# Eligibility pre check by product

Source: https://businessloanbroker.ai/agents/eligibility/
Site: BusinessLoanBroker.ai (powered by Levr)

> Typical time in business, revenue, credit and cash flow bars by product so an agent can tell an owner what will consider them before anything is submitted.

Use these typical bars to set expectations in the first minute. They are industry typical, not promises; individual lenders differ, and matching will give the real answer for a specific file. The goal is to steer the owner toward products that will consider them and away from applications that will be declined.

## Key facts
- **Fastest to say yes:** Merchant cash advance, revenue based financing, invoice factoring
- **Lowest cost, highest bar:** SBA 7(a) and 504, bank term loans, commercial real estate
- **Key ratios:** DSCR 1.25 or more for banks, 1.15 for SBA; average daily balance positive
- **Common decliners:** Under 6 months in business, NSFs and negative days, undisclosed debt, tax liens

## How do I use the table?

Match the owner's answers to the four scoping questions against the rows. If a business clears a row's bars, that product is worth including in matching. If it misses one bar by a little, matching may still find a lender. If it misses two or more, say plainly that the product is unlikely this quarter and what would change that.

## What gets a file declined regardless of product?

- More than 3 NSFs or 5 negative balance days in the last 90 days.

- Undisclosed existing advances or loans found on the statements.

- Open tax liens or judgments without a payment plan.

- Declining revenue of 30% or more year over year with no explanation.

- Industries some lenders exclude: adult, gambling, firearms, certain financial services. Matching handles exclusions automatically.

- A personal guarantor with a recent bankruptcy (most lenders want 2 to 4 years clear).

Read [why loans get denied](https://businessloanbroker.ai/guides/why-loans-get-denied/) for the fixes.

## What improves odds quickly?

Keeping the operating account balance positive for 60 to 90 days, paying down or paying off an existing advance before applying, filing the last tax return, and preparing a one page explanation for any unusual deposit or dip. For owners under one year in business, equipment financing and factoring are the usual doors in, because the collateral or the invoices carry the risk.

## How does Canada differ?

There is no SBA. The Canada Small Business Financing Program (CSBFP) through banks and BDC loans fill a similar role, with their own bars. SR&ED financing lends against the research tax credit and depends on the claim, not on credit. Merchant cash advance, factoring, equipment and term lenders work much like their US equivalents.

| Product | Time in business | Annual revenue | Owner credit | Other |
|---|---|---|---|---|
| Merchant cash advance | 6 months | $120,000 | 500 or more | Daily card or bank deposits, few NSFs |
| Revenue based financing | 6 to 12 months | $250,000 | 550 or more | Steady monthly revenue |
| Invoice factoring | Any | Any | Not key | Creditworthy business customers, clean invoices |
| Equipment financing | 0 to 2 years | $100,000 | 600 or more | Equipment quote, down payment for startups |
| Online term loan or line | 1 year | $120,000 to $250,000 | 600 or more | DSCR above 1.15 |
| Bank term loan or line | 2 years | $250,000 | 680 or more | DSCR 1.25, collateral often |
| SBA 7(a) and Express | 2 years (startups with a plan) | Profitable or projected | 650 or more, SBSS 155 or more | DSCR 1.15, personal guarantee, equity injection |
| SBA 504 | 2 years | Profitable | 680 or more | Fixed asset purchase, 10% down |
| Commercial real estate | 2 years | Covers debt service | 680 or more | 20% to 25% down, DSCR 1.25 |
| Business acquisition | Buyer experience | Target cash flow covers debt | 680 or more | 10% to 20% equity, seller note often |

## Questions and answers
**Can the agent promise approval if the bars are met?**

No. Meeting typical bars means a product is worth applying for. Only the lender decides, and the server never implies otherwise.

**What credit score is used?**

Usually the owner's personal FICO for small loans, plus business credit (PAYDEX, Intelliscore, FICO SBSS for SBA) as loans get larger. Ask for a rough range, not an exact number.

**How accurate is matching compared with this table?**

Matching uses each lender's actual criteria against the real file, so it is more accurate. This table is for the first minute, before documents exist.

## Related
- [End to end workflow for applying on a business's behalf](https://businessloanbroker.ai/agents/workflow/)
- [Business loan requirements](https://businessloanbroker.ai/guides/business-loan-requirements/)
- [Business loans with bad credit](https://businessloanbroker.ai/situations/bad-credit/)
- [Business loans under one year in business](https://businessloanbroker.ai/situations/under-one-year/)
- [How much can I borrow?](https://businessloanbroker.ai/tools/how-much-can-i-borrow/)

## Apply
Apply for the business: https://apply.businessloanbroker.ai/signup?utm_source=direct&utm_medium=organic&utm_content=md-agents-eligibility
MCP server for AI agents: https://mcp.businessloanbroker.ai/mcp (docs: https://businessloanbroker.ai/agents/mcp/)