I’ve been writing about bank loan restrictions and clauses for a few weeks now. We went over blanket liens and compensating balances, and now we’re going to talk about maybe the scariest one of all: annual requalification. If you thought the bank saying “yes” when they gave you the loan was the end of them looking at your… Read More »
Next up in our bank loan restrictions comes compensating balances. And it’s something nearly all banks use when loaning a business money for equipment financing. A compensating balance is when a bank requires a business to keep a certain balance amount in an account with them. This balance amount is typically 80% of the equipment loan. The key… Read More »
It’s been a while since I talked about rates, so now is as good a time as any. First, not to pat myself on the back regarding my prediction skills, but I did say back in Feb 2023 that rates would continue to rise for a bit (they did) and then hold fast for a long time (they… Read More »
Sometimes I get a thought in my head and it takes several different directions. I’ll write a post about it, then I think of a different angle on the same thought, and I’ll revisit with another post. This is one of those times. Recently I posted about financing equipment and how a lender saying “yes” is very validating… Read More »
We have a ton of repeat business at Crest Capital. Companies who finance equipment with us again and again. But it occurred to me that every equipment financing client, whether it’s ours or someone else’s, at some point in their company history financed equipment for the very first time. And for those companies, it was likely a daunting… Read More »