Sumary of Addressing SME lending risks:
- How do we bridge the gap between recognizing a client’s business potential and identifying the risks of lending to them in order to establish a synergistic partnership?.
- As more businesses are established, financing institutions have to grow with them to stay relevant and keep up with industry trends and innovations..
- When you contextualize and tailor-fit your solutions to your clients, you are able to capture the whole image of your client’s business..
- Take note that it’s not merely about reviewing the information or documents presented, it’s also about having a good understanding that a compliant business does not necessarily mean it is credit-worthy..
- A business may have all its documents sorted but have a history of defaulting on payments to suppliers, making it too risky to lend to..
- As such, companies have to be smart about allowing considerations that may be outside the control of their client’s business….