the same page as the qualifications required by the bank for applying for an SBA loan from Hancock Whitney. However, there may be some criteria the bank might be willing to be flexible with. Nevertheless, it’s better to be sound with the requirements for the loan so that you face not even the slightest possibility of facing any problem later.
Keep All the Financial Documents at Hand
Like any other bank, Hancock Whitney Bank requires some important documents that state sensitive information about the borrower. The financial and legal documents that are necessary for an SBA loan could be many.
- Commercial leases
- ID and address proof
- Balance sheet and income statement
- Personal and business income tax returns
- Business licenses
- Financial projections
- A resume of relevant management or business experience
- Incorporation articles
A Strong Business Strategy
The bank requires details about the reason for applying for a loan. In other words, you will need to provide evidence about your plans to use the borrowed amount.
Your business plans should include a proper company description, a promotional sales pitch, SWOT analysis, industry analysis, facilities and operations, current and projected financials, management team, etc.
Your business plans should ensure a proper cash flow to assure the bank consistently repaying the money they lent the borrowers.
Business collaterals are assets that back up your loan. These assets could be your business equipment, real estate, or inventory. If you fail to pay the money you borrowed from the lender, they can seize these assets to recover the money you loaned.
Hancock Whitney’s Interest Rates, Fees, and Loan Options
SBA loan rates are relatively more affordable than any other loan rate. Therefore, SBA loans are the best financing products offered to small business owners.
The interest rates, fees, and loan options available at Hancock Whitney’s bank are similar to the current rates in the market.
- The SBA loan interest rates are set at the maximum, and Hancock does not charge anything different.
- The prime rate of interest at Hancock Whitney Bank is 3.25%.
- At Hancock Whitney, the interest rate, therefore, ranges between 6-8%.
- If you have a good credit history, the bank might charge a lower interest rate.
- Additionally, the bank does not charge anything more than 8%.
- Although the bank cannot charge more, SBA loan rates can be either fixed or variable.
- Ideally, all banks charge a large interest rate for a larger business loan.
- Additionally, the U.S. economy influences the variability of the interest rates of SBA loans.
- Also, it is important to know that SBA Express loans have higher interest rates.
- The rates range from 4.5% to 6.5%.
The loan amount and the period of maturity influence the loan fees. Ideally, lenders should pay the SBA guarantee fee, but others pass the liability to the borrowers. Nevertheless, the SBA confines the maximum amount to be charged.
- No fee is incurred for loans below $150,000.
- Any loan amount beyond $150,000 maturing within a year bears a fee of 0.25%.
- When your loan is more than $150,000, it takes more than a month to mature.
- Any loan between $150,000 and $700,000 requires you to pay 3% of guarantee fees.
- A loan ranging between $701,000 and $1 million costs you a fee of 3.5%.
- A 3.75% fee needs to be paid on loans more than $1 million.
Hancock Whitney’s Application
Once you have decided on a loan from Hancock Whitney, all you need to do is fill out their simple application form. They would also require you to submit certain documents that state your eligibility for the loan and their records.
Gather the necessary documents to fill out the application. The documents would include your business and bank details along with the details of the business owners. Once you have entered your personal, financial, and business details, preview your loan application.
The loan application asks for your ID and address proof, bank details, income status, etc. It will also require your Social Security Number, balance sheet, and business licenses.
Summary of Hancock Whitney’s Loan Options
When you would like to be involved in loans, it is always wise to review and compare all lenders before applying for SBA loans. Small businesses need investment and capital, which can be managed via loans.
Hancock Whitney’s loan options are reasonable and are grabbing the interest of its customers. We’ve reviewed their loans based on various factors important for small businesses for you to make the right choice.
It would, however, be great to have choices at hand. Therefore, you can learn about other options via reviews before you make up your mind.