Business, or “Busyness”?
Each day we are confronted with many, many things we have to do, from the common and simple (get out of bed, go to the office/work) to the more complex (develop a riveting presentation to a prospective customer that will get the sale). Then there are the tasks that...
Commercial Lending: Risk and Relationships (Part 2 of 2)
Part Two on Commercial Lending with John Wroton, Assistant Vice President of Harrington Bank, Chapel Hills, North Carolina
Last time our focus was on the impact of risk and the “personal” aspects of getting the loan. Now we shift our focus to the “business” factors – from the loan application to collateral to funding options.
Commercial Lending: Risk and Relationships (Part 1 of 2)
In the first of a 20 topic question and answer series, John Wroton, Assistant Vice President of Harrington Bank, Chapel Hill, North Carolina, answers key questions which provide insight and a better understanding of the lending process – how risk and your relationship with your banker make a difference. This is the first of two articles on commercial lending.
Recently a panel of bank executives indicated that getting a business loan is about risk and relationships. The degree of risk is assessed on a business based upon a number of factors that are “plugged” into formula. According to the panel if you have a pre-established relationship with your banker, the chances improve in getting your loan. The caveat is that you need to be prepared before you ask – with a robust business plan and concept, cash flow available to make the loan payments, collateral (in most cases) from the business, and a willingness to provide a personal guarantee for the loan.
Startups Answer Who Would Fund Us
This past week I was working with an early stage, prerevenue technology startup on financial and funding issues. We were looking at alternative funding sources (to date, the company has been paid for from the client's personal funds, personal debt and government...
6 Critical Items for Entrepreneurs
6 Critical Items for Entrepreneurs Starting a business is both one of the easiest and most difficult things a person can do. The easy part is there are few obstacles creating a business in its simplest form. It requires little more than printing a business card and...
Start-ups’ Early Sales Don’t Guarantee Success
Start-ups' Early Sales Don't Guarantee Success Start-up technology firms often fail because they consider the first commercial milestone -- paying customers -- a determinant of long-term success. The actual sale to a prospect that is enthusiastic about a new...
Bootstrap Like Spanx to Start a Business
Bootstrap Like Spanx to Start a Business You may have heard that "Everything is a function of time and money. You can have it fast. You can have it cheap. But you can't have it fast and cheap." But "bootstrapping" companies continually rework this equation and manage...
Think You Are Too Old to Start a Business?
[This article appeared in the July 19, 2010 FOX Business] Think You Are Too Old to Start a Business? The economy, job loss and increased competition for promotions and new jobs have all contributed to the trend of older people (55+) making the decision to start a...
Business Management Systems – Critical to Long-term Success
Business management systems (BMS) are all the policies, procedures, internal controls, and tools - manual and computerized - used in conducting business and measuring the results. BMS encompasses all functional activities -- from accounting to sales and marketing to...
Bringing Together the Parts
One of the most significant challenges early stage businesses face is finding the right people with the right skills for the roles which need to be filled in the business. This challenge is often heightened by limited financial resources. An early stage company...