If you watch “Shark Tank” a reality television show on ABC starring five investors including Barbara Corcoran who are considering investing in the products of soon to be entrepreneurs you know how hard it is to secure financing as a small business entrepreneur. Especially if you don’t have the financial statements (network of your company, initial investment, company sales and projected company sales) and business acumen to back it up.
Finding the bank that will lend you the money that is needed to operate your business drives through much of the same process and is more successful when you preplan to present your business with all the favorable terms the bank is looking for such as a practical and effective business plan, management and leadership skills, a positive cash flow (validating your ability to pay back the loan) and accompanying good credit. (My favorite read is Turning No Into Yes: Six Steps to Solving Your Financial Problems (So You Can Stop Worrying) by Stephen M. Pollan and Mark Levine. It illustrates six steps to alleviating your money troubles and turning your brick walls into doorways. It will help you to determine your problem and ask yourself the necessary questions. “Is the loan delayed because the banker doesn’t like you, or because your income statement doesn’t show enough in the asset column?” And afterward reevaluate your strategy for meaningful success.)
- To Boost Small Business Credit, Think Small (Banks) (businessweek.com)
- M&T tops in small business lending in Baltimore area (bizjournals.com)
- Grading Banks on Their Small-Business Lending (boss.blogs.nytimes.com)
- Why JP Morgan Chase Earns an “F” for Small-Business Lending (openforum.com)
- SmallBusinessLoanRates.com Sees Business Skyrocket as Small Businesses … – PR Web (press release) (prweb.com)