Michigan Working Capital Loans: Fast Approval Guide for Small Businesses 2026

Table of Contents

1. Introduction: Why Michigan Businesses Need Working Capital

2. What is Working Capital and Why Does It Matter?

3. LVRG Express Working Capital Loans: $10K-$350K in 15-20 Days

4. Traditional Working Capital Loans: $50K-$5M

5. How to Qualify for Working Capital Loans in Michigan

6. The Application Process: Step-by-Step

7. Working Capital vs. Other Financing Options

8. Industry-Specific Working Capital Strategies

9. Common Working Capital Mistakes to Avoid

10. Working Capital Success Stories: Michigan Businesses

11. How to Calculate Your Working Capital Needs

12. Frequently Asked Questions

13. Apply for Working Capital Today

Introduction: Why Michigan Businesses Need Working Capital

Cash flow is the lifeblood of any business. You can have a full order book, loyal customers, and a great product—but without working capital, you can't pay suppliers, cover payroll, or seize growth opportunities.

Michigan businesses face unique cash flow challenges:

Manufacturing & Automotive Suppliers: 60-90 day payment terms from OEMs create massive cash flow gaps. You purchase raw materials and pay labor today, but don't get paid for 3 months. Working capital bridges this gap.

Construction Contractors: Material costs upfront, progress payments delayed, seasonal slowdowns in winter. Cash flow management is critical to survival and growth.

Restaurants & Hospitality: Seasonal fluctuations (tourist areas), inventory purchases, equipment repairs, slow winter months. Working capital smooths revenue volatility.

Retailers: Seasonal inventory purchases (Christmas, back-to-school), vendor payment terms, expansion opportunities. Working capital enables you to stock up without draining reserves.

Healthcare Practices: Insurance reimbursement delays (30-90 days), equipment purchases, expansion, new provider hiring. Working capital bridges the gap between providing care and getting paid.

The Cost of Being Undercapitalized

Lost Opportunities:

• Can't bid on large contracts (no proof of working capital)

• Miss bulk purchasing discounts (can't pay upfront)

• Lose customers to better-capitalized competitors

• Can't invest in marketing when ROI is clearest

Operational Stress:

• Juggling which bills to pay

• Vendor relationships strained (late payments)

• Can't hire needed staff

• Owner can't take salary

Growth Limitations:

• Can't expand when market conditions favor it

• Competitor captures your customers

• Miss acquisition opportunities

• Stuck in survival mode vs. growth mode

The Solution: Strategic working capital financing that keeps your business liquid, flexible, and ready for anything.

As Michigan's Business Loan Authority, LVRG has helped thousands of Michigan businesses solve cash flow challenges with working capital financing from $10,000 to $5,000,000. This guide shows you exactly how to access the working capital your business needs—fast.

What is Working Capital and Why Does It Matter?

Working Capital Definition

Working capital is the difference between your current assets (cash, accounts receivable, inventory) and current liabilities (accounts payable, short-term debt).

Formula: Working Capital = Current Assets - Current Liabilities

Example:

• Current Assets: $500,000 (cash $100K, A/R $300K, inventory $100K)

• Current Liabilities: $300,000 (A/P $200K, short-term debt $100K)

• Working Capital: $200,000

Why Working Capital Matters

1. Operational Flexibility With adequate working capital, you can:

• Pay bills on time (maintain vendor relationships)

• Take advantage of early payment discounts

• Purchase inventory when prices are favorable

• Cover payroll during slow periods

• Handle unexpected expenses without crisis

2. Growth Capability Working capital enables:

• Accepting larger orders

• Expanding to new locations

• Investing in marketing/sales

• Hiring key personnel ahead of revenue

• Purchasing equipment for capacity

3. Financial Health Signal Lenders, suppliers, and partners view working capital as a health metric:

• Positive working capital = healthy, stable business

• Negative working capital = potential distress

• Strong working capital = better credit terms from vendors

Working Capital Financing vs. Working Capital

Important Distinction:

Working Capital (the metric) = Your business's liquidity position

Working Capital Financing = Loans/funding to increase your working capital

When we talk about "working capital loans," we mean financing that increases your available cash to cover operational expenses, inventory, payroll, and growth initiatives.

Types of Working Capital Needs

1. Seasonal Working Capital

• Retailers building inventory before holidays

• Construction companies preparing for spring

• Tourism businesses preparing for summer

• Agricultural businesses during planting/harvest

2. Cyclical Working Capital

• Manufacturing responding to industry cycles

• Real estate dependent on market conditions

• Economic expansion/contraction impacts

3. Permanent Working Capital

• Base level needed year-round

• Covers minimum operational requirements

• Grows as business grows

4. Growth Working Capital

• Needed during expansion phases

• Hiring ahead of revenue

• New location launch costs

• Marketing investment before ROI

Michigan Context: Michigan businesses often need working capital for:

• Automotive supplier payment term gaps (60-90 days standard)

• Winter seasonal slowdowns (construction, tourism, retail)

• Manufacturing capacity expansion

• Equipment downtime/repairs

• Opportunity purchases (distressed inventory, competitor assets)

LVRG Express Working Capital Loans: $10K-$350K in 15-20 Days

LVRG Business Funding's Express Working Capital Loan Program is specifically designed for established small businesses that need fast access to capital without the lengthy bank loan process.

Program Overview

Loan Amounts: $10,000 to $350,000

Funding Speed: 15-20 business days average (fastest Michigan businesses can access institutional capital)

Repayment Terms: Up to 10 years available

Interest Rates: Competitive variable pricing based on creditworthiness

Collateral: Minimal collateral requirements (no personal collateral for qualifying businesses)

Credit Pull: No hard personal credit pull during application (protects your credit score)

Prepayment: No prepayment penalties (pay off early, save interest)

Who This Program Serves

Ideal for:

• Small businesses needing $10K-$350K

• Established companies (2+ years operating history)

• Business owners with 650+ credit score

• Companies needing fast funding (15-20 days)

• Businesses with proven cash flow

• Companies wanting flexible use of funds

Business Types: The Express program serves virtually all industries except those explicitly restricted (contact LVRG for industry-specific guidance). Common Michigan industries include:

• Professional Services (accounting, law, consulting)

• Healthcare (dental, veterinary, medical practices)

• Restaurants & Food Service

• Automotive Services

• Construction & Trades

• Technology & IT Services

• Retail & E-commerce

• Manufacturing (small to mid-size)

• Transportation & Logistics

• And many more

Qualification Requirements

Minimum Requirements:

Time in Business: 2+ years operating history required

• Shows business viability and stability

• Certain franchise concepts may have modified requirements

• Startups not eligible for Express program (see alternative options)

Personal Credit Score: Minimum FICO 650

• Score pulled from major bureaus (Experian, Equifax, TransUnion)

• Average of scores typically used

• Recent bankruptcies disqualify (7-year lookback)

Business Credit Score: Minimum SBSS 165

• Business credit score (not same as personal)

• Measures business payment history, trade lines

• Lower than personal credit acceptable

Debt Service Coverage: 1.25x minimum

• Formula: Net Operating Income ÷ Total Annual Debt Payments

• Must show 25% cushion to service new debt

• Conservative cash flow analysis

Current on Obligations: All debt current

• No late payments on business or personal debt

• Active collections or liens may disqualify

• Payment plans on old debt may be acceptable

Cash Flow: Demonstrated repayment capacity

• Based on bank statements and tax returns

• Lenders look at consistent deposits

• Seasonal businesses evaluated accordingly

What You Can Use Express Working Capital Loans For

Approved Uses (anything except commercial real estate):

Equipment Purchases: $10K-$350K

• Manufacturing equipment

• Restaurant kitchen equipment

• Medical/dental equipment

• Construction equipment (under $350K)

• Technology/computers

• Vehicles for business use

Working Capital & Cash Flow:

• Cover payroll during slow periods

• Purchase inventory

• Pay suppliers/vendors

• Manage seasonal fluctuations

• Bridge payment term gaps

Business Expansion:

• Open second location

• Add new product lines

• Enter new markets

• Hire key personnel

• Expand capacity

Leasehold Improvements: Up to $350K

• Renovate existing space

• Build-out new location

• Update facilities

• ADA compliance

• Technology infrastructure

Debt Refinancing:

• Consolidate high-interest debt

• Refinance merchant cash advances

• Simplify multiple payments into one

• Reduce monthly payment burden

• Improve cash flow immediately

Business Acquisitions: (restrictions apply)

• Purchase competitor

• Buy out partner

• Acquire assets from closing business

• Roll-up strategy (multiple small acquisitions)

Inventory & Supplies:

• Stock up for peak season

• Take advantage of bulk discounts

• New product launch inventory

• Vendor minimum orders

Marketing & Advertising:

• Digital marketing campaigns

• Website development

• Brand development

• Trade show participation

• Sales team expansion

Technology Upgrades:

• New software/SaaS subscriptions

• Hardware upgrades

• Cybersecurity improvements

• Automation systems

• CRM/ERP implementation

NOT Approved For:

• Commercial real estate purchase (use Commercial Real Estate Financing instead)

• Speculative investments

• Personal use

• Paying off personal debt

Documentation Requirements

LVRG keeps documentation simple and streamlined:

Required Documents:

1. Completed LVRG Application

• Online form at LVRGFunding.com/apply-now

• Takes 5-10 minutes

• No hard credit pull at application stage

2. Business Bank Statements (3 months)

• Most recent 3 consecutive months

• All business accounts

• Shows cash flow patterns and deposits

• Used to verify revenue and cash management

3. Business Tax Returns (3 years)

• Last 3 years filed returns

• Personal returns of 20%+ owners

• Shows profitability and income trends

• Debt schedule reconciliation

4. Current Financial Statements (within 90 days)

• Profit & Loss (P&L) statement

• Balance Sheet

• Can be internally prepared (don't need CPA)

• Shows current business performance

5. Business Debt Schedule

• List of all current business loans/debts

• Payment amounts, balances, lenders

• Used to calculate debt service coverage

• Include leases, lines of credit, credit cards

6. Affiliate Analysis (if applicable)

• Other businesses owned by principals

• Related companies

• Determines if affiliates guarantee debt

That's it. No business plan required. No projections. No excessive documentation. LVRG focuses on actual business performance, not hypotheticals.

Pricing & Terms

Interest Rates: Competitive variable pricing based on:

• Credit score (personal and business)

• Time in business

• Industry

• Debt service coverage ratio

• Loan amount

• Collateral (if any)

Typical Range: 8%-18% depending on risk profile

• Stronger businesses = lower rates

• Higher risk = higher rates

• Rate locked at closing

Loan Terms:

• Short-term: 1-3 years

• Medium-term: 3-5 years

• Long-term: 5-10 years

Monthly Payments:

• Fixed monthly payment amount

• Principal + interest

• Autopay available (recommended)

• No prepayment penalty (pay off early)

Fees:

• Origination fee (1-5% of loan amount typical)

• No hidden fees

• No ongoing maintenance fees

• All fees disclosed upfront before signing

Speed Advantage: 15-20 Days vs. 90+ Days at Banks

LVRG Express Timeline:

• Day 1: Apply online (5-10 minutes)

• Day 2-3: LVRG advisor contact, document request

• Day 7-10: Documents submitted, underwriting begins

• Day 12-15: Credit decision, approval, terms presented

• Day 15-20: Closing, funding wired to your account

Bank Timeline (typical):

• Week 1: Apply, wait for loan officer assignment

• Week 2-3: Initial documentation request

• Week 4-6: Additional documentation requests

• Week 7-9: Underwriting review

• Week 10-12: Committee approval required

• Week 13+: Closing process begins

• 90-120+ days total (if approved)

Why LVRG is Faster:

1. Dedicated underwriters (not juggling 100+ loans)

2. Clear documentation requirements (know what's needed upfront)

3. Decision authority (no committee approval needed)

4. Digital process (no paper shuffling)

5. Experienced team (20+ years, seen every situation)

Express Program Success Stories

Detroit Auto Supplier - $175,000 Challenge: Needed to purchase raw materials for large GM contract. 60-day payment terms from GM created cash flow gap. Bank said 8-12 weeks minimum.

Solution: LVRG Express Working Capital Loan $175,000, funded in 18 days.

Result: Fulfilled GM contract on time, hired 3 additional workers, revenue up 40% that quarter. Repaid loan in 2 years, now maintains revolving relationship with LVRG.

Grand Rapids Restaurant - $85,000 Challenge: Walk-in cooler died during peak summer season. Without replacement, couldn't operate. Bank loan would take months. Considering merchant cash advance (expensive).

Solution: LVRG Express $85,000 funded in 14 days.

Result: New commercial kitchen equipment installed, expanded menu capacity, revenue up 25%. Avoided expensive MCA that would have drained cash flow.

Ann Arbor Medical Practice - $250,000 Challenge: Opportunity to acquire retiring doctor's practice and patient base. Needed funding quickly before another buyer stepped in.

Solution: LVRG Express $250,000 funded in 19 days.

Result: Acquired practice, integrated 600 patients, hired existing staff, increased revenue 60% within 6 months.

Traditional Working Capital Loans: $50K-$5M

For businesses needing larger amounts than the Express program provides, LVRG offers traditional working capital financing from $50,000 to $5,000,000.

Program Overview

Loan Amounts: $50,000 to $5,000,000

Funding Speed: 3-6 weeks typical (depending on complexity and amount)

Repayment Terms: 1-10 years depending on use and amount

Interest Rates: Competitive rates based on risk profile

Structure: Term loans, revenue-based financing, or SBA loans

Traditional Working Capital vs. Express

Choose Traditional Working Capital When:

• You need more than $350,000

• You're willing to wait 3-6 weeks for funding

• You want to explore multiple financing structures

• You may need SBA loan (better rates, longer terms)

• Larger strategic investment or acquisition

Choose Express When:

• You need $10K-$350K

• Speed is critical (need funds in 15-20 days)

• Straightforward working capital need

• Want simple, fast process

Traditional Working Capital Structures

1. Term Loans ($50K-$5M)

How It Works:

• Receive lump sum

• Fixed monthly payments

• Set repayment schedule

• Interest + principal each month

Best For:

• Specific investment with clear ROI

• Equipment purchases over $350K

• Business acquisitions

• Major expansion projects

• Debt consolidation/refinancing

Typical Terms:

• 2-7 years

• Monthly payments

• Fixed or variable interest

• May require collateral (equipment, real estate, A/R)

2. Revenue-Based Financing ($50K-$1M)

How It Works:

• Receive lump sum

• Repay as percentage of daily/weekly/monthly revenue

• Payments flex with sales (more sales = higher payment, less sales = lower payment)

• No fixed monthly obligation

Best For:

• Seasonal businesses

• Businesses with variable monthly revenue

• Retailers, restaurants, service businesses

• Companies wanting payment flexibility

Typical Structure:

• 3-12 month terms

• 5-15% of monthly revenue until repaid

• Factor rate 1.15-1.35 (borrow $100K, repay $115K-$135K)

• No personal collateral typically

3. SBA Loans ($150K-$5M)

How It Works:

• Government-guaranteed loan

• Processed through LVRG's SBALoansMichigan.com platform

• Access to 25+ elite SBA lenders

• Best rates and longest terms available

Best For:

• Businesses wanting lowest rates

• Longer-term financing (10+ years)

• Large working capital needs

• Business acquisitions

• Real estate + working capital combined

Typical Terms:

• Up to $5 million

• 10-25 year terms

• Interest rates: Prime + 2-3%

• Requires more documentation

• 6-8 week process through LVRG

Learn more: Visit SBALoansMichigan.com for detailed SBA loan information

Qualification for Traditional Working Capital

More Flexible Than Express:

• May accept businesses with 600+ credit (vs. 650+ for Express)

• Startups may qualify (franchise concepts, certain industries)

• Higher debt loads acceptable (with strong cash flow)

• Broader industry acceptance

More Rigorous Documentation:

• Business plan may be required for $1M+

• Detailed financial projections

• More extensive due diligence

• Collateral analysis if secured loan

Industries LVRG Serves - Traditional Working Capital

LVRG Business Funding has deep expertise financing Michigan businesses across industries:

Manufacturing & Industrial:

• Automotive suppliers (Tier 1, 2, 3)

• Metal fabrication

• Plastics & injection molding

• CNC machining

• Food processing

• Industrial distribution

Construction & Trades:

• General contractors

• Specialty contractors (HVAC, electrical, plumbing)

• Excavation & site work

• Restoration & remediation

• Commercial construction

• Residential construction

Healthcare & Medical:

• Dental practices

• Veterinary clinics

• Medical practices (primary care, specialty)

• Home healthcare agencies

• Pharmacies

• Medical device distribution

Professional Services:

• Accounting & tax preparation

• Law firms

• Consulting firms

• Marketing agencies

• IT services & managed service providers

• Engineering firms

Food & Hospitality:

• Restaurants (franchise and independent)

• Catering companies

• Bars & breweries

• Hotels & motels

• Food distribution

Retail & E-commerce:

• Brick-and-mortar retail

• E-commerce

• Specialty retail

• Franchise retail concepts

• Wholesale distribution

Technology & Communications:

• Software companies (SaaS with recurring revenue)

• IT services

• Telecommunications

• Managed service providers

• Cybersecurity firms

Transportation & Logistics:

• Trucking companies

• Freight forwarding

• Warehousing & distribution

• Last-mile delivery

• Fleet services

And Many More:

• Agriculture operations

• Fitness centers & gyms

• Funeral homes

• Government contractors

• Property management

• Self-storage facilities

• Auto dealerships (certain types)

Restricted Industries: Most businesses qualify. However, certain industries have restrictions:

• Adult entertainment

• Cannabis (still federally illegal)

• Gambling

• Speculative real estate

• Passive income businesses

Contact LVRG to discuss your specific industry and eligibility.

How to Qualify for Working Capital Loans in Michigan

Understanding qualification criteria helps you prepare and choose the right financing option.

Credit Score Requirements

Personal Credit (FICO):

Express Working Capital:

• Minimum: 650 FICO

• Preferred: 680+

• Excellent: 720+

Traditional Working Capital:

• Minimum: 600 FICO (some programs)

• Preferred: 650+

• Excellent: 700+

What Affects Your Credit Score:

• Payment history (35% of score) - most important

• Credit utilization (30%) - keep under 30%

• Length of credit history (15%)

• Credit mix (10%)

• New credit inquiries (10%)

Improving Your Credit Before Applying:

• Pay all bills on time for 6+ months

• Pay down credit card balances (below 30% utilization)

• Fix any errors on credit report

• Don't close old accounts (hurts length of history)

• Avoid new credit applications before applying

Business Credit (SBSS, Dun & Bradstreet):

Express Working Capital:

• Minimum: SBSS 165

• Preferred: SBSS 180+

What is SBSS? Small Business Scoring Service - business credit score that measures:

• Payment history to vendors/suppliers

• Business credit utilization

• Public records (liens, judgments)

• Company size and industry

How to Build Business Credit:

• Get business credit cards, use responsibly

• Establish trade lines with vendors (pay on time)

• Register with Dun & Bradstreet

• Keep business and personal finances separate

• Pay business debts before due date when possible

Time in Business

Express Working Capital:

• Minimum: 2 years operating history

• Calculated from date business started operations (not incorporation date)

• Some franchise concepts may have modified requirements

Traditional Working Capital:

• Minimum: Varies by program (some accept 1+ years)

• Startups may qualify for certain franchise concepts

• Veterinary and dental practices have special consideration

• Longer track record = better rates and terms

Why Lenders Care About Time in Business:

• Survival rate: Most business failures happen in first 2 years

• Track record: Demonstrates ability to generate revenue and manage operations

• Financial history: More data to analyze = more confidence

Revenue Requirements

Express Working Capital:

• Typical minimum: $300,000+ annual revenue

• Some industries may have higher requirements

• Consistent revenue more important than amount

Traditional Working Capital:

• Varies widely by program and loan size

• Larger loans require larger revenue base

• SBA loans: typically $250K+ annual revenue

• Revenue-based financing: $500K+ annual revenue preferred

Revenue Verification:

• Bank statements (primary verification)

• Tax returns (IRS-filed confirmation)

• P&L statements (current year performance)

Profitability & Cash Flow

Profitability: Lenders prefer profitable businesses, but break-even or slight losses may be acceptable if:

• Clear path to profitability demonstrated

• Strong cash flow despite paper losses (depreciation, etc.)

• Owners taking below-market salaries (add-back available)

Debt Service Coverage Ratio (DSCR):

Formula: Net Operating Income ÷ Annual Debt Payments

Minimum: 1.25x (Express and most programs) Preferred: 1.50x or higher

Example:

• Net Operating Income: $250,000/year

• Existing Debt Payments: $100,000/year

• New Loan Payment: $50,000/year

• Total Debt Payments: $150,000/year

• DSCR: $250,000 ÷ $150,000 = 1.67x ✓ Qualifies

Cash Flow Analysis: Lenders review bank statements to verify:

• Consistent deposits (revenue)

• Adequate ending balances

• No excessive NSF/overdrafts

• Seasonality patterns (if applicable)

• Owner withdrawals (reasonable)

Collateral Requirements

Express Working Capital:

• Minimal collateral requirements

• No personal collateral for qualifying businesses

• Business assets may be pledged (UCC filing)

• Personal guarantee required

Traditional Working Capital: Varies by loan size and structure:

Unsecured ($50K-$250K):

• No collateral required

• Personal guarantee required

• Based on credit and cash flow

Secured ($250K+):

• Equipment (if purchasing equipment)

• Accounts receivable

• Inventory

• Real estate (if owned)

• Personal assets (for larger amounts)

What is a Personal Guarantee? Legal agreement that you (the business owner) are personally liable for the debt if the business cannot pay. Standard for virtually all small business loans.

Industry-Specific Considerations

Michigan Automotive Suppliers:

• Lenders understand 60-90 day OEM payment terms

• Strong contracts with Ford, GM, Stellantis strengthen application

• IATF 16949 certification viewed positively

• Diversification across multiple OEMs preferred

Michigan Manufacturers:

• Equipment serves as strong collateral

• Long-term customer relationships valued

• Capacity utilization important (operating at 60%+ good sign)

• Skilled labor availability considered

Construction Contractors:

• Seasonal cash flow understood and modeled

• Bonding capacity important

• Project pipeline considered

• Owner experience in industry critical

Restaurants:

• Higher risk profile (more scrutiny)

• Franchise concepts easier to finance

• Location and concept matter

• Sales validation (POS data) helpful

Healthcare Practices:

• Insurance reimbursement patterns understood

• Payer mix analyzed

• License verification required

• Malpractice insurance required

Geographic Considerations

LVRG Serves All Michigan:

• Metro Detroit (Wayne, Oakland, Macomb counties)

• Grand Rapids & West Michigan

• Ann Arbor & Washtenaw County

• Lansing & Mid-Michigan

• Flint & Genesee County

• Upper Peninsula

• Traverse City & Northern Michigan

• Everywhere in between

No geographic restrictions. Whether your business is in downtown Detroit or rural Upper Peninsula, same programs available.

Michigan Advantage: Being Michigan-based, LVRG understands:

• Michigan economy and industries

• Automotive supply chain dynamics

• Seasonal business patterns (winter impacts)

• Great Lakes shipping and logistics

• Regional economic differences (Detroit vs. Grand Rapids vs. Outstate)

The Application Process: Step-by-Step

LVRG makes applying for working capital simple and transparent.

Step 1: Determine Your Needs

Before Applying, Answer:

How much do you need?

• Be specific (don't just guess)

• Add 15-20% buffer for unexpected costs

• Consider: equipment cost + installation + training + working capital during transition

What will you use it for?

• Specific, clear use of funds

• ROI justification (how will this make/save money?)

• Timeline for deployment

How quickly do you need it?

• Emergency (days): May need merchant cash advance (expensive)

• Urgent (2-3 weeks): Express Working Capital ideal

• Normal (4-8 weeks): Traditional Working Capital or SBA

Can you afford the payment?

• Conservative cash flow projection

• Account for seasonality

• 1.25x DSCR minimum (prefer 1.5x+)

Do you meet minimum qualifications?

• Credit score 650+ (Express) or 600+ (Traditional)

• 2+ years in business (Express) or 1+ (Traditional)

• Revenue sufficient for loan size

• Current on all obligations

Step 2: Apply Online

LVRGFunding.com/apply-now

Application Takes 5-10 Minutes:

• Business information (name, industry, location, time in business)

• Owner information (name, ownership %, SSN for soft credit check)

• Loan request (amount, use of funds)

• Financial snapshot (annual revenue, estimated credit score)

• Contact information (phone, email)

No Hard Credit Pull: LVRG does soft inquiry only at application stage. Your credit score is NOT impacted. Hard inquiry only if/when you decide to move forward.

Immediate Confirmation: You'll receive email confirmation immediately. LVRG advisor will contact you within 1 business day (usually same day).

Step 3: Initial Consultation

LVRG Advisor Contact: Within 1 business day, experienced LVRG funding advisor contacts you:

• Discuss your business and financing needs

• Explain options (Express vs. Traditional, loan structures)

• Answer questions about process, timeline, terms

• Request initial documentation

No Pressure: LVRG's consultation is educational and advisory. We help you understand options and make informed decisions. No high-pressure sales tactics. If working capital financing isn't right fit, we'll tell you honestly.

Step 4: Document Submission

Document Checklist (Express Working Capital):

□ Business bank statements (3 months) □ Business tax returns (3 years) □ Personal tax returns of 20%+ owners (3 years) □ Current P&L statement (within 90 days) □ Current balance sheet (within 90 days) □ Business debt schedule □ Affiliate analysis (if applicable)

How to Submit:

• Secure online portal link provided

• Upload documents (PDF format preferred)

• LVRG advisor assists if you have questions

Tips for Faster Processing:

• Organize documents in advance

• Label files clearly (2023_Business_Tax_Return.pdf)

• Ensure all pages included and readable

• Provide complete information (don't leave blanks)

Step 5: Underwriting & Credit Decision

What Happens During Underwriting:

Document Review:

• Verify information accuracy

• Reconcile tax returns to bank statements

• Analyze cash flow patterns and trends

• Calculate debt service coverage ratio

Credit Analysis:

• Pull business and personal credit reports

• Review payment history and derogatory items

• Assess credit utilization and available credit

• Understand any credit issues (you'll have chance to explain)

Risk Assessment:

• Industry analysis (is industry stable/growing?)

• Business model evaluation

• Competitive position assessment

• Management experience and capability

Collateral Evaluation (if applicable):

• Equipment appraisal or valuation

• Real estate appraisal (if securing loan with property)

• A/R aging report analysis

• Inventory valuation

Timeline:

• Express: 5-7 business days for credit decision

• Traditional: 2-3 weeks depending on complexity

Step 6: Approval & Term Sheet

If Approved: You'll receive detailed term sheet outlining:

Loan Amount: Approved funding amount Interest Rate: Annual percentage rate Repayment Term: Length of loan (months/years) Monthly Payment: Principal + interest amount Collateral: What (if anything) secures the loan Personal Guarantee: Who signs (all 20%+ owners typically) Fees: Origination fee and any other costs Prepayment: Terms for paying off early Conditions: Any requirements before closing (insurance, etc.)

Review Carefully:

• Read everything

• Ask questions about anything unclear

• Understand total cost of financing

• Verify payment fits your budget

• Check prepayment penalty (LVRG has none on Express)

Negotiation: Some terms may be negotiable:

• Interest rate (if stronger guarantor or collateral)

• Loan amount (if need less/more)

• Repayment term (longer = lower payment but more interest)

Decline to Proceed: If terms don't work for you, no obligation to proceed. LVRG respects your decision and maintains relationship for future needs.

Step 7: Closing Process

If You Accept Terms:

Closing Documents Prepared:

• Promissory note (your promise to repay)

• Security agreement (if secured loan)

• Personal guarantee

• Corporate resolution (board approval of loan)

• ACH authorization (for payments)

• UCC-1 filing (if secured)

Document Review:

• LVRG sends closing docs electronically (DocuSign)

• Review carefully before signing

• Ask questions if anything unclear

• May want attorney review for large loans ($500K+)

Conditions Cleared:

• Proof of insurance (hazard, liability, life insurance sometimes)

• Vendor invoices (if financing specific purchase)

• Any other conditions from approval

Signing:

• Electronic signature through secure platform

• All guarantors must sign

• Takes 15-30 minutes typically

• Can be done from anywhere (phone, computer)

Timeline:

• Express: Close within 2-3 days of acceptance

• Traditional: Close within 1 week of acceptance

Step 8: Funding

Wire Transfer: Once all documents signed and conditions cleared:

• LVRG wires funds to your business bank account

• Usually same day or next business day after closing

• No delays, no excuses

Funding Amount:

• Loan amount minus any fees withheld

• Example: $100,000 loan, 3% origination fee = $97,000 wired to you

Confirmation:

• Email confirmation when wire sent

• Typically hits account same day

• Confirm receipt with your bank

Post-Funding:

• LVRG sets up loan servicing account (online access)

• First payment date communicated (typically 30 days from funding)

• Autopay setup recommended

• Ongoing support from LVRG team

Total Timeline Summary

LVRG Express Working Capital:

• Day 1: Apply online

• Day 2: LVRG contact, document request

• Day 7: Documents submitted

• Day 12: Credit decision, approval

• Day 15: Closing

• Day 17: Funding

• Total: 15-20 business days

Traditional Working Capital:

• Week 1: Apply, consultation, document request

• Week 2-3: Documents submitted, underwriting

• Week 4: Credit decision, approval, term sheet

• Week 5: Closing process

• Week 6: Funding

• Total: 4-6 weeks

Compare to Banks:

• 90-120+ days (and that's if approved)

Working Capital vs. Other Financing Options

Understanding alternatives helps you choose the best fit.

Working Capital Loan vs. Line of Credit

Working Capital Term Loan:

• Lump sum received upfront

• Fixed monthly payment

• Set repayment schedule

• Interest on full amount from day one

• Pay off early without penalty (LVRG)

Line of Credit:

• Draw as needed (up to limit)

• Interest only on drawn amount

• Revolving (pay down, draw again)

• Ongoing access to capital

• Annual renewal typically

When to Choose Working Capital Loan:

• One-time specific need (equipment, inventory, acquisition)

• Want fixed payment for budgeting

• Don't need ongoing access

• Lower interest rate than line of credit

When to Choose Line of Credit:

• Ongoing working capital needs

• Seasonal fluctuations

• Want flexibility to draw as needed

• Pay interest only on what you use

LVRG Position: LVRG does not currently offer traditional lines of credit. We focus on term loans (working capital, equipment, SBA) where we can provide better rates and terms than revolving credit lines.

Alternative: Revenue-based financing provides similar flexibility to line of credit (payments adjust with revenue).

Working Capital vs. SBA Loan

Working Capital Loan (LVRG Express or Traditional):

• Faster approval (15-20 days Express, 4-6 weeks Traditional)

• Less documentation

• More flexible use of funds

• Higher interest rates than SBA

• Shorter terms typically

SBA Loan (via SBALoansMichigan.com):

• Longer approval (6-8 weeks with LVRG, 90-120+ days direct to bank)

• More documentation required

• Specific use restrictions

• Lower interest rates (Prime + 2-3%)

• Longer terms (up to 10-25 years)

• Lower down payment for real estate (10% vs. 20-30%)

When to Choose Working Capital:

• Need money in 2-4 weeks

• Loan amount under $350K

• Want simple documentation process

• Use of funds doesn't fit SBA restrictions

When to Choose SBA:

• Large amount ($500K+)

• Want lowest possible rate

• Buying real estate or business

• Can wait 6-8 weeks (through LVRG)

• Want 10-25 year term

Can Be Combined: Many businesses use LVRG working capital for immediate needs, then later use SBA loan for larger strategic investments.

Learn More About SBA Loans: Visit SBALoansMichigan.com for complete SBA loan guide.

Working Capital vs. Equipment Financing

Working Capital Loan:

• Use for anything (equipment, inventory, payroll, etc.)

• Not secured by specific equipment

• May have higher rate if unsecured

• Flexible deployment

Equipment Financing:

• Specific to equipment purchase

• Equipment serves as collateral

• Lower interest rate (secured)

• Terms match equipment life (5-7 years typical)

• May finance 100% of equipment cost

When to Choose Working Capital:

• Buying equipment PLUS need working capital

• Equipment under $50K

• Want flexibility in deployment

• Used equipment with limited value

When to Choose Equipment Financing:

• Buying equipment $100K+ (LVRG specializes in $100K-$50M equipment financing)

• Want lowest rate (equipment as collateral)

• Equipment has strong resale value

• Financing 100% of cost

Can Be Combined: Finance equipment separately (equipment financing), use working capital for installation, training, and operational costs during transition.

LVRG Equipment Financing: For equipment needs $100K+, LVRG has specialized equipment financing division. Contact us for details.

Working Capital vs. Merchant Cash Advance (MCA)

Working Capital Loan (LVRG):

• Structured as loan (regulated)

• Interest rate disclosed (APR)

• Fixed or variable monthly payment

• Repayment term specified

• Reasonable cost (8-18% typically)

• No daily ACH

Merchant Cash Advance:

• NOT a loan (unregulated)

• Factor rate, not interest rate

• Daily ACH from business account

• Repaid via % of credit card sales or daily ACH

• VERY EXPENSIVE (40-80% APR equivalent)

• Can trap businesses in cycle

When to Consider MCA:

• Absolute emergency (equipment breakdown, can't operate without immediate fix)

• Horrible credit (500s)

• Can't qualify for anything else

• Can repay in 3-4 months maximum

Why MCAs Are Dangerous:

• Daily ACH drains cash flow

• Very expensive (businesses often pay back 1.3-1.5x in 6-9 months)

• Renewal trap (need another MCA to pay first one)

• Can lead to business failure

LVRG's Position: We do NOT offer merchant cash advances. We believe they're predatory and harmful to businesses. If you currently have an MCA, LVRG can help you refinance it into a more affordable working capital loan (debt consolidation is approved use).

Better Alternative: LVRG Express Working Capital funds in 15-20 days at reasonable rates. Plan ahead—don't wait until it's emergency and MCA is only option.

Working Capital vs. Revenue-Based Financing

Traditional Working Capital Loan:

• Fixed monthly payment

• Predictable schedule

• Works for stable cash flow businesses

• Lower cost typically

Revenue-Based Financing:

• Payment is % of monthly revenue

• Payments flex with sales (more sales = higher payment, less sales = lower payment)

• No fixed monthly obligation

• Higher cost than fixed payment loan

• Great for seasonal businesses

When to Choose Revenue-Based:

• Seasonal business (tourism, retail, construction)

• Variable monthly revenue

• Want payment protection (if sales slow, payment slows)

• Growing fast (expect revenue to increase significantly)

When to Choose Traditional Working Capital:

• Stable, predictable revenue

• Want lowest cost

• Fixed payment easier for budgeting

LVRG Offers Both: We can structure either fixed payment working capital or revenue-based financing. Your advisor will help determine which fits your business best.

Industry-Specific Working Capital Strategies

Michigan's diverse economy requires specialized approaches by industry.

Manufacturing & Automotive Suppliers

Unique Cash Flow Challenge: 60-90 day payment terms from OEMs (Ford, GM, Stellantis, etc.) create massive cash flow gaps. You buy raw materials and pay labor today, but don't get paid for 2-3 months.

Working Capital Solution:

Accounts Receivable Bridge Financing:

• Borrow against open invoices

• Receive cash immediately instead of waiting 60-90 days

• Repay when customer pays invoice

• Typical advance rate: 80-85% of invoice value

Inventory Financing:

• Finance raw material purchases

• Especially useful for large orders

• Repay when product ships and invoice paid

• Enables accepting larger contracts

Equipment + Working Capital Combined:

• Finance new machinery (equipment loan)

• Include working capital for materials during ramp-up

• Gives you full solution for capacity expansion

Example Structure: Sterling Heights automotive supplier needs to expand capacity for new EV component contract:

• Equipment financing: $800,000 (CNC machines, robotics)

• Working capital: $300,000 (raw materials, labor during ramp-up)

• Total package: $1,100,000

• Timeline: 4-6 weeks

• Payment structured with 3-month interest-only period during installation

LVRG's Automotive Industry Expertise:

• Understand OEM payment terms (not surprised by 60-90 days)

• Value contracts with Ford, GM, Stellantis appropriately

• Know IATF 16949 certification significance

• Deep relationships with Michigan automotive lenders

• Closed hundreds of deals for automotive suppliers

Construction & Trades

Unique Cash Flow Challenge:

• Material costs upfront (supplier COD or 30-day terms)

• Labor costs continuous (weekly payroll)

• Progress payments delayed (30-60 days)

• Winter seasonal slowdown (Michigan-specific)

• Bonding requirements tie up capital

Working Capital Solution:

Seasonal Working Capital:

• Larger line in spring/summer (busy season)

• Smaller payment in winter (slow season)

• Structured to match construction seasonality

• Revolving structure (pay down in busy months, draw in slow months)

Project-Based Financing:

• Finance materials and labor for specific large project

• Repay from progress payments

• Enables bidding on larger contracts

• Shows GC you have financial capacity

Equipment + Working Capital:

• Finance equipment (excavator, dump truck, etc.)

• Include working capital for operational costs

• Total solution for capacity expansion

Example Structure: Lansing general contractor winning $2M commercial project:

• Equipment: $400,000 (new excavator, trucks)

• Working capital: $300,000 (materials, subs, payroll)

• Total: $700,000

• Structured with milestone draws (like GC will pay contractor)

• Repaid over 3 years after project completion

LVRG's Construction Industry Expertise:

• Understand seasonal cash flow (not surprised by winter slowdown)

• Value bonding capacity

• Appreciate project pipeline and backlog

• Know Michigan contractors face (cold weather impacts)

• Experience with Davis-Bacon wage requirements (government contracts)

Healthcare & Medical Practices

Unique Cash Flow Challenge:

• Insurance reimbursement delays (30-90 days)

• High upfront equipment costs (medical/dental equipment expensive)

• Staff expansion needed before revenue grows

• Credentialing delays for new providers

• Regulatory compliance costs

Working Capital Solution:

Accounts Receivable Financing:

• Borrow against outstanding insurance claims

• Get paid immediately instead of waiting months

• Typical advance: 80% of approved claims value

Equipment + Working Capital:

• Finance medical/dental equipment

• Include working capital for staffing during patient ramp-up

• Enables practice expansion or associate hire

Practice Acquisition Financing:

• SBA loan for practice purchase (via SBALoansMichigan.com)

• Working capital for patient integration and transition costs

• Total solution for practice growth through acquisition

Example Structure: Ann Arbor dental practice expanding with associate dentist:

• Equipment: $250,000 (digital x-ray, chairs, operatory build-out)

• Working capital: $100,000 (associate salary, marketing, patient ramp-up)

• Total: $350,000

• 7-year term

• Payment structured knowing insurance reimbursement cycles

LVRG's Healthcare Industry Expertise:

• Understand insurance reimbursement timelines

• Know equipment holds value well (good collateral)

• Appreciate licensing and credentialing delays

• Experience with dental, veterinary, medical practices

• Relationships with healthcare-focused lenders

Restaurants & Food Service

Unique Cash Flow Challenge:

• High upfront build-out costs

• Seasonal fluctuations (winter slow in many Michigan markets)

• Equipment breakdowns can shut down operations

• Thin margins (10-15% profit typical)

• High competition and failure rate

Working Capital Solution:

Equipment Emergency Financing:

• Walk-in cooler fails? Need replacement immediately

• Express working capital funds in 15-20 days

• Avoid expensive MCA options

• Get back to operating quickly

Seasonal Working Capital:

• Build inventory and staff for summer (tourism areas)

• Revenue-based financing (payments lower in slow winter months)

• Bridge winter cash flow gap

• Prepay for spring without draining reserves

Expansion/Second Location:

• Working capital for buildout, equipment, inventory

• Traditional 4-6 week timeline

• May combine with SBA loan for larger expansion

Example Structure: Traverse City restaurant in tourist area:

• Revenue-based financing: $150,000

• Use: Winter inventory, marketing, staff retention

• Repayment: 10% of monthly revenue

• Winter months (Nov-March): $3,000-$5,000/month payment

• Summer months (June-Aug): $15,000-$20,000/month payment

• Self-adjusting to seasonal revenue pattern

LVRG's Restaurant Industry Expertise:

• Understand seasonality (especially tourist areas)

• Know equipment financing critical

• Appreciate thin margins

• Experience with franchise and independent concepts

• Realistic about risks (restaurants are higher risk)

Retail & E-commerce

Unique Cash Flow Challenge:

• Seasonal inventory purchases (Christmas, back-to-school)

• Vendor payment terms (often COD or short terms)

• E-commerce: cash tied up in inventory for months

• Brick-and-mortar: high occupancy costs

• Omnichannel complexity (online + physical)

Working Capital Solution:

Seasonal Inventory Financing:

• Finance large inventory purchases (Oct-Nov for Christmas)

• Repay from holiday sales (Dec-Jan)

• Enables stocking up without draining cash

• Can take early-pay discounts from vendors

E-commerce Growth Capital:

• Finance inventory for product launches

• Marketing/advertising spend (FB ads, Google ads)

• Amazon FBA inventory financing

• Repay as inventory sells

Retail Expansion:

• Second location build-out

• Inventory for new location

• Working capital during ramp-up period

Example Structure: Grand Rapids e-commerce retailer (Michigan-made products):

• Working capital: $200,000

• Use: Inventory purchase for Q4 holiday season

• Timeline: Funded in September, repaid by February

• Structured knowing 60% of annual sales occur Oct-Dec

• Can reapply for next year's season

LVRG's Retail Industry Expertise:

• Understand seasonal patterns

• Know inventory financing critical

• Appreciate online vs. brick-and-mortar differences

• Experience with Michigan retailers across categories

• Realistic underwriting of retail risk

Professional Services

Unique Cash Flow Challenge:

• Staff expansion needed before revenue grows

• Large contracts require upfront investment (hiring, systems)

• Government contracts have long payment terms (60-90 days)

• Technology investments needed (CRM, project management, etc.)

• Business development costs (marketing, sales staff)

Working Capital Solution:

Growth Capital for Staffing:

• Finance hiring of key personnel ahead of revenue

• Gives runway for BD and revenue ramp

• Invest in sales/marketing to grow client base

Government Contract Bridge Financing:

• Finance work on government contracts (payment delayed 60-90 days)

• Accounts receivable financing against open invoices

• Enables accepting government work without cash flow strain

Technology & System Investment:

• Finance software, systems, training

• Improves efficiency and capacity

• ROI-justified (saves money or enables growth)

Example Structure: Detroit marketing agency winning major automotive client contract:

• Working capital: $250,000

• Use: Hire 4 additional staff, invest in project management software, client onboarding

• 5-year term

• Client contract provides repayment confidence

• Debt service coverage strong with new contract

LVRG's Professional Services Expertise:

• Understand contract-based revenue

• Know government payment terms

• Appreciate importance of talent acquisition

• Experience with service businesses across sectors

• Value long-term client relationships

Common Working Capital Mistakes to Avoid

Learn from others' mistakes.

Mistake #1: Waiting Until It's a Crisis

The Problem: Applying for financing when desperate puts you at extreme disadvantage:

• Lenders sense desperation (worse terms offered)

• May get declined due to distress signals

• Forced into expensive options (MCA) because need money TODAY

• Make poor decisions under pressure

Why It Happens:

• "I'll deal with it when I need it"

• Optimism bias (things will work out)

• Fear of debt

• Don't realize how long process takes

The Fix:

• Apply when you DON'T desperately need it

• Establish financing relationship before crisis

• Have backup capital source ready

• Think 3-6 months ahead, not 3-6 days

Michigan Example: Detroit contractor's excavator breaks down (can't work without it). Needs $75,000 immediately. Banks say 8-12 weeks. Desperate, takes merchant cash advance at 1.45 factor rate. Ends up paying back $108,750 in 8 months (nearly $34K in cost vs. ~$6K if had gotten LVRG Express loan proactively).

Lesson: Establish financing relationship before you need it. LVRG Express can fund in 15-20 days—but only if you apply BEFORE it's emergency.

Mistake #2: Not Calculating TRUE Need

The Problem: Borrowing too little means:

• Coming back for more money (another application, more time, more costs)

• Running out of capital mid-project

• Unable to complete what you started

• Opportunity cost of what you COULD have done with adequate capital

Why It Happens:

• Want to "minimize debt" (false economy)

• Underestimate costs

• Don't include working capital buffer

• Optimistic about timeline/revenue

The Fix:

• Calculate realistic need

• Add 20% buffer for unexpected costs/delays

• Include working capital for transition period

• Consider opportunity cost of being undercapitalized

Example Calculation: Equipment purchase working capital need:

• Equipment cost: $200,000

• Installation: $20,000

• Training: $10,000

• Working capital during 3-month ramp-up: $60,000 (payroll, materials)

• Buffer (15%): $43,500

• Total needed: $333,500

If you only borrowed $200,000 for equipment, you'd be short $133,500 for everything else.

Michigan Example: Grand Rapids manufacturer borrows $400,000 for equipment, ignoring $150,000 working capital need during ramp-up. Equipment arrives, can't afford materials to run it. Scrambles for additional financing (expensive, takes time). Should have borrowed $550,000 originally.

Lesson: Borrow what you ACTUALLY need, not what sounds "reasonable." One larger loan usually better than two smaller loans.

Mistake #3: Choosing Based Only on Rate

The Problem: Focusing only on interest rate ignores:

• Fees (origination, closing, prepayment penalty)

• Term length (lower rate but longer term = more total interest)

• Speed (opportunity cost of delay)

• Flexibility (prepayment options, collateral requirements)

• Relationship value

Why It Happens:

• Rate is easy number to compare

• Seems like most important factor

• Don't understand fees and terms

• Don't calculate total cost

The Fix:

• Calculate TOTAL cost of financing (rate + fees + term)

• Consider speed and flexibility value

• Think about prepayment (will you pay off early?)

• Evaluate entire relationship, not just one loan

Comparison Example:

Option A: Bank Loan

• Amount: $300,000

• Rate: 6%

• Term: 7 years

• Origination fee: 1% ($3,000)

• Prepayment penalty: 3 years

• Timeline: 12 weeks

• Total interest paid: $72,000

• Total cost: $75,000

Option B: LVRG Express

• Amount: $300,000

• Rate: 9%

• Term: 7 years

• Origination fee: 3% ($9,000)

• Prepayment penalty: NONE

• Timeline: 3 weeks

• Total interest paid: $114,000

• Total cost: $123,000

Wait—Option B costs $48K more!

But consider:

• 9 weeks faster funding (opportunity cost: could that equipment generate $48K+ in 9 weeks?)

• No prepayment penalty (can refinance or pay off early if business does well)

• Higher approval odds (bank may decline)

• Less documentation hassle

Sometimes paying more is worth it for speed, flexibility, certainty.

Michigan Example: Lansing retailer chooses bank loan at 5.5% over LVRG at 8.5%. Bank takes 14 weeks, approves week before Christmas season. Inventory arrives late, misses most profitable 6 weeks of year. Lost profit: $150,000. Saved on interest: $8,000. Net loss: $142,000 by choosing based on rate alone.

Lesson: Consider total value proposition, not just interest rate. Speed and certainty have value.

Mistake #4: Poor Use of Funds

The Problem: Using working capital for wrong purposes:

• Personal expenses (never)

• Speculative investments

• Covering ongoing losses (without fixing problem)

• Non-revenue-generating expenses

• Paying off personal debt

Why It Happens:

• Blurred line between business and personal

• Panic spending when cash arrives

• No clear plan for deployment

• Using as "general slush fund"

The Fix:

• Have specific use of funds BEFORE applying

• Deploy immediately according to plan

• Track spending against plan

• Use for revenue-generating or cost-saving purposes only

Good Uses:

• Equipment that increases capacity/efficiency

• Inventory for specific sales opportunity

• Marketing with clear ROI

• Staff to support growth

• Refinancing expensive debt (improves cash flow)

Bad Uses:

• Owner draw/personal expenses

• Speculation/gambling

• Covering losses without fixing root cause

• Luxury items for office

• Personal debt payoff

Michigan Example: Detroit service company receives $200,000 working capital. Instead of using for planned staff expansion, owner:

• Takes $50K personal draw

• Buys new office furniture ($30K)

• "Invests" $40K in friend's startup (loses it)

• $80K sits in account unused

Result: Still doesn't have staff to fulfill contracts, revenue doesn't grow, struggles to make loan payments.

Lesson: Use working capital strategically for specific revenue-generating purposes. Have plan BEFORE funds arrive.

Mistake #5: Ignoring Cash Flow Impact

The Problem: Not accurately projecting cash flow impact of loan payment leads to:

• Struggling to make payments

• Having to cut staff or inventory to make payments

• Defaulting on loan

• Damaging credit and banking relationships

Why It Happens:

• Optimistic revenue projections

• Don't account for seasonality

• Forget about taxes, other expenses

• Focus on getting approved, not ongoing management

The Fix:

• Conservative cash flow projections

• Model worst-case scenario (revenue 20% lower than expected)

• Account for seasonality (Michigan construction has winter slowdown)

• Ensure 1.5x DSCR cushion (not just 1.25x minimum)

Cash Flow Projection Example:

Before Loan:

• Monthly revenue: $150,000

• Monthly expenses: $120,000

• Monthly net cash flow: $30,000

• Comfortable

After $200K Loan ($3,500/month payment):

• Monthly revenue: $150,000 (same)

• Monthly expenses: $120,000 (same)

• Loan payment: $3,500

• Monthly net cash flow: $26,500

• Still comfortable (but less cushion)

If Revenue Drops 20% (realistic scenario):

• Monthly revenue: $120,000 (-20%)

• Monthly expenses: $110,000 (reduced somewhat)

• Loan payment: $3,500

• Monthly net cash flow: $6,500

• Tight (not much room for error)

Michigan Example: Traverse City resort borrows using summer revenue projections, doesn't account for 6 months of low winter revenue. Summer: cash flow great, no problem. Winter (Nov-April): revenue drops 70%, struggles to make payment. Late payments damage credit. Could have avoided by:

• Projecting seasonality accurately

• Negotiating seasonal payment structure

• Borrowing less

• Building 6-month payment reserve

Lesson: Model conservative cash flow scenarios BEFORE borrowing. Ensure you can make payment in worst-case reasonable scenario.

Mistake #6: Not Reading the Fine Print

The Problem: Signing documents without fully understanding terms leads to nasty surprises:

• Prepayment penalties (can't refinance or pay off early without huge fee)

• Personal guarantee scope (affects personal assets)

• Default provisions (what triggers default beyond late payment)

• Confession of judgment (lender can seize assets without court)

• Restrictive covenants (limitations on what you can do)

Why It Happens:

• Eager to get funded (don't want to delay)

• Documents are long and complex

• Embarrassed to ask questions

• Assume "standard" terms

The Fix:

• Read EVERYTHING before signing

• Ask questions about anything unclear

• Have attorney review (for loans $500K+)

• Negotiate unfavorable terms BEFORE signing

• Never sign under pressure

Key Terms to Understand:

Prepayment Penalty: Some lenders charge penalty if you pay off loan early.

• LVRG Express: NO prepayment penalty ✓

• Some banks: 2-3 years of interest if paid off early ✗

Personal Guarantee: You're personally liable if business can't pay.

• Standard for virtually all small business loans

• Affects personal credit if default

• Can pursue personal assets

Default Provisions: What besides non-payment triggers default:

• Filing bankruptcy

• Materially false statements in application

• Liens/judgments against business

• Change in ownership

• Failure to maintain insurance

Confession of Judgment: Allows lender to obtain judgment without court hearing.

• Mostly used in MCA industry (predatory)

• LVRG does NOT use confession of judgment

• If you see this, negotiate or walk away

Michigan Example: Warren contractor refinances expensive MCA with seemingly attractive loan. Doesn't read fine print. Discovers:

• 24-month prepayment penalty (locked in)

• Confession of judgment clause

• Weekly ACH (not monthly)

• Personal guarantee extends to future advances

Realizes too late he signed worse deal than MCA. Could have avoided by reading carefully and negotiating.

Lesson: Read every word before signing. If lender rushes you or won't answer questions, that's a red flag.

Mistake #7: Over-Leveraging

The Problem: Taking on too much debt relative to business size leads to:

• Debt service consuming most/all profit

• No cushion for problems or opportunities

• Stressed cash flow constantly

• Difficulty qualifying for additional financing later

• Default risk if any hiccup occurs

Why It Happens:

• "If some debt is good, more is better"

• Aggressive growth plans

• Overconfidence about revenue growth

• Don't understand debt capacity limits

The Fix:

• Conservative debt load (DSCR 1.5x+, not just 1.25x)

• Don't max out debt capacity

• Leave room for additional financing later

• Grow profitably before levering up more

Rule of Thumb: Total annual debt payments should be no more than 25-30% of revenue.

Example:

• Annual revenue: $1,000,000

• Maximum total debt payments: $250,000-$300,000/year

• ($21K-$25K/month)

If already paying $15K/month on existing debt, only take new loan with $6K-$10K/month payment maximum.

Michigan Example: Detroit manufacturer has revenue $2M/year, profit $300K/year. Already has:

• Equipment loan: $5K/month

• Building mortgage: $8K/month

• Vehicle loans: $2K/month

• Total: $15K/month ($180K/year)

DSCR: $300K ÷ $180K = 1.67x (healthy)

Gets aggressive, takes additional $500K working capital loan:

• Payment: $10K/month ($120K/year)

• New total: $25K/month ($300K/year)

New DSCR: $300K ÷ $300K = 1.0x (breaks even, zero cushion)

One slow month or unexpected expense creates payment crisis. Should have borrowed less or waited until revenue grew.

Lesson: Don't max out debt capacity. Leave cushion for inevitable problems and opportunities.

Working Capital Success Stories: Michigan Businesses

Real examples of Michigan businesses using working capital strategically.

Sterling Heights Automotive Supplier: $425,000

Business: Tier 2 automotive supplier, metal stamping and fabrication Employees: 45 Annual Revenue: $6.5M

Challenge: Won major contract with Ford for EV component production. Required:

• New CNC machine ($250K)

• Robotic welding system ($175K)

• Raw materials for initial production run ($100K)

• Labor during 3-month ramp-up period

Total need: $525,000

Bank said 12-16 weeks minimum. Ford wanted production to start in 8 weeks.

LVRG Solution:

• Equipment financing: $425,000

• Additional line: $100,000 (materials and labor)

• Total package: $525,000

• Timeline: 4 weeks from application to funding

• Structure: 7-year equipment financing at 7.2%, interest-only first 3 months during installation

Result:

• Equipment installed on time

• Production started week 7

• Ford contract fulfilled successfully

• Revenue increased 35% ($2.3M additional annual revenue)

• Hired 8 additional staff

• Loan paid down aggressively (will be paid off in year 4)

• Relationship with Ford strengthened (now preferred supplier)

Owner Quote: "LVRG understood our business and the automotive industry. Banks wanted endless documentation and would have taken 3+ months. We would have lost the Ford contract. LVRG moved fast, gave us straight answers, and funded exactly when they said they would. We're now discussing additional financing for our next expansion."

Grand Rapids Restaurant Group: $180,000

Business: 3-location restaurant group (casual dining) Employees: 85 seasonal (50 year-round) Annual Revenue: $4.2M (highly seasonal)

Challenge: Walk-in cooler failure at flagship location during peak summer tourist season (July). Without cooler, couldn't operate. Quotes:

• Equipment: $85,000 (commercial walk-in cooler, installation)

• Emergency timeline: needed ASAP

Also needed:

• Kitchen equipment refresh at 2nd location ($65,000)

• Working capital for fall/winter season ($30,000)

Total need: $180,000

Considered merchant cash advance (could get $100K in 2 days) but cost was 1.4x ($140K repaid). Banks said 8-10 weeks.

LVRG Solution:

• Express Working Capital: $180,000

• Timeline: 16 days from application to funding

• Structure: 5-year term, 9.5% rate, revenue-based payment option (10% of monthly revenue)

• No prepayment penalty

Result:

• Emergency cooler installed, flagship location back operating in 5 days from funding

• 2nd location kitchen refresh completed during slow season

• Revenue-based payment structure perfect for seasonal business:

  • Summer (June-Aug): $15K-$18K/month payments (easy to handle)

  • Winter (Jan-March): $4K-$6K/month payments (manageable in slow season)

• Avoided expensive MCA (saved ~$100K vs. MCA option)

• Paid off in 3.5 years (ahead of 5-year term)

Owner Quote: "We were in panic mode. The cooler died peak season—every day we were closed was $8,000-$10,000 in lost revenue. Merchant cash advance companies were calling immediately (how do they know??) offering same-day money but the cost was insane. LVRG funded in just over 2 weeks, which felt like forever at the time but was actually incredibly fast. The revenue-based payment was genius—high payments when we're busy, low when we're slow. Exactly what seasonal businesses need."

Ann Arbor Medical Practice: $350,000

Business: Primary care practice, 2 physicians + 1 NP Employees: 12 Annual Revenue: $2.8M

Challenge: Opportunity to acquire retiring physician's solo practice:

• Purchase price: $280,000 (goodwill, patient base, equipment)

• Integration costs: $40,000 (EMR integration, marketing, staff transition)

• Working capital during patient transition: $30,000

Total need: $350,000

SBA loan would have been ideal (best rates) but timeline was 8-10 weeks. Seller had another buyer interested and wouldn't wait.

LVRG Solution:

• Express Working Capital: $350,000

• Timeline: 18 days from application to closing

• Structure: 7-year term, 8.8% rate

• Secured by acquired practice assets + personal guarantee

Result:

• Acquisition closed on schedule

• 560 patients transitioned to acquiring practice (82% retention rate)

• Revenue increased $900,000 annually

• Hired 2 additional staff (medical assistant, front desk)

• After 18 months, refinanced with SBA loan at lower rate (LVRG had no prepayment penalty)

• Expanded to second location 2 years later (LVRG financed that too)

Owner Quote: "The timing was critical. The selling physician was retiring whether we bought his practice or not. If we waited 10 weeks for an SBA loan, the other buyer would have taken it. LVRG understood the urgency and moved incredibly fast. Yes, the rate was higher than an SBA loan, but the opportunity was worth it. And when we were ready to refinance 18 months later, LVRG had no prepayment penalty. That flexibility was huge."

Lansing HVAC Contractor: $125,000

Business: Commercial HVAC installation and service Employees: 18 Annual Revenue: $3.1M

Challenge: Seasonal cash flow management. Revenue pattern:

• Spring/Summer (Apr-Sep): $350K-$400K/month (installation season)

• Fall/Winter (Oct-Mar): $150K-$200K/month (service only)

During winter, struggled to:

• Maintain full crew (payroll $140K/month)

• Purchase materials for spring projects

• Cover fixed overhead ($45K/month)

Used credit cards (high interest) and sometimes delayed vendor payments (damaged relationships).

LVRG Solution:

• Revenue-Based Financing: $125,000

• Structure: Repay 12% of monthly revenue until $156,250 paid back (1.25 factor)

• Seasonal adjustment: Payments automatically flex with revenue

Result:

• Received $125,000 in November (slow season starting)

• Used to:

  • Maintain full crew through winter ($85K)

  • Pre-purchase materials for spring ($30K)

  • Cover overhead gap ($10K)

• Payments:

  • Winter (Nov-Mar): $18K-$24K/month (12% of ~$150K-$200K revenue)

  • Spring/Summer (Apr-Sep): $42K-$48K/month (12% of $350K-$400K revenue)

• Paid off in 11 months

• Benefits:

  • Crew stayed together (no layoffs/rehiring)

  • Ready to start season with materials and full crew

  • Vendor relationships intact (paid on time)

  • Credit cards paid off (saved 22% interest)

Owner Quote: "Seasonal businesses like construction and HVAC have a feast-or-famine cash flow. Winter is brutal—revenue drops but costs don't. Revenue-based financing was perfect because payments adjust automatically. When revenue is down, payment is lower. When revenue is high, payment is higher but affordable. This structure makes way more sense for seasonal businesses than traditional fixed payment loans."

How to Calculate Your Working Capital Needs

Don't guess—calculate precisely what you need.

Method 1: Cash Flow Gap Analysis

Best For: Covering operational shortfalls, seasonal businesses, payment term gaps

Formula: Working Capital Need = (Monthly Operating Expenses × Number of Months to Cover) - Current Cash Reserves

Example: Michigan Automotive Supplier

Monthly Operating Expenses:

• Payroll: $200,000

• Materials: $150,000

• Rent/utilities: $25,000

• Other overhead: $25,000

• Total: $400,000/month

Payment Terms Gap: You pay suppliers COD or net-30, but GM pays you in 90 days = 2-month gap

Calculation:

• Need to cover: 2 months of expenses

• 2 months × $400,000 = $800,000

• Current cash reserves: $200,000

• Working capital need: $600,000

This ensures you can operate for 2 full months before GM payment arrives.

Method 2: Growth Capital Calculation

Best For: Expansion, new locations, significant growth initiatives

Formula: Working Capital Need = (Upfront Investment Costs + Operating Losses During Ramp-Up) - Expected Revenue During Ramp-Up

Example: Grand Rapids Retailer Opening Second Location

Upfront Costs:

• Leasehold improvements: $80,000

• Initial inventory: $120,000

• Equipment & fixtures: $40,000

• Deposits & licenses: $15,000

• Total upfront: $255,000

Monthly Operating Costs (New Location):

• Rent: $8,000

• Payroll: $25,000

• Utilities/other: $7,000

• Total: $40,000/month

Ramp-Up Timeline: 6 months to breakeven Expected Revenue During Ramp-Up:

• Month 1-2: $15,000/month

• Month 3-4: $30,000/month

• Month 5-6: $45,000/month

• Total 6-month revenue: $180,000

Operating Costs for 6 Months: $240,000 Revenue During Ramp-Up: $180,000 Operating Loss: $60,000

Total Working Capital Need:

• Upfront: $255,000

• Operating loss: $60,000

• Total: $315,000

Add 20% buffer for delays/unexpected: $378,000

Method 3: Accounts Receivable Financing Need

Best For: B2B businesses with long payment terms

Formula: A/R Financing Need = (Average Monthly Sales × Payment Terms in Months × Desired Advance Rate)

Example: Detroit Professional Services Firm

Average Monthly Sales: $150,000 Payment Terms: 60 days (2 months) Desired Advance Rate: 80%

Outstanding A/R at Any Time: $150,000 × 2 = $300,000

A/R Financing Need: $300,000 × 80% = $240,000

This gives you 80% of invoice value immediately instead of waiting 60 days.

Method 4: Inventory Financing Need

Best For: Retailers, wholesalers, seasonal inventory businesses

Formula: Inventory Financing Need = (Peak Inventory Required - Current Inventory - Available Cash)

Example: Traverse City Retailer (Seasonal Tourist Business)

Peak Inventory Needed (June 1): $250,000 Current Inventory (April 1): $80,000 Available Cash: $40,000

Additional Inventory to Purchase: $250,000 - $80,000 = $170,000 Cash Available: $40,000

Inventory Financing Need: $170,000 - $40,000 = $130,000

This enables stocking up for peak season without depleting cash reserves.

Method 5: Equipment + Working Capital Bundle

Best For: Equipment purchases that require operational capital during transition

Formula: Total Need = Equipment Cost + Installation + Training + (Monthly Operating Costs × Transition Period in Months)

Example: Ann Arbor Manufacturing Company

Equipment Costs:

• CNC machine: $300,000

• Installation: $25,000

• Training: $15,000

• Total equipment: $340,000

Operating Costs During Transition:

• Materials for test runs: $30,000

• Labor during learning curve: $45,000 (3 months reduced productivity)

• Maintenance during warranty period: $10,000

• Total transition costs: $85,000

Total Financing Need: $340,000 + $85,000 = $425,000

Most businesses only think about equipment cost ($300K) and run short on transition costs ($85K).

Quick Working Capital Assessment Tool

Answer these questions to estimate your need:

1. What's your average monthly operating expense? $__________

2. How many months of expenses do you want to cover? ______ months (Seasonal businesses: 3-6 months; Stable businesses: 1-3 months)

3. Basic need = Question 1 × Question 2: $__________

4. Current cash reserves: $__________

5. Net working capital need = Q3 - Q4: $__________

6. Add 20% buffer for unexpected: $__________

7. TOTAL WORKING CAPITAL NEED: $__________

Don't Forget Hidden Costs

When calculating working capital needs, include:

Taxes:

• Payroll taxes (7.65% of payroll)

• Sales tax remittance (if applicable)

• Quarterly estimated taxes

• Property taxes

Insurance:

• Liability insurance premiums

• Workers comp (often quarterly)

• Property/equipment insurance

• Health insurance (if providing)

Professional Services:

• CPA/accounting fees

• Attorney fees

• Consultants

• Marketing agencies

Maintenance & Repairs:

• Equipment maintenance

• Facility repairs

• Vehicle maintenance

• Technology support

Regulatory & Compliance:

• Licenses and permits (renewals)

• Inspections

• Certifications (ISO, industry-specific)

• Training (safety, compliance)

Michigan-Specific Considerations:

• Winter heating costs (significantly higher Nov-March)

• Snow removal (commercial properties)

• Salt/materials for winter operations (construction, transportation)

• Seasonal fluctuations in utilities

When to Revise Your Working Capital Needs

Increase Your Need If:

• Sales growing faster than expected (need more inventory, staff)

• Customer payment terms extending (A/R growing)

• Supplier terms tightening (need to pay faster)

• Experiencing unexpected expenses

• Opportunity arises (acquisition, large contract)

May Need Less If:

• Sales slower than projected

• Improved collections (A/R shrinking)

• Better supplier terms negotiated

• Found cost efficiencies

• Received unexpected cash injection

Review Quarterly: Working capital needs change as business evolves. Review every 90 days and adjust accordingly.

Frequently Asked Questions

Q: What's the minimum credit score needed for working capital loans in Michigan?

A: Depends on program:

• LVRG Express: 650 FICO personal, 165 SBSS business minimum

• Traditional Working Capital: 600 FICO personal for some programs

• Below 600: Very limited options, likely merchant cash advance only (expensive)

Q: How fast can I get working capital funding?

A:

• LVRG Express: 15-20 business days average

• Traditional Working Capital: 4-6 weeks

• SBA Loans: 6-8 weeks through LVRG (90-120+ days direct to bank)

• Merchant Cash Advance: 1-3 days (but expensive—not recommended)

Q: Do I need collateral for a working capital loan?

A: Depends:

• LVRG Express: Minimal collateral requirements, no personal collateral for qualifying businesses

• Traditional Unsecured: No collateral for $50K-$250K if strong credit

• Traditional Secured: Collateral required for larger amounts (equipment, A/R, real estate)

• Personal Guarantee: Required for virtually all small business loans regardless of collateral

Q: Can startups get working capital loans?

A: Difficult but possible:

• LVRG Express: Requires 2+ years operating history (startups not eligible)

• Traditional: Some programs accept 1+ years in business

• Franchise Startups: May qualify with franchise experience

• Dental/Veterinary: Special consideration for new practices

• Best Alternative: Personal loans, SBA microloans, or wait until 2 years in business

Q: What can I use working capital loans for?

A: Almost anything except commercial real estate purchase:

• ✅ Equipment purchases

• ✅ Inventory/supplies

• ✅ Payroll

• ✅ Marketing/advertising

• ✅ Leasehold improvements

• ✅ Debt refinancing

• ✅ Business acquisitions

• ✅ Working capital/cash flow

• ❌ Commercial real estate (use LVRG Commercial Real Estate Financing instead)

• ❌ Personal expenses

• ❌ Speculative investments

Q: Does LVRG serve businesses outside Metro Detroit?

A: Yes! LVRG serves businesses throughout Michigan:

• Metro Detroit (Wayne, Oakland, Macomb)

• Grand Rapids & West Michigan

• Ann Arbor & Washtenaw County

• Lansing & Mid-Michigan

• Flint & Genesee County

• Upper Peninsula

• Everywhere in Michigan

Plus, LVRG provides financing nationwide for certain products.

Q: What's the difference between working capital and a line of credit?

A:

• Working Capital Loan: Lump sum, fixed monthly payment, set term

• Line of Credit: Draw as needed, revolving, interest only on drawn amount

LVRG currently focuses on working capital term loans (not traditional lines of credit). However, our revenue-based financing offers similar flexibility to a line of credit.

Q: Can I pay off my working capital loan early?

A: With LVRG Express: YES, no prepayment penalty!

Many banks have prepayment penalties (2-3 years of interest). LVRG Express has NONE—if your business does well and you want to pay off early, you can without penalty.

Q: What if my business is seasonal?

A: Perfect for revenue-based financing!

Revenue-based financing payment is percentage of monthly revenue, so:

• Busy season: Higher payment (but revenue is high so affordable)

• Slow season: Lower payment (matches lower revenue)

Example: Construction company in Michigan

• Summer: $400K revenue, payment $40K (10%)

• Winter: $150K revenue, payment $15K (10%)

Self-adjusting to seasonal patterns.

Q: How is working capital different from SBA loans?

A: Working Capital Loans:

• Speed: 15-20 days (Express program)

• Documentation: Minimal

• Interest Rate: Higher (8-18%)

• Repayment Term: Shorter (1-10 years)

• Use of Funds: Very flexible

• Best For: Fast needs, amounts under $350K

SBA Loans:

• Speed: 6-8 weeks (via LVRG's SBALoansMichigan.com)

• Documentation: Extensive

• Interest Rate: Lower (Prime + 2-3%)

• Repayment Term: Longer (10-25 years)

• Use of Funds: More restrictions

• Best For: Large amounts, best rates available

Learn more about SBA loans: SBALoansMichigan.com

Q: What industries does LVRG serve?

A: Most industries! Common Michigan industries:

• Manufacturing & automotive suppliers

• Construction & trades

• Healthcare (dental, veterinary, medical)

• Professional services

• Restaurants & hospitality

• Retail & e-commerce

• Technology & IT services

• Transportation & logistics

• And many more

Restricted: Adult entertainment, cannabis, gambling, speculative real estate

Q: Will applying hurt my credit score?

A: No! LVRG does soft credit inquiry during application—does NOT impact your score.

Hard inquiry only if/when you decide to proceed with loan after approval.

Q: What if I have bad credit?

A: Options are limited but exist:

• 650+ credit: LVRG Express and most programs available

• 600-649 credit: Some traditional working capital programs

• Below 600: Very limited (revenue-based financing possible if strong revenue)

Best Strategy: Work on improving credit for 6-12 months before applying. Even 50 points improvement (600→650) opens many options.

Q: Do I need a business plan?

A: Depends:

• LVRG Express ($10K-$350K): No business plan required

• Traditional under $500K: Usually not required (clear use of funds sufficient)

• Over $500K: Business plan or detailed investment memo helpful

• SBA Loans: Usually required

Q: Can I get working capital to refinance merchant cash advances?

A: YES! This is an approved use and one of the best uses of working capital.

Many Michigan businesses are trapped in expensive MCAs (40-80% APR equivalent). LVRG can refinance into affordable working capital loan (8-18%), dramatically improving cash flow.

Q: How much does working capital cost?

A:

• Interest Rate: 8-18% typically (depends on credit, risk)

• Origination Fee: 1-5% of loan amount

• Monthly Payment: Depends on amount and term

• Total Cost: Calculate rate + fees over full term

Example: $100,000 loan at 10% for 5 years

• Monthly payment: $2,124

• Total paid: $127,440

• Total interest: $27,440 (27.4% of loan amount)

Q: What documentation do I need?

A: For LVRG Express:

• Business bank statements (3 months)

• Business & personal tax returns (3 years)

• Current P&L and balance sheet (within 90 days)

• Business debt schedule

• Completed LVRG application

That's it! No business plan, no projections, no excessive documentation.

Q: Can I get working capital if I already have debt?

A: Yes, if your cash flow can support additional debt.

Lenders calculate Debt Service Coverage Ratio (DSCR):

• Formula: Net Operating Income ÷ Total Annual Debt Payments

• Minimum: 1.25x

• Preferred: 1.50x+

If your DSCR with new loan is 1.25x or higher, you likely qualify.

Q: What if I'm declined?

A: Ask why specifically, then:

Common Reasons & Solutions:

• Credit too low: Improve credit, reapply in 6 months

• Not enough cash flow: Increase revenue or reduce expenses, reapply in 6-12 months

• Too much existing debt: Pay down debt, improve DSCR

• Incomplete documentation: Provide complete info, reapply immediately

• Use of funds not approved: Change use or try different product

One lender declining doesn't mean all will. If LVRG declines, we'll help identify what you need to do to qualify later.

Apply for Working Capital Today

Don't let cash flow challenges hold your Michigan business back.

Why Choose LVRG Business Funding?

Michigan's Business Loan Authority

20+ Years Experience: Founded in Metro Detroit in 2003, LVRG has facilitated over $1 billion in financing to more than 10,000 businesses nationwide, with deep expertise in Michigan's economy and industries.

Fast Approvals:

• Express Working Capital: 15-20 days

• Traditional Working Capital: 4-6 weeks

• SBA Loans (via SBALoansMichigan.com): 6-8 weeks

Compare to 90-120+ days at banks.

Flexible Options:

• $10K-$350K Express program

• $50K-$5M traditional working capital

• Revenue-based financing for seasonal businesses

• SBA loans for best rates (via SBALoansMichigan.com)

Michigan Expertise: We understand:

• Automotive supplier payment terms

• Seasonal business patterns (winter impact)

• Manufacturing equipment financing

• Construction cash flow challenges

• Michigan's diverse economy

Boutique Service, Institutional Capacity:

• Work directly with senior leadership (not call center)

• Direct lending capability + banking partnerships

• Personal service at every step

• Long-term relationship focus

No Prepayment Penalties: LVRG Express has NO prepayment penalty—pay off early, save interest.

Transparent Terms: No hidden fees, no surprises. All costs disclosed upfront before you sign anything.

Three Ways to Apply

1. Apply Online (Fastest)

• Visit: LVRGFunding.com/apply-now

• Takes 5-10 minutes

• No hard credit pull

• Response within 1 business day

2. Call Us

• Phone: (855) 998-5874

• Speak with LVRG funding specialist

• Get questions answered

• Start application over phone

3. Email Us

• Email: info@lvrgllc.com

• Describe your business and needs

• We'll respond within 4 business hours

• Schedule consultation call

What Happens After You Apply?

Day 1: Apply online or call Day 2: LVRG advisor contacts you, discusses options Day 5-7: Submit documentation Day 12-15: Credit decision, approval, term sheet Day 15-20: Closing, funding wired to your account

For Express Working Capital: Average 15-20 business days from application to funding

Geographic Areas Served

LVRG proudly serves Michigan businesses statewide:

Metro Detroit:

• Detroit

• Warren

• Sterling Heights

• Dearborn

• Livonia

• Troy

• Farmington Hills

• Southfield

• Rochester Hills

• Novi

• Canton

• Ann Arbor

• Pontiac

• Royal Oak

• And all Wayne, Oakland, Macomb counties

West Michigan:

• Grand Rapids

• Kalamazoo

• Holland

• Muskegon

• Wyoming

• Kentwood

Mid-Michigan:

• Lansing

• East Lansing

• Jackson

• Battle Creek

Other Michigan Cities:

• Flint

• Saginaw

• Bay City

• Traverse City

• Petoskey

• Marquette (UP)

• And everywhere in between

No matter where your Michigan business is located, LVRG can help.

Industries We Specialize In

LVRG has deep expertise financing:

• Manufacturing (especially automotive suppliers)

• Construction (general contractors, specialty trades)

• Healthcare (dental, veterinary, medical practices)

• Professional Services (accounting, law, consulting, IT)

• Restaurants & Hospitality

• Retail & E-commerce

• Transportation & Logistics

• Technology & Software

• And many more

If your industry isn't listed, contact us—we likely serve it.

Ready to Get Started?

Don't wait until cash flow becomes a crisis.

Apply today and have working capital in place BEFORE you need it urgently.

Phone: (855) 998-5874

Online: LVRGFunding.com/apply-now

Email: info@lvrgllc.com

Office: LVRG Business Funding 615 Griswold Street, Suite 700 Detroit, MI 48226

Hours: Monday-Friday: 8:00 AM - 5:00 PM EST

About LVRG Business Funding

LVRG Business Funding is Michigan's Business Loan Authority, headquartered in Downtown Detroit. Founded in 2003 by Charles M. Barr, LVRG has facilitated over $1 billion in business financing to more than 10,000 established businesses nationwide.

Our Services:

• Express Working Capital Loans: $10K-$350K (15-20 days)

• Traditional Working Capital: $50K-$5M

• Equipment Financing: $100K-$50M+

• Commercial Real Estate Financing: $500K-$15M

• SBA Loans: Via SBALoansMichigan.com platform ($500K-$15M)

Our Approach: LVRG combines boutique personal service with institutional capital capacity. We're not transactional—we build long-term strategic partnerships with business owners. Whether you need $10,000 or $10,000,000, you work directly with experienced professionals who understand your business and industry.

Our Commitment:

• Transparent terms, no hidden fees

• Fast decisions (days to weeks, not months)

• Expert guidance through entire process

• Michigan expertise and nationwide reach

• Your success is our success

Contact LVRG: Phone: (855) 998-5874 Website: LVRGFunding.com SBA Platform: SBALoansMichigan.com Email: info@lvrgllc.com

Meta Note: This guide was last updated November 20, 2024. Lending programs, rates, and requirements change. Contact LVRG for current information specific to your situation. This guide is for informational purposes only and does not constitute financial advice.