What happens after you apply through a broker?

After you apply through a broker, the broker reviews your file, chooses the lenders that fit, submits it, handles underwriter questions and brings back offers for you to compare. Once you pick one, the lender issues final documents, verifies a few details and funds. Your job at each stage is short: answer questions quickly, send what is asked for, and read the offer before you sign.

Here is the full sequence, with what you do and what the broker does at each step.

1. The intake call

What happens. The broker learns your business: what you do, how long you have operated, monthly revenue, credit, existing debt, what the money is for and how fast you need it.

Your part. Be specific and honest. A broker who knows about a past tax lien or a slow month can route around it. A broker who finds out later loses time and credibility with the lender.

What to ask. How the broker is paid, which products they are considering, and which lenders will run a hard credit pull.

2. Documents

What happens. The broker asks for what lenders will need. For most short term products that is a signed application, your most recent months of business bank statements and a photo ID. For larger loans expect tax returns, financial statements and a debt schedule.

BDC's guidance for Canadian lenders is a good picture of a full package for bigger loans: financial statements, often two years prepared by an accountant for larger amounts, a cash flow forecast, a business plan explaining the use of funds, and supporting documents such as equipment quotes, leases or receivables aging reports.

Your part. Send clean, complete copies at once. Missing pages are the most common cause of delay.

3. Lender selection and submission

What happens. The broker matches your file to lenders whose criteria you meet and submits to a short list. A good broker sends your file only where it fits, rather than to everyone at once.

This step is where brokers earn their place. The Federal Reserve's 2025 Small Business Credit Survey found that among firms turned down for financing, 46% were told the lender's requirements were too strict. Knowing those requirements in advance is the broker's job.

Your part. Tell the broker about any lender you have already applied to so your file is not sent twice.

4. Underwriting

What happens. Each lender reviews your file. Underwriters often come back with questions: a large deposit they want explained, a gap in statements, a lien search result.

Your part. Answer fast. A same day reply can move you to the top of an underwriter's queue.

5. Offers

What happens. The broker brings back one or more offers. Each should show the amount, term, payment amount and frequency, total repayment, fees and any prepayment terms.

In states with commercial financing disclosure laws, the provider must give you a written disclosure with a specific offer. Texas, for example, requires disclosures for specific offers under $1 million, according to Manatt's summary of the new rules. Virginia's law requires the provider to state whether it pays your broker directly for the offer, and how much.

Your part. Compare offers on total dollars repaid, payment size and frequency, and flexibility. NerdWallet notes that a few days to decide is typical and that pressure to decide quickly is a warning sign.

6. Closing

What happens. You accept an offer. The lender sends final documents to sign. Many lenders then run a short verification: a call to confirm your identity and the terms, a bank account login check, sometimes a site visit for larger loans.

Your part. Read the final contract against the offer. The numbers should match. If anything changed, ask your broker before signing.

7. Funding

What happens. The lender sends funds to your business account. For equipment financing it may pay the vendor directly. The broker is usually paid by the lender at this point.

Your part. Confirm the amount received matches the net amount on your disclosure, and set up your payment schedule.

How long the whole thing takes

Timelines depend on product more than anything else. Fast products such as working capital and merchant cash advances can move from application to funding within days when documents are ready. Equipment financing adds vendor invoices and sometimes inspections. SBA loans take the longest because of the package, the lender's credit memo and the guarantee.

What a great broker does throughout

• Tells you which lenders have your file.
• Gives you each lender's real offer document.
• Keeps you updated without you having to chase.
• Explains the trade-offs between offers in plain language.

If no lender says yes

A decline is information. Ask your broker which lenders declined and the reason each gave. The fix is often specific: a few more months of revenue history, paying down an existing advance, or adding collateral. A good broker will tell you what to change and when to try again.

Start the process

Search the register for brokers who fit your loan type and industry, or use the match form. Every entry carries a register number and last checked date, and verified entries show fees in writing.