Financing equipment in today;s lending environment can be challenging . Many banks and lease companies
have put convenience stores on their watch or restricted list . New business owners or ones seeking to expand are finding it even more difficult to get financing .
Our experience is many businesses when seeking financing are still under the illusion of easy credit scored
financing available only a few years ago . If you want to borrow money today for equipment , working capital,
business acquisition or commercial property purchasing it is essential you are well informed and prepared.
The first step you should take is getting a clear evaluation of your personal credit situation . Lenders are looking
for minimum 700 plus scores with at least 7 lines of established credit , preferably installment oriented rather
than revolving . It is essential that you have a high availability of revolving credit lines . Any slow pays , especially with installment credit needs to be explained in advance to the lender you are speaking .
Now is also to time to show them the money with business checking and savings accounts. If you
have a healthy personal net worth , show it in the form of a personal financial statement even if it is not
requested. Make your lender available of any past business borrowing especially if it is comparable to amount
you are seeking. Business leases for example do not typically report to the credit bureaus unless you are delinquent.
Finally be aware of business credit reporting agencies. If you receive a call from Dun & Bradstreet , talk with
them rather than avoid them. It is critical they get the facts right about who owns the business, so you won't
have to prove to a lender later invalid information on their report. Also go ahead and provide them with trade credit that they can call and verify thereby boosting your Paydex score. Lenders are looking for at least at a 65-70 paydex score.