ALMetro360

s is My busines an Skipper y Ry I know my business needs funding to s The first step is to contact your lender and give upfron That way, they can find the best funding option to mat b The start of 2019 is an exciting time to plan for your b successes, it’s important for them to have a plan for h equipment or hiring new staff. That said, here is some advice the lenders at Valley B growth of their business. or it? y f w do I pa wing: Ho o upport our growth. Where do I start? t details about your business and its financial history. ch your funding needs, whether it’s traditional gr usiness’ growth. And as Montgomery companies celebrate growth and ow to fund that growth – whether it’s purchasing a new location, buying ank give to business customers when they have questions about financing the financing, SBA financing or private equity. There is no one-size-fits-all approach to finding what works best for your business. As an example, Valley Bank recently helped Global Deli, Inc., a deli franchise with 10 locations in the greater Montgomery region, to fund the opening of four new locations in Prattville, Ozark, Union Springs and Clanton. After getting to know Global Deli, Inc. and what makes its business tick, Valley suggested traditional term financing with an amortization for each transaction, which allowed the company to quickly pay down its existing debt while getting the funding to grow the business. The reduction in debt and growth in cash flow enabled Global Deli, Inc. to open the new locations sooner than expected. Is it important to have a relationship with my lender before seeking a loan? Yes, having a relationship with your lender is crucial because it opens the door to honest conversations. If business comfortable with their lenders, it’ll be much easier to discuss the “sometimes difficult” topics, like financing challe losses. What kinds of information will a lender need from a company to consider a loan? A lender needs the customer’s full financial picture as both a business owner and as an individual. For this reason, need to be prepared with the last three years of financial statements, including business tax returns, individual tax debt schedule of any contingent debt. We also encourage business owners to have upfront conversations with their before heading to the bank to be considered for a business loan. Accountants can help you understand where your b stand and what your cash flow looks like. What should I do if I get turned down for a loan? Be sure to understand why the loan was denied. A good lender will offer an explanation and give suggestions to hel eligibility to qualify for a loan. It’s important that the lender gives you an answer quickly, so waiting doesn’t hold up also key to not get discouraged if you’re denied a business loan. Remember that your lender’s goal is to provide opt your best financial interests, not to get you into a loan that could be detrimental to you. Ryan Skip president a Should I be concerned about rising interest rates as I look get a loan? Business owners should always be cautious and plan accordingly, especially if they’re looking for a loan with a varia advising our business customers to calculate scenarios based on an interest-rate environment where rates are one ear higher in the coming y . That way, you won’t be caught off guard by a higher interest rate on your loan. mery area. owners are nges or business business owners returns and a accountants usiness’ finances p you improve your your plans. It’s ions that are in per with Haresh Patel, nd owner of Global Deli, Inc. ble rate. We’re percentage point All Rights Reserved. . alley National Bank. Member FDIC. Equal Opportunity Lender V © 2019 Connect with us: 800.522.4100 om.cyeall Ryan Skipper is a commercial lender for Valley Bank, with his work for the Bank focusing on making business loans in the Montgo .valley For more information, call Ryan at 334-270-3006 or visit www .com V