kartright Loan Advisor

Most business borrowers will be unpleasantly surprised by the problems generally experienced with typical business financing. Perhaps of even more concern is that many serious commercial loan difficulties are not widely known even by loan advisors. The potential difficulties can occur with business opportunity financing, real estate investment property loans and business cash advance services, although some of the issues will be restricted to specific circumstance.We have published separate commercial loan advisory reports which provide a comprehensive discussion of the major problems likely to be encountered in typical business financing and commercial real estate loan circumstances.For example, one report focuses on common business opportunity investment financing difficulties.

In another report, we discussed the obstacles usually experienced with SBA loan refinancing.The Black Ice Analogy: Unseen Business Financing Problems.The focus in this article is to highlight several of the more obscure commercial loan problems. A commercial borrower should consider such obscure business financing problems to be extremely important. When ice is virtually invisible on a road surface, this is usually referred to as black ice. Drivers who have experienced this hazardous condition are likely to realize that invisible business finance problems are equally dangerous for the financial health of a business.The first relatively unknown business financing problem involves the increasing use of internet technology by commercial lenders. Commercial borrowers will be asked to submit online applications by numerous commercial loan websites.

This is not a prudent way for a business owner to proceed with their commercial financing.It is important that business owners understand that it is not in their best interest to submit an online business financing application. For a more detailed understanding of why an online commercial loan application is inadvisable and how to proceed in a search for viable financing, borrowers should review the report entitled How and Why to Avoid the Online Business Loan Application Trap.The next obscure but nevertheless serious business financing problem to anticipate involves the use of loan recall terms by a lender. Commercial loan recall covenants mean that the lender can force the borrower to repay early by calling the loan before it would normally expire.