10/30/2018
Having lenders shy away from your proposal is about as bad as having a reality show begging to document the cruel demise of your dreams and the drama that includes. If lenders are not enthusiastic, review the questions they asked AS IF those items determined the survival of your business - because they do. If the lender won't sign on, your answers point to disaster. Find your way to success by whatever pointers you can find along the way. "Your financials look wrong" doesn't mean you need to argue with people who see hundreds of business loan proposals a year - with casebooks and procedures going back a lot longer - it means that your financials - look wrong. So your team is inexperienced and/or not tied in definitively enough to your success. Individuals may not have the right experience/expertise or may have other problem on their records (yes - potential investors WILL perform background checks on your team and friends will lie about embezzlement, and other toxic items in their background, etc.) Sure this can all balance out - if you and your friends have enough cash, you can spend it all on faith in your business enterprise, but if even the sharks won't come by for a usurously seasoned taste, there is no evidence that success will happen. Something is wrong. You need a stronger team and it doesn't matter what you are doing as a business because a dilapidated hotel with too many six-figure salary people with experience in nothing related to profit won't get a loan either. That kills a lot of family businesses. What you see when you look at your financials means nothing - what everyone else sees will make or break you.