10 Steps of the LoanBox Process

10 Steps of the LoanBox Process

This is what the loan process looks like on LoanBox:

1. Direction Decision
   Decide if you want to handle your LoanBox loan independently or utilize the LoanBox Advisor navigation available to you. LoanBox is designed to offer a Carvana-like experience for business owners seeking loans. From application to funding, it provides a comprehensive suite of resources, including an AI lending assistant and support through human chat and app-to-app messaging, minimizing the need for human interaction. Alternatively, you can have a LoanBox Advisor manage everything for you.

2. Loan Package
   Whether you choose to proceed alone or with a LoanBox Advisor, a loan package is necessary. Complete a series of questions in the portal and upload your financial documents. Your responses are converted into PDFs within your portal, forming the initial documentation needed by a lender to provide a loan proposal. These documents typically include an application, personal financial statement, business plan, pro forma, and tax returns.

3. Share Package
   Our matching algorithm identifies the lenders you qualify for based on your loan package and responses. Select any or all of the preferred lenders to grant them access to your loan package and invite them to submit proposals. Your loan package remains securely within LoanBox, and sharing it allows lenders to access your package through the platform.

4. Receive Proposals
   Lenders can securely review your loan package and respond with proposals. All proposals are created using the same offer form within LoanBox, ensuring a consistent format that facilitates easy comparison of key information.

5. Select Lender
   Click and e-sign to accept your preferred proposal. Videos and information about each preferred lender are available for review. If you're using a LoanBox Advisor, they will guide you on which lender to select and why. Once a lender is selected, your "My LoanBox" dashboard transitions from loan packaging to loan management mode, initiating the exact funding process with the chosen lender. If you work with a LoanBox Advisor, they will continually update your portal for full transparency.

6. Underwriting
   The underwriting phase begins with a credit check. Here, the bank analyst reviews your package, performs cash flow analysis, ensures compliance with required documentation, and verifies adherence to bank policy criteria. Additional questions may be posed for clarification.

7. Approval
   Approval depends on the loan amount, requiring either single, dual approvers, or a committee. Once approved, you'll receive a commitment letter, indicating readiness for funding upon completion of closing documents.

8. Closing
   At this stage, all necessary documents are collected and reviewed, leading to the bank’s “clear to close” approval. LoanBox assists you in collecting these documents upfront, so you always know where your loan stands in the process.

9. Funding
   Execute the loan agreement documents, then funds are wired to the recipients. The LoanBox Manager is there at every step, ensuring you meet all documentation requests along the way.

10. Covenants
    Covenants outline your obligations as a borrower. They typically involve submitting annual tax returns and an updated personal financial statement. Whatever these requirements entail, they will be displayed on your LoanBox Manager, with automated yearly reminders provided by LoanBox. The platform also allows ongoing documentation submissions, notifying the lender as needed.