Step 1 – UBF Funding Range Report
First, we never charge a client anything in advance of their receiving credit approvals. We start by providing each client with a UBF Funding Range Report. This report provides a detailed analysis of the client’s personal credit reports and scores. It shows if the client is ready to move to funding now and how much funding can be expected if that takes place.
Second, it shows the client exactly where they need to improve to optimize their funding amount opportunity. Once we receive the client’s personal credit reports the UBF Funding Range Report is typically turned around within one business day.
Step 2 – Client Specific Funding Research
We have done extensive research into the underwriting application and approval guidelines of business lending banks and credit unions nationwide. This research allows us to place UBF transactions with the best matched lenders for the maximum possible results.
Of course a client could just go apply with their bank, but in doing so they have no idea what that lender’s approval guidelines are, which credit agencies will be pulled, what the approval limits are based upon, if a secondary line can be applied for with that same lender, how long they must wait before applying for secondary credit lines, and so on.
There are simply too many things to know about the hundreds of available lenders for a client to possibly be able to successfully gain maximum approvals on their own. The lending approval guidelines change month in and month out from lender to lender, meaning applying on their own will cause much more damage than any success.
Step 3 – Individualized Funding Process
Selecting the best lenders based on the client’s qualification and location is a major part of the success of the funding process. The selection process has three parts to it.
Part One: Placements made with Tier One business lenders where computers make the initial approval decision. This is not a shotgun approach, but a targeted solution based on the individual client. Each of these lenders will offer multiple credit lines and each has very different restrictions on when and how the secondary applications are allowed to be submitted. The initial approval may come in 24 to 72 hours with secondary submissions only allowed 48 hours or up to one week after the initial approval. Submitting secondary requests before then will result in declines.
Part Two: These are also computer to computer submissions to less mainstream lenders (Tier Two) who will approve based on different criteria than the Tier One Lenders. These lenders are typically more liberal in their approval guidelines and approval amounts. These lenders also have secondary credit line submission restrictions that must be followed to gain additional approvals.
Part Three: Credit line approved limit reconsideration. This is where we work directly with the lender’s credit analysts to manually review the approved credit limits and seek increases. Once taken outside of the computer to computer approval process, it is normal to see credit limits increased 50 to 100% within a few weeks of the initial approval. This must be done with the knowledge of which lenders allow manual reconsiderations and within what time frame are they will be considered.
Step 4 – Credit Utilization and Liquidation
It is vital that Credit Utilization is maintained at or below the 45% debt to limit ratio during the entire funding process. The same is true of any new credit lines obtained, but only during the funding process.
Once the funding process is complete, the credit lines of both existing and new accounts can be utilized to their fullest. The credit lines can also be liquidated and consolidated into a single larger credit line, if so desired by the client.
Step 5 – Business Finance and Credit Building System
All successfully funded UBF clients are placed into the Business Finance and Credit Building System.
This system guides clients step-by-step to building strong business credit scores with all three business credit reporting agencies that are separate from them personally.
It also provides clients with access to thousands of business lenders and vendor lines of credit where having the UBF already in place will open up funding opportunities to their business.