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V O L . X X V N O. X X V I I N OV E M B E R 2 5 , 2 0 1 9 26 B A N K I N G / F I N A N C E F O C U S W hen it comes to planning for your business, you've no doubt put countless hours into preparing for the future with a business plan that outlines your strategy moving forward. Unless you're working with a private investor to fully fund your project, an integral part of that plan might be finding a lending partner that can help bring your business to life. In terms of business loans, there is no one-size-fits-all solution, and you may need to shop around to find a lending partner that offers the best solution for your particular business needs. Consider the following as you work toward forming a new lending relationship: 1. Interview more than one lender to find the best fit for your specific needs: You want to be sure that you're partnering with someone who not only provides an ideal loan but is willing to dig deep into your business strategy to offer solutions that are specific to your indi- vidual business needs. Your lender should be familiar with your industry, the spe- cific challenges your business might be facing, and able to help identify solutions to help your business move forward. Investing time to find the right lending partner is important to the long-range success of your business if your borrowing needs will be fluid as you continue to grow. Here are some things you may want to consider: Does the lender ask questions about your business, your business plan and/or your financial assump- tions that lead you to believe they understand your business? Are they willing to ask uncomfort- able questions to learn more about you and your business? Ideally, you want someone who is going to offer you feedback that will help you grow your business and help position you accordingly. Does your lender educate you as to how they assess your financial performance so that you can man- age proactively to meet cash flow performance metrics? Have you asked for references? What their customers say about them may greatly influence your decision when selecting a banking partner. 2. Develop a forward-looking plan that will pay off in the long run: Whatever stage you're at in your business, you likely have a vision of where you might be in the future. Business loans might be vital during start up or times of substantial growth, but you'll want to be sure the solution you choose benefits you long term in addition to meeting your immediate business needs. Find a lender that is willing to work with you to pro- vide input on your plan so you can adjust accordingly as your business grows and your loan needs change. Understanding the flexibility of your lender to meet your needs is important in the event that something unexpected comes up. Do your character, positive payment history, net worth and credit profile grant you the ability to borrow without collateral if you were in a pinch? 3. Compare loan options from lend- ers who made the final cut: Not all loans are created equal. ere may be a variety of options available for your specific situation, and you may have to visit multiple lenders to find the best fit for you. Don't settle for the first option that's presented to you. 4. Work with a lender that will consider non-traditional lending solutions: In comparing loans, you might not feel like you're hearing an option that works for you. Make it a priority to work with a lender that will think outside the box to offer non- traditional lending solutions that might better suit your needs. Following the above guidelines can ensure you're familiar with the majority of standard options and will give you the opportunity to familiarize yourself with different lenders. At this point, if you haven't found a loan that works for you, you should have a sense of the lending partners that are willing to think outside of the box to find a solution that works for you both by offering you the most value today and committing to your future success. E l i z a b e t h H a y w a r d , v i c e president of business banking at Machias Savings Bank, can b e r e a c h e d a t e h ay wa r d @ m a c h i a s s a v i n g s . c o m We specialize in helping Maine and New Hampshire businesses grow, with loans of all types, generated through our local credit union partners. And because we're not a bank, we're able to offer better terms and greater flexibility. Our streamlined process will get you the money you need in a timely way. Whether you're looking to borrow $50,000 or $20,000,000, come in and talk to us first. 866.736.2804 | mainebls.com EQUIPMENT LOANS COMMERCIAL REAL ESTATE LOANS BUSINESS EXPANSION LOANS Tired of big bank bunk? Welcome to the local solution. Christy Davalli VP of Lending Bangor to Augusta Find the best lending partner for your business B Y E L I Z A B E T H H A Y W A R D B Y E L I Z A B E T H H A Y W A R D H OW TO

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