You want to start your own small business. Write a letter to a bank requesting information about obtaining a business loan to finance your new company.

Sample Answer

Dear Sir or Madam,

I am writing to inquire about the possibility of a business loan from your bank to finance a startup business I have planned to commence soon. I am hoping you would provide me with some information and document requirements so that I can apply for the loan.

I have completed my graduation from the University of Edison and my major was marketing. Now I am interested to start a coffee shop of my own and need a loan to support it. I own the location of the shop and have some prior experience of working at a large coffee shop. A business outlining firm responsible for the business plan has suggested a capital requirement of $10,000 for the coffee shop. I can finance 50% of the fund requirement and need another $5000 as a loan from your bank.

My father would be ready to be a guarantor for the loan and I can repay the loan amount with interest within 2 years. However, I need three months’ grace period before I start repaying my monthly instalment.

I would really appreciate it if you could send me details of the loan including the interest rates, monthly instalment amount and so on. Also, forward me the documents I need to fill in and submit to actually apply for the loan.   

Yours faithfully,

James Moore