Somehow a myth has been developed that banks do not want to do loans, and that banks do not want to do small business loans. Nothing is further from the truth. The fact is that most commercial banks need to do loans to make money or they fail. I can tell you from personal experience after working in four different financial institutions, that we love small business borrowers.
Entrepreneurs are an optimistic lot, but for lenders a business loan request has to make sense. This means the basics of credit underwriting need to be addressed
Capacity: The ability to repay the loan has to be there, and the lender has to feel comfortable with it.
Capital: The borrower has to bring equity to the table. The lender is a creditor not an investor. Do not expect a lender to have as much risk as the entrepreneur when the lender never gets to participate in the upside.
Collateral: If the business does not work what will be left to repay the loan.
Conditions: The structure has to fit the purpose of the loan.
Character: This covers experience, education, and credit history.