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The most challenging loans to get in the course of a business is the loan or loans that you get to first start it up; the business start up loan. Bad credit certainly does not help and no credit can make it even more difficult. Luckily, there are a number of time-tested techniques that one can use to help him get his business off on the right foot.

When applying for a loan, you will want to avoid large banks and go for the nitty-gritty: small banks and credit unions. These organizations tend to be much more competitive, and more interested in starting a banking relationship with their clients rather than viewing them as account numbers. You will be more likely to speak with someone in charge of the decision-making process, rather than a lowly-ranked employee who is merely abiding by the rules and regulations.

One of the first places to check should be the Small Business Administration (SBA). The SBA is a division of the Chamber of Commerce that guarantees loans for minority-owned, women-owned, and veteran-owned businesses, and also has programs that aid with business start up. Bad credit and no credit are more flexible through this program. The SBA is a rock-solid standard for businesses in need; with a portfolio worth $45 billion, it is the single largest guarantor of business loans in the country. SBA loan programs are available through most banks; the SBA only guarantees loans, but uses other lending institutions to provide them. Check with your local bank or the department of commerce website to find out if SBA loans are right for you.

If you are well-networked and have some friends or family that might be able to help you out, you may want to consider Virginmoney is an online resource that enables you and people you know to lend in a professional manner by providing the necessary business and legal resources. With this or other P2P lending sites, it is easy to get the legal tools you need to start a loan.

This Business article was written by Mark Karavan on 11/21/2009