BizSugar.com › Finance › Obtaining Bank Financing: Increasing The Chances

By Warren Schad

The most recent report from the Federal Reserve suggests that commercial banks in the U.S. are starting to lend to businesses again. In the first quarter of this year, lending to businesses increased 3.2%. Lending by large banks increased 3.5%, while small banks increased their business lending by a smaller 2.3%.

Borrowing from a bank is generally much cheaper than borrowing from other sources such as asset based lenders and factors. Whether your company is attempting to establish bank credit for the first time or you are looking to increase your existing facility there are several things you can do to increase your chances of achieving your objectives. These actions fall under three general categories.