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Assume you started a new business last year with $50,000 of your own money, which was used to purchase equipment. Now you are seeking a
- Assume you started a new business last year with $50,000 of your own money, which was used to purchase equipment. Now you are seeking a $25,000 loan to finance the inventory needed to reach this years sales target. You have agreed to pledge your ventures delivery truck and your personal automobile as support for the loan. Your sister has agreed to cosign the loan. During your initial year of operation, you paid your suppliers in a timely fashion.
- Analyze the loan request from the viewpoint of a lender who uses the five Cs of credit analysis as an aid in deciding whether to make loans.
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