Broker Funding Source

Gold prices decline in last 6 month period.    Gold prices at the end of the trading day were at $1,587,10. In the last 12 month period, Gold has increase $94.70, which represents a 6.4% increase in the 1 year period. However, in the last 6 month period, Gold has decreased $145.70 which represents a decline of 8.47% in value.   Investors who bought close to the high may not see a return on their investment in the near term. (read more...)

Facebook has tremendous assets.   Arguably, it's greatest asset is it's over 900 million users. A concern any analyst may have is Facebook's earnings versus it's share price.    Currently, Facebook has lower earnings and a higher share price than other technology leaders.    Just this fact could cause investors to pause.     Facebook's value may well increase dramatically over the coming years, however, sound financial principles should be adhered to in the review of the merits of investing into any company, such as P/E ratio, Gross and Net earnings. Most fundamentally, one should have a basic understanding of how any company currently generates revenue, and how it plans to generate and increase revenues in the future. (read more...)

With this week's IPO of Facebook, the company's financial's have come under increased scrutiny.   One of the items of scrutiny this week has been the extremely high P/E, or price to earnings ratio. Currently, with the company's value at approximately $100 billion, and their (net) earnings at approximately $1 billion, the current price to equity ratio is about 100%, which is considered a very high ratio in comparison to many long established, successful companies. When financial analysts have historically looked at companies, the concern is that earnings this high do not justify the price.    The company would need 100 years in revenue at those levels to equal it's current value. Other major companies such as Apple, HP, Cisco and many others have P/E ratios 25% and far lower. (read more...)

According to the Wednesday, May 16th 10:00 A.M. report by the Bureau of Labor Statistics, Employers in the Private Sector initiated 1,077 mass layoff events in the first quarter of 2012, that resulted in the separation of 182,101 workers from their jobs for at least 31 days. The bureau of labor statistics reported further that over the year, total mass layoff events and associated worker separations were down from 1,490 and 225,456. The news was in part good in that total mass layoff events reached their lowest 1st Quarter levels since 2006. Manufacturing mass layoff events and separations reached their lowest level in program history, dating back to 1995 reporting. In summary, over the course of the 1st Quarter of 2012, according to the bureau, mass layoff events declined in 16 of the 18 major industry sectors. (read more...)

In an annual speech at the 48th Annual Conference on Bank Structure and Competition on May 10th in Chicago, Illinois via satellite, Federal Reserve Chairman Ben Bernanke said that Credit conditions in the United States have improved significantly in a number of areas. The Chairman said further that individuals and businesses are finding it easier to borrow than they did just a few years ago. The Chairman attributed this to better conditions in financial markets more broadly. The Chairman said that large businesses with access to capital markets have, in general, been able to raise capital at attractive terms. Consumers with strong credit histories have had access to financing. The Chairman cautioned that in some sectors to some borrowers, credit remains tight. He cited mortgage lending as an important example. Since it's peak, U.S. mortgage outstanding balances have shrunk 13% in real terms. (read more...)

In a May 12, 2012 speech to the 48th Annual Conference on Bank Structure and Competition in Chicago, Illinois via Satellite, Federal Reserve Chairman Ben Bernanke said that since the financial crisis, banks have made considerable progress in repairing their balance sheet and building capital. The Chairman said further that risk based capital and leverage ratios for banks of all sizes has improved significantly,  and are above their previous highs. The 19 largest banking institutions that participated in the 2009 stress tests today have considerably more, and better quality capital than just a few years ago. Those institutions have increased their buffer against future losses by more than $300 Billion since 2009, to a total of $760 Billion. The conclusion was that most of these 19 institutions likely have sufficient capital to withstand a period of intense economic and financial stress and still be able to lend to households and businesses. (read more...)

According to the Monday, April 30th, 2012 8:30 A.M. release by the Bureau of Labor Statistics, Personal Income increased $50.3 Billion, or .4% in March of 2012. According to the Bureau, Personal Consumption Expenditures, (PCE), increased $29.6 Billion, or .3%. In February of 2012, Personal Income increased $39.6 Billion or .3%, DPI increased $29.4 Billion, or .2%. PCE increased $93.7 Billion, or .9% based on revised estimates. Real disposable income increased .2% in March 2012, in contrast to a decrease of .1% in February. Real PCE increased .1%, compared with an increase of .5% Further, according to the Bureau of Economic Analysis, Private Wage and Salary Disbursements increased $17.3 Billion in March 2012, compared to an increase of $24.1 Billion in February 2012. Goods producing industries decreased $1.3 Billion, in contrast to an increase of $1.8 Billion in February. In general, trends are favorable and upward. (read more...)

According to the Friday, May 4th, 8:30 A.M. release by the Bureau of Labor Statistics, Non farm employment rose by 115,000 jobs in April of 2012. According to the bureau, "employment increased in professional and business services, retail trade and health care, but declined in transportation and warehousing. The unemployment rate was little changed at 8.1%, also little changed was the number of unemployed persons at 12.5 million." Further, the number of long term unemployed, which is defined as those that have been looking for work for 27 weeks or longer, was little changed at 5.1 million in April.  The percentage of long term unemployed made up 41.3% of the total unemployed. In a positive sign, the number of long term unemployed for the year fell by 759,000. (read more...)

In a 14:00 April 27th, 2012 press conference, Federal Reserve Chairman Ben Bernanke stated that he expects continue lower GDP numbers in the first Quarter. The chairman stated that he expected under 2% GDP forecast in the first Quarter. He believes that most of the factors that are causing the less than 2% GDP forecast are not permanent, such as lower spending on defense than was anticipated and weaker exports. The chairman felt that given the current growth in Global economy, he expects that to pick up again. Nevertheless, the Chairman stated that there are some factors that have a longer term effect. Residential and commercial construction in the 1st Quarter were very weak, which may continue to have an effect on GDP numbers going forward. (read more...)

Treasuries and the dollar rebounded from Standard & Poors statement that it may downgrade U.S. debt in the next two years due to the countries unsustainable budget deficits and increasing national debt.   Meanwhile, stocks declined. Moodies investor service has a stable outlook on U.S. debt said that the U.S. budget debate is "positive" for the countries credit. The chief economist for Bank of Tokyo Mitsubishi stated that the U.S. has the strongest, deepest and most liquid markets in the world and there is no other place to go.  Standard and Poors also stated that unless substantive measures are taken quickly, the U.S. national debt could rise to 84% of Gross domestic product by 2013. (read more...)

Standard & Poors has put U.S. policy makers on notice that unless they come up with a significant plan by 2013 to reduce the U.S. budget deficit and reduce the national debt, Standard & Poors may downgrade the United States from their current AAA bond rating. Standard & Poors stated that if an agreement is not reached and meaningful implementation is not made by 2013, then the countries current and future fiscal standing will not continue to merit a AAA bond rating. In addition, Standard & Poors lowered the bond outlook for the United States to "negative" for the first time ever.   Standard & Poors said there is a 1 in 3 chance that the rating may be cut within the next 2 years. (read more...)

In a Wednesday, April 25th, 2012 news conference, Federal Reserve Chairman Ben Bernanke speculated that he believes there is an increase possibility that the recent levels of employment level increases that have been seen in the previous two quarters will slow in the next months. The chairman was quick to state that this was only his hypothesis.   He believes that future levels of employment increases will be below the approximately 250,000 per month jobs added levels of the most recent two quarters. Bernanke stated that his hypothesis was based on his belief that the last two quarters of fairly consistent monthly job increase levels represented a "one time catch up", basically making up for the stunning job losses in 2008 and 2009. (read more...)

In an April 13th 2012 speech at the Russell Sage Foundation and The Century Foundation Conference on "Rethinking Finance" in New York, Federal Reserve Chairman Ben Benanke suggested that losses in subprime mortgage portfolios had less or far less to do with the financial crisis than classic financial panic. The chairman pointed out that in 2007, the total quantity in subprime mortgages outstanding was less than $1 trillion, and that judged in relation to global markets, aggregate exposure to subprime markets was modest. The chairman noted that daily paper losses on global stock markets often exceeds the losses suffered on subprime mortgages suffered during the entire subprime crisis, without any ill effects on market functioning or the economy. (read more...)

According to the Friday, April 20th report by the Bureau of Labor Statistics,  "Regional and State unemployment rates were little changed in March 2012.   Thirty states recorded unemployment rate decreases, 8 states posted rate increases,  and 12 states and the District of Columbia posted no change, the U.S. Bureau of Labor Statistics reported today." 49 States and the District of Columbia reported unemployment rate decreases from one year ago, while only the State of New York experienced an increase. The national jobless rate was little change from February at 8.2%, but was a .7% point lower than in March 2011. The 3 states that experienced the largest month to month increase in employment were New York, California and Arizona. (read more...)

According to the Thursday April 19th report by the Bureau of Labor Statistics, 68% of 2011 High School graduates were enrolled in Colleges and Universities. The bureau also reported that "recent high school graduates not enrolled in College in October 2011 were more likely than enrolled graduates to be working or looking for work." Many statistics are not pleasant for high school dropouts. Between October 2010 and October 2011 369,000 young people dropped out of high school. Worse, the unemployment rate for recent high school dropouts is a staggering 38.4%. In October 2011, 15.9 million persons between the age of 16 and 24 were not enrolled in school. About 6 in 10 students enrolled in College were enrolled in 4 year institutions. (read more...)

For a business bank statement loan, Small Business Loans Depot offers a niche business bank statement loan based on the Gross Sales of the Business.   Since almost all businesses have sales, virtually all businesses pre qualify.   The funds can be used for any reason, marketing, advertising, inventory, expansion, additional employees, cash flow, any reason. For this business bank statement loan product, businesses provide their last 6 months business checking account statements and a simple one page application.   To obtain a higher funding amount, a business also has the option of providing the most recent year's business tax return.   If the Gross sales figure is significant, the approved amount will often be higher.   Repayment terms for this product are 3 to 18 months.  The final term of the transaction is often based on the preference of the customer's initial request of the term. Funding amounts of up to $150,000 can be obtained through this business bank statement loan.   Up to 125% of the total dollar amount of monthly deposits can be approved.   For example, if the customer deposits $50,000 per month, up to $62,500 can be approved.    Approval time is 24 to 72 hours. If your company's average daily balance, beginning balances, and ending balances are high, approval amounts will be even higher.   If the customer has more than one business account, then both account statement should be provided.   This will increase the line size of the business bank statement loan.    If your business is seasonal, then you have the option of providing the last 12 months account statements. For example, a construction business is often somewhat seasonal with at least 2 or 3 months in the winter being low volume months.  Rather than receiving a lower approval amount due to this, simply provide the last 12 months, which will include the high summer season. Line of Credit type usage.    This business bank statement loan is,  in effect, a line of credit that is used at the customer's discretion.  A typical term loan product is 24, 36, 48 or 60 months.    This line of credit type product is often used as a bridge loan.   If the customer is approved for $50,000, they can use the full $50,000 or they can choose to use $25,000 for example.    Upon repayment, the customer can use the line again immediately, or leave the line idle for a few months and then use the full $50,000 on the 2nd usage. Line Size Increases.   With every successive usage, the line size is reviewed and typically increased upon review.    A repeat customer  is the most desired.   We don't give better deals to new customers to get them in the door!   An existing repeat customer is given higher line sizes than a similar customer that is new.    Within a few rounds of usage and repayment, the line size is often increased 50%, 100% or 150% from the original line size. Line does not appear on personal credit.   This business bank statement loan does not appear on the owner's personal credit bureau.    The line does build business credit with the business credit bureau agencies, such as Payment, Dun & Bradstreet and Experian business credit report. Use what your business already has to help insure getting a loan now, your businesses sales!  Call us Toll Free at 855: 787-1113 or complete the Mini Application "Contact Us" form in the menu above and begin today! Sample recent business bank statement loan transaction.  The following is an actual recent customer with solely the customer's company name omitted from use. A Dental practice in Lakeland Florida needed some expansion capital.   Due to the recent time in business and some past credit issues, the company wished to use their strong Gross Sales. They provided their most recent 6 months business checking account statements along with a simple one page application.   After a 48 hour review process, they were approved for a $40,000 business bank statement loan.    After choosing a repayment term, original documents were E-Mailed to the customer.    The customer completed the documents and Faxed the original documents in. A simple verbal verification was completed with the customer.   Following the verbal, the funds were wired directly into the customers account within 24 hours.    The customer had access to the funds and was able to pay a contractor to begin expansion and remodeling of a section of their practice immediately. Features of this business bank statement loan product include: Low credit score acceptable.   Credit scores even below 500 accepted. No application fees or advance payment fees. Unsecured transaction.   No collateral is required. There are no restrictions on how the funds are used. Fast and Easy application process The entire process take only 5 - 8 business days. Difficult transactions handled routinely Use                                         to get [caption id="attachment_2012" align="alignleft" width="150" caption="Business Bank Statement Loan "][/caption] [caption id="attachment_2011" align="alignleft" width="150" caption="Business Bank Statement"][/caption]           What are the primary factors that are looked at for this business bank statement loan? Average daily balance.   The average daily balance, or average daily collected balance is considered.  Lines begin with an average daily balance starting at $3,000 to $5,000 and up.   The higher the average daily balance, the higher the approved amount will tend to be. Number and dollar amount of Monthly deposits. A minimum average of approximately 5 deposits per month are requested.  The higher the dollar amount of the average monthly deposit, the higher the approved amount, up to 125% of the average monthly deposits. Beginning bank balances. The balance at the beginning of the month is reviewed for each of the six months.   The amount of the beginning balance is not critical.   Many businesses have some of their largest monthly expenses at the end of the month.  These include monthly business office rental payments or business mortgage payments and other payments scheduled for the end of the month.  Due to payments such as these, the beginning balance at the first of the month may be lower. Ending bank balances - The balance at the end of the month is also reviewed.   For reasons similar to the reasons above for reviewing the beginning  bank balances, the ending balance is assessed.   As stated above, many businesses have large expenses at the end of the month, including many automatic debit payments. Insufficient funds and overdrafts. The statements are reviewed for the total number of overdrafts and insufficient funds occurances.   A company can have some insufficient funds and overdraft events per month.  The statements are reviewed to make sure that the number of occasions are not excessive in one given month. Many businesses have significant cash flow challenges in the first few years, even after expert counseling from organizations such as score and the small business development centers in their area.   Businesses should take advantage of their strengths such as their cash flow even if they may not qualify for other loan products. If a customer wishes to obtain a higher business bank statement loan approval amount and has strong financial statements, they should in that case provide financials.    What are considered strong financials? Gross income.   Gross income figures should be increasing from any one year to the next.    This includes Profit and Loss statements.   If the Gross income figure decreases from one year to the next, this is considered a negative and will hurt the request. Net income.   The Net income figures should be relatively flat or increasing from year to year.   The minimum net income figure that is considered to help an application is $50,000 or higher.   For lower net income figures than this, underwriting will consider whether the company has the cash flow to service the new monthly debt or not. Personal Financial Statement.  As part of a request for "financials", the request may or may not include the desire to see the personal financial statement of the owners.   If the personal financial statement is requested, then the lender will look at number of items such as liquid assets, non liquid assets, short term liabilities and long term liabilities. Liquid assets.    Liquid assets are considered either cash, or anything that can instantly or very quickly be converted to cash.   This includes checking and savings accounts, listed stock, certificate of deposits. Business Bank Statement Loan Resources: SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Business Bank Statement Loan resources: Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs – Online articles and much more for CEO’s Public Radio Planet Money – All issues money related to the public. Thank your for visiting our Business Bank Statement Loan resource page! (read more...)

In an April 9th speech at the 2012 Federal Reserve Bank of Atlanta Markets conference in Stone Mountain, Georgia, Chairman Ben Benanke said, among other things, "our economy is far from having fully recovered.... from the darkest days of the financial crisis." Bernanke also was in favor of closer oversight of non bank financial firms.  He noted that currently, some important non bank financial firms which avoided strong comprehensive oversight were significant contributors to the 2008 and 2009  financial crisis. Bernanke also wants tighter controls of what he referred to as "shadow banking".   Shadow banking refers to the intermediation of credit through a collection of institutions and markets that lie at least in part, outside of the traditional banking system.   (read more...)

According to the Friday, April 13th 2012 release by the Bureau of Labor Statistics, "real average hourly earnings for all employees fell .1 % from March 2012 to April 2012, seasonally adjusted. A .2 % increase in the average hourly earnings was more than offset by a .3% increase in the Consumer Price Index for all urban consumers (CPI-U). Real average weekly earnings fell .4% over the month due to a .3 % decline in the workweek combined with a decline in real average hourly earnings.    Since reaching a peak in October 2010, real average weekly earnings fell 1.1%. It was reported that real average hourly earnings fell .6%, seasonally adjusted, from March 2011 to March 2012.   The decline in real average hourly earnings combined with a .6% increase in average weekly hours resulted in unchanged real average weekly earnings over this period. (read more...)

For success in getting a business loan after counseling from SCORE, Small Business Loans Depot offers several niche programs that are based on Gross Sales and Equity in business assets, such as equipment.   Almost all businesses have both Gross Sales and Equipment, so almost all businesses pre-qualify.   After SCORE has assisted your business, get funding through these pre-qualified niche products to put your businesses plan into place. For this post SCORE loan, urban and rural companies use either their existing equipment.  For the Gross Sales loan, they provide their most recent 6 months business checking statements and just a simple 1 page application.   Other straight forward and easy funding programs available. Just complete the Contact Us form in the menu above.  Alternatively, call Toll Free: 855-787-1113 and speak with one of our experienced professionals to get started on your business funding. Use [caption id="attachment_2011" align="alignleft" width="150" caption="Bank Statement "][/caption] to get 

• Our post SCORE funding will allow your business to get up to $250,000. The funding can be used for any purpose, new business startup, inventory, advertising, marketing, expansion, hiring employees,  equipment, any reason! No application fees or upfront fees. Free expert analysis and an experienced funding consultant handles your transaction during the entire process, from beginning to end. Difficult transactions handled routinely. The process is fast and easy. Get funded in 5-10 business days in most cases.

For the Asset Based financing after SCORE counseling, the business can use many types of equipment such as Computer electronic equipment, including Laptops, Desktops, Servers, software,  industrial equipment, machinery, and medical equipment.  Up to 80% of the current value can be approved for the customer. New businesses usually have significant cash flow challenges even after receiving expert advice from SCORE. One mistake many businesses make is using cash to purchase assets such as equipment.   They often are cash strapped and have equity in equipment.   Businesses make money by using equipment, not owning it.  Take the equity out of equipment and use it instead to generate revenue. There are multiple post SCORE counseling programs available.   If a customer is approved for $50,000 and needs $100,000, we employ and additional funding segment.   Most transactions require only a one page application.   If the customer's financial statements are strong and they are readily accessible, the customer should provide financial statements as they will strengthen the request. Follow the SCORE counseling and ensuing obtain your niche working capital today.   Complete the Contact Us in the menu list at the top of the site or call us Toll Free at: 855-787-1113 and get your business loan today! A major tax savings can be utilized through these after SCORE advising funding programs.   For the loan against equipment program, the entire monthly payment may be deductible, rather than just the interest payment.   This ranks the tax advantages for this program on par with the revered Home  Mortgage tax deduction.   Other than Real Estate backed loans, there are not any other loan programs available that offer this advantage. For the Gross Sales after SCORE counseling loan product, the customer can obtain up to  125% of the average daily balance in their checking account.   The customer's beginning, ending, average balances and total monthly deposits are looked at for the approval amount.   The repayment term ranges between 3 to 18 months, with the customer's preference taken into consideration. If there are multiple deposit accounts, for their benefit for this post SCORE business loan, the customer should provide the information on all the accounts in order to maximize the funding available.   The minimum time in business is 9 months, however if the time in business is greater than two years, it may significantly increase any approved amount. Average Daily Balance - Is the most significant factor for the after SCORE Gross Sales Bank Statement Loan program.   The average daily balance is reviewed to determine what the customer can repay on a monthly or daily basis. Monthly Deposits - The dollar amount of each month's deposits is reviewed.   A factor of up to 125% of this figure may be the basis of the maximum approval amount. Deposits per month risk spread- The number of deposits per month is critical for this post SCORE evaluation financing as each additional deposit made to an account represents a decrease in the risk level of the loan.   If there are only 1 or 2 deposits per month that are proceeds from one client, if that client is lost, it could be financially devastating to the business.   If there are 10 to 20 deposits per month from many different customers, if one customer is lost, then the company will still be generating income for it's diverse base of remaining customers. Beginning Balance - The beginning balance is looked at as a measure of where the customer's cash flow is at the beginning of the month.   Since many companies have significant expenses at the end of the month, this may result in the customer's balances being at the lowest this time of the month. Ending Balance - Ending balances are looked at in the same manner as the Beginning balances.   Many business pay a monthly lease or mortgage at the end of the month.   Other significant expenses may occur at the end of the month, and it may affect their cash flow balances. Overdrafts and Insufficient Funds - Business checking Accounts cannot have more than 3 overdrafts or NSF, insufficient funds events on the average, per month. After SCORE counseling asset based working capital loan sample transaction: Tahoe Metal Fabrication needs $50,000.   The company provides an equipment list which includes Machinery and Computer Equipment, including Engineering Software.   After a 2 day processing, the company is approved for $50,000.     Documents are E-Mailed to the customer.  The completed docs are faxable and the customer completes and faxes the completed documents in. A final verbal verification for this post SCORE advising funding is completed with the customer.   The transaction is funded and the customer receives the funding via wire into their business checking account within 2 business days.  If  the customer decides they want additional funding, a 2nd funding segment can be taken. After SCORE advising Gross Sale loan sample transaction: A residential and commercial remodeling company in Albany, New York provides their last 6 months business checking account statements along with a simple 1 page application.  After 24 hours processing, the company is approved for $25,000.     The customer received their requested repayment term of 9 months and agrees to the terms.   There are no closing costs. The contracts are E-Mailed to the customer who completes and faxes back the contracts.   Final landlord checks are completed.   A final verbal verification is completed with the customer.   Funds are wired to the customer's business checking account within 2 business days. This financial instrument can be used repeatedly and is not a one time term product for this after successful SCORE counseling financing.   The customer can use this in effect as a line of credit.   The line will be accessible to them at their discretion.    The debt will not be reported on the customer's personal credit bureau.   The customer does not appear more indebted as a result. An option for the customer would be to provide financial statements.   This would include the last 2 year business tax returns.   If the customer has this information available and their financials are strong, it will benefit them to provide the information. What is considered strong financials for a smaller size post SCORE evaluation loan? Gross Income - The company's Gross income is either flat or increasing from any one year to the next.   If the gross income goes down, any decrease of more than 3% - 5% is considered a negative in most cases. Net Income - The net income is either flat or increasing from one year to the next.   In addition, the net income needs to be roughly $50,000 or greater.    If the net income is less than $50,000, it may be considered a negative. When the loan size is smaller, between $50,000 to $100,000, the financials are often no scrutinized as intensely.   In such a case, the lenders may look at the primary financial figures mentioned above, Gross Income, Net Income, and possibly a Personal Financial Statement. What are other important qualification factors for this after SCORE counseling product? Time in Business - The time in business is one of the main factors that are considered for a loan against equipment transaction, also known as a Sale Leaseback, as well as the Gross Sales loan.   For both products, 2 years time in business will be required in most cases.   The only exception may be if the primary owner's credit score is very high and the amount requested is low. Credit Score - The credit score should be approximately 660 or higher in order to obtain higher funding amounts.   Secondary programs are available for which a credit score of 575 to 600 and higher will be considered for lower amounts between $10,000 and $25,000.    Credit scores as low a 500 and lower will be considered for the Gross Sales bank statement loan product. Co-signer credit - Often times the main owner of a business is not a 100% owner.   Often, there are additional owner(s).   If the additional owners credit is strong, then they should consider signing on the transaction with the primary owner to strengthen the application.   Doing so not only increases the chance of an approval, but also increases the chance the approval amount will be higher and that the terms better. Amount Requested -  The amount requested is a significant factor for this request made after SCORE review.    All things equal, it is far easier for a business to qualify for a $10,000 request than a $150,000 request.    A company which may be declined for a $100,000 request may have been approved if they had only requested a lower amount such as $25,000 to $50,000. Business credit - In a majority of cases, a company's business credit is reviewed to determine if they have any business credit, and if it is good.    There are only a small number of business credit agencies in the United States.   The primary business credit reporting agency is Dun & Bradstreet, also known as D & B.    They are far and away used by the majority of lenders and the main or only business credit agency that is used. Other business credit agencies that are used are Experian business credit report and Paynet.    Experian business credit report originally had a focus on merchant business owners and has since expanded.    Paynet has a focus on reporting leases and loans that were originated through traditional banks. Financials and Cash Flow - As mentioned above, strong financials can significantly strengthen an application.    Strong current cash flow can also significantly help an application.    Evidence of strong cash flow can be made by providing the most recent 3-6 months business checking account statements.      Financial statements and returns are important, but they only provide one manipulated, dated, snap shot in time.   The most recent 3-6 months business checking account statements will show current and real time what a company actually has in the bank, how much they are keeping in the bank over the course of a 30 day period, how much they are depositing,  and their debt payments.    If strong, this can make a lender far more comfortable, and therefore inclined to approve a request. Follow the SCORE counseling and afterwards get your niche financing today.   Complete the Contact Us in the menu bar or call us Toll Free at: 855-787-1113 and get started on your funding today! See below for after SCORE counseling resources: SBA 504 Loan program – The SBA 504 loan program is an economic development loan program that offers small businesses business financing and also promotes business growth and job creation.   Through February 15th, 2012, $50 Billion in 504 loans has created over 2 million jobs……read more Wyoming Chiropractor uses 504 loan program to expand Medical Office……read more SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More after SCORE counseling resources: Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs – Online articles and much more for CEO’s Public Radio Planet Money – All issues money related to the public. Thank you for visiting our after SCORE advising resource page! (read more...)

In a March 26, 2012 speech to the National Association of Business Economics Annual Conference in Washington D.C., by Chairman Ben Bernanke, Bernanke expresses concern about several negative effects of the lingering and significant long term unemployment numbers. The chairman indicates that long term unemployment a concern to Fed via research that has shown that workers who lose previously stable jobs experience sharp declines in earnings that last several years, even after the time they find new work. Surveys referenced in the speech have shown that more than 1/2 of households that experienced long term unemployment since the beginning of this most recent recession withdrew money from savings and retirement accounts to cover expenses. 1/2 borrowed money from family and friends. 1/3 struggled to meet housing expenses. It was also stated that long term unemployment also has effects on people's health via stress related health problems, including depression, stroke and heart disease.   Also troubling, it was stated that the children of the unemployed and long term unemployed achieve less at school and appear to have lower long term earnings prospects. Long term unemployment a concern to Fed Resources: SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More long term unemployment a concern to Fed resources: Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs – Online articles and much more for CEO’s Public Radio Planet Money – All issues money related to the public. Thank  you for visiting our long term employment a concern to Fed resource page. (read more...)

According to the Federal Reserve, March 26th address, the share of people working part time positions out of economic necessity has declined.   Part time employment out of necessity is an indicator of underutilization. According to the Federal Reserve report, the share of unemployment that are periods of more than 6 months have been higher than 40% since December 2009.  By comparison,  the share of unemployment that was longer than 6 months was never more than 25% during the 1981 and 1982 recession, which was considered severe.    As a result, many of these individuals seek Part Time employment of necessity. This is an area of significant concern, as long term unemployment has several significant and long term negative effects on individuals and the economy.   (read more...)

In a March 26th, speech at the National Association for Business Economic Annual Conference in Washington, D. C.  Chairman Ben Bernanke remains unconvinced on growth and believes that recent reductions in the unemployment rate are not an assurance that that the economy is healthy enough, nor on a solidly increasing slope. Key concerns for which Bernanke remains unconvinced on growth are: The improving job numbers are out of sync with the pace of economic expansion. Is the unemployment rate a result of insufficient demand and a mismatch between job seeker skills and employer requirements? Further concerns include: The unemployment rate is still too high to be long term sustainable in the judgement of many economists. Long term unemployment may reduce the productive capacity of the economy. Small Business Loans Depot's business desk assesses that the primary reason for the lack of tie in between the improving job numbers and lagging economic growth is not a mismatch, or gap between job seeker's skills and employer requirements.   The economic crisis of 2008 began in a very short time frame, roughly 30 to 60 days. An increase in the job skills gap of the magnitude that would cause millions to lose their jobs due to not having the skills that employers with open job vacancies happens over the course of years, even decades, not in 1-3 months. Notwithstanding this issue, Bernanke raises important points in his address. (read more...)

According to the Thursday, March 29th,10:00 A.M. release of productivity statistics in manufacturing,  "labor productivity, defined as output per hour, rose in 83 % of the 86 detailed manufacturing industries studied in 2010". According to the bureau, this was up from 30% in 2009.   The bureau also reported that "unit labor costs, which reflect the total labor costs required to product a unit of output, declined in 73% of the industries in 2010, compared to only 21% in 2009, as productivity increased more rapidly than hourly compensation. (read more...)

Get a Loan using Bank Statements today! SBLD offers a loan using bank statements through just your company's Gross Sales, that's all!   Every company has Gross Sales, so virtually all companies prequalfy! To accomplish funding through our easy Loan using Bank Statements program, companies simply provide their most recent 6 months business checking account statements and just a 1 page application, nothing else! Simply complete the "Contact Us" in the Menu Bar above or Call us Toll Free at: 855-787-1113 Now!

1. Our Loan using Bank Statements can be used to obtain up to $150,000 working capital for your business today.
2. The funding can be used for any purpose, whatever the business needs.
3. Applying is fast and easy.  The entire process takes only 5-8 business days.
4. This product has no upfront application and processing fees.

Use to get Up to 125% of the customer's monthly deposits for this loan using bank statements can be obtained.   We look at the customer's beginning balances, ending balances, amount of monthly deposits and average daily balances to determine the approval amount and terms.    The repayment term on this product is between 6-18 months. If a customer has more than one active business checking account with significant balances, then all statements for all accounts should be used for this loan using bank statements.  This will allow the maximum approval amount and desired amounts to be obtained.    The minimum time in business is 9 months.   The current principle(s) have to be owners for at least 1 year, or 9 Months in the 9 month program. To take the next step and have your business get a Loan using Bank Statements today,  fill out the "Contact Us" form in the menu bar at the top, or contact us now Toll Free at: 855-787-1113.    Get funding today based on the money in your businesses account,  your cash flow, or in short - based on your bank statements! Sample Loan using Bank Statements transaction.    The following is an actual recent customer with solely the customer's actual company name omitted from use: An Underground Utility company in Florida requested $25K to $50K.      They complete the one page Loan using Bank Statements application and provided their most recent 6 months business checking account statements.    The company was approved for $35,000.   They agreed to the terms, requested docs and docs were E-Mailed to them.   The company was interested in short term financing and chose the 6 month repayment term.   There were no closing costs. Closing documents are E-Mailed to the customer.   The customer faxed in the completed documents, originals did not need to be sent. Final document checks, including verification of landlord were completed along with a final verbal verification of the Loan using Bank Statements transaction with the customer.  Funds are then electronically deposited into the customer's account within 2business days. Hard collateral was not used for this transaction, as it is unsecured.    Business credit is established through the funding and repayment of the financing.     Further benefits of the Loan using Bank Statements include frequent increases of the line size.  Upon satisfactory repayment, the line is increased in most cases.   After repayment, the customer has, in effect,  a line of credit at their disposal.    This "line of credit" does not have to be used by the customer.   It can sit idle, unused for several months.   When the customer wishes to use the line again, they do not have to use the entire amount.    If they have access to $50,000, and they only want to use $20,000, they can draw just $20,000. If a customer's sales increase in the 6 months to year after the line is established, the line size may be increased very significantly due to both the increase in revenues and satisfactory repayment. As previously stated, other issues that are looked at for the Loan using Bank Statements program include average balances, amount of deposits per month, number of deposits per month, beginning balances, ending balances, and overdrafts and NSF's. Average Balances - The average balance to qualify under the Loan using Bank Statements is at least $3,000 to $5,000 average daily balance.    The higher the average daily balance, the more the customer will qualify for. Amount of deposits per month - The amount of deposits per month should be at least $10,000 to $15,000 or greater.   The reason this is higher than the beginning, ending and average balance amounts is because expenses paid out of the account will always cause the actual balances to be lower than the monthly deposit amounts. Number of deposits per month - There need to be an average of 5 deposits per month minimum in order to qualify for the Loan Using Bank Statements funding program. Beginning Balances - The beginning balances for the Loan using Bank Statements program should in general be a minimum of $3,000 and above.   This is not an absolute minimum, but it should be above this amount in most cases. Ending Balances - The ending balances that are analyzed for this Loan using Bank Statements product should also be around $3,000 or above in most of the time. Overdrafts and NSF's - There should be no greater than 3 Overdrafts or NSF's per month in order to qualify.   Any number greater than this will be considered to great of a risk and will not be underwritten.   This threshold is harder to obtain an exception for.   If there are a significant number of overdrafts, the risks that the monthly payment or ACH will not be honored increases significantly. Loan using Bank Statements Resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Loan using Bank Statements resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank your for visiting our Loan using Bank Statements resource page! (read more...)

According to the U.S. Bureau of Labor Statistics Friday March 23, 2012 release of Metropolitan Area Employment and Unemployment Summary, Unemployment rates were lower in January than a year earlier in 345 of the 372  metropolitan areas. The bureau reported that "unemployment rates were higher in 16 metropolitan areas, and unchanged in 11 metropolitan areas." The bureau reported information on some specific cities with some surprising results.   Out of the 49 Metropolitan areas with a Census 2000 population of greater than 1 million or more, the highest unemployment rates in January were reported in Las Vegas-Paradise, NV at 13.1%, and Riverside-San Bernardino-Ontario at 12.4%. The jobless rates of large Metropolitan areas was lowest in Washington-Arlington-Alexandria- at 5.7%. Future rates and statistics will be monitored and reported. (read more...)

The number of people employed in the U.S. in the green goods and services sector is in the millions. According to the Thursday, March 22nd, 10:00 A.M. EST release by the Bureau of Labor Statistics, "in 2010, 3.1 million jobs in the United States were associated with the production of green goods and services.    Green goods and services (GGS) jobs are found in businesses  that produce goods or provide services either benefit the environment or conserve natural resources, or both." The bureau also reports that in comparison to the economy as a whole, GGS jobs represent 2.4 percent of total U.S. employment in 2010.   The private sector had 2.3 million green goods and services jobs and the public sector had 860,300 green goods and services jobs. As a result, green goods and services represents a significant employment sector in the U.S. economy.    With jobs in the millions this industry cannot be discounted.   (read more...)

According to the Bureau of Labor Statistics March 16th, 2012 Real Earnings report, real average hourly earnings for all employees fell .3 percent from January 2012 to February 2012. So in essence, wage power went down.    Average hourly earnings went up .1 percent.   However, this was offset but a .4 % increase in the CPI, Consumer Price Index for all urban consumers. More ominous, real average hourly earnings fell 1.1% on a seasonally adjusted basis from February 2011 to February 2012.   This decrease in real average hourly earnings combined with a .6% increase in average weekly hours, resulted in a .4% decrease in real average weekly earnings during this same period. For some of the categories, employees made up for this decrease in earning power by working more hours. (read more...)

According to the Federal Reserve's March 13th, 2012 press release,  the majority of the largest U.S. banks continue to meet supervisory expectations for capital adequacy.      This is despite what the Fed called "large projected losses in an extremely adverse hypothetical economic scenario. The Federal Reserve's (CCAR), Comprehensive Capital Analysis and Review, makes evaluations of the capital planning processes and capital adequacy of the largest banks.   The "Stress Test" is a test that assumes the following scenarios. A 13 % unemployment rate. A 50% drop in the stock market. A 21% decline in housing prices Losses at 19 Banks totaling $534 Billion Under this test, 15 of the 19 largest banks were still able to maintain capital rations above all 4 of the regulatory minimum levels. Federal Reserve Stress Test Ethics Resource Center The ERC promotes an understanding of practices which promote ethical conduct via research, as well as measurement of same ethics.  Compliance program effectiveness within individual organizations is also analyzed.  The development of white papers and educational resources based on overall findings is considered.  http://www.ethics.org/   (read more...)

According to the Bureau of Labor Statistics Friday, February 17th, 2012 report, the consumer price index remained low for the month. According to the 8:30 A.M. report release, "the Consumer Price Index for all urban consumers, (CPI-U), increased .2 % in January 2012, on a seasonally adjusted basis."   The bureau additionally reported that over the past 12 months, the all items index increased 2.9 percent before seasonal adjustment. Considering the recent steep rise in gasoline and energy prices, the low inflation rate has to be considered a pleasant surprise. The bureau reported that the index for energy increased 6.2% over the last year, and the food index rose 4.4% over the same time period. (read more...)

According to the United States Department of Labor's Bureau of Labor Statistics Friday, March 9th 2012 report, the Unemployment rate held steady at 8.3%. This may seem not to be good news, however, 227,000 jobs were added in Feburary, compared with 243,000 in January when the unemployment rate decreased.    With the economy strengthening, many people that were not looking for work are now looking for work.  These are individuals were previously were considered "discouraged workers".    Discouraged workers are those that felt there were no jobs in the workplace  for them, then stopped looking and were no longer counted as unemployed. This included many older and younger workers, who often have a more difficult time.   With more workers entering back in the the workplace and also looking for work again, the pool of unemployed is larger. If the number of jobs being added is the same combined with more workers re-entering the workforce, the jobless rate may not go down.    This may occur in some months and may be a short term phenomenon.      The jobs added figure is often the most important figure and the primary figure in gauging the which direction the economy is headed in.   (read more...)

According to Small Business Loans Depot's review of the Bureau of Labor Statistics 8:30 A.M. (E.S.T.)  Friday, March 9th, 2012 report of the employment situation,   the surprise in the improvements in recent adding of jobs and strengthening of the economy in the last 2 quarters has been in it's consistency. According to the Bureau of Labor Statistics, "nonfarm payroll employment rose by 227,000 in February, and the unemployment rate was unchanged at 8.3 percent.  Employment rose in professional and business services, health care and social assistance, leisure and hospitality, manufacturing and mining." Prior to 1st Quarter 2012 and 4th Quarter 2011, jobs added figures and the unemployment rate figures were improving, but not improving consistently month to month.    In some months in the summer of 2011, the jobs added figures were less than 100,000.     When the jobs added figures are in the 50,000 t0 75,000 range, those figures are too low as with those rates, it would take dozens of years for the job levels to get back to mid 2008 levels. In order to get back to 2008 levels, the jobs added figures need to be in the 200,000 to 300,000 range in order to get back to previous employment levels prior to the loss of roughly 8,000,000 jobs when the recession began in 2008. Significant job increases have been consistent since beginning of 4th Quarter 2011. (read more...)

For an asset based Dental Practice Loan, Small Business Loans Depot offers a Dental Practice Loan based on the equipment assets of any urban or rural Dental Practice. As virtually all Dental Practice's have hard equipment assets, almost all Dental Practices pre-qualify for this Dental Practice Loan.   Assets that can be used include Delivery stations, patient chairs, patient tables, X-Ray machines, X-Ray processors, autoclaves - sterilizers, compressors, vacuums and more. Get started on your Dental Practice Loan today, contact us Toll Free at: 855-787-1113. Does my Dental Practice qualify for a Dental Practice Loan?    Basic general guidelines include: $10,000 to $150,000 2 Years Time in Business 600 + credit score Complete the "Contact Us" Mini App on the menu above.  We have a team of industry specialists with significant experience in a hard asset Dental Practice Loan. Features include: This Dental Practice Loan based on hard equipment assets allows the practice to use working capital for any reason, including renovations, additions, staff additions, advertising, Inventory, any reason. There are no upfront or application fees. Difficult and tough transactions are routinely done. The entire process generally takes 7 to 10 business days.   Funding normally occurs in 1-3 business days after the transaction is completed. If a Dental Practices has a profitable current and future business model, it is to the Practice's benefit to use the equity in their equipment for other business purposes that will benefit the practice far more than to leave equity in the equipment. Isn't depreciation a major issue in this type of this type of unique Dental Practice Loan? Small Business Loans Depot's Dental Practice Loan program is unique from other programs.   Our program obtains up to 75% of the current or original cost of the dental equipment.   A practice is also able to "bundle" or add their Computer Electronic equipment such as Servers, Desktops, Laptops and practice software into the transaction, allowing for a significantly higher loan yield. As this Dental Practice Loan is set up in part as a lease, major tax advantages including  being able to write off the entire payment similar to the revered Home Mortgage write off. Simply call us at Toll Free: 855-787-1113 or complete the "Contact Us" on the Menu above & a representative will contact you.  Or complete the one page application and equipment list, Fax back to Fax: 919-882-8541, or E-Mail to info@smallbusinessloansdepot.com. How exactly would my transaction work?   A sample equipment based Dental Practice Loan as follows: Dr. Steve Smith of Charleston All Smiles Dental requests $75,000 to add one room and add another 2 delivery stations.   Dr. Smith submits the application and is approved in 24 hours.    Documents are E-Mailed to Dr. Smith at All Smiles Dental. Dr. Smith completes the documents and overnight returns the original documents.   The documents are reviewed same day for accuracy.   If a site inspection is required, the site is ordered and takes place within 1-3 business days. If a site inspection is not required, a final transaction verbal confirmation with the customer is required.  A verbal confirmation call with Dr. Steve Smith of Charleston All Smiles Dental takes place and the transaction is complete.    Funding occurs via wire within 1-3  business days ensuing. If Charleston All Smiles Dental is interested in more funding than what was obtained in the original Dental Practice Loan, a 2nd transaction or 2nd funding "segment" or "part" is proceeded upon. In most cases, a full financial package, normally considered to be 2 years tax returns and 3 months business checking account statements are not required.  However, if the applicant's tax returns and bank statements are strong, it may significantly strengthen their request and they will want to provide the information. SBA 504 Loan program - The SBA 504 loan program is an economic development loan program that offers small businesses business financing and also promotes business growth and job creation.   Through February 15th, 2012, $50 Billion in 504 loans has created over 2 million jobs......read more Wyoming Chiropractor uses 504 loan program to expand Medical Office......read more Dental Practice Loan Resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Dental Practice Loan resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Dental Practice Loan Resource page! (read more...)

For a Chiropractor Practice Business Loan, Small Business Loans Depot offers  a Chiropractor practice financing for it's partners.  The funding is based on equity in business equipment, or Gross Sales and often in any urban or rural Chiropractor practice business loan, equipment is a significant part of the transaction.   This is a straight forward non government loan Chiropractor Practice Business Loan. Call today at Toll Free: 855-787-1113, or complete the "Contact Us"  Mini App on the Menu bar above and a representative will contact you. In a Chiropractor Practice Business Loan, in addition to cash flow, Chiropractors simply take advantage of existing assets they already have, such as Patient tables, patient stools, X-Ray machines, X-Ray processors, as well as any computer electronic equipment the practice may have, such as Servers, desktops and practice software.  The equipment may already have significant depreciation.

• A Chiropractor Practice Business Loan will procure $7,500 to $125,000 in working capital that has no restrictions on it's use.    Use the funding for any purpose!    Increase revenues of the practice via adding additional services, advertising, marketing, expanding within the local market, adding staff, increasing office space, any reason.
• A professional representative who specializes in working specifically with Chiropractor relationships will work with you during the entire process.
• No upfront processing fees or application fees.
• Whatever your practice's profile qualifies for, we'll get it done.   Your practice will receive the limit it can qualify for on a Chiropractor practice business loan and the revenues received will not be limited based on the program.

Call us at Toll Free: 855-787-1113, or click on the "Contact Us" Mini-App on the menu above and complete.  Our experienced industry professionals will review features and you will have the opportunity to see the ways in which the program may benefit your business. Additional features include significant tax advantages in this unique Chiropractor practice Business loan.   With the transaction having major lease write off benefits, the entire payment may be written off, equaling the most powerful tax savings programs available, such as the revered home mortgage write off.    As such, the entire payment may be written off, rather than just the interest portion. Use the cash stored from built in equity in the equipment, rather than owning the equipment. Does your practice need $50,000 in working capital,  but you know from past experiences your request may "tap out" at $20K? With our Chiropractor Practice Business Loan, we can provide funding in multiple "segments" or "stages".   This allows us to take a Chiropractic practice that qualifies for $25,000, close the 1st transaction, then look to qualify the practice for a 2nd part of $25,000 for a total of $50,ooo. With constant advances in the medical field, medical equipment, which includes Chiropractic equipment, depreciates quickly.   As mentioned above, the tax savings will provide significant balance sheet and Profit and Loss Statement advantages. With Small Business Loans Depot's cash against equipment program, we will recover up to 80% of the equipment's original or current value off the inventory list. This significantly reduces or eliminates difficult depreciation issues. Sample Chiropractor Practice Business Loan Transaction: Dr. Johnson of Lake Tahoe Wellness Center desires $25,000 in working capital in order to add a room for their expanded weight loss program. Of the $25,000, $15,000 is for construction and $10,000 is for equipment and training staff.   Lake Tahoe Wellness center completes an application and provides a list of existing equipment which include an X-Ray machine, X-Ray processor, patient tables and stools. Upon approval for $25,000 solely the X-Ray machine is required as security for the transaction, not the practice's entire equipment.    Documents are drawn up and E-Mailed to the client.    Client completes docs and either E-Mails or overnight returns the original documents. Upon return, documents are reviewed for accuracy.   If a site inspection is required, the inspection occurs within one or two business days.   If a site inspection is not required, a simple verbal confirmation with Dr. Johnson of Lake Tahoe Wellness Center takes place.    Upon confirmation the transaction is funded and funds are wired to Lake Tahoe Wellness Center within approximately 2-4 business days. If the customer wants additional funds, a second transaction or segment is processed.   An additional segment can be procured with equipment not used in the first transaction.   If the customer does not have any additional  equipment for another Chiropractor Practice Business Loan, another financing type will be used. Contact us today at Toll Free: 855-787-1113 to get your Working Capital today! Isn't equipment that is more than 5 years old virtually fully depreciated and useless for this type of transaction? No, in fact, there are a number of pieces of equipment that can be more than 5 years old that can be used in a Chiropractor Practice Business Loan.     This includes X-Ray machine and processors, Patient tables and monitoring equipment. What if the practice has been in existence for 10 year total time but the current owner has owned it for only 2 years? Will the Chiropractor Practice Business Loan be based on the 10 years in business or 2 years on business?    In most cases, the request will be based on the 10 years in business in this example cited.     If the current owner has owned it for less that 2 years, especially if it is one year or less, then it will be strongly factored into the analysis and lower approved amounts with higher terms may be a result. If the current owner has owned it less than one year, they should make sure the information has been updated at the Secretary of State and all of the old owners information removed.   If old owners, or owners not listed on the Chiropractor Practice Business Loan are on the current Secretary of State listing, then the lender will ask about the ownership.   The short ownership time of the new owner will become known and will be a negative factor in the request. What ownership percentage is required on the application?    In most cases, a minimum 50% ownership is required.    If there are 2 owners and  the split is 50%, then there are no standard on who should be listed first on an application.   However, in all cases, the stronger credit of the two 50% owners should be listed 1st, the other as a co-signer.  If one of the owners has strong credit and one has very weak or poor credit, then only the strong credit applicant should be listed for the request.   If the other owner is requested or required, their information can be given later. SBA 504 Loan program - The SBA 504 loan program is an economic development loan program that offers small businesses business financing and also promotes business growth and job creation.   Through February 15th, 2012, $50 Billion in 504 loans has created over 2 million jobs......read more Wyoming Chiropractor uses 504 loan program to expand Medical Office......read more Chiropractor Practice Business Loan Resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Chiropractor Practice Business Loan resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Chiropractor Practice Business Loan resource! (read more...)

Due to businesses still working their way out of the recession, some businesses have used updated versions of old favorites. Reciprocal free promotion.    Some businesses have been asking other businesses in complementary fields to plug their business for free - and they will do the same in exchange.    This is not a new idea but rather a version of an old idea - bartering. The key in reciprocal free promotion is that the products are not close enough competition to take sales away, but close enough to make sense for the shopper of one business to be interested in the product of another. Examples have been for a Home decor business to show the products of a kitchen manufacturer.    Seasonal opportunities for a home decor business to promote the products of a core Christmas retailer.     Most often a sample product, literature and even discount or coupon information is included.   Businesses have had success in this regard. For reciprocal free promotion to be successful, business owners must first feel comfortable with the business they are partnering with.    They must also feel that the other business will follow through on their end so that it is not a one way or benefit for just one of the businesses.   In order to do this,  a business owner will want to first get to know the owner of the other business a bit more than just a one conversation encounter. Nevertheless, based on the historical benefits of the barter system, reciprocal free promotion is a blueprint for success.     (read more...)

According to the February 10, 2012 report by the Bureau of Economic Analysis,  through the Department of Commerce, "total December Exports of $178.8 Billion and imports of $227.6 Billion resulted in a goods and services deficit of $48.8 billion, up from $47.1 billion in November, revised. December exports were $1.2 billion more than November exports of $177.5 billion.   December imports were $3.0 billion more than November imports of $224.6 billion. In December, the goods deficit increased $1.8 Billion from November to $64.3 billion, and the services surplus was virtually unchanged from November at $15.5 billion.  Exports of goods increased $.9 billion to $127.1 billion, and imports of goods increased $2.7 billion to $191.4 billion.   Exports of services increased $.3 billion to $51.7 billion, and imports of services increased $.3 billion to $36.2 billion. (read more...)

According to the Monday, January 30th report by the Bureau of Economic Analysis, "personal saving, defined as disposable personal income less personal outlays, was $460.1 billion in December, compared to $408 billion in November.   The personal saving rate - personal saving as a percentage of disposable income,  was 4.0%  in December, compared with 3.5% in November." This may be a trailer to the decline of the unemployment rate.   Since the figures are raw numbers, the higher the number and rate of jobs that are added, the higher this number will often be.    Jobs represent income.    The more income they have, the higher the gap between their income and their fixed expenses. Disposable income rises, which consumers now have for spending, igniting demand and more jobs to meet demand. (read more...)

For a Medical Practice Loan, Small Business Loans Depot offers a niche Medical Practice Loan based on equity in business assets, such as equipment assets.   Almost every practice has equipment.   This is a straightforward non government loan. For this leaseback Medical Practice Loan, physicians use equity in their existing equipment, such as X-Ray equipment, Monitoring equipment, Patient tables and chairs, Scanning equipment, as well as Dental equipment, or Chiropractic equipment in a refinance for an urban or rural Medical Practice Loan.

• This Medical Practice Loan will allow you to raise from $10,000 to $100,000 quickly and easily for any reason, such Cash Flow, Expansions, Marketing, Inventory, Taxes, Employees, or equipment with flexible credit requirements.   Total funding which can be obtained is usually in the $15,000 to $250,000 range.
• Equipment condition and age is considered.    The most valuable and newest equipment should be listed first on the application.  Depending upon type, older equipment with full depreciation may be eligible for the program.
• Tough transactions done routinely.
• Application is fast and easy with a quick funding process.  Generally only a one page app.
• No upfront or application fee.
• Your request is handled by an experienced consultant

Complete the "Contact Us" Mini App on the menu above, or call Toll Free: 855-787-1113.   Your call is free and our commercial representatives will provide detailed information on features. A significant tax savings will can be realized in this Medical Practice Loan against equipment, by being arranged in part as a lease.   This allows for a significant tax savings over a traditional loan.    The borrower obtains working capital for their business via the equity in their equipment as opposed to having full ownership in their equipment. Our  Medical Practice Loan allows the practice to use both Medical and Computer equipment, which increases funding amounts. Up to 80% of the value can be obtained.   Further Medical equipment that can be used in this asset based Medical Practice Loan includes X-Ray equipment, Diagnostic equipment, Imaging machines, Ultrasound, MRI machines, PET and CT Scanners, Infusion pumps, Medical monitors, and blood testing equipment.   Dental equipment such as delivery stations and cavitrons.      Computer equipment includes Desktops, Servers, Practice Software and Servers. Your Practice makes money by using equipment rather than owning it.   This Medical Practice Loan takes the unused and unutilized equity out of equipment and uses it instead for cash flow. The one page app and equipment list is submitted by Fax to Fax: 919-882-8541, or E-Mailed to info@smallbusinessloansdepot.com.  Processing time is one to three days.   After approval, time for funding is approximately one to three days. If more funding is needed,  additional funding can be arranged with additional funding "Parts" or "Segments".    Total funding that can be obtained is typically in the $150,000 to $250,000 range. Apply today, call Toll Free: 855-787-1113, get the equity out of your equipment, and put some cash flow into your business. Due to constant advances in the Medical field, Medical equipment equipment depreciates quickly.    Many types of Medical equipment becomes totally obsolete in a short amount of time.   However, Small Business Loans Depot can utilize Medical Equipment that has undergone full depreciation and is several years old. The practice may have additional financing and working capital needs after the equipment refinance product is completed.   Other available programs include: Gross Sales Cash flow loan -  This financing product may be very desirable for Medical Practices as it is based on the Gross Sales and cash flow of the practice.  Medical practices often have significant cash flow, so this product can provide significant Working Capital to the practice. This Medical practice loan product is used, in effect as a line of credit.   The practice provides the most recent 6 months business checking account statements and a one page application.    The average daily collected balance, the amount and number of deposits per month, beginning balances, and ending balances are reviewed in order to determine the approved amount. The customer sends in the 6 months business checking account statements and one page application.   Upon approval, the customer is E-Mailed documents.   The customer completes the documents and faxes them back in.   A final landlord check and verbal verification is completed.    Funds are wired into the customer's account within 1-3 business days. Repayment terms on this Medical Practice loan range from 3 to 18 months.     Once the customer satisfactorily repays the line, the line size is increased.   The customer is not obligated to use the available line.   They can reuse the line immediately or leave it idle for any amount of time. If the customer provides the last 2 years tax returns and they are strong, the initial line size can be greater and future line increases can be more as well. Sample Asset based Equipment refinance transaction: Primary Care Physician PCP, Dr. Smith, in Lexington, Kentucky, 6 Years in business, 650 credit score with a Dun & Bradstreet Paydex Score = 65.     Dr. Smith provides One page application and his equipment list. Upon approval in 2-3 days, Documents are E-Mailed to Dr. Smith.   Dr. Smith completes and overnights original docs back.   A final verbal confirmation takes place within a day.  In most cases there is no site inspection.  Funding occurs in 2-3 business days. In most cases, Financials and Bank Statements are not required.   However, if the customer's Financials or Bank Statements are strong, the customer can opt to provide to strengthen their application. SBA 504 Loan program – The SBA 504 loan program is an economic development loan program that offers small businesses business financing and also promotes business growth and job creation.   Through February 15th, 2012, $50 Billion in 504 loans has created over 2 million jobs……read more Wyoming Chiropractor uses 504 loan program to expand Medical Office……read more Medical Practice Loan Resource forum: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Medical Practice Loan resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Medical Practice loan resource page! (read more...)

According to the January 27th report by the Bureau of Economic Analysis, the output of goods and services produced by labor and property in the United States, reported the Real Gross Domestic Product up 2.8% in the fourth quarter of 2011.  In the third Quarter, real Gross Domestic Product had increased 1.8%. The bureau indicated that the increase was reflected primarily of "...an upturn in private inventory investment and accelerations in PCE and in residential fixed investment that were partly offset by deceleration in non residential fixed investment, a downturn in Government spending,  an acceleration in imports, and a larger decrease in state and local Government spending." Some impressive statistics could be the reported increase in real personal consumption expenditures of 2.0% in the fourth quarter, as well as real exports of goods and services reflecting a 4.7% increase in the fourth quarter. Other noteworthy statistics reported by the bureau of economic alalysis include: Real Gross Domestic purchases - purchases by U.S. residents of goods and services, wherever produced, increased 2.8% in the fourth quarter. Disposable personal income increased $42.7 Billion (1.5 percent) (read more...)

In what is becoming almost like a Greek version of "Groundhog day" European Union leaders have approved another round of bailout round for Greece, totaling approximately $100 Billion. Greek Prime Minister Lucas Papademos won cabinet approval for the deeper austerity cuts required to obtain the latest bailout.    He still  needs approval from the Greek parliment.    European taxpayers don't want to finance another bailout round for Greece, and many Greek citizens certainly don't want to accept the relentless austerity cuts required to prevent a formal default. Both parties are trapped in a classic "devil's circle" from which there is no escape of another bailout round for Greece.   Current and former prime ministers, including former Greek Prime Minister Papandreou, the current leader of the Greek socialist party describes the continued bailouts as "The recipe for the program isn't right or wrong.  It's the only one available." Most Greek leaders, including Antonis Samaras, the leader of New Democracy, Greece's second largest party stated the newest bailout "distances us from bankruptcy, looting, the chaos that would follow", referring to a default.    He followed with "I'm sure you will all do your duty by your country". If the Greek parliment does not approve the bailout plan and defaults on it's debt, a default would halt the payment of wages and pensions, shut schools and hospitals, and threaten businesses. Examples in history of what some governments do to avoid the crisis of a default, once at hand, is to print money.     This often will be only a short term fix.   Printing money in most cases will cause inflation to skyrocket.    There are few exceptions.    The only exceptions are if the problem is containable to a one time, not too large printing of money.    Another is if the country has a strong economy and world markets do not punish the country.   A recent example could be the 2009 U.S. Federal Reserve bailout. Other cases in history are not so kind, including Idi Amin's regime in Udanda in the 1970's.   Upon being told by his finance minister that the county had a problem and had run out of money, Amin reportedly stated "What is the problem, just print more money" and replaced his finance minister when he protested. (read more...)

According to the January 19th, 2012 report by the Bureau of Labor Statistics, "the consumer price index for all Urban Consumers (CPI-) was unchanged in December on a seasonally adjusted basis.  Over the last 12 months,  the all items index rose 3.0 percent before seasonal adjustment. The energy index declined in December which offset increases in other indexes."   Other statistics showed that the gasoline index declined for the third month in a row, while the food index rose in December.    The non seasonally adjusted CPI figures increased a total of 3.0 over the last 12 months. With jobs being added and inflation low, the economy will have an opportunity to strengthen.   (read more...)

According to the U.S. Bureau of Labor Statistics report February 3rd, 2012, "total non farm payroll employment rose by 243,000 in January and the unemployment rate decreased to 8.3%. Job Growth was widespread in the private sector with significant employment gains in professional and business services, leisure and hospitality, and manufacturing.   Government employment changed little over the month." Ensuing to this report,  it has been generally agreed by all major forecasters that the number of jobs added was significantly greater than expected.     Forecasts in the 125,000 to 150,000 had been the expected figure.   The unemployment rate remains  high, with uncertainty whether job gains will be steady or erratic in future months. (read more...)

Jobless rates decrease in most states. According to the Tuesday, January 24th, 2012 report by the Bureau of Labor Statistics, Regional and State Unemployment rates were slightly lower in December in 37 states and the District of Columbia. 3 states posted rate increases and 10 remained unchanged. (read more...)

Gold stays strong, now and in the near term with prices ending at $1,732.20 end of day Friday, January 27th, up $5.50 from the previous day. With Gold prices hitting record highs mid august of 2010, some forecasters were predicting Gold prices a rollback from these prices. However, Gold has held steady and appears will do so at least in the near term. This can be attributed to 2 factors. - Gold has historically be a safe haven in times of uncertainty and crisis. - There will continue to be many economic and world factors in the next year or two of the type that commonly cause investors to go to, or stay with Gold. Factors include; Europeans stopping the never ending need to supply Greece with funds to prevent a major default, thereby threatening some major European banking institutions. The U.S. economy continues to be fragile. Several European governments credit ratings have been downgraded. Iran continues it's nuclear program and threatens to cut off major world oil shipping lanes. The U.S. housing market remains weak with a large swath of foreclosures still in the pipeline. With this current set of events, there are many reasons to believe that Gold prices will remain stable, with the possibility even of increasing. (read more...)

It seems that the never ending issue of the Greek default domino effect does not go away. Austerity measures have not been enough, or committed to solidly enough, and the Greeks constantly need more money they don't have. European taxpayers feeding the monthly Greek bailout have grown ever wary of their money going to pay for the bad financial decisions of other countries. The German's may begin replacing their "Angst" description with the nail on the head expression "Teufelskreis", translated into English as "Devil's Circle", a most appropriate description. Europeans would have long ago stopped feeding the Greek payout if not for fear that doing so would cause some of their own banking institutions to fail. The final solution is still not clear. (read more...)

Factoring is a method of raising working capital used by many companies. Some business owners have questions regarding factoring and whether the advantages of factoring outweigh the disadvantages. The major advantage is factoring provides working capital for businesses that would otherwise have to wait a significant amount of time to receive. Oftentimes, once a business has provided a product or service to another company, they have to wait 30 days or longer to obtain funding. If a company has to wait 30 - 60 days to receive payment that is due to them, it inhibits cash flow they othewise can use to begin work on the next project that will generate revenue. I can also prevent the company from soliciting new contracts, knowing they do not have the working capital to begin or complete the job. The significance of factoring in this situation can have a major positive effect on a company. If a company completes a job in 1 month and has to wait 1 month to get paid, the total time is 2 months. They have to wait 30 days to start a new job and can only do 6 jobs per year off the use of those funds. If they complete the job in a month, use factoring, and are paid immediately, they can do 12 similar jobs per month off that revenue. If the company can generate twice the revenue, the additional revenue will often far exceed the cost of the financing, even with a 3% cost of financing. Some businesses are reluctant contact the customers that pay them and inform them that they are factoring the invoice. In many cases, the company being informed the invoice will be factored already has this arrangement with some of their other customers, is familiar with the practice, and is fine with the request. Additionally, there are further methods that are used to inform the company paying the invoice that it is being factored. (read more...)

Factoring is a form of financing which allows businesses to be paid for a product or service they have already provided to another company, but have not been paid for. The major advantage of Factoring is that it allows businesses that often have to wait up to 30 - 60 days to get paid,  to use the cash flow for other revenue generating purposes as opposed to basically not having access to those funds for the entire length of time they are waiting on it. To begin the process of getting monies owed to you that your business is waiting on by factoring, Call Toll Free at: 855-787-1113 or complete the Contact Us form above, or click on application, complete the application and fax in. Since most businesses business model generates significant revenue, cash is king.    Cash on hand through factoring allows businesses to buy the next round of raw materials, inventory, have work in process, pay for finishing costs,  pay staff or hire additional staff, pay for overtime, and deliver product.    Processing the next round of product now using the cash sooner will mean they will be paid 30 - 60 days sooner for the next work in process. Over the course of a year, this will speed up finished goods and in turn Gross receipts, by a multiple of 2 or 3.    Factoring allows this speed up to occur.   The cost of  is often between 1% to 5%. If the cost to a business for is 3%, the additional revenues generated will typically far outweigh the cost of the financing. Consider the following example. A business has received an order for a product for $100,000 on January 1st,  and delivers on January 31st.    The company paying normally waits 30 days to pay the funds.   If they pay on February 28th,  and this cycle occurs 6 times per year, that is $600,000 in Gross Receipts.    The company providing the product cannot fully or totally complete work on the next product until they receive the money.    If they factor the invoice and receive $97,000 immediately, they can begin work immediately on the next product.   $97,000 x 12 = $1,164,000. Gross revenues are $564,000 higher by financing the invoices.  There are other variables that affect the math but the basic concept is sound.   Gross receipts can be significantly increased by factoring because the money is available much sooner to turn around product. Studies have shown that some companies are apprehensive to engage in factoring primarily because they do not want their clients, whom they consider to be their customers, to know they have requested this type of financing.    This fear is almost entirely unjustified.   If any party would not want to be presented with the issue, it should the company which essentially owes the bill. This is the company that has received a product or service, or both, from another company, has been presented with an invoice for payment by the provider of the product or service, and instead of paying immediately, waits 30 - 60 days to pay on monies owed.  This company will not be surprised by a request to factor. The company waiting to get paid that may not want their client to be presented with a financing request by them should recognize that their customer likely currently engages in factoring for the invoices of other companies, is familiar with it and consider it a regular practice. The company that is owed the funds, therefore, may be denying themselves significant working capital for no good reason.   Often the request goes directly to the Accounting department and the owners of the business are scarcely aware that a client is setting up factoring.  An excellent manner in which to arrange this is to simply have your Accountant call up the Accounting department of the company your business is waiting to get paid by.   If the owner of the business that has been invoiced is involved, your business can simply say that in order to accelerate cash flow, your own Accountant recommended factoring. Don't keep waiting on the cash flow that belongs to you!. Start factoring today and start dramatically accelerating your company's cash flow. Call Toll Free Today at: 855-787-1113 or complete the Contact Us form above.    Alternatively, complete the Application above, and fax in.     (read more...)

A Sale Leaseback can be used to obtain working capital for your business needs.   Since most businesses already have equipment, a sale leaseback form of financing transaction allows almost all businesses to have an opportunity to obtain funding using fixed assets they already have, in a way rarely done and unfamiliar to most businesses. Most business owners recognize they outright own most or all of the equipment they have.   Through a Sale Leaseback transaction with this equipment, they are essentially taking the equity out of the equipment and using it in other areas of their business that will allow them to generate revenues.    By not utilizing a Sale Leaseback transaction, a business leaves equity in equipment, and it is cash flow they cannot leverage to generate profit via their core business model. To review the benefits of a Sale Leaseback arrangement for your business, call Toll Free: 855-787-1113.   You will discuss the assets you have, the amount of funding needed and determine if this financing method may work for your business.    Alternatively, click on contact us, or application, and complete. Since the amount of any Sale Leaseback request will always be an important factor, if more than $50,000 is requested, 2 years financials and interim statements are often required.    As such, it will be important to assess in advance if your company's financials will merit a larger request or not. Most often, what is looked for in a Sale Leaseback is increasing Gross Income and Net Income from year to year.   If revenues have decreased, it would be advisable to lower the request below the amount for which financials are commonly requested.    This amount is generally between $25,000 and $50,000.    If the financials do not appear to meet the requirements, another strategy may be to secure multiple funding parts. In most cases home ownership is not required for this transaction.   Time in business requirements will vary.    A minimum of 2 years time in business is required, though 5 years or more in business will significantly help the business's chances of qualifying.   Credit is typically considered for this transaction.   A credit score of approximately 650 or higher are needed in most cases, though scores as low as 600 may allow for an approval. An equipment or asset appraisal may be required for a Sale Leaseback.   In almost all cases, a formal costly appraisal can be avoided, and a simple site inspection prior to closing may suffice.   If real estate is the primary asset, then a standard real estate appraisal will be required Processing time will vary depending upon if the collateral is equipment or Real Estate.    If only equipment is involved, processing time for a decision is 2 - 3 days, with a total transaction time of 2 to 3 weeks.   If Real Estate is the collateral, processing time for a decision may be 1 to 2 weeks or more, and total processing time may be up to 4 to 6 weeks. The age of the equipment will be considered.   While age may not be a significant issue on a Sale Leaseback for some types of equipment such as industrial equipment and machinery, other equipment types such as computer electronic equipment, restaurant equipment, and Medical equipment will have to be relatively current. To proceed on a Sale Leaseback transaction, call Toll Free: 855-787-1113.   Alternatively, complete the Contact Us menu option or Application Option.    An experienced product processor will assess the amount of capital you can obtain! Sample Sale Leaseback transaction: An applicant has a skid steer free and clear and submits and application along with manufacturer and model number of the skid steer. Upon approval, closing docs are E-Mailed to the customer.   The customer overnights original paperwork back, along with Serial number of skid steer. In some cases, a quick site inspection takes place, which takes 1 to 2 business days.    A site inspection is a simple verification only to verify the equipment is on location and in satisfactory condition. If a site inspection is not required, a quick verbal confirmation takes place.   Funding occurs in 1 to 3 business days and funds are wired to the customer. The Sale Leaseback process is identical or similar whether the equipment is machinery, industrial equipment, computer equipment or medical equipment. F.A.Q. - Frequently Asked Questions: I am requesting $50,000 and I provided an equipment list that has $250,000 in equipment. Do I have to put up all of the equipment for the $50,000? No!   Absolutely not.   We will involve between $60,000 to $80,000 in acceptable equipment. Does someone have to come out and do an appraisal of the equipment? No, in far and away the majority of cases. If I need $75,000 and I only qualified for $40,000, can I get more somehow? Yes!   We will procure a second transaction for the additional $35,000 in order to acquire the full $75,000 requested. Does this request require me to provide a great deal of information? No.  You can simply complete our online application, that's it! See Links below for Sale Leaseback resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Sale Leaseback resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Sale Leaseback resource page! (read more...)

In a loan against equipment transaction, also known as a sale leaseback,  are those in which equipment is sold on paper by the seller and leased back.  The seller obtains working capital and keeps the equipment on their property.  Full ownership is retained at the end of the Loan Against Equipment. A significant tax savings will likely be realized in a Loan Against Equipment due to being arranged in part as a lease.  This offers a significant tax savings over a traditional loan.    The seller gains cash flow for their business through the equity in their equipment rather than full ownership of the equipment. To obtain a Loan Against Equipment Today!  Contact us Toll Free: 855-787-1113 or Click the Contact Us mini app in the menu bar above, complete and a product representative contact you. Alternatively, click on the Application page. Complete the application and the approval process will be expedited immediately.

The Loan Against Equipment product allows you to use computer equipment, industrial equipment, machinery, and medical equipment.  Up to 75 percent of the value can be obtained.  One page application with equipment list. $5,000 to $100,000 is available. The approval process is one to three days. The equipment stays on your property with no interruption in it's use. There are no restrictions on how the funding is used.   The debt does not show on the credit report.

Other advantages are that this Loan Against Equipment financing are has amongst the highest pre qualification rates of any type of business financing.    Since most businesses have equipment, most businesses pre-qualify! The Loan Against Equipment funding niche amounts are typically between $5,000 to $100,000.   The small ticket dollar range means that the highest percentage of businesses will qualify because the dollar ranges are lower.  Since many more businesses will qualify for a $25,000 transaction rather than a $250,000 transaction, a very high percentage of businesses prequalify. Computer equipment which can be used in this Loan Against Equipment niche financing includes Servers, desktops, laptops, routers, and software.    Industrial equipment includes CNC Milling machines, Cranes, Assembly line equipment, industrial ovens, and more.  Machinery equipment includes Lathes, Drill presses, brake shears,  spring manufacturing equipment, automotive equipment and more. Construction equipment such as front end loaders, bobcats, skid steers, bulldozers, ditch witches, and woodworking equipment can be used.   Accepted Medical equipment includes X-Ray equipment, heart monitoring equipment, Cat-Scans, Dental Delivery stations, patient tables and chairs, chiropractor patient adjusting tables, and much more. Your business makes money by using equipment, not owning it.   Take out the untapped and un-utilized cash sitting in your equipment and use it instead for cash flow in your business. Submit the one page Loan Against Equipment app and equipment list by fax or E-Mail.   Typical processing time is one to three days.   Upon approval, funding normally occurs within five business days.     If more funding is required, additional loan against equipment funding parts can be obtained.   In some instances, as much as $150,000 to $250,000 total funding is available. The age and condition of the equipment is reviewed.   Simply complete the equipment list using the most valuable and newest equipment on hand.   In some cases, significantly older equipment can be used, depending upon type and value. Most commonly, when industrial equipment and machinery are used, and the equipment has a higher value, the equipment can be 5-10 old, in some cases even older.     When construction equipment, also known as Yellow Iron, is used for a loan against equipment, the equipment can be considerably more than 5 years old. Apply Today, Call Toll Free: 855-787-1113, and get the equity out of your equipment and put some cash flow into your business now!

Since computer equipment typically depreciates the fastest, it is a unique opportunity for many businesses to obtain working capital they may not otherwise qualify for.    Since most businesses have computer equipment, most businesses will pre qualify.

Sample Transaction: A company has a 2 Server computer systems.   They apply for a loan against equipment, or Sale Leaseback.    A one page application is completed, and equipment list is filled out.    If the customer has an existing equipment list, they can provide their existing list. Upon approval, terms are normally 24, 36, 48 or 60 months with a $1 buyout.    Contracts are E-Mailed to the customer.     The customer overnights the original contracts.   In some cases one or two payments at closing are required.     Upon receipt of the original contracts, final review of the equipment is done either verbal or through a site inspection.   Serial numbers are obtained. If a site inspection for the Loan against equipment is done, an outside vendor company is contracted to to the inspection.   The inspection typically takes one or two business days.     An inspector arrives at the business location, verifies the equipment is on the premises.   Pictures may be taken. After the inspection, a final verbal verification takes place during which the customer indicates they are ready to begin the transaction.      Upon completion of the verbal,  the transaction is funded.    Funds take 2-3 business days to clear upon which funds are wired to the customer. If the customer above wishes to have additional funding through the loan against equipment program,  a second transaction can be processed. What if the equipment is already fully depreciated?  This has no affect on the loan against equipment.   If the equipment is fully depreciated on the books of the company it may still have significant value.     This significant value is the basis for the transaction for which the loan is made. Some items on the provided equipment list have little or no value.   The equipment list is reviewed and only the minimum needed items are used.     There may be many items in the equipment list that are not used. Does the equipment need to remain on the premises?   The equipment is this loan against equipment transaction is typically required to remain in the place of business of the borrower.    If the borrower has reasons to move some of the encumbered equipment to another location, they notify the lender to obtain approval. What happens at the end of the transaction?   At the end of the transaction, after the final payment, the ownership of the equipment reverts back to the borrower upon either a $1 payment or FMV, fair market value payment.    UCC liens, also know as Uniform Commercial Code, are placed with the Secretary of State at the beginning of the transaction. The lien information is either general, which means that the equipment of the borrower is not itemized, or it is specific and the equipment is itemized.  When the loan or lease is paid off, the lender contacts the secretary of state and has the liens release and the lien shows as released or paid. SBA 504 Loan program - The SBA 504 loan program is an economic development loan program that offers small businesses business financing and also promotes business growth and job creation.   Through February 15th, 2012, $50 Billion in 504 loans has created over 2 million jobs......read more Wyoming Chiropractor uses 504 loan program to expand Medical Office......read more Loan against equipment resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Loan against equipment resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. The SBA, Small Business Administration has additional information on a loan against equipment, or sale leaseback on it's site. Example of this transaction in the Windpower Industry. Thank you for visiting our Loan against Equipment resource page! (read more...)

A leaseback real estate, versus equipment, is typically a better choice if the most important consideration is the highest funding yield possible.   If an applicant has both paid for equipment and real estate and is in need of funding,  the leaseback real estate will most often provide the highest yield. In a leaseback real estate, real estate is sold for cash, with a lump sum of cash going to the seller.   The real estate is leased back with a purchase option at the end of the term.   The seller remains on the property during the entire term of the transaction. To get a Leaseback Real Estate, contact us at Toll Free at: 855-787-1113 Today, or complete the "Contact Us" form in the menu bar above and one of our experienced industry professionals will contact you. The minimum dollar amounts on a Leaseback Real Estate is $100K with a maximum of $5,000,000.    Since the average property size is $250K and up, the funded amount on a Leaseback Real Estate will typically be $100K to $250K minimum, where as the average size loan on equipment is in the $50K range. Loan to value, also known as LTV, will vary somewhat depending upon credit and the financial position of the seller, though LTV will most commonly be a maximum of 75%. The property in a Leaseback Real Estate will contain a structure in addition to the land.   The structure can be either a free standing commercial building, or affixed to part of a larger structure, as in a strip shopping center.   Other acceptable property types are apartment buildings, gas stations, convenience stores, office buildings, restaurants, industrial plants, and many more. Even though it is well known that real estate values have dropped significantly since late 2008,  this form of financing still has many strengths and opportunities.   Real estate values have varied significantly depending upon the market location in the United States.    For many market locations, values have not declined as dramatically and will allow this form of financing to continue to be a strong option for borrowers. In addition, if the potential borrower in a leaseback real estate has significant equity, the strong equity position will help insulate them from fluctuations in the market and increase the prospects for approval and approval for a significantly higher funding amount.   Our representatives will discuss the details of your scenario with you, and allow you to understand and proceed on the most viable and best form of financing based on your situation. This form of financing can be especially effective for businesses in need of significant funding amounts, without all of the extensive requirements of traditional financing.    Businesses in need of working capital will obtain a greater result by using their Real Estate for their business rather than simply owning Real Estate.   In addition, terms will be significantly shorter than traditional Real Estate Financing, often 5 - 10 years.    This will allow the Seller to fully re-acquire ownership of the Real Estate.  At that point, they can retain full equity, or consider another Leaseback Real Estate for additional working capital for their business. Our experienced industry professionals, experienced in both Leaseback Real Estate and a Leaseback using Equipment will quickly guide you through the process.    Contact us at Toll Free: 855-787-1113 Today, or complete the "Contact Us" in the menu bar above. Leaseback Real Estate Resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Leaseback Real Estate resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Leaseback Real Estate Resources page!       (read more...)

Will a supercommittee failure now on the horizon spook markets?   Ever since the debt ceiling debacle in early August, the new supercommittee was supposed to be the ultimate answer to the gridlock in congress. However, sources that have been close to the process over the long haul quickly recognized and predicted that the supercommittee may not be so super after all.  Predictions came fast that a supercommittee failure was as likely as congress's failure to raise the debt ceiling in early August. How can that be?  After all, congress gave them the job they could not do before, but this time they added some of the most severe  financial and socially significant consequences ever placed on a committee.   If a supercommittee failure came due to a deadlock and inaction, automatic, and significant spending cuts would occur. Now the time is at hand, the deadline for the supercommittee to recommend where to cut billions and how much to cut each program is at hand and they are deadlocked.     Markets will not react favorably if the deadline passes and no agreement is reached for at least two reasons, even in the face of automatic spending cuts. -  If there is a supercommittee failure, domestic and international markets will see yet another failure on the part of government to address and solve serious financial issues.    If the highest levels of government cannot solve government  problems,  who will?  Markets will react unfavorably to what will be considered "Strike two" on the issue. -  Ensuing to such a supercommittee failure, markets will simultaneously realize that bond rating agencies, Moody's and Standard and Poors will also react unfavorable to the supercommittee failure and this will be factored into their future U.S. Treasury ratings. Moody's has already downgraded U.S. treasuries for the first time in history in 2011.     The government disagreed vehemently with their decision.   However, further U.S. government failure and inaction on U.S. deficit problems will weaken the government's argument and position. -   Most ominously,  some politicians have already begun quietly whispering that in the face of the feared supercommittee failure the legislated automatic spending cuts they created cannot happen and must be undone prior to them taking effect. If this took place, the consequences may be worse than just letting     the cuts happen.    It would be amongst the most visible example in recent times of the failure of government and the failure to solve the country's most severe fiscal problems by any reasonable measure. The bond rating agencies, Moody's and Standard & Poors would react most unfavorably to this scenario.   Moody's and Standard & Poors has already indicated that they are not alarmed at the prospect of a supercommittee failure due to the automatic spending cuts in place if the committee is deadlocked and cannot come to an agreement. The bond rating agencies, as most everyone else, thought that this time this committee would force itself to succeed and come to a compromise with elements that both sides vehemently disagree with.   This is the thinking because the automatic spending cuts, many of which they see will be worse than the cuts they cannot agree on now. If politicians really break their promise, legislation and law regarding these automatic spending cuts in the face of a supercommittee failure, markets and bond rating agencies will surely react extremely unfavorably.   Markets would decline over time.    The most major negative consequences would occur in the 1-3 year range.   If bond rating agencies downgrade U.S. treasuries yet again, markets would decline most for fear of the long term impact of one or more ratings downgrades. It seems that the very real prospect of the worse alternative to a supercommittee failure is not enough to spur agreement on less painful choices now.   (read more...)

In a leaseback transaction, in which an asset is sold for cash and leased back to obtain working capital, vehicles are difficult to use. Small business loans Depot's vehicle leaseback program will get you working capital quickly against your commercial vehicles. Contact us Toll Free at: 855-787-1113 today or complete the "contact us" form by clicking in the menu above and a representative will contact you! The primary reason vehicles are difficult to use in a leaseback transaction is that the collateral is very mobile.    The collateral can easily go from one state to another in the course of a few hours.    Additionally, the individual or business in possession of the asset can make a decision at any time to easily move the asset, which can make repossession extremely difficult. Another reason vehicles are more cumbersome to use in a leaseback transaction is that vehicles have titles and the title work must be done for the transaction.   The title has to be held as collateral and the lien holder information has to be placed on the actual title.   The information on the title has to be 100%  consistent with the name on the loan documentation and any other paperwork.   If the information is even slightly different, the security interest of the lender in the asset can be compromised in a default situation. Although vehicles are sometimes more difficult to use in a leaseback due to the issues above and are the reason they are sometimes not preferred,  if the lender is willing to use vehicles, they can be a very desirable type of financing for the lender.    This is especially true when the borrower is a homeowner.     When the borrower is a homeowner, the likelihood that the borrower will permanently move the collateral in an extreme past due or default situation is significantly reduced. Statistics have shown that homeowners are much more likely to remain in their home and not leave the area, even in personally difficult situations  when compared to a borrower that is in an apartment.    That makes the security interest in the lender much stronger. For the reasons stated, it is typically more difficult to use vehicles in a leaseback. (read more...)

In a leaseback transaction, is the leaseback reported on the business credit? In most cases it is not reported on the business credit.   The largest business credit reporting agencies, Dun & Bradstreet and Experian business credit report have a history of not reporting traditional bank loans and leases.    The reasons why are both a mystery and proprietary.    The result is that businesses that have taking out significant loans,  a lease, or leaseback, do not always get the benefit of it reporting on their business credit. To get working capital for your business through a leaseback, contact us today at Toll Free: 855-439-4543 or complete the "contact us" form by clicking contact us in the menu bar above and a representative will contact you! The exception seems to be the business reporting agency Paynet.   Paynet eports many types of bank loans, leases and a leaseback, and as a result, the reporting automatically provides a reference for businesses that have taken out this type of financing.   However, many companies that review the references or business credit of a business, will not review the Paynet report and will miss this trade reference information. Businesses should have this trade reference information ready when they inquire or apply for a business loan, lease or a leaseback. The company name, account number and high credit should be provided in order for the company to get the benefit of the financing they are applying for. If a business has a Dun & Bradstreet report and an Experian business credit report, the business should take the same loan, lease or leaseback information, call up these business credit reporting agencies and ask if these are being reported.   There is a strong possibility they are not being reported because these are loans and leases and some of these companies only report trade references, which are often different than loans and leases.    Since the representatives of these business credit reporting agencies say they do not know the companies that are reporting tradelines to them, they will not be able to say whether or not the loan, lease or leaseback is being reported. A copy, or access to the report should be requested and reviewed.   The best way to match up the leaseback, loan or lease to the tradelines being reported is to look at the business credit report under industry type and also in the tradeline section which reports the dollar amounts.    This information should be used to attempt to match up accounts and determine if the leaseback, loan or lease is being reported. If so, no further action is required.   If not, the information should be given to the business credit reporting agency and the agency should be asked to report it for the business.    If this is not done, the snapshot of any company's business credit report at the business credit reporting agency will be underrepresented and may hinder their ability to obtain financing or as much financing as they wish to obtain.   The process of the business credit reporting agency reporting updated accounts may take a few weeks. The reports should be checked once a week to determine if the business credit file has been updated.   Until it has been updated, the loan, lease, or leaseback documentation taken out at the time of the transaction should be provided in lie of the report. (read more...)

When a business is considering a leaseback, what percent of the value of the computer equipment will the loan typically be for? In a leaseback transaction, the owner of equipment sells the asset for cash and leases it back, obtaining working capital. When the transaction involves computer equipment, the percentage obtained against the asset will typically be lower than for other equipment. The percentage will vary depending upon other factors such as time in business, business credit, personal credit and the amount of the request. Get a leaseback on computer equipment now by calling Toll Free: 855-787-1113 today, or simply complete the "contact us" form in the menu bar above and representative will contact you! The percentage loaned against the asset in a leaseback will range from 20% to 80%. Computer equipment depreciates in value very quickly. After only 1 year, the equipment may often be worth only 75% of the original value, sometimes less. This is a significant drop. While the technology is almost always important in a leaseback, the technology needs of other types of equipment will usually not be as great. This includes restaurant equipment, construction equipment, machinery, and vehicles. The quick drop in value has consequences that do not happen as severely with other types of assets in a leaseback. Because the value drops so much so quickly, if any party is forced to sell the equipment after 1 or 2 years, the market for selling this equipment becomes difficult because the technology updates so rapidly. Since technology requirements are such a significant part of the reason updated computer equipment is purchased, buyers of computer equipment, especially businesses, may not be motivated by the price difference. A higher priority for businesses will often be the technology that allows their business to function as efficiently as possible. Businesses need to offer their customers the best service. Businesses also need to be up to date against their competition and preferably, have an advantage over their competition. Due to this, in a leaseback loan transaction, they will likely be offered a low percentage against this type of equipment due to the difficulty and lower return in the event the equipment has to be sold. (read more...)

The supercommittee was established in the aftermath of the debt ceiling debacle to recommend solutions to the federal budget deficit. It's due to report recommendations by November 22nd.   Will it's recommendations affect small businesses? The answer is most certainly yes and indications are it appears the expected decision by the supercommittee certainly affect businesses in a negative way in the short and medium term. The supercommitte has to decide whether to recommend just spending cuts, or a combination of spending cuts and higher revenues, a euphemism for higher taxes.   If the supercommittee provides recommendations that are heavy or solely cuts,  expect steep cuts to major government programs in the next few years.     This will have to include cuts to major programs such as Social Security, Medicare, Medicaid, NASA,  and defense, if the reason for the existence of the supercommittee and it's goals are to  be met.   It will have to result in cuts to many smaller programs such as farm programs, the small business administration, the department of Transportation, and others.    This will affect small businesses in many ways. Medicare / Medicaid -   Many physicians accept Medicare and Medicaid patients.     When Medicare and Medicaid are cut, both programs will likely be forced to lower the reimbursement rate to doctors seeking reimbursement for services they have already provided to their customers.    This will further cut into the profits of medical practices, lowering their gross receipts and profit margins.     Many physicians may feel that they cannot run a profitable enough business.   This will result in many physicians and medical practices discontinuing to accept Medicare and Medicaid patients, or discontinue accepting new Medicare and Medicaid patients. Defense and NASA - If the defense department is significantly cut due to the recommendations of the supercommittee, it will have a major affect on many businesses across the country. In addition to the large defense contractors,  there are thousands of smaller contractors that work with the larger contractors.   There are even smaller companies that contract with these smaller contractors.   Many more businesses derive their revenue simply by being located in the area of the largest contractors.    Businesses such as restaurants, gas stations and retail shops will all take a hit.  The defense department is at the top of the food chain and any changes have long tailed effects.  With a budget in the $700 billion range, a $100 billion or $200 billion dollar cut can have a major affect on the economy. Other programs -   Other cuts by the supercommittee may affect the Small Business Administration, farm programs, the department of transportation, the department of education, and a long list of programs. The mainstream perception is that there is major pressure on the supercommittee to cut spending, and that doing so is a good thing.  There has been very little discussion of how it will affect the economy.     Long term effects of a lower budget deficit will be positive 5 to 10 years out.    However, cutting spending in the short and medium term, as outlined above, will negatively affect many businesses.    Revenues will be lower, contracts will be cut, businesses that are indirect recipients of the government programs will see lower sales as the businesses they feed off of have lower revenues. In short, spending cuts by the supercommittee means less money to businesses, regardless of the issue whether the government has been overspending or not. A -  The SBA (small business administration) may get hit with cuts along with the many other non defense programs.   Small businesses are having a very difficult time now getting loans from banks.    If the SBA loan programs are cut back in funding, businesses will have even fewer options than they had before. B - Farm Programs -  Currently, farmers and businesses related to farming sometimes need government programs to assist them during times of droughts,  early frosts and other times of crop destruction.    Reductions in these programs will put farmers and related industries under greater pressure and more farmers may  be forced out of business. C - The department of Transportation - New highway construction programs, highway repair, rail programs such as Amtrack, funds for building and updating shipping ports will all take a hit if the department of transportation is cut.     (read more...)

Get ready for the next round of news from the new super committee. The super committee has the responsibility to agree on spending cuts and possibly revenue increases shortly before thanksgiving.    Find out what cuts they are considering, it is destined to affect tens of millions of citizens for years into the future. http://www.deficitreduction.gov/public/ (read more...)

There is one more program for the cash flow loan financing to help businesses get financing using their cash flow. Go to smallbusinessloansdepot the click on articles or news and find the info dated 11012011 for more news and details (read more...)

business rental lease space - how long should one sign a lease for? If one bases the decision just on the numbers, the longer the better since most times the landlord will give better terms on a longer lease. However, the business owner signing the lease should proceed carefully.   There are other important considerations that can alter the decision. Foot Traffic - The foot traffic of the location will influence the volume of business.    If the foot traffic is light, this may significantly decrease the amount of business that comes through the door, which will affect gross receipts over the course of the year. Statistics provided by the city when a business rental lease space has been found are important.    Those statistics may include demographics, population statistics and trends, average income information of the area, and homeowners versus apartments are all important statistics. Visual Inspection - Possibly nothing can replace a visual inspection of the potential business rental lease space prior to signing the lease.    Sit within a line of vision of the location and watch for several hours, and for several days.   Watch on Mondays, watch on Fridays and on weekends.   Watch on different weeks.    Is the traffic extremely light in certain times and heavy other times?     Do some advance work.    If normal closing time is 7:00 P.M., do people walk out of restaurants late and walk by the location?    Question whether such people are potential customers if you will be the new tenant of that business rental lease space. Seasonality - In the analysis, it should be considered whether the business is seasonal, or even partially seasonal to begin with.   If so, the time of the year should be factored into the analysis. For any business rental lease space being considered, if a thorough analysis does not yield total confidence that heavy customer traffic will be a sure thing, then a shorter term lease should be signed. Signing a long term lease may result in better terms, but if the renter has misjudged what the sales will be, a long term lease may be devastating to the business.    Instead of a 3 - 5 year lease, consider a 1 or 2 year lease the first time.  If sales are soft and a strong effort has been made to promote the store, lower sales can be used to justify the best terms possible if a renewal of the lease is done. If sales are strong, then the shop owner may have lost some money in the terms of a new lease, but this may worth the cost to help insulate them from the risk of being in a long term lease they cannot afford. The landlord may not have sympathy if you are having a difficult time meeting the monthly rent.  Ultimately,  protecting your business with a shorter term lease on a business rental lease space can prove to be the best decision.   (read more...)

On financing requests, the business checking account reference  is often requested.  Many business owners do not wish to provide it for privacy reasons.    Is it needed and is it helpful? If the business checking account reference is requested, it is often a normal request and often not even checked.    In the past, it was standard procedure to contact the bank, verify the opening date, current balance, average balance, insufficient funds and overdraft history. More recently, the bank reference is not always checked, and is at the discretion of the lender to do so.    Even though the reference is still asked for in most cases, there are several reasons why the applicant should want to provide the reference and not feel it is a privacy issue. The applicant is approaching someone else and asking for something  - Many borrowers feel whether they should provide a business checking account reference is up to them.   They also often give an opinion if it should be relevant or not in the analysis.    Since the borrower is approaching another party and asking for something, it is really the right of that party to decide what to ask for from the applicant. The bank information may be a strength for the applicant - Providing the bank info will not always be a weakness.   If the applicant has strong business checking account reference information, it is a strength for the applicant and they should provide it.   If so, it will help their chances of being approved.  It may also help them be approved for a higher amount and better terms. The bank information may be a weakness for the applicant - If the applicant's business checking account reference is weak, it can hurt them and they should not voluntarily provide it if it is not requested.   Weak bank statements may include low beginning, ending and average balances.    It can also include NSF - insufficient funds and overdraft history.    If an account has any of these, it may hurt the applicant. Privacy Concerns - Privacy concerns are sometimes a significant issue.   This is understandable.   If the applicant has such concerns and their account statements are strong, they should consider resolving these concerns through other means. The applicant should talk to the representatives further if they need to get a higher comfort level.    Research the company at the better business bureau and with the state to see if there is any negative information on the company.     If not, and the company has been verified, providing the checking account reference information should be acceptable.     (read more...)

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You have moved your retail business to a new location.   Is this considered a higher risk by a lender, when it comes to a business loan request? For many types of business loan requests, especially for retail businesses, it is considered an elevated risk if the business has just changed locations. Some of the reasons are that retail businesses typically have an established clientele in the previous location, which typically is a loyal local clientele.    If they just move and are not adding a second location, there is a significant risk that the clientele will not follow them to the new location if it is too far away and too inconvenient.    Even if the business had a very loyal following in the previous location, the customer's willingness to travel greater distances and endure inconveniences is anything but assured. The new location may not have been researched thoroughly by the business prior to moving.    What may seem like a good location may not have good customer traffic in the weeks and months after opening the new location. For franchise businesses, the research, including block statistics, business success rates, and other factors have been done for the franchisee in advance.   Since most businesses are not franchises, this will not have been done for them and the business owner will have to do this research themselves. If a new business location was not thoroughly researched in advance and turns out to be a bad choice, the results on sales can be devastating, which is one reason which causes lenders to be risk adverse for business loans in such as situation.   Lenders know that the businesses may have made a misjudgement, or had rosy predictions in advance, which may not turn out.     If the lender makes a loan just after the move and sales slump, the business may not be able to repay the new loan. As a result, expect lenders to be extremely conservative when it comes to a loan request for a business that has just changed locations, specifically retail, non franchise businesses.       (read more...)

The request for trade references dates back almost to the beginning of modern lending.   They may not be quite as requested as in the past, or looked at as closely as in the past, though they can still be extremely helpful for several reasons. Merely providing trade references even if they are not asked for provides a higher degree of legitimacy to an application.   More importantly, if the trade references are called and in fact, a good reference is provided, this can be helpful if an actual loan officer is reviewing the application. There are 2 additional factors for which a trade reference can significantly assist an applicant, the time the trade reference has been established, and the high credit of the trade reference. If a trade reference has been on the books for 10 years instead of 1 year and has had a good repayment history, then that is 10 times longer of a good reference, which matters. The other factor is the high credit.  The higher the high credit, the better.   If a trade reference has a high credit of $50,000 versus $5,000,  then the lender reviewing the application will understand that the applicant has the option of borrowing $50,000 in raw materials or supplies from that particular merchant at any time, a significant sum. The last factor is the comparison between the dollar amount of the highest high credit of the trade references, and the dollar amount of the request.   If the highest high credit an applicant can provide the lender is a $1,000 reference, and the applicant is requesting $50,000 and there are no other higher dollar references on any of the business credit reports, then this can be a significant factor in the amount approved, if an approval is forthcoming. An applicant for a business loan will be wise to review the dollar amounts and time on the books of a trade reference when assessing the amount of their request and approaching a lender. (read more...)

When applying for a business loan request,  the owner, or applicant may be asked on an application or in person, how many employees does the business have?

Is the number of employees important when applying for a business loan, and if so, how important?

How important the number of employees in a business is to a business loan request depends most heavily on the amount of the request, and if the company already has a large number of employees.

Whether a company has 200 or 250 employees is not nearly as significant compared to if a company has 2 employees verus 10 employees.    For any company that has less than roughly 35 employees, each employee less than 35 down to 1  is much more significant than the same number less below 250.

If a business is applying for a $250,000 business loan and they are reporting only 1 employee or even 4 or 5 employees, the number of employees compared to the loan amount request will be looked at as much more unbalanced than a company with 20 employees requesting $250,000.    The request will be seen as more appropriate and taken more seriously.

Then there are the questions, are part time employees considered employees?   It is certainly reasonable to count part time employees as employees in the number count.

Can 1099 employees be counted as employees?   This is controversial.   A 1099 employee is considered a contractor and strictly speaking is not an employee.    They are however, a worker for the company.   This may be considered a grey area.    If they are listed as an employee, it is not technically accurate, though arguably cannot be considered a clear misreprentation if a business hires them, receives work from them, and pays them.

From a practical standpoint there is not a significant difference between a full time employee and a 1099 worker as they contribute work to the company in a similar fashion.  The only real difference is in their status.   If a company does not have many employees to begin with, if they include 1099 employees in their employee count, this may help them in a business loan request.

Should seasonal employees be included in the employee count being reported to a potential lender?   Some businesses have a significant number of seasonal employees and during offseason may have an artificially low number listed.    Since seasonal employees are true employees for much of the year, it may benefit a business in a funding request situation to include seasonal employees in their total.

Can temporary employees be counted in the employee count total?  Temporary employees are employees of the temporary staffing agency and cannot be considered employees.    If a business lists them as employees, it is not a serious misrepresentation, however, it is more appropriate not to include them in the employee total.

Where is the number of employee information listed and requested?   It is requested on loan applications for a business.   If it is not listed on the application, it may be asked by a representative.

The number of employees is often listed on business credit reports and the major business credit reporting agencies such as Dun and Bradstreet, Experian business credit report, Equifax, and Paynet.

Lenders review these reports as part of their review process.   If the figures at the business credit reporting agencies is not accurate, it should be updated.

For the reasons above, the number of employees figure is important for business loan requests.   A business owner should consider this when applying for a business loan and assess if the figure is reasonable for the amount of the loan request.   If the amount of the loan request seems high based on the number of employees, the owner should consider scaling down the requested amount.

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Among the decline reasons that seem difficult to accept, understand, and even have enough information on to figure out how to handle in the future, "too many accounts recently established", or similar language, is one reason that leaves declined applicants at a loss. This is a decline reason often assigned to applicants that have recently opened credit accounts of some type.   The lenders review the number of accounts recently opened, how long ago they were opened, the type of account opened, and possibly the limits.   There are very likely other factors as well they do not disclose. The lender believes the applicant has established or opened too many accounts too recently which they are not comfortable with.    They consider this type of activity and behavior by an applicant to be an elevated risk factor, and will often decline an applicant for this. Whether this is a reason the applicant can accept or not, the bigger hurdle for a declined applicant is they do not know and will not be informed of exactly how many accounts are "too many accounts" , and in what span of time are they "...recently established". If the applicant calls the lender and speaks with a representative, they can be sure the representative does not know, will not be told, and will be unable to find out the answers to these very valid questions the declined applicant will have and deserves to know.   After all, if an applicant is told they are declined for certain specifications, aren't they entitled to know what the parameters of the specifications are? Certainly they are, however, they will not be able to find this information out, they will have to alter their behavior based on generalities.   All the declined applicant knows is they need to make sure they don't apply for, or establish too many accounts too often.    Does that mean 3 accounts, 5 accounts or 10 accounts?    Does it mean in the last 3 months, 4 months, or 5 months?  Declined applicants will be forced to simply refrain from heightened activity as best they can. This type of decline reason is common to many larger lending institutions and is not an aberration, so there are many applicants that are frequently declined for this reason.     The reason applicants will not be told the specifications is that it is considered proprietary lending guideline criteria by the lender, which they consider company secrets.    While this assertion can be disputed since applicants are directly affected by the criteria, applicants will probably get better results by simply making sound conservative judgements about how often they establish new accounts. (read more...)

Recently, an aquaintance who shall remain nameless inquired as to whether one of the decline reasons they received on a credit card decline was legitimate or not, excessive unsecured limits. One of the reasons they were declined by the credit card issuer is that the lender believed the applicant had too much unsecured credit available, even though they were using approximately less than 10% of their availability.   Is this a legitimate decline reason? From the applicant's perspective, they have not used the line that is available, so how can this possibly be used as a decline reason?  If they are not using it, that means they do not owe it.   How can they be declined in part for a non-existant debt?   This cannot be a valid decline reason. However, from the lender's perspective, it is money that is available at anytime to the applicant.    The applicant can get a cash advance, or may even have checks on hand against the line which they can simply write a check for and deposit into one of their accounts. If the applicant encounters an event for which a significant sum of money is required, an illness in the family, elderly care, loss of a job,  damage to a home that is not covered, an applicant that had no intention of using the funds, may suddenly do so.   When such an event occurs, the applicant now has a significantly higher monthly debt obligation they are obligated to meet. This monthly debt obligation may also be used in part to calculate their debt to income ratio, possibly resulting in their upper "limits" ratio to exceed the lender's threshold, resulting in an additional decline reason. One issue that is hard to distinguish is the possible incorrect inclusion of a revolving home equity line into the analysis.   Home equity lines are listed as an "R" for revolving credit by the bureaus.   Since a home equity line of credit is secured by the home, it is not unsecured and should not be included as part of an unsecured accounts review.     Often, since a home equity line of credit will have a high limit in comparison to credit cards, if it is included in the analysis, it will severely skew the true picture of the applicant's unsecured accounts and availability. Nevertheless, while being decline for "excessive unsecured limits" may not seem valid to an applicant, the lenders reasons for doing so are valid enough for them to legitimately justify their position (read more...)

On personal credit reports,  trade lines are identified by the company reporting the information on the account holder.  As an example, the trade account may say "Sears" and Sears will report what their records show about your repayment history to them. Imagine if an account were listed and showing slow or derogatory repayment history about you, but the company's name is not listed. Hard to imagine?   That is precisely what occurs today with very well know business reporting agenc(ies) and how they report on businesses. One of the purposes of the business credit report is for other businesses, or the business itself, to review the trade and repayment history.    However, if a business reviews it's own business credit file, reviews the trade section and identifies delinquent or derogatory repayment information, they do not know who the company is that is reporting on them. For privacy purposes, company names of business credit reporting agencies will not be listed here. It is even the case when the business credit reporting agency is called and a customer service representative is spoken with,  the representative will indicate they do not know, are unable to tell you, and unable to find out who the company is that is reporting credit on you, in spite the fact that the business credit reporting agency is receiving credit information from them, about your business. It seems very clear that they do know who the companies are, even if the number of people that have access to that information is small.    Since the business credit reporting agency is receiving information, they will have to know who the company is reporting information concerning your company. If this issue is encountered by a company reviewing their own business credit from a business credit agency,  it is recommended that a supervisor at the business credit agency is asked for and to make every effort not to relent, until this information is provided. Anything less could be considered a disservice to the business seeking information on their credit. (read more...)

When it comes to any type of leaseback of computer equipment, whether to acquire, lease to acquire, or leaseback, does securing it with computers make it more of an unsecured transaction? It is known that in a leaseback of computer equipment, computer equipment depreciates quickly, and may be the collateral which depreciates the fastest.   Whether the collateral will have much value, or any, will depend primarily on how old the equipment is.   If the equipment is less than 2-3 years old, a significant amount of funding may still be obtained, depending upon the type of equipment. To obtain capital via a leaseback of computer equipment now, contact us Toll Free at: 855-787-1113, or complete the "contact us" form by clicking on the contact us in the menu bar above, and a representative will contact you. (read more...)

In an leaseback, in which equipment is taken as collateral to obtain working capital, equipment generally depreciates quickly and is not generally considered the best collateral. However, since these transactions are most commonly done by businesses, leaseback collateral may be among the strongest forms of collateral. Most businesses need the equipment they have in order to continue operations and keep the business open.   If they lose their equipment, they may well be out of business.    This is true from dentists, to construction companies to technology companies and many other types of businesses. If a company is in danger of defaulting, the owners will realize quickly as they become past due, that if they default and their equipment is picked up, they will be out of business.   As a result, there will be a tremendous amount of motivation on the part of the business to make all the payments required on the transaction. In the eyes of the lender, they will likely lose part of their equity in a default and do not see the collateral as valuable.   However, the lender's risk may not be as dire as it seems, as the business will be very motivated continue payments in order to keep the equipment. (read more...)

Cash flow loan programs, based on using business bank statements to assess the cash flow of a business, are available for a businesses. However, are they a fit for most businesses? This will depend primarily upon the real time cash flow figures in the company's business checking accounts, the company's gross and net income, and the profit margin of the business.   The company's bank account beginning, ending and average balances are important as they will influence the daily and monthly payment a company is able to make.   If a company deposits $25K to $50K into their account on a monthly basis, but their beginning and ending balances are approximately $5K, they will not be able to handle as high of monthly debt service as a company that has the same dollar amount of deposits per month, but higher beginning and ending balances. The company's gross and net income figures are also a strong indicator of the type of financing they may be able to handle.    A company with gross receipts of $250K per year will not be able to handle the same monthly debt service as a company with gross receipts of $1 -$2 million.     The net income figure may also be closely tied to a company with higher or lower bank account daily balances. The profit margin is also an important % to consider due to the cost of this type of financing is typically significantly higher than other types of financing.    As an example, a liquor store has a low profit margin, and may not be able to handle a higher percentage of financing of a cash flow loan.   The exception to this will be if the liquor store has a fast enough inventory turn around time.  If a cash flow loan is 30% per year and the merchant indicates the loan is too expensive because their profit margin is 20%, inventory turn around time has to be factored into the decision. If inventory is turned over 1 time per year, then the cost exceeds the profit margin by 10% and the cost of financing is too expensive. If the merchant turns over all of his inventory on an average of every 3 months, and their profit is 20%, 4 times a year will bring in an 80% return on money, far exceeding the cost of financing.   Other factors which need to be considered include the merchant having to reinvest in inventory, damaged goods, etc., but the top profit margin figure allows the merchant to consider this type of financing. In different situations, such as a construction company, there is not any inventory turnover, and the business will consider the total profit from the job. If a construction company has a contract that will pay them $200K upon completion of a job and their cost is $75K, then a cash flow loan based on bank statements may work well for a business in this case, and can be used to purchase raw materials, hire additional job site labor, and operate or purchase machinery if needed. The decision whether the cost of funds on a cash flow loan is justified must be considered on a case by case basis for each business. (read more...)

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Heard this scenario before - you or a friend go to the bank, inquire about a loan, and leave feeling like the bank will make you a loan even before you apply, only to take a hard landing and be declined at the end of the process? Why does this happen?   The answer is simple.   Banks are deathly afraid of prematurely discouraging an applicant, even if the customer gives them info upfront that they know points to a decline.    While experienced bankers may tell you upfront that certain loans cannot be done, even experienced bankers will usually only do so with slam dunk obvious decline reasons, or in cases where loan requests are made that the bank never does, such as loans against overseas houses, or against vehicles that are too old, for example. The driving force behind this fear is accusations of misrepresentation, discrimination and eventual litigation.   Banks would rather just have you apply than tell you in advance that the chances are very low they will do the loan, to the point they are willing to take a hit on the processing costs associated with your application. When going to a traditional bank for a loan, speak with an experienced loan officer and present as many facts surrounding your situation as you can.    Listen closely to their answers, maybe they will tip you off in advance of the likely outcome, saving you weeks of time and hours in applications and phone calls and leaving you with nothing to show for it.   (read more...)

In a leaseback, how much collateral coverage is necessary?   Most lenders will require anywhere from a 2 to 1, all the way up to a 10 to 1 ratio, in the case of some banks. In these cases, the lenders are basically covering themselves to avoid any losses in the event of a default, requiring more, or far more collateral than will ever be necessary to cover their capital investment. The lowest collateral coverage in some cases is as low as 60% of the amount of the debt, which essentially results in a partially secured transaction. The type of equipment involved often is a factor in the amount of collateral required.     For heavy equipment and machinery, less value will often be required due to this type of equipment holding it's value longer.    Computer equipment will often require a higher amount for the same amount of funding. Some type of equipment will simply not be accepted as collateral in a leaseback.    The more specialized the equipment, the more likely it will not be accepted.   In many cases, computer or electronic equipment will simply not be accepted.   Other types of equipment that often are not accepted are smaller pieces of equipment with a value of less than $1,000 or $2,000, including such things as tools, hand pieces in the case of medical. Potential leaseback customers should not be surprised for 200% or higher in collateral value to be requested for these transactions. (read more...)

In a leaseback transaction, in which the owner of an asset sells the asset, receives a windfall, and leases it back, in the past, using real estate as collateral was considered as solid as it gets. No longer.   With the real estate market continuing to be soft on both the residential and commercial side, using real estate in a leaseback is no longer assured collateral. On the residential side,  with the backlog of foreclosures expected to continue for another few years, values continue to be extremely volatile, remaining flat in some areas, even continuing to spike down in some parts of the country. On the commercial side, real estate lending has been, and is expected to continue to be almost in a near frozen state.  Commercial vacancies remain high.    Values have tumbled in the last few years as well.     Commercial properties, always traditionally longer to sell, exasperating this problem in a leaseback. As liquidation of the debt cannot be assured by the real estate in many cases, lenders will scrutinize the borrower and the assets much more closely. As a result, whereas in the past, the use of real estate in a leaseback almost assured coverage from a collateral standpoint and approval of the request, real estate currently continues to not be an assurance of repayment nor a source of almost guaranteed loan approval.   (read more...)

Does character matter when a loan is being reviewed by a lender, or should capacity to repay be the only issue? Two of the tenants traditional lenders teach their lending staff is capacity to repay, and character, also referred to as willingness to repay.   Capacity is determined by credit, cash flow, length of employment, or time in business for a business, debt to income ratio, financials, possibly bank statements, and the amount of the new debt to be serviced. Why is character an issue in lending?   When lenders say character, they more so mean willingness to repay.    There are numerous instances in which the borrower is able to repay but chooses not to for a variety of reasons, including: - Prioritizing debt accounts.  The debt holder has limited funds            and prioritizes what is most important to repay.   Some lenders       will lose out is this decision making process by borrowers. - Unwillingness to continue paying on accounts that are joint with    someone else, most often a spouse.   Often, one of the signers            signs more so for the benefit of the other person to obtain                  rather than for themselves.     Over time, due to divorce or              a deterioration in the relationship between the parties, the signer    who had just signed in order for the other party to obtain financing  is no longer enthusiastic about paying, or outright unwilling. - Partners.   Often partners in a business signer on behalf of each      other.   If the business dissolves, or even if the business continues    but the relationship deteriorates, one party may discontinue            paying on a debt, placing the payment of the debt in jeopardy. -Child Support.    In some cases, individuals pay mortgage, rent,         car notes and credit cards, even vacations, but not child support.     This is considered a character issue. - Lack of ongoing perceived value of the debt.   A  good example is      vacations.    Someone who has borrowed for a vacation no longer      receives any benefit of the vacation after it is over but is now           obliged to pay the debt. For a variety of reasons, many detailed above, character, or willingness to repay is a significant consideration by lenders. (read more...)

For a leaseback transaction, in which the owner of equipment or real estate sells the asset for cash, then leases it back, does the business credit and personal credit matter? In such a transaction,  if the wholesale or liquidation value of the asset covers the balance of the leaseback, then does credit matter? In fact, credit does matter.    In the event of non-payment and default, the value of the asset, especially equipment, may depreciate faster than the balance of the debt. In such a case, if business and personal credit were not reviewed for the leaseback, the lender may find themselves upside down and facing as loss on the transaction in a default situation. Further, regardless if the value of the equipment or real estate asset, the lender's preference is almost always for the borrower in the leaseback to pay as agreed rather than default.    In a default involving equipment, the lender is typically forced to hire an outside vendor to repossess the equipment, transport to a venue to liquidate, and will often receive lower than the balance owed on the debt, resulting in a loss. Additionally, only a review of the business and personal credit can uncover judgement, collection, and tax issues that can jeopardize the lenders equity position in the transaction. For these reasons, the lender in a leaseback will always want to review the business and personal credit of the potential borrower. (read more...)

Often lost in the details of all the loan types, unsecured, secured, secured by real estate, secured by equipment, secured by the assets of a business, almost all lenders hope the borrower will repay via their capacity to repay, which means their cash flow. This matches one of the two fundamentals rules that traditional sources such as banks, have long looked at, capacity to repay, followed by willingness to repay. What is looked at in order to assess cash flow?   In most cases, financials, which means the last 2 years tax return, sometimes accompanied by an interim Profit and Loss statement and interim balance sheet.   However, the financials only give an accountant created, dated picture.    The most current business checking account statements should be included in the review. Keeping foremost in mind that cash flow will almost always be what allows repayment, business owners should review the most recent cash flow numbers before approaching a lender. If the numbers are not attractive, the potential applicant should re-consider waiting to apply until the numbers in their checking account go up, or until their accountant reviews their interim Profit and Loss statement for possible corrections, if that luxury is available. (read more...)

In a leaseback transaction, in which the owner of equipment or real estate sells the asset, receives cash and leases it back, how much does the lender recover in the case of a default? While this depends upon many factors, in terms of the value of the equipment itself,  some types of leaseback equipment are simply more valuable in the short term, and often hold their value better in the long term. An example of this is construction equipment such as skid steers, dozers, ditch witches, as well as tractors for long haul trucking.   Equipment which does not retain it's value well in a leaseback transaction is computer and electronic equipment, which obsoltes extremely quickly due to new technology and has a relatively low value in a short amount of time, often bringing  back as low as 10% to 30% of it's original value after only 1 or 2 years. Other types of equipment will lose their value more moderately, such as industrial equipment, restaurant equipment, medical equipment, and machinery. Regardless of the equipment types, equipment clearly will not hold it's value, while over time, real estate will, and is a stronger form of collateral, returning significantly more to the lender in the even of a default. (read more...)

In a leaseback transaction, in the event of a default by a customer, the degree of difficulty in re-marketing the equipment depends upon several factors. The secondary market of the leaseback is a factor.   As previously mentioned, construction equipment and vehicles, most specifically tractors, will often have amongst the largest secondary market. The wholesale value of the equipment.    Construction equipment and vehicles will as well have the highest wholesale value, or liquidation value of most types of equipment. The transportability of the equipment.    In this aspect,  heavier equipment, though often more valuable, will be much more costly to transport simply due to it's size and weight. The location of equipment is another factor.    The farther away, or more remote the equipment is to the wholesale venue, the more costly it will be to transport. Is the equipment affixed to the property?   The more affixed the equipment is to the property,  the less likely it will be picked up, transported, and liquidated.  In some cases, the lender will simply take a write off on the transaction as it will not be worth the effort and expense. The number of pieces of equipment.   If the collateral that comprises a leaseback is made up of 10 or 20 items, keeping track of, and the ensuing record keeping, such as Model #'s, Serial #'s, will be more labor and time intensive. Is the collateral in more than 1 location?    If the collateral in the leaseback is in more than 1 location,  or even several locations, this will create significantly higher expenses when the equipment is picked up. Is the collateral on another business's premises, & will it require a landlord waiver to remove it?   This can be major issue, especially in businesses such as vending.    In this example, if a large vending company has 100 vending machines located in the school cafeterias, bowling alleys, and libraries of a city of a large city, they cannot just go onto these premises and pick up the machines.   They will have to receive permission to do so by the landlord or administration.   This can be a very time consuming and bureaucratic process. (read more...)

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What equipment is best to use for a leaseback?    In a leaseback transaction, the equipment is sold.  The seller receives a windfall of cash, then immediately leases the equipment back to own without ever relinquishing the equipment.  Heavy equipment, such as construction equipment, also known as "Yellow Iron", is the best equipment to use.      Tractors used for 18 wheelers can also be very good collateral to use for such a transaction. Heavy equipment of this type holds it's value in a leaseback, and takes longer to become obsolete, in general,  more than other type of equipment such as computer equipment, medical equipment, landscaping equipment, even Restaurant equipment. Some types of heavy equipment, most especially construction equipment, may still be very useful and desirable, even when it is 15, 20 years old, assuming the condition is still good.    This is true especially for construction equipment. With the construction industry being in a major slump, both residential and commercial, this is a surprise.   However, construction equipment maintains it's value in a leaseback in large part because this equipment is so widely used and has a large secondary market, with many venues to buy, both retail and wholesale.  Tractors for the trucking industry will always be in demand for a good price, and there is a large secondary and wholesale venue for tractors. Due to  this, prices will be relatively stable for this type of equipment over time, and ultimately, lenders know approximately what minimum price they will receive if they hold this equipment as collateral, which is why they are considered desirable types of equipment in a leaseback transaction. (read more...)

CEO's of major corporations have recently expressed more optimism about the economy than one would expect, along with surprising information, possibly inside information regarding GE's customers. Ohio State University's Fisher's College of Business sponsored an event that included GE's CEO Jeff Immelt, and Fedex CEO' s Fred Smith,  along with approximately 600 other Executives. "There's still a lot of growth" said GE CEO Jeff Immelt, adding "It's a long, slow recovery, but it's getting better." FedEx CEO Fred Smith agreed, saying that shipments mirror a growing economy, adding "We don't see a contraction...just slow growth, steady as she goes." Possibly the most surprising comment was by Immelt, who said GE's customer's have "a lot of cash...and a fair amount of optimism." He added that growth is being restrained by concerns that the European Debt crisis could evolve into a global banking crisis, and that political paralysis will prevent Congress from taking actions to help businesses. Does this mean that the P.I.G.S, Portugal, Ireland, Greece, Spain, and now Italy are roadblocking a world recovery and possibly creating a new financial crisis?    If so, does Germany's decision to force their taxpayers to essentially bail out the P.I.G.S. + Italy, represent a safety net? We'll find out in the next few months. (read more...)

According to the October 7, 2011 report by the U.S. Bureau of Labor Statistics, Non-Farm payroll employment edged up by 103,000 in September, and the unemployment rate held steady at 9.1%.    However, 45,000 of those jobs reflected telecommunications workers that went on strike since August. Based on the return of the workers on strike, real job growth was actually 58,000, a relatively small figure given the size of the economy.  At this rate, it would take over 11 years to make up the approximately 8 Million jobs that were lost when the economy went into a virtual free fall in September of 2008. What are the bright spots, hiring wise in the economy?   Health care, which added 44,000 jobs.    A surprise could be considered an increase in construction employment, which added 26,000 jobs over the month,  due to increases in heavy and civil construction, as well as mining. The debate continues over what can accelerate the jobs picture in the United States, with the president's jobs bill being debated whether it will help create jobs or be an expensive, ineffective government stimulus. (read more...)

The new debt commission will be hot in the news again over the next few months beginning probably sometime in October.   Many politicians and observers have stated that the commission really needs to have recommendations in place by early November in order for Congress to debate and vote on their recommendations. The makeup of the commission is one half Republican and one half Democrat. Some of the Republican members have already upfront taken revenue increases, a euphemism for tax increases,  off the table.    Unless this is a negotiating position, highly doubtfull since these members know their marching orders from leadership, Democratic members will have to upfront concede arguably one of two solutions to the long term debt problem.   Democratic members were under renewed intense criticism in the aftermath of the debt ceiling fight by liberal groups for having offered so much in entitlement reform while getting back nothing in revenue increases. It is difficult to see how the commission is going to make recommendations on these issues,  since these are the same politicians.   While they will make themselves and Congress look foolish to the public if they don't make any recommendations, Congress could not agree on the debt ceiling when a partial Government shutdown was at hand, so how can it be expected these commission members, who were picked from Congress, will agree on a plan? Their only cover to propose an agreement with elements each side will despise, is to promote the fact that barbaric automatic cuts each side knows they will hate even more will happen, if they do not agree. The consequences of such cuts may do more damage to their political standing than if they came up with a plan.    Deep and real cuts to Medicare, Medicade & Social Security will make an enemy of many Seniors when they really hit. Will they have the courage to make proposals that will cause fury towards them among their base?   Not much was displayed during the debt ceiling debacle that provides any evidence they will do this. (read more...)

When lenders or any party requesting your Business bank statements reviews your last 3 - 6 months statements, the number of deposits per month, monthly loan or lease payments, and the itemized expenses should all be reviewed to most accurately assess where the company's real time cash flow is, and also how they handle their cash on hand. Number of Deposits per Month - In general, when a business has a larger number of deposits per month deposited to their account, the more likely they are to have more customers, which diversifies, and lowers risk.    If a company does have a larger number of customers, then the loss of any one customer may have less of an impact than for a business that has fewer customers. Also, more frequent deposits may allow a business to have a more flexible cash flow, as they will less often need to wait to pay various expenses. Monthly Loan or Lease Payments - Loans, lease or advance payments should be looked for in a business bank statement.   If a bank statement reflects numerous month ACH payments for loan and leases, their monthly debt obligations and debt to income ratio may be called into question and reviewed more closely. Itemized monthly expenses - Review the actual expenses that the company has.    Some expenses will clearly be necessary and business related, others maybe not be.     This review may shed light if the company is conservative with their funds or is too free spending.    Some common expenses to look for: - Frequent and / or expensive restaurant outings - Spa or Club treatments - Golf Outings - High end resort expenses Some of these expenses may be related to clients.   Look closely at several months expenses to determine if there is a pattern. Having tax returns and interim Profit & Loss Statements are critical, but they are a snapshot in time several months or years in the past. Business checking account statements will shed light on the company's cash flow at the present time, which may be the best barometer of their ability to service a new debt obligation. (read more...)

Some politicians have recently stated exactly or in effect, that Social Security is a Ponzi scheme.     Can Social Security legitimately be called a Ponzi scheme? Merrian-Webster defines a Ponzi scheme as "an investment swindle in which some early investors are paid off with money put up by later ones in order to encourage more and bigger risks" There often is a difference in any program that has been in place for a long time in what it was intended to be, how it it was set up, and how it is real time. There are several significant facts to demonstrate that Social Security cannot be called a Ponzi scheme, including: - A Ponzi scheme is a scheme, or scenario whose origins and                  intention was fraudulent from the beginning.     Social Security,        was never structured to be an intentional fraud.    The premise        was a sincere and honest effort to assist in the financial                      retirement of senior citizens. -  The intention, or sole intention of a Ponzi scheme, or and                   fraudulent scheme is to enrich either an individual, or a group         of individuals, or entity.  The purpose of Social Security was             never to make someone rich, and has to this day never had such a purpose. -    Those that call Social Security a Ponzi scheme and say it is               going bankrupt and in fanancial distress have an obligation to           point out that many past administratinos  have been taking            huge amounts of money that it says it "borrowed" from the              Social Security retirement fund, on many occasions.    There            have been little or no reports of occasions when these funds              have been paid back.    If small portions have been paid back,          the amounts that have been borrowed far exceed amounts that      have been paid  back.     If these amounts had not been taken          from the Social Security retirement fund, then the fund would        have significantly higher funds today.      The long term future        may still have been in doubt or not long term financially                    solvent, but for some of the financial problems, politicians                should take partial responsibility that the "Math does not work      anymore" -    "Encourage more and bigger risks" -   One of the goals of the            Ponzi scheme is to encourage more and bigger risks by future          investors,  that is,  each time, get the "next or later people" to          invest, or put in more money.     Other then for inflationary              reasons, in Social Security,  later investors are not putting in,          or being pressured and sold to put in more money or as much          money as they can. -     In a Ponzi scheme, future investors are told, sold and                        pressured to invest because it is sold and portrayed as an                outstanding, or can't miss investment.     Social Security was            not and is not characterized this way. In summery for the 6 reasons below, while Social Security does have significant financial issues and cannot long term be solvent in it's current state without significant structural changes, Social Security is not a Ponzi scheme. (read more...)

When lenders have requested financial statements as part of a small business loan review process, historically they have requested 1-3 years business and personal Tax Returns, and usually an interim Profit & Loss Statement and Balance Sheet.    They have in the past not (read more...)

As a small business owner,  you or your Accountant are completing your financial statements which includes your tax returns, make sure some basic high level numbers are in order to look attractive to potential lenders and investors. The 1st one is mostly not in your control, which is gross income, or gross receipts.     An increasing gross receipts figure is a major number lenders look at - Are sales increasing?    If sales are increasing, even if net income is down, that is extremely appealing to potential lenders and investors.     The business is heading in the right direction. Another high level figure is net income, or taxable income - is the business profitable?    If gross receipts are increasing but net income figures are down, the lender will look deeper, knowing that the expense figures may have been handled differently from one year to the next.    Sometimes amortization and depreciation are handled differently from one year to the next.    Officer salaries may have increased on the corporate return for accounting reasons which lowers the net income figure.    However, if expense figures are handled the same from one year to the next, the lender will expect net income figures to at least remain the same or increase. Other numbers are important, but if the request is under $100K,  especially if under $25K - $50K,  many lenders will not intensely scrutinize other figures, such as retained earnings, cash on hand, or request a personal financial statement to review listed stock, stated value of business, real estate holdings, and other assets, nor itemization of debt that appear on a personal financial statement. (read more...)

The vast majority of business owners want to show the lowest profit they can on their financial statements and tax returns in order to have the lowest tax liability possible. However, the primary reason they may in fact want to show a profit on their tax returns is if they see the need to secure financing 2 or 3 years in the future. Very few business owners consider this point and very few Accountants tell their customers to consider future financing requirements.  One of the main reasons few Accountants will discuss showing a profit on the tax returns with their customers, is because it is clearly a very unpopular subject, since the consequence is a higher tax liability.    Accountants feel if they suggest the benefits of reflecting a profit, which will mean paying higher taxes that year, their customer will look for another Accountant. But is not discussing this in the long term interest of the customer? There are several reasons not discussing this can significantly hurt the customer. If the customer decides to get a business loan or some other type of business financing, their financials will in many cases be requested, especially if the requested amount is higher, over $50K to $75K, though sometimes even as low as $20K or $25K.   Once the financials are requested, the chances of an approval after having submitted 2 Years Tax returns that show a low net income, or even a loss,  are very low.     The customer will very likely be declined for insufficient cash low, among other reasons. For a business that is finally in the position to expand, enter new markets, hire additional staff, increase their inventory or advertising, all of which is designed to bring in additional revenue, this can be devastating.    These are really the biggest long term goals of any business.   Since a very high percentage of businesses intentionally show a low net income or loss, these business owners will be taking by surprise down the road when their financials and tax returns are requested and they are declined for business financing due to insufficient business income and insufficient cash flow. As a result, business owners that know that working capital and financing will be critical in the next 2-3 years should report a healthy net income on their business returns. (read more...)

If an Accountant does their job for a business owner, should part of their job be to tell business owners the advantages of showing a profit on their financial statements? A rarely discussed fact between an Accountant and their customer is that, when an Accountant does their job,  they may cause expected hardships down the road for the business owner. Should an Accountant tell a business owner some of the longer term advantages of showing a profit?    As a licensed professional, they are obligated to give their customers the full picture related to the customer's financials. Some factors they should discuss with the customer is that by showing a profit rather than no profit, or even a loss, the customer will: - Appear to be in a better financial position to anyone reviewing            their financials. - If the customer decides to sell the business, part of the business,        or attracts an investor, their business will appear more attractive      to any potential buyer, thereby increasing the value of an offer to      buy their business. For these reasons, Accountants should make it a point to review not only the tax advantages of showing a low profit or loss, but also the advantages to the business of showing a profit.   (read more...)

Tight credit continues to hurt small businesses in many ways.   If a small business has gotten through a very difficult economic environment in the last 3 years to the point that they are comfortable acquiring debt for purposes such as expansion, new markets, adding equipment or advertising, the lack of financing significantly reduces their ability to do these things, and consequently greatly suppresses job growth and the economy. Facilities expansion, adding a presence in additional states, remodeling and upgrading facilities, and advertising all require capital.     When companies look to acquire equipment,  this is frequently a precursor to a job opening for person(s) required to run or use equipment. The lack of available credit to small businesses in the private sector is something government typically cannot influence much, regardless of whether it should or not. There are no easy solutions to this problem.   At this time, only an improving economy will loosen private credit markets. (read more...)

While industry predictions vary, the approximate average estimate of the time it will continue to take for foreclosure inventory levels to revert back to historical levels, and those homes taking on a new life as a residential home to a new owner or an investor is 40 months. This is not good news for an economy in a very slow-motion recovery mode.    Since housing has always had a significant influence on the economy, good and bad, one has a difficult time seeing anything near a boom in the near future in light of the housing sector and other current factors, such as the high unemployment rate,  tight business and personal credit programs, shaky financial markets, a very high annual national deficit, and a weak dollar. As a result, a robust real estate market for the majority of the country will remain on the shelf for at least the medium term (read more...)

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In previous economic cycles, one of the leading economic sectors that was both a leading economic indicator and stimulator of the economy and jobs has been the housing sector. "Housing Starts" was the keyword used as a leading economic indicator.   In most recoveries, housing was a big factor in the recovery, expansion and creation of job.   Not this time. During this recession and very tepid recovery, the housing sector has been not just neutral, but a drag on the economy.  Two of the major two components causing the housing sector to remain in hibernation, are the lack of availability of credit, and foreclosures, which have caused new housing stats to remain very low. In July of 2005, new housing starts were approximately 2 million in the one month,  and approximately 400,000 in July of 2011.     Private institutions remain restrictive in their real estate lending practices, requiring a high credit score, often 725 - 750 or higher, verified income and substantial down payments.     If the applicant is self-employed and taking significant write-offs off the top of their gross receipts,  their prospects are very dim, at best. The other significant obstacle that does not appear will go away anytime soon, is foreclosures.   The most recent statistics have foreclosure inventory levels at between 3-6 years as the amount of time it will take to go through and delete the foreclosure homes before the levels are back to historic averages. The presence of these inventories plays like a domino effect.    Many prospective buyers will seriously consider actively looking at, and buying a foreclosed property, as they can buy it for considerably below the regular cost of the home.   When the inventory of foreclosed homes is very high, and  homeowners who are not in foreclosure need to sell, regular sellers have to price low to compete for buyers who will have lower priced foreclosure homes to choose from. This keeps the prices of newer homes low,  and considerably softens the new housing market.   New home developers know they are up against both lower foreclosure and used home prices, as well as tougher lending restrictions, making it harder for the buyer to obtain financing, causing new home starts to be almost completely stalled in many areas of the country. Many buyers simply cannot resist the presence of extremely low priced homes in foreclosure and very competitively priced used homes, and will forego paying for a new home. It will take time for the foreclosures to be sold and numbers to go down.     In the meantime,  for these reasons, this sector is not expected to be a significant creator of jobs. (read more...)

According to the August 2, 2011 report by the U.S. bureau of labor statistics,  non farm payroll employment was unchanged in August, and the unemployment rate remained at 9.1%. The number of unemployed persons remained relatively unchanged at approximately 14 Million and the unemployment rate remained at 9.1 %.    Healthcare employment rose by 30,000 in August, while manufacturing, professional and business services, computer systems design, and government employment did not rise. The big question which many politicians, industry leaders and the Federal Reserve have been chiming in on is,  what now for jobs?   The bush era tax cuts have been extended, the federal reserve has lowered interest rates via the federal funds rate as low as they can go, & the government stimulus is over, what to do now? The president had called for an additional stimulus, though this has become politically untenable.    Republicans continue to call for tax cuts ongoing, however the deficit makes reduced government revenues at this time also unsustainable. The housing market remains in the doldrums and it will take several more years to clear out the high numbers of foreclosures still in the pipeline.   As long as there remain a high number of foreclosures, the foreclosure properties will continue to suppress home prices as they will compete against homes for sale that are not in foreclosure, whose prices will be higher.    This will cause final sale prices to stay flat or decline.   Even worse, this will continue to have a chilling effect on new home construction. Private mortgage lending is still occurring at a very low percentage compared to government backed FHA housing loans.    Therefore, the housing sector will not be helping create jobs anytime soon. At this time, longer term education, workers retraining and upgrading of skills, and innovation will have to be a focus in the years to come.   (read more...)

Is a balanced budget amendment the only ultimate solution to the nation's long term fiscal problems? Many have recently come out in favor of, and against a balanced budget amendment.    One of the major goals of the Tea party and it's sympathisers, has been a balanced budget amendment.   During the recent debt ceiling debacle,  opponents of the Tea Party used the impasse to paint advocates of fiscal responsibility as inflexible extremists who offer no more than do-nothing gridlock. History has already, and will continue to prove, that a balanced budget amendment will be the only way to solve the problem, as politicians absolutely cannot restrain themselves from overspending and borrowing. The countries massive deficits really took off in the 1980's.   In the past 30 years, the country has had a surplus for three years in the late 1990's and 2000.      Recently,  some politicians have said that a balanced budget amendment is not needed, stating, to the effect, that they don't need an amendment to do their jobs. However, in almost the entire last 30 years, the politicians have not done their jobs balancing the budget.    They have talked fiscal responsibility, about balancing the budget, but just don't accomplish it. As a result, they must be forced to do so.   The national debt has gone from approximately $9 Trillion to over $14 Trillion in just the last 3 years.    Even if the new debt commission agrees to an extra $3 Trillion in spending cuts over the next 10 years,  for a total of approximately $4 Trillion in cuts, that won't come close enough to balancing the budget. If the annual deficit, currently approximately $1.4 Trillion dollars, or an astounding 40% of the budget, goes down significantly, to an average of $750 Billion per year, over the next 10 years, that would still be an increase in the national debt of approximately $3.5 Trillion.     If the deficit averaged $1 Trillion during that same period, the increase in the national debt would be approximately $6 Trillion dollars, for a balance of approximately $20 Trillion at the end of the term,  even if the debt commission is successful. It is clear that a balanced budget amendment is the only solution to the nation's long term fiscal problems.   (read more...)

The leaseback form of funding is an option for companies due to one simple fact:  more companies have equipment as an asset than any other asset.    As a result, they can leaseback the equipment and obtain funding. When one considers what assets, other than human assets, the highest percentage of companies have, equipment comes out on top.    Not a significant number of companies have commercial real estate with a high percentage of equity in it, nor do the highest percentage of companies have receivables they can factor, or accept credit cards with a volume against which they can obtain a significant amount of funding. However, more companies have equipment as an asset than any other asset.   As a result, companies are able to leverage this asset of equipment most readily, and a very high percentage of companies do not realize they can do this in order to obtain funding. In addition, companies may obtain the most significant tax advantages by being able to write off the entire monthly payment, rather than just the monthly payment. Types of equipment include industrial equipment, machinery, medical equipment and even computer equipment. Since cash flow is in very short supply with most companies, why pay cash for equipment when it can be leased? This capital can be instead used for more important company needs, such as inventory, employees, expansion, new markets, research and development of new products.   (read more...)

The new debt commission, chartered by Congress, and required to come up with at least $2 trillion dollars in spending cuts in the next 10 years, may long term, in the forced absence of revenue increases,  be an important positive result of the debt ceiling debacle in July and August of 2011. Some revenue increases as part of the solution, which can be a combination of the closing of corporate tax loopholes and a general, even minor increase in tax rates, would have really significantly improved the country's long term deficit problem, which would have provided long term fiscal stability, even in the face of a minor slowdown. While increases on the revenue side may have contributed to a minor slowdown in commerce, or total GDP in the short term, such a cost, as payment for a major, and real reduction in the nation's deficit problem, probably would have been worth the price of halting continued deficits and increasing the national debt. International investors and trading partners would have felt that the U.S. is getting it's fiscal act together in a serious way.   This can also still be accomplished with a balanced budget amendment, though this would be very difficult to accomplish in the current political environment. In the absence of a probable "full solution",  the creation of a debt commission, which must come up with recommendations that meet the target cuts, otherwise face across the board cuts of equivalent amounts,  will definitely help the country's current fiscal problems. Nevertheless, the current cuts, although helpful, will not be enough to solve the deficit and debt problem.   Further significant action will be required. (read more...)

Gold prices hit a record high on Friday August 19th, at $1,877 per ounce.  It would seem Gold is a good investment, but is now a good time to buy? It was not that long ago that gold was trading between $750 to $1,000 per ounce.     The weak U.S. Economic outlook is making investors nervous, and many have been flocking to Gold for the last 3 years.   Chuck Jeannes, CEO of G.TO, one of Canada's largest Gold Miners,  believes prices will pull back within the end of the year, though still increase overall in the next two years. At some point,  investors,  if still despondent over the weak U.S. Economic outlook and the European debt crisis,  continue to look for investments, they likely will not steer clear of all world markets in the medium and long term.     Whether they invest more heavily in Asian markets, or go back strongly to U.S. and European markets, the price of Gold should, over the next 2 years, have slower growth and some corrections along the way.    Additionally, the sheer high price will rattle investors seeking a strong return, who will be wary if the price has reached a peak. (read more...)

Markets went down sharply today amid fresh worries about a global economic downturn along with a continued lack of safe havens. In recent weeks, markets began getting worried when the Federal Reserve basically said they've done all they can do and don't have any more tools at their disposal to stimulate the economy. Nervous markets reacted negatively when it sunk in that the Federal Reserve really did not have any more tricks up their sleeve to stimulate and calm fears.    Previously, Wall Street assumed, or remained hopeful the Fed could take additional measures to stimulate markets. Now with the European debt crisis seeming to have a new story every week or two, markets seem resigned to a reality of global slowdown and no good economic news anywhere at anytime.  If they can't look to the United States or the European Union for economic stability, where will investors go?     The question remains unanswered.   (read more...)

A lot has changed in the world of credit inquiries in the last 25 years, at least in terms of people's perception. Going back two decades, many people did not know what credit inquires were, and would have shrugged their shoulders to represent both their knowledge, and concern for, the subject. Fast forward to 2011 and a significant percentage of the population not only knows about credit inquiries, but believes that even one or two extra inquiries is almost akin to ruined credit.    Are credit inquiries though, really THAT bad? In terms of credit issues that may be considered "bad", credit inquiries are probably the least worst offenders.  One thing that many people don't realize is that credit scores recover from credit inquiries faster than just about any other negative strike against their credit. Inquiries really will not hurt a file virtually at all if the number of inquires is small, even in the span of a few days.    Where inquiries begin to hurt, is when there are more than 3-5 in a week or two. However, even if an individual does acquire 10-15 inquiries within a month, as long as they go a few months without almost any inquiries, their score will recover quickly, probably back to, or very close back to what the score was before. Armed with this knowledge, to the question, are credit inquiries really that bad?   No they are not. (read more...)

The stock market has been on an erratic ride all week since the S & P downgrade.   It appears that the market is very undecided about what is going to happen,  reacting in an amplified manner to any good or bad news this week.    The indexes are using both bad and good news to piggyback on the S & P news to justify it's fears and concurrently it's hopes, not having anything solid to base a steady upward or downward slide. It will take one or two more weeks for it to chart it's short and medium term course.    Stay tuned while the wild ride continues. (read more...)

Standard & Poor's historic credit rating downgrade Friday, taking down the U.S. bond rating from AAA+ to AA+ has competitors to the dollar as the world's reserve currency shouting for a replacement to the dollar, but will it only be shouting? For the short term,  calls for replacement of the dollar as the reserve currency will remain just that, calls.   Are investors ready to invest trillions today in the Chinese Yuan?    Not likely for several reasons, beginning that just being king of the hill is a major advantage. Then where does one go, to the Euro and the Eurozone, that is looking more undesirable every month due to the debt crisis of the P.I.G.S.  (Portugal, Ireland, Greece, Spain), and now Italy?   Not likely for now. India is riddled with corruption, Brazil is emerging,  Switzerland by itself is probably too small.   Britain has it's own austerity measures in the works.  Canada?  No, it isn't likely to happen soon.   The dollar is the O.P.E.C. currency as well.    What about China? One major reason investors may be concerned about China is that China may be in store for a real estate bubble.   To the Chinese, more so young Chinese today,  the possibility of Real Estate values going down, or a bubble, is absurd.  Many Americans believed the same think only 5 years ago.    The Japanese didn't believe it in the 80's. Further credit downgrades, and lack of more progress on getting the overall debt and fiscal house of the U.S. could change this picture.  It will not be fast or easy to change the dollar as the reserve currency for the short term.   (read more...)

Will cash flow loans and their portfolios become as significant and large as traditional loans, including collateral based loans in the future? It seems so.  Since the recession of three years ago, many business's credit and the personal credit of the owners was hurt.   Businesses needed working capital but banks were, and are still, balking at making loans to all but the most top shelf companies. Loans based on the company''s cash flow, as proven by their bank statements and tax returns will become increasingly prominent in the industry.    Companies which offer such loans will also come into existence in greater numbers and offer more diverse products to satisfy the increasing demand of these loans. After all, many business owners wonder, if my credit has been hurt in the recent past, but my company's cash flow is now excellent even if my credit has not caught up, why don't you do a loan based on my proven cash flow?     The answer, more and more, will be - Yes, we will (read more...)

With the great uncertainty and consequences surrounding the debt ceiling debate, have companies already suspended or stopped the hiring process? Company heads nationwide are already speaking out that the uncertainty has already had a negative impact on their business.  Uncertainty is the enemy of investment.   If there is uncertainty, investors will hold off investments, in the market, in hiring, in equipment, in expansion, etc. and wait until there is more certainty and stability. It is the certainty that allows them to make decisions based on market conditions.    If the market conditions are dynamic the chances that the decisions made will be ideal or poor go up significantly.    If markets or the direction of markets and the economy are clear, regardless of performance, companies can plan accordingly. It appears at this time that company heads will sit this debate out on the sidelines until there is much greater clarity. (read more...)

With both houses of Congress rejecting the other chambers debt ceiling bills, and harsh public rhetoric accompanying the rejected bills, actual progress and results seem out of reach at the moment.    What's next? Whether both houses of congress realize it or not yet, they will have no choice but to raise the debt ceiling, whether it is in the next couple of days or weeks. Since some body, organization, or entity is now receiving the approximately $100 billion per month that the government now overspends, it would probably be the surest bet in Vegas that once that money stops, the politicians will suddenly be under immense pressure to put the funding back in place, even by many who previously had been in favor of cutting spending - they just didn't realize it would be spending they receive. The other option is that the Senate and Congressional leaders put a bipartisan bill through that passes both the house and senate and the president signs.  This may still happen, even with the loudest of objections at the moment. (read more...)

Many economists have predicted that interest rates will rise.    If the government does not meet the August 2nd deadline and raises the debt ceiling, the vast majority of serious economists predict that interest rates will certainly rise, almost immediately, a significant amount, with further increases as the weeks and months go by. A default, even a technical one for a few days are assured to rattle markets, causing indexes to go down.     Nervous businesses will certainly delay a majority of hiring due to economic uncertainty which will trigger economic slowdown. Standard and Poors, S & P, has just announced that if the government does not come up with a deal, they will downgrade the U.S. AAA bond rating.    This will certainly trigger a rise in rates.   Treasury will be forced to raise rates to attract the same level of foreign investment, now offering a less credit worthy investment.   (read more...)

While many forecasters are answering yes to the question of "Will interest rates rise?",  those forecasts do not factor into account a failure of the government to raise the debt ceiling by August 2nd. If the debt ceiling is not raised, the prospects of interest rates rising will increase substantially, most notably if a deal to raise the debt ceiling is not reached in the immediate aftermath of the August 2nd deadline. The government will have to choose who will not get paid.   If U.S. treasury bond holders do not receive their interest payments on the due date, as promised, the fallout will be immense.    The triple  AAA Treasury rating may be reviewed and downgraded by Standard and Poors and Moody's.    If this occurs, and even if it does not occur, current purchasers of treasuries may not purchase treasuries, or reduce their volume of purchase, due to the fact that the issuer, the U.S. government is unwilling, or unable to pay. Those that are wish to continue purchasing U.S. treasuries may begin to want, ask for, or demand a higher interest rate payout.   Simply a drop in demand for treasuries may force a rate increase in order to increase demand for treasuries. Politicians should be acutely aware that creditors lose interest dramatically in purchasing bonds for which interest payments are not assured. A default or delay in interest payments by the treasury will dramatically increase the necessity of an interest rate increase on treasuries, which will force an increase in the prime lending rate, which will then force an general increase in loan rates across the board. Note to politicians, understand and be be carefull what you wish for. (read more...)

With the August 2nd debt ceiling date approaching and no agreement in sight, is now an excellent time to sell stocks and bonds and head for precious metals? One thing the U.S. stock market constantly tells us is that it does not like uncertainty.   And with both political parties not near a deal to raise the debt ceiling, wall street understands much better than many politicians if there is no agreement, the government will have to start choosing who the winners and losers are as it's dispensing cash. Will the government default to bondholders,  or to social security recipients, medicare recipients, or military personnel?   Any of those actions will result in major negative consequences.    Look for not just U.S., but world markets to definately drop, possibly very significantly if the debt ceiling is not raised, or a deal is not reached within a few days of the deadline at the absolute latest. Jittery markets will be paying very close attention in the next two weeks, with those jittery markets heading for the exits if they don't like what they see, that being no agreement. (read more...)

Moody's, the legendary bond rating agency, has stated that if the government does not raise the debt ceiling, they may review the AAA+ U.S. Treasury bond rating, held for decades by the U.S.. As Moodys and Standard & Poors may be the trigger for a domino like series of negative events, it is critical that the significant budget challenges the government does have, are solved by upcoming budget sacrifices and compromises, rather than by not raising the debt ceiling. U.S. Debt increased from approximately $9 Trillion in 2008 to $14 Trillion in 2011.  Even if Moody's and S & P refrain  at the end of any given review to lower the bond rating,  if the debt does not decrease, or does not slow down dramatically, future downgrades seem virtually assured. (read more...)

If the debt ceiling is not raised,  positions, not scare tactics,  have already been staked out by some very influential companies.   This, combined with history and common knowledge of how stock, bond and currency markets typically react to uncertainty and instability,  is enough to game out very realistic scenarios of how failure to raise the debt ceiling may play out. Facts, rather than those " scare tactics", as some politicians have accused proponents of raising the debt ceiling, include positions staked out by Moody's and S & P, Standard and Poors. The bond rating agency Moodys, has,  several weeks ago, already publicly stated that if the Unites States does not raise the debt ceiling, there is a serious possibility it will formally review the decades long AAA+ top bond rating U.S. Treasuries now enjoy with the prospect of a downgrade in the rating.   The consequences of a downgrade will be huge, financially and stature wise, for the U.S. government, and will affect many sectors of the financial markets, many of which may be irreversible. If U.S. Treasury bills, also known as "T-Bills"'s ratings are downgraded,  this will cost the U.S. Treasury many billions of dollars, continuously and indefinitely into the future, as opposed to holding on to the current highest bond rating.  If the U.S. Government misses the true deadline date, even the discussion of looming failure to pay debt obligations, Social Security or medicare payments,  and much more so, actually not paying them,  will surely cause the stock market to spiral down significantly in the short term. A significant dive in the stock market would reverse one the few relatively bright spots in the fragile recovery of the last year.    The effect of the government being forced to pay higher rates of interest on Treasuries will further dampen the market, along with the knowledge that the credit rating and standing of the United States is declining.   An increase in Government treasury bills may well force an increase in the Prime lending rate. This will arguably force an increase in bank lending rates, credit card rates, automobile loan rates, as well as personal and business loan rates.    Expect the stock market to continue a downward trend. At this point, the dollar will surely have to suffer in world market currency trading.   Prior to the dollar dropping, currency traders will likely sell off dollar holdings in anticipation of the decline. If it appears the debt ceiling issue will not be resolved in time, look for foreign countries that hold large dollar currency reserves, such as China, Japan,  and the European union, who are surely watching closely right now, to think hard about hard about dumping a significant portion of their dollar reserves and converting to other currencies is a good idea. Some of the same countries, envious of the dollar's position as the worlds reserve currency will use this event as an opportunity to call for the replacement of the dollar as the reserve currency with their own.   There will be calls for O.P.E.C. to review trading in the dollar, which the U.S. will furiously resist.    Chances are, if the debt ceiling issue is resolved in a short term fashion, the dollar losing it's place as the reserve currency will not come to pass.    However, if the issue is not resolved in the short term, the possibility of this happening increases. If payments such as military salaries, social security check, medicare and medicaid are cut, for U.S. citizens, also known to the politicians as voters,  the real meaning and consequences to them of the commonly used term politicians term "spending cuts" will forever sink in.    Voters like the term spending cuts, as long it any spending cut does not affect them.    Once it does, expect immediate and loud public howls and protests.    One need look only at large public sector spending cuts by government in most any country in the last few decades and the ensuing public reaction to determine the very likely reaction. Politicians will at some point, shortly after failure to raise the debt ceiling, feel immense pressure from many directions and will take steps to raise the debt ceiling.     However, at that point, some of the damage will not likely to ever be unwound. Even if this momentary man made crisis is solved in time,  these same issues will arise in the near and medium term,  just at a much slower, less painful fashion. The inescapable pain and pay me now, or pay me later, will have to be dealt with. Debt Ceiling Failure - Fallout Scenarios Resources: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Debt Ceiling Failures - Fallout Scenarios resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank You for visiting our Debt Ceiling Failure - Fallout Scenarios page!   (read more...)

According to the ISM, Institute for Supply Management Report for July 1, 2011, the U.S. Manufacturing sector expanded in June for the 23rd consecutive month and the overall economy grew for the 25th consecutive month. New orders and production were both up modestly from the previous month, and of the 18 manufacturing industries, 12 reported growth in June.     Commodities such as copper, copper based products, nickel and stainless steel were down in price, while commodities such as aluminum, natural gas and plastics went up in price. The data is compiled from supply and purchasing executives nationwide.     As of the date of the article it was expected that the Manufacturing sector would expand in the 3rd and 4th Quarter.. (read more...)

Will the failure to agree to raise the debt ceiling shatter the stock and bond markets? Opinions among bond experts, rating agencies, and international creditors is that while the U.S.'s budget deficit must be addressed much sooner rather than later,  not raising the debt ceiling is considered the most damaging way to address the deficit problem. Opinions are split among domestic U.S. politicians in the government.   The degree of difference ranges from markets being disappointed to economic catastrophe. Small business loans depot's opines that what will occur in the event the debt ceiling is not raised is that it will be significantly closer to the dire economic assessment, certainly in the short term, certainly if the issue is not resolved within a day or two of the deadline set by the treasury. Severe economic hardship over time will likely occur for a variety of reasons. - Creditors, including China, Japan, Arab countries, the European Union to a significant degree are not interested in the internal squabbles as to why the United States might be delinquent on some of it's obligations, their outstanding debt being one of those debts.   They certainly will have little sympathy or interest to the fight between specific political parties.   Creditors, upon the beginnings of a default will see this as a watershed moment for the United States in more than one manner. First, the willingness of the country to pay it's obligations.    Even if interest on bonds continue to be paid,   other obligations would have to go unpaid.    This could be infrastructure, military redyness, domestic transit, and payment on social programs such as Social Security, Midicare, Medicade.     Some politicians have stated that not raising the debt ceiling is not a problem because the country could continue paying interest to it's creditors.    While that statement certainly is true,  saying or suggesting it would  not have much of an affect on overall is far beyond the pale. At the first moment that soldiers do not receive a paycheck or Social Security, Medical, Medicade recipients do not receive their monthly payment, you can bet the screams will be so loud, the politicians will race to make good on this and all the previous statements about how we need to cut spending will be forgotten.   Certainly those not receiving their regular government checks suddenly will care far less about calls to reign in spending. This scenario will take center stage on an hourly basis in the media.  The stock market will go down signficantly and quickly due to the uncertainty.   Media outlets reporting live stories with the lead "Is this the beginning of U.S. default?" will spook financial markets greatly. This could lead to the some of the biggest fears being realized.    Moody's and other bond rating agencies will lower the triple AAA bond rating of U.S.    If this were to occur, and even prior to it occuring, creditors, who now give the U.S. government between .30 and .35 cents out of every dollar it spends,  will not buy U.S. Treasury bonds paying the same interest rates treasuries pay today.    They will demand a higher rate of interest.   Possibly not just a slightly higher rate, but a significantly higher rate of interest, from now on as the bond ratings have dropped. This would immediately require the U.S. government to use more of revenues it receives to pay out more dollars on interest on money it borrows.    This will significantly offset savings the government realizes on any cuts in domestic spending programs. Foreign governments around the world will more agressively and confidently question the dollar as the reserve currency.    Why should, at that point, the world's reserve currency continue to be from a country that is either unable or unwilling to meet it's financial obligations?, will  be the question. Not meeting an increase in the debt ceiling may be the excuse those that have an interest in changing from the dollar as the reserve currency will use to promote calls to move away from the dollar.     O.P.E.C. taking another look at the dollar being the currency it transacts in could lower the dollar's value worldwide. If the dollar's value falls significantly, those holding large dollar reserves such as China and Japan may quickly lose tremendous value in their currency assets, not only upsetting these countries but also motivating them to begin long term selling off the dollar, further devaluing the dollar.    The U.S. stock market could suffer tremendously in this quite realistic and previously discussed scenario. The U. S. economies modest gains would not only most certainly be lost, but the economy could easily slide into a significant recession with unemployment still in the 9% range currently.   (read more...)

Small business loans depot is offering broker relationships as a broker funding source for it's leaseback program. With equipment assets being the most common collateral business have, more businesses will pre-qualify for this product than any other funding product - and it now offers financing in under computer, industrial and medical. Contact us at Toll Free: 855-787-1113 or  Tel: 919-771-4188 or click our link above and speak with us today to get started with this new broker funding source program. (read more...)

The National Association of Realtors reported today that sales of existing homes dropped 3.8% from a year ago in May.    This drop may well cause some prospective home purchasers to consider the use of a broker's expertise.    The broker will in turn consider direct as well as broker funding sources. Many skilled brokers have the knowledge of which sources have the programs to underwrite the borrower.    Consumers are rate and terms driven and have little, if any understanding or thought to the fact that underwriting criteria will vary somewhat from institution to institution. As a result, consumers should consider a skilled broker that will employ both direct funding sources and broker funding sources in their quest to successfully underwrite the borrower. Complete the "Contact us" form in the menu bar above to establish a broker relationship with us, or Call us at Toll Free: 855-787-1113 or Tel: 919-771-4177. We provide asset based funding for businesses, from equipment leasebacks to bank statement financing, Small Business Loans Depot offers niche and unique funding programs for referral brokers. (read more...)

According to the Department of Labor,  for the week ending 11th of June,  ..."the advance figure for seasonally adjusted insurance claims was 414,000, a decrease of 16,000 from the previous weeks revised figure of 430,000." State supplied comments included New York, which indicated fewer layoffs in the construction, manufacturing and retail industries. Massachusetts reported fewer layoffs in the construction and service industries, and Florida reporting fewer layoffs in the agriculture, construction, manufacturing, retail, and service industries. (read more...)

Is Asset based lending being affected by the current mortgage market?    With regard to LTV ratios, Loan to Value ratios, the industry is being affected.     Currently, on any Real Estate financing, most especially refinances, but also on a leaseback and on purchases, many lenders are nervous about offering too high of a LTV due to declining values, which are still on the decline as of today.    (read more...)

When a banker is asked if they do a certain type of loan, such as "will you do a leaseback"  the banks will almost always say yes.   The prospective customer will believe both that the bank actively does leasebacks and that they are quite likely to get one, and get approved. When any bankers says the bank will do a loan, what they precisely mean, is only that the bank has the capacity of doing such a specific type of loan and will consider doing this specific type of loan. However, the chances of the bank doing so may be very low.   The bank's turn down rate may be very high and additionally, the bank may have a preference for other loans.    Cumulatively, the likelihood of actually obtaining such a loan at a traditional bank is very low. (read more...)

Will recent increases in U.S. production result in leaseback increases with production increases? Small business loan depot's questions and reviews whether there will be leaseback increases with production increases via  the details of the Federal Reserve's reporting that U.S. manufacturing production fell .4% in April following 9 straight monthly increases. Indications are that increases in assets available to corporations may expand U.S. businesses ability to offer collateral for a leaseback and to persue leaseback financing. When production in automotive manufacturing is eliminated from the statistics, factory production rose .2% in April.   It will be too premature to determine if this level of production increases, specifically in one sector will result in leaseback increases with production increases. (read more...)

Financials are not always required on a leaseback.    However, a good rule of thumb to go by for any loan request, whether for a leaseback or any other type of financing, is that while financials and bank statements are not required, if a company's financial statements and bank statements are strong, then the company should want to provide the information. Whether a company's bank statements and financials are strong for a leaseback request is somewhat subjective and depends somewhat upon the size of the company, in general, 5 figure and higher balances, beginning, ending and average, are the starting point to be considered strong for bank statements.   The higher the better. Another unusually roadblock that may occur is if the loan officer or credit officer indicates that bank statements and financial statements are not required for a leaseback or other types of financing.    If this happens and you know your financials and bank statements are strong, tell them that you want to provided them, even if they are not required, because they are strong and may well help the request.     Sometimes some less experienced loan officers may still indicate that the are not required.   If this happens, persist and insist on submitting them. (read more...)

Why do an Equipment leaseback instead of a real estate leaseback?  Unless your goal is to get a higher amount of funding, approximately $100,000 or higher, an equipment leaseback has several advantages over a real estate leaseback. An equipment leaseback can often times be completed with just a one page application.    An equipment leaseback does not often require a formal asset appraisal by an independent company.  The transaction is faster, typically only requiring 1 or 2 weeks completion time.   Closing is easier and less documentation is required. (read more...)

Typically, the maximum term for leaseback transactions involving equipment is 60 months.    In some cases, the term may be longer, though this is not common.    The clear rational for the shorter term on leasebacks is that the equipment's value will deteriorate too much and the equipment itself will obsolete prior to the completion of the lease, both closely related reasons.  (read more...)

Is credit important on a leaseback?   Yes,  credit is important for a leaseback.    The vast majority of funding programs are concerned with the ability and the willingness of the borrow to repay. Many times, potential borrowers ask, there's enough collateral there, why do you need to look at my credit?     On a leaseback, the collateral may even be Real Estate, or valuable Industrial or construction equipment.    If the borrower defaults, what does it matter.   (read more...)

According to the Small business Loans Depot's review of the Bureau of Labor statistics May 2011 May jobs report Affect on business, which reported today that Nonfarm payroll employment increased by only 54,000 jobs in May, and the unemployment rate remained flat at approximately 9.1%, the economy, more than 2 years after the near economic free fall of October 2008 is not expanding nearly enough, nor consistently enough to recover jobs back to the 5% - 6% unemployment rate prior to the recession.     (read more...)

Can a business get a Commercial Real Estate Leaseback in this market with current real estate values?   Yes, Commercial Real Estate Leasebacks are happening.    Full appraisals,  additional scrutiny of cash flows through the review of 2 to 3 years of tax returns, bank statements, rent rolls if not owner occupied, and lower LTV's, and more may well be required in the current environment. (read more...)

Current funding options with traditional funding sources for a traditional 10% to 30% LTV leaseback remain limited real time.    If a traditional funding institution currently is still considering a traditional 10% to 30% leaseback on equipment and it is approved, be prepared to only receive the standard maximum 30% of the current value of the equipment. Only hard assets, such high value manufacturing equipment is typically accepted.   In some cases high value construction equipment is accepted as well and will fall in line with the traditional 10% to 30% LTV leaseback. However, SmallBusinessLoansDepot.com has a unique program will will pay up to 60% to 70% of the current value on industrial and other types of equipment.    This is far greater than the traditional 10% to 30% LTV leaseback.    The transaction is fast and simple, only a one page application. Simply click one the "Contact Us" and complete the mini-app, or contact us at Toll Free: 855-787-1113 today to begin the process and get an industrial leaseback against your industrial equipment today! Traditional 10% to 30% LTV leaseback resources:  SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More traditional 10% to 30% leaseback resources: Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs – Online articles and much more for CEO’s Public Radio Planet Money – All issues money related to the public. Thank you for visiting our traditional 10% to 30% LTV leaseback page.   (read more...)

Computer leasebacks, which is using computers as security is not as common due to the fact that computer equipment is more quickly obsoletes than other types of equipment.  As a result, they lose their value more quickly.    However, programs are available in the marketplace and small business loans depot’s programs in this area are expanding. Small business loans depot offers computer leasebacks.    Simply provide a list of your company's computer electronic equipment, including all Servers, Desktops, laptops and any company software.   In most cases all computer equipment can be used in this computer leaseback if the items are less than 3 years old. Complete the 1 page application, equipment list.  Your business will receive a response with in 2 business days.   The entire process takes about 5-10 business days.    Most computer leasebacks are done in the $10,000 to $50,000 range. Computer Leasebacks Resources, including Blogs and Forums: SBA Community Blog and Forum -  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided. U.S. Department of Commerce - Helps american businesses become more innovative at home and competitive abroad. U.S. Bureau of Economic Analysis - Provides statistics on consumer spending, corporate profits, travel and tourism and much more. Entrepreneurworld - Resource for Entrepreneurs, including starting your own business, growing your business. Bureau of Labor Statistics - Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies. International Trade Administration - Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries. More Computer Leasebacks resources: Department of Labor - Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health U.S. Patent and Trademark Office - U.S. office to file patents to protect a companies new or existing proprietary products. U.S. Trade and Development Agency - Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries. CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary. E-Network for CEOs - Online articles and much more for CEO's Public Radio Planet Money - All issues money related to the public. Thank you for visiting our Computer Leasebacks resource page!   (read more...)

Companies considering industrial leasebacks based on their industrial equipment are in a strong position to obtain funding.    Often, industrial equipment has significant value and does not lose it's value as quickly as many other types of equipment.

Equipment often used in industrial leasebacks include CNC Milling Machines, manufacturing equipment, conveyor systems, interior cranes, automotive manufacturing equipment, steel manufacturing and producing equipment and molding equipment.

Industrial leaseback are not as dependent on business credit and personal credit as many other forms of financing, as long as the value is there.

Industrial leasebacks Resources: 
SBA Community Blog and Forum –  Blog and Forums by the SBA, Small business administration.   Questions can be asked and answers provided.

U.S. Department of Commerce – Helps american businesses become more innovative at home and competitive abroad.

U.S. Bureau of Economic Analysis – Provides statistics on consumer spending, corporate profits, travel and tourism and much more.

Entrepreneurworld – Resource for Entrepreneurs, including starting your own business, growing your business.

Bureau of Labor Statistics – Provides companies with up to date information on employment, demand, hiring, productivity and other information that may be useful to companies.

International Trade Administration – Creates jobs and economic growth by promoting U.S. companies abroad to governments in other countries.

More industrial leasebacks resources:

Department of Labor – Provides information on many labor issues that can be useful to companies, such as insurance, regulation, wages, wage hours, compensation, safety and health

U.S. Patent and Trademark Office – U.S. office to file patents to protect a companies new or existing proprietary products.

U.S. Trade and Development Agency – Promotes U.S. Exports to Foreign Countries, please review if your company is interested in exporting goods to foreign countries.

CEO Refresher - A monthly newsletter on creative leadership ideas. Short articles, brief book reviews, models, management tools, quotations and commentary.

E-Network for CEOs – Online articles and much more for CEO’s

Public Radio Planet Money – All issues money related to the public.

Thank you for visiting our industrial leasebacks resource page!

(read more...)

According to Small Business Loans Depot's review of the Thursday, May 26th, 2011 report of Labor Productivity and Costs by industry as reported by the bureau of labor statistics,the fact that service providing and mining industries labor productivity, defined as output per hour, labor productivity was up 44% for the most recent reporting period, (read more...)

According to Small Business Loans depot's April 10th's updated review of the the Bureau of Economic Analysis, leaseback opportunities are on the increase.     (read more...)

According to a March 18th report by the Bureau of Labor Statistics, unemployment rates were lower in January than a year earlier in 282 of 372 metropolitan areas.   Employment rates were lower in 73 areas, and unchanged in 17 areas.    The national unemployment rate in January was 9.8%, down from 10.6% a year earlier. (read more...)

According to small business loans depot's review of the April 25th 2011 report of the Bureau of Economic Analysis on GDP, Gross Domestic Product, real gross domestic product, which represents the total output of all goods and services produced by labor and property in the U.S.,  increased at an annual rate of 3.1% in the 4th quarter of 2010.    (read more...)

According to a March 17th report by the bureau of labor statistics,  over the last 12 months from March 2010 to March 2011, the prices of all goods and services, know as the all items index, increased just 2.1 %, showing inflation outpacing wage increases. (read more...)

With demand ramping up and companies beginning to add jobs along with somewhat more accessible financing in the last year, now may be the time  (read more...)

One advantage of incorporating right away to enhance a business' business credit reporting which helps later when trying to obtain a small business loan, is that the time in business will show as of the original inception date in business credit reports such as Experian and Dun (read more...)

By setting up a small business as a corporation from the beginning, the full time in business will be reflected with the secretary of state and with main business credit agencies.   Both Dun & Bradstreet and Experian business credit (read more...)

The type of company structure a business chooses is important when a small business loan is needed.   Many business owners start with a sole proprietorship, incorporating later.   Retain all business licenses, business checking account statements and tax return (read more...)

The goal of this blog is to assist small businesses in obtaining small business loans fast and easy.    A full range of topics will be discussed from the formation of businesses, business credit, loan types, amounts, and how they all affect a (read more...)