Get funding-ready before the holidays: a 4-week checklist

The holiday season can make or break small businesses — and that means now is the time to get ready financially. Whether you're planning to apply for funding this fall or want to strengthen your position for future opportunities, this four-week plan can help you become more funding-ready.

Week 1: Strengthen your business credit profile

Lenders care about risk. Good business credit is often associated with less risk, and can make it easier to get certain types of funding. 

If you haven't already, consider establishing the business credit essentials: your EIN, dedicated business bank account, and formal business structure (LLC, corporation, etc.). These fundamentals can signal to lenders that you're operating a legitimate business, but the right choice for your business depends on your circumstances and you should consult a qualified tax or legal professional if you need help deciding what’s right for you.

Next, open at least one or two tradelines, or credit accounts that report to business credit bureaus. Consider vendor accounts with net-30 payment terms or secured business credit cards. Both can help establish your payment history with major commercial credit bureaus.

Focus on these actions:

• Pay all bills early or on time
• Monitor your business credit reports from Experian, Equifax, and Dun & Bradstreet
• Fix errors like mismatched business information or outdated industry codes
• Aim to keep business credit card balances below 30% of available limits

For businesses starting from scratch, you need at least two tradelines reporting to Dun & Bradstreet with three total payment experiences to generate a D&B PAYDEX® score.

Week 2: Understand your cash flow

Before you look for capital in the form of loans or lines of credit, get clear on your numbers.

Start by forecasting your weekly cash flow through the holiday season. Include expected revenue spikes from increased sales and slower periods after peak shopping days. 

Look for clues to these questions: 

What will you need funding for? 

Inventory, hiring temporary workers, or covering increased shipping costs could all be essential expenses. 

When will you need capital? 

You’ll probably need to spend money to make money, and timing is crucial here. When will you ramp up spending on advertising? When will you stock up on inventory? 

How does financing help?

Then ask yourself: If I take on financing, will it generate more revenue than it costs? For example, will a $10,000 investment in marketing and inventory help you bring in $15,000+ in additional sales? Or will equipment repairs allow you to take on higher-paying contracts?

Understanding your return on investment helps you make strategic borrowing decisions rather than emotional ones.

How to forecast your cash flow

Step 1: Gather your historical data from last year's Q4 sales, monthly expenses, and any seasonal patterns specific to your industry.

Step 2: Create weekly projections that include:

• Expected revenue by week
• Fixed expenses (rent, payroll, insurance)
• Variable costs (inventory, materials, shipping)
• One-time expenses (equipment, marketing campaigns)

Step 3: Identify your cash gaps — weeks where expenses exceed incoming revenue.

Use Nav's small business cash flow guide to develop your strategy.

Tools that can help with cash flow forecasting

If this sounds intimidating, keep in mind that there are tools (and people) who can help. 

Nav's Cash Flow Health is an easy place to start. It allows you to connect your accounts in one place and find out where your income is trending. 

If you already use accounting software, you’ll likely find built-in forecasting features to project future cash needs based on historical patterns.

Don’t be afraid to also ask your bookkeeper or accounting professional for help. 

Week 3: Find financing options

Now that you understand your cash flow needs and have started building credit, research lenders that fit what you need. If you line up credit before you need it, that’s one less thing to deal with when you’re in the throes of holiday season. 

Consider these options:

Business credit cards

This may turn out to be one of your go-to sources for short-term financing during the holidays. Credit cards are often useful for smaller, ongoing expenses. 

You may even want to get a card with a 0% introductory APR offer that can give you six to 18 months to pay off qualifying purchases before the interest rate goes up. 

Lines of credit

Business lines of credit are very popular with many small businesses, and can be especially useful when you need access to financing for just a few weeks or months. Draw money only when needed and pay interest only on what you use.

Equipment financing

Is your equipment ready for the holiday rush? If not, you may want to look into upgrading it now. Secured by the equipment itself, equipment loans often offer lower rates for machinery or vehicle purchases. And leasing may give you access to newer equipment and, in some cases, possible tax deductions. 

Term loans

Good for specific purchases like equipment or expansion, term loans often offer fixed payments over a longer period of time that make budgeting easier.

Timeline considerations

Your calendar is probably guiding a lot of your decisions now, and applying for credit may be one of them. 

• Many business credit cards offer instant approval. 
• Online small business loans may fund within one to three business days
• Traditional bank loans, including many SBA loans, may take 30 to 90 days

Nav can help

Use financing comparison tools like Nav to find options based on your credit profile, revenue, and more. 

Week 4: Create your fundability action plan

Next it’s time to bring everything together with a clear execution strategy.

1. Organize your documents

Getting financing is easier and faster when you’re prepared. Some types of financing won’t require much documentation at all (for example, business credit cards), while bank loans and lines of credit often require a lot more. 

While you may not need all of the documents listed below for each type of financing, if you have them ready, you will be in a better position to finish your loan application quickly. 

• Three to six months of business bank statements
• Profit & loss statements for the current year
• Cash flow projections showing how you'll use and repay funds
• Business tax returns (previous one to two years)
• Personal financial statement if you're guaranteeing the loan

Write a simple, one-page plan explaining how you'll use any borrowed funds and how the investment will generate additional revenue or cost savings. Even if the lender doesn’t need this, you’ll have it as a reminder of what you plan to accomplish. 

2. Decide when to apply

Do you need funds by early November for holiday inventory? Then you may need to apply by mid- to late October, or even sooner. Online lenders can often fund within one to two weeks, while banks may take four to eight weeks or longer. 

Often, the faster you need funding, the more likely you are to take what you can get rather than what’s best for your business. 

3. Still building credit? Keep going

Also consider your credit profile when deciding when to apply. If you have some flexibility, and your credit scores are improving, waiting another month may help you qualify for better terms.

On-time payments with companies that report to business credit bureaus can be one of the best ways to strengthen your credit profile. 

Monitor your personal and business credit scores monthly through Nav or directly with credit bureaus. Keep credit utilization low across all accounts — ideally below 30% of available limits.

If you discover errors on your credit reports, dispute them immediately. Corrections can take 30 days or more to appear, so start the process early.

4. Have a backup plan

If funding doesn't come through as expected, be ready with alternatives:

• Negotiate extended payment terms with key suppliers (for example, net-30 instead of net-15 payment terms) 
• Explore trade credit arrangements with new vendors (such as Nav’s list of net-30 vendors)
• Consider accounts receivable factoring if you have outstanding invoices
• Plan for Q1 financing when holiday cash flow improves

2025 outlook for the holidays

The overall outlook for the 2025 holiday season is positive:  

• 90% of holiday gift givers plan to spend the same or more than they did last year, with 35% expecting to spend more and 55% aiming to keep their spending flat, according to a survey by Basis Technologies Research.
• Nearly half of small business owners (46%) saying that the economy is “excellent” or “good”, up from 30% the previous quarter, according to the CNBC|SurveyMonkey Small Business Confidence Index Q3 2025.
• Consumers are expected to start their holiday shopping as early as October, according to Microsoft research, giving retailers the opportunity to test advertising and promotions before the full holiday season gets underway. 

Still, concerns about inflation and tariffs add to uncertainty. Smaller businesses also face intense competition from online retail giants like Amazon, as well as big box retailers. Larger businesses have more ability to weather these challenges. 

If you want to put your business in the strongest position possible for this holiday season, you’ll need a combination of savvy marketing, a strong value proposition, and financial flexibility. 

Final word: Improve funding options before the holidays

Building fundability takes time, but these four weeks can significantly improve your position. Strong cash flow management, solid business credit, and the right financing match set you up for both holiday success and long-term growth.

Whether you need funding now or later, these fundamentals make you the kind of borrower lenders want to work with — and that can translate to better rates, higher approval odds, and more growth opportunities for your business.