Documents to have ready

What you need to apply

These four items are enough to start an application with Fair Square.

• Your last three months of business bank statements, every page. PDFs straight from your bank work best.
• Business details: legal name, address, tax ID and start date.
• Owner details: name, contact information, ownership percentage and a photo ID.
• What the funding is for, such as inventory, equipment, payroll or expansion.

1. Your request and plan

Know exactly what you're asking for and why.

• The amount you need and the date you need it.
• The specific business use for the money.
• A budget, quote, invoice or purchase order that supports that use.
• A cash-flow forecast showing how the payments would be covered.
• A short explanation of any seasonality, recent change in revenue or one-time expense.

2. Identity, authority and ownership

Confirm who can act for the business.

• Current government-issued photo ID for each owner, guarantor or authorized signer the partner asks about.
• Legal business name, any DBA names, physical address and contact details.
• Employer Identification Number or other tax ID.
• Ownership percentages and beneficial-owner information.
• A resolution, operating agreement or other proof of signing authority, if requested.

3. Formation and operating records

Show that the business is active and identifiable.

• Articles or certificate of incorporation, organization or formation.
• Operating agreement, bylaws or partnership agreement, if you have one.
• Business licenses or registrations for your industry and location.
• A lease, utility statement or other proof of your operating address, if requested.
• Business insurance information, if relevant to the partner or the collateral.

4. Financial records

Have current and past figures ready.

• Complete business bank statements for the months requested, with every page included.
• A current year-to-date profit-and-loss statement.
• A current balance sheet.
• Business tax returns for the periods the partner requests.
• Personal tax returns, only if the transaction specifically requires them.
• Accounts-receivable and accounts-payable aging reports, when relevant.
• An inventory report or collateral schedule, when relevant.
• A cash-flow projection with assumptions you can explain.

5. Current obligations

Make the payment picture complete.

• A debt schedule listing each lender or provider, the original amount, current balance, payment and end date.
• Statements for current loans, lines of credit, leases, advances or receivables sales.
• Information about business liens, collateral and personal guarantees.
• Tax payment plans, judgments or other significant obligations, if requested.
• Details of any new funding that would be used to pay off another obligation.

6. Support for your specific request

Add only what supports what you're actually asking for.

• An equipment quote, serial information or appraisal, for equipment financing.
• A signed contract, purchase order or project schedule, for contract financing.
• Customer invoices and aging detail, for receivables-based financing.
• Property, lease or construction documents, for a location project.
• A purchase agreement and due-diligence records, for buying a business.
• Franchise disclosure and agreement records, for a franchise.

7. Check before you send

Reconcile everything and send it safely.

• Names, addresses and ownership figures match across every record.
• Statement pages are complete and readable, and nothing has been altered.
• Revenue and debt figures agree with the application, or you have a factual explanation.
• You've confirmed the recipient's company, its role and its secure upload method.
• You've kept a copy of everything you send.
• You won't sign a blank document or an incomplete closing agreement.

8. Review the written offer

Approval isn't the last step. Before you sign, find each of these in the documents.

• The funding partner and the servicer named in the agreement.
• The net proceeds your business will actually receive.
• The total finance charge or total dollar cost, and the total repayment.
• The payment amount, how often it's taken, and the first and last payment dates.
• Fees, prepayment terms and renewal conditions.
• Collateral, business liens and personal guarantees.
• Default events, remedies and how disputes are handled.

Use our guide to factor rates, APR and total cost and the cost calculator to put an offer's proceeds, payments and total cost in plain dollars.

Questions to ask about your documents

• Which documents do you need now, and which only after a conditional decision?
• How should I send sensitive documents, and how long will they be kept?
• Which companies will see my documents?
• Is the company asking for them a direct funder, a broker or a marketplace?

Sources and limits

Funding partners ask for different records. This checklist is a preparation aid, not a universal list of requirements, an approval standard or a substitute for the partner's own instructions.

General educational information, not financial, legal, tax or accounting advice. It does not describe guaranteed products or terms.

• U.S. Small Business Administration: Lender Match preparation checklist
• U.S. Small Business Administration: 7(a) application documentation varies by lender and transaction
• U.S. Small Business Administration: Form 1919 borrower information and debt-schedule reference
• U.S. Small Business Administration: Borrower-safety guidance