Business Issues By Cheryl Fry Content Sponsored by Harry Fry & Associates

Due to bank shutdowns, constant media bombardment about a possible recession and an uptick in fraud, lenders are proceeding cautiously. Are they lending? Yes! However, lenders are asking more questions and asking for more information, so it takes a bit longer to get a deal done.

Here are some of the questions we hear most frequently. Hopefully, the answers will help you be prepared and understand what to expect.

How can a borrower help the process go smoothly?

Tell us your story. We want to understand your background, how you started your company, what you see happening in your market and what you anticipate your business to do in the year ahead.

Provide a complete credit application that is legible. Taking the time to fill out the entire application may alleviate some questions once the file is in credit review.

Why am I asked to provide financial information?

There are several reasons that company financial information may be requested:

• The company does not have any comparable borrowing history.( In this case, financial information or just bank statements may be requested.)

• The requested finance amount is above the application-only limit of $ 650,000.

• The equipment being purchased is new to the fleet and is replacing equipment that is rented. In this case, the financials may show what the company is currently spending on rented equipment that can be compared to what the monthly payment of the