FundingDocs LLC went on a mission dedicated to solely helping our healthcare entrepreneur colleagues' grow their business enterprises. Our primary goal, to educate our colleagues by providing free business growth advisory sessions that prepared them for their future goals and helping them lay out the business road map needed to reach their current growth aspirations. Ensuring their needs are met today and tomorrow to maximize bottom line profits.
During this process we always come across one command factor, when it was time for a institutional or a private capital injection either for a start up project or anywhere else in the development stage. Only 1 out of 10 healthcare entrepreneurs actually were prepared and understood what will be required of them from a bank or lending institution, which inspired me to write this article. I hope that all entrepreneurs reading this article can have a better understanding of what a lender will be looking for to determine if your business will be a good investment. Its plain and simple, the main question any investor, bank or private lending institution will be asking themselves will be, (Is this a good fit for our organization and can this business make us money with interest). That's its, that's the bottom line. 9 out of 10 entrepreneurs get denied for the funding they needed, because they were not prepared to prove their financial worthiness by providing the required information in an accurate and timely manner, and ended up losing the interest of that lending organization or person. Here is a list of basic items you'll need to be prepared to have before locating capital and why. 1). A short 1-2 page business summary with projections showing, what, why and where a capital investment will impact your business development and industry market. Why: You're pre-answering business questions and showing a lender how you're going to use their money to service the loan given and make more profit. 2). At least 2-3 years business and personal tax returns. Why: Because you're proving you have a financial history and you're validating you can pay the loan back and/or make more money. 3). Be prepared to fill out an application and a personal financial statement, that will ask you several business and personal financial questions. Why: Setting time aside to ensure you're providing accurate information before hand speeds up the process of review and accuracy of your application. Which will be used by a lender to determine if your request is a good fit for their portfolio. 4). Be honest and accurate about your business and finances in your application. Why: Because all the information you provide to a lender will be highly scrutinized and verified, and if its not accurate you will be denied automatically, which will leave a negative mark on your credit history. I hope this information helps. Thank you. Samuel Pagan. CEO & Founder. FundingDocs LLC Need to speak to a healthcare business development specialist? Lets talk! Click here to schedule your free consultation. https://live.vcita.com/site/fundingdocs |
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