Sy Schnur CPA, Busn. Valuer, Litigation Support Expert Witness & Ins Agent

We Do EVERYTHING MONETARY

EVERYTHING Monetary

	Prepare a realistic fully supported loan request.
	Learn what the banker is looking for.
	Seek the advise of a certified public acct. who understands the complete process for loan application approval.
	Use the services of professional financial planner to guide you on the proper amount & payback terms.

By including a CPA with a financial planner in the relationship between your bank and business, you can greatly ease the frustrations of applying for a loan, borrow the amount you need with the proper terms and increase your chances of success.

Preparation Pays

To present yourself and your company as favorably as possible, you should be able to state your reasons for requesting a loan clearly and professionally. Before you approach the bank about a loan, ask yourself:

	Why do I want a bank loan?
	How will the loan benefit my business?
	What type of loan do I need? Short-term? Long-term?
	How much do I need to borrow?
	How will the money be used? Be as specific as possible! Provide complete details!!
	Do I have a very clear and realistic plan to generate the additional funds to repay the debt?

Your ability to answer these confidential questions will help you present your Company as a solidly managed one.

A CPA/Financial Planner can help you prepare the information you will need to provide appropriate answers to the lender's questions.

Our in office computer programs pre-determines your qualifications using banking formulas.

The Banker's Perspective

You may be seeking a loan for a variety of reasons, but keep in mind that the bank is responsible for lending depositors' moneys. In order to determine your ability to repay the loan, the bank will evaluate your character, the collateral you offer, and the capacity of your business to repay the loan. Additionally, the bank will need a complete financial & background analysis of you and your company. Specifically, the lender will need information as follows:

	Your business plans and objectives
	Data on your business' ownership, finances, business history, operations and personal.
	A comparison of your operating & balance sheet ratios to industry averages
	A marketing plan showing your business' potential growth & specifically in which areas.
	A cash flow analysis of your actual & past experience, with projections of future income, expenses, and cash flows.

Loan officers will use all of this information in determining whether or not your loan request should be processed for approval. Requesting a loan to satisfy past due creditors, unless accompanied by a convincing strategy to improve your financial situation, is usually not viewed favorably by a banker. If you are having trouble paying creditors now, chances are that you are not generating enough income to repay the loan. This is a risk bankers are not willing to take.

Always supply complete credit history. Any defaults, late pays, etc. Bank does a complete credit check through full banking industry. Any information which is not disclosed, will show up & be a major negative to your final loan approval!!!

Gathering Financial Data

In considering your loan request, potential lenders will want to review as much financial data about your company as possible, whether it's a startup or an established business. Here is some information bankers look for:

	A summary of average amounts of funds on deposit.
	A list of investments, fixed assets, other assets, with details and supplementary schedules, giving market or appraisal value where appropriate.
	The aging of receivables, with details regarding any concentration in a few customers
	The details of notes receivable and the risks of collection
	Inventories with details on price stability, aging and turnover
	Your liabilities and reserves, with full details where indicated.

In addition, bankers may need detailed information on collateral to be offered and may require personal financial statements. This is particularly true when the company is closely held or if a loan guarantee agreement is involved.

Always be honest about your financial situation. Whenever possible, any unfavorable information should be accompanied by details of management's plans to overcome the problem. Your CPA/Planner can help compile the financial data, and may be able to help you prepare a business plan, to present information to selected lenders effectively.

Developing The Loan Request

Submitting an acceptable loan request requires more than a little financial know-how. Although you know more about your business than anyone else, you may not be the most qualified person to prepare and present your loan request. A CPA and a Financial Planner can assist you in identifying the most appropriate funding sources and aid you in preparing a funding proposal that will help you get the loan you truly need.

As CPA's, Financial Planners, and Business Valuers Sy Schnur & Associates can help you in all phases of your financial needs.

	Determine whether or not you really need a loan and if the loan will solve your company's problems & meet its objectives.
	Determine where your best source for obtaining loan funds exist and where you will get good terms for loan repayment
	Ascertain your community's banking requirements for securing a loan.
	Review significant aspects of your business & prepare key ratios for developing trends.
	Draw up a realistic forecast of your Company future based on its past history & your realistic future goals.
	Determine the size of the loan you need & calculate a repayment schedule including interest cost you can comfortably handle.
	Negotiate the terms of the loan agreement.
	Prepare financial statements, projections & business plans that lenders will request from you.

The financial expertise of Sy Schnur & Associates, with the combined qualifications of being CPA's, Financial Planners & Business Valuer's can make the difference in securing your business' future. We have the insight into many different types of businesses, as well as experience in start-up companies. By helping you present a complete picture of your business to potential lenders, we can help you obtain the funding you need. Before you complete any forms at a bank, contact Sy Schnur & Associates. We will give you the honest advise you need for this difficult financial situation.