Until Loan Maturity Do Us Part

My wife and I read an excellent marriage study by Dr. Emerson Eggerichs, Love & Respect: The Love She Most Desires; The Respect He Desperately Needs.  The relationship between a borrower and lender can be similar to a marriage relationship.  The next several blog posts will cover each of the following relationship keys adapted to borrowing in more detail but here’s a short description.

  1. Keep Your Lender Close: Your banking relationship will thrive with personal contact with your lender.  It is helpful for the bank to know you by face and name.
  2. Be Open and Honest: Fuller disclosure can foster a harmonious relationship with your lender and better dialogue if problems appear.  Bad news doesn’t get better with time.
  3. Cultivate Mutual Understanding: Get the perspective of the lender on key issues.  A lack of perspective can cause a frustrating negotiation process and unrealistic expectations.
  4. Broker Peace: Be careful about drawing battle lines too quickly.  A good agreement has neither side getting everything they want and both think they left something on the table.
  5. Be Loyal to your Bank: Banks love customers that provide ancillary business and associated profits.  Expand your profitability to the bank and you may improve your chances of getting better terms and pricing on all your banking products.
  6. Promote Your Banker:  Compliment your banker’s great service both in private and public.  Make an introduction of your business associates to your banker.

The means to have a productive borrowing relationship are in your hands.  The next several blog posts will cover each of these relationship keys in more detail.

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About Michael Shelton

Your Business Coach Facilitating Delegation and Work Group Engagement Michael Shelton has over twenty-five years of business and military accomplishments, including extensive experience with one of the largest, publicly traded real estate investment trusts (REIT). He is a qualified business coach with assignments in cross-functional work group management, strategic planning, unit leadership, joint venture acquisitions, executive education, mentoring, training and merger integration. Michael has accumulated best practices for building committed work groups from more than $4 billion of capital markets transactions and commercial property development. He served as a commissioned officer and helicopter pilot in the U.S. Army, and earned his MBA from The University of Arizona. Michael has served as a major conference panelist and is the author of Cash Flow Rich, Winning Ways to Evaluate and Finance Real Estate. Today, he helps business owners get more work group engagement as President and CEO of Shelton Business Services, LLC in Scottsdale, Arizona. Disclaimer: I don't offer investment, legal or tax advice. Talk to your broker, accountant or lawyer for investment, tax and legal help. I might own stock in the companies I mention on-line. My posts, tweets and other on-line activity are my personal thoughts and don't represent my employer or company.
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One Response to Until Loan Maturity Do Us Part

  1. Pingback: Five Reasons Your Borrowing will Crash Your Small Business | Pro Borrower

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