Lender Financing: It’s a Balancing Act
It has been Quirk's experience that unrealistic expectations can also lead to rejection. She recommends patience, both on paper with projections and in person being interviewed by the lender.
Power of Projections
"For example, if you are planning to terminate personnel, have you built into your projections the time it will take to truly roll-off out of the company—i.e., benefits, vacation time earned, etc.?" she notes. "If you are moving or need to rearrange your shop to bring in another company, a piece of equipment or downsize the operations, have you built in the downtime on the existing operation? I have seen the mistakes and omissions from companies who throw projections together too quickly, cry that it is impossible to project what is going to happen for the year, or state that projections are meaningless."
