Read more about the results VITAL has helped its community bank partners achieve through the smart and strategic use of SBA and USDA lending.
A home healthcare hospice company was successfully operating in Oklahoma and Kansas and wanted to expand operations to Missouri. But, the start-up of new home health operations is a major financial undertaking, and the company had a serious lack of collateral.
An OEM manufacturer had the opportunity to purchase a similar-sized company with a lot of synergies at an outstanding price. But, the hard collateral represented only a fraction of the loan amount needed to finance a successful acquisition.
An underground utilities company needed $1.6 million to facilitate its substantial growth, but didn’t have the collateral to support the requested loan amount.
Car Wash Refinance
A car wash operator had made two major purchases in recent years, and although his business was profitable, it was highly leveraged.
A 30 year-old printing business needed to make a $1 million investment in new equipment to adapt to significant changes in the printing industry, meet customer expectations and secure the future of the company.
An electrical contractor with a well-established history in the community looked to grow and transition business to the second generation. While in the process, the struggling economy and learning curve for the incoming managers was tougher than expected.
2008 was a particularly difficult year for a local excavating company, with financial losses that could have ended the business. A complete lending solution from VITAL helped save this company.
A local ag-business looked to transition the company from a current owner to an employee, but much of the company assets were tied up in equipment and real estate. How could the buyer purchase the company with valued assets that were “out of reach?”
An entrepreneur was ready to transition his successful business to a hard-working younger employee with a keen interest in the business, but without much management experience or adequate finances for a down payment. What solution would leave all parties to this transaction happy and secure?
The C&I Series
These VITAL articles cover the major opportunities for community banks in the commercial & industrial (C&I) lending space.
FDIC Community Banking Study
The FDIC’s Community Banking Study is a comprehensive look at the community banking industry, using data collected from quarterly financial reports submitted by federally-insured banks and savings associations to identity and explore the issues surrounding community banks.
Working Paper: The State of Small Business Lending
The State of Small Business Lending: Credit Access During the Recovery and How Technology May Change the Game By Karen Gordon Mills and Brayden McCarthy, July 22, 2014, Harvard Business School. This working paper outlines the challenges small business borrowers have in obtaining credit, including the time, effort, and cost expended, and the mixed results they receive.
Compare Your Bank Against Peers
We use Spotlight Financial’s Bank Trends, which offers data analysis for community banks to conduct sophisticated peer group and market analysis on key metrics such as profitability, earnings generation, credit quality and efficiency. It is a great tool to assist lenders in identifying market opportunities and making strategic decisions. VITAL uses this tool with clients to compare performance between community banks of the same size that engage in guaranteed lending, and those that don’t.
Want your own bank and custom peer group analysis? Let us know.
The SBA is the independent federal agency that serves and protects the interests of U.S. small businesses. Among other services, it offers lending and grant programs to help small businesses grow.
Anastasi | Jellum is a banking and business law firm with a strong concentration in banking law, commercial lending, and litigation. They provide excellent service to VITAL clients who need additional legal expertise.