Credit Factors
How do lending institutions assess your application? The answer generally depends on the type of funding you are seeking and what assets you can provide for collateral. This section provides important information about the factors that lenders take into consideration when reviewing loan applications.
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What Is Equity Investment? Business loan applicants must have a reasonable amount invested in their business. This ensures that, when combined with borrowed funds, the business can operate on a sound basis. There will be a ...
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What Are Earnings Requirements? Financial obligations are paid with cash, not 'on paper' profits. When cash outflow exceeds cash inflow for an extended period of time, a business cannot continue to operate. This ...
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What Is Working Capital? Working capital is defined as the difference between current assets and current liabilities. Current assets are the most liquid of your assets, meaning they are cash or can be quickly converted to cash. ...
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What Is Collateral? Collateral is an additional form of security which can be used to assure a lender that you have a second source of loan repayment. Assets such as equipment, buildings, accounts receivable, and (in some ...
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What is Resource Management? Resource management is how you handle the day to day affairs of your business, including how you pay your debts, collect on debts owed to you, deliver your service or product to customers, and ...
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Mike Harris knew at an early age what he wanted to do when he grew up. While the neighborhood kids were out playing games and riding bicycles, Mike...
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