Up Your Business LLC

I see a lot of spinning tires and smell burning rubber as a result of businesses losing traction in today’s economy. Can you afford to stay where you are in your business or keep doing what you are doing and spinning your wheels without achieving the results you want? What can help you increase or improve your traction?

What is true about 99.9% of everything your company does?   You’re right – people or relationships are involved. You need greater traction – more profits, more customers, more sales, increased productivity and efficiency, increased cash flow, more capital and reduced expenses – and the common denominator is people or relationships!

Where or on what is your focus today?  Profits, sales, customers, or capital?   What you focus on is where your energy goes. If you are not getting good traction – your focus may be off.

The key today for many business owners is to find the power, the push or pull or both to move their business out of its present condition or situation. Where is your power today?  

My experience has shown that profit, sales, customers and capital are all the fruit of well developed and maintained relationships – employees, customers, prospects, suppliers, community, competitors, alliance partners and all stakeholders in your business. Where you are not receiving traction – push and pull in your business – is where relationships have not been properly developed and maintained. 

Many businesses are like a car stuck in sand or mud with tires that are spinning rapidly, trying to grab onto something, to propel it forward yet all it is doing is spinning at an ever increasing speed, losing tread (gripping power, influence and authority) and smelling badly as it burns itself out.  

Tachi Kiuchi and Bill Shireman, authors of “What We Learned in the Rainforest”  – one a hard-nosed CEO of a major corporation and the other a dedicated environmentalist, learned from their numerous trips to the rainforests that the most valuable resource in the rainforests was not the timber that could be cut down and hauled out to make things, the therapeutic and medicinal value of the plants and minerals that could be mined and sold, or the exploitation of the various other resources found there. They discovered the most valuable resource of the rainforest was the relationships found and displayed there – the vast array of individual designs – with each filling a particular niche. Through these relationships they witnessed and learned how the forest sustained itself in the face of limits or shortages (droughts). They learned how each species used its niche efficiency (special, unique gifts and talents) which was a source of net gain in the forest – or its source of “profit.”  

What Kiuchi and Shireman learned quite accidently in the rainforest was how interrelationships and interdependence (versus independence) displayed by nature actually produced gains or “profit” in business terminology. This demonstrates something that business owners should seriously note and apply to gain traction.

People, whether in their personal lives or businesses, were created for relationship. Rugged individualism and the independence of the entrepreneur are promoted as distinguishing marks of American heroes, however, such self-sufficiency can lead to relational poverty. I believe each person is called to do something great, but no one can do it alone.

What fosters good relationships? The grease or glue is LOVE.

Living in the mountains in far western North Carolina I take advantage of the natural surroundings and beauty and look for that next mountain to climb or the next great picture to take as there is an abundance of both within driving distance of my home. Being a flat lander from Texas, I seldom had to worry about traction while traveling in my car.  I drive a 4-cylinder Camry so going places and doing things off the main highways now must be given some thought and consideration prior to launching out into unknown territory.  I have lost traction a good number of times in the mountains and wasn’t able to get where I wanted to go. If I had an 8 cylinder truck or jeep with 4-wheel drive, it would be a different matter.

Due to insufficient traction I didn’t have the force, power, authority or influence to achieve the forward motion I needed to get me to my goal.

Traction can be defined as the force that achieves forward motion or is the act of drawing or pulling. From a business point of view traction is to give solid footing in today’s continually shifting terrain (economy).  

How do you get a better grip (traction) – add power and influence to your business in these times? Do you have a grip on your business?  

How do you feel about this definition from a business point of view?  Traction is the profit, revenue, customers, users, sales in your business – in other words – it’s the only thing that matters.  Investors care about traction over everything else in a public company.  For many the only thing that matters is getting to product/market fit – being in a good market with a product or service that can satisfy that market.

In “Summoned to Lead” Leonard Sweet relates an incident of British explorer Sir Earnest Shackleton and his crew in 1914. Shackleton and his crew were attempting to make it to the South Pole and became stuck (the ship froze in the ice and was being squeezed to pieces) 600 miles from their destination. Winter had set in and they were outside normal shipping routes so no ships would be coming by. He decided to take one of the life boats and five members of his twenty-eight person crew and head to an island 800 miles away where a settlement was located.  After a 17-day trip, they reached the island but put in on the opposite side of where the settlement was located to avoid being washed away from the island by heavy winds. They were next faced with crossing several mountain ranges that had never been crossed, in the dead of winter and without sleeping provisions. They came across three different mountain ranges, which were dead-ends, forcing them to find other routes and to travel in the dark.  As they reached the summit of the fourth, they looked into the darkness below not knowing if the steep mountainside ended in a precipice or sloped all the way to the bottom. They had traveled for 24 hours and didn’t have the strength or provisions to look for another route.  It was dark and freezing cold and stopping would mean sure death.  What to do?  What if they hit a rock?  What if the slope didn’t level off?  These were all appropriate questions, however, Shackleton asked the right question, “Can we stay where we are?”

More traction in the next blog!

Numerous business owners are contacting me with a similar question, “My lender won’t renew my loan or grant me a new loan until I give them a loan package, what do I do?”

A loan package today is a good bit different that it was two years ago. These are different economic times and lenders are more conservative, cautious as well as more risk adverse than in the past five to ten years. Thus lenders will be expecting and demanding more information from you. The loan package gives the Loan Officer the necessary information to gauge the viability of your loan request, helping them to provide you with the loan or renewal that you seek. Lenders have different requirements, so it is very important to communicate with the specific lender to customize your loan package to their particular needs.

It is very important, perception wise and to help the loan officer as much as possible, that your package is organized and thorough as possible. You just might gain favor points by offering to also provide the package in electronic form as well as printed form. This way the loan officer can use some of your data by cutting and pasting to his presentation, thus saving time.

Preceding your loan package should be a loan summary, two to three pages in length, which summarizes the important parts of your request. The loan summary is the first part of the loan package and is used generate and gauge interest in your request and need.  Contact me if you need help with the loan summary and I will email you a template.

Following is a list, not necessarily complete, that should be provided to your lender:

1.     Loan Summary

2.     Company / Project Information, and History

3.     Principals’ Backgrounds, Experience and Resumes

4.     Project Description, if applicable

5.     Project Pictures and Renderings, if applicable

6.     Key Roles & Relationships:  Company, Strategic Partners, Third Parties

7.     Sources and Uses of Funds

8.     Company & Project Collateral, Assets, Liens and Loans

9.     Schedule of Debt

10.   Company and Principals’ Credit Standing and Credit Reports

11.   Principals’/ Company Financial Statements

12.   Company/Project Budget

13.   Company and Project Cash Flow Statements

14.   Collateral/Project Appraisals and Valuations

15.   Project Proposals and Contracts, Lease Agreements and Escrow Agreements, if applicable

16.   Tax Returns:  Personal and Business

17.   Project Strategic Plan and Time Line, if applicable

18.   Project Construction Plans, Specifications, Drawings, Surveys and Maps, if applicable

19.   Project Construction Cost Breakdown, if applicable

20.   Project Construction Cash Flow Statement, if applicable

21.   Project and Company Advisors, Consultants, Contractors, Construction Team, Legal Firms, Accounting Firms and Engineering Firms

If you have questions or need help please contact me at larry@upyourbusiness.biz

I recently passed a terrible accident. A truck carrying cement block smashed itself half way into the back of a bus. Thankfully, there were no people on board the bus, but the driver of the truck was severely injured. I later saw on the news when the truck driver was interviewed in the emergency room of the hospital, he was asked what happened and he replied, “I was looking in the rearview mirror.”

I also see people doing this on the road of their businesses…

At a recent networking event last week, a woman was telling how she was struggling with her business and related several stories to the small group surrounding her how things were several years ago in her business. Someone inquired, “What are you doing now to make things better?”  Her response was, “I keep trying to recall what I did several years ago that worked so well and try doing those things today.”

At the same networking event, a young man told blow-by-blow stories about his adventures as a new entrepreneur, which seemed by his expressions and body language to be failing. Someone ask him what he was doing to make corrections and his response was, “I sit down with my father who was successful several decades ago in his business and is retired and he tells me what he did back in the 60’s and 70’s with his business and I try those things.

Curiosity got the best of me and when the group surrounding both business owners broke up I seized the moment to connect individually with both by introducing myself and asking, “What are you doing that gives you forward visibility in your business?” They both looked at me very quizzically, then related what I heard them say in response to questions posed of them during the “group” sessions about recalling the past. I asked both if they were using cash flow projections in their business. Both responded by asking me, “Isn’t that something an accountant does?” Sensing their discomfort with this subject I excused myself to get something to eat.

There is nothing more damaging to your future business’ potential than spending your present looking at the past. Let the past instruct you so you can be wiser moving forward, but don’t let it continue to take you backwards. The past can be a school master. Look back for lessons, and look forward to answers.

Keep your eyes on the road ahead by preparing, using and updating monthly your cash flow projections and not fixated on your review mirror or you too, might find your business accidentally smashed into an object you didn’t see just in front of you.

How do you keep from constantly looking in your rearview mirror of business?

Cash flow projections may or may not save your business, but they can sure give you great visibility and a clear vantage point to the future.

To find out more about this forward looking vantage point to business contact me at larry@upyourbusiness.biz.

There continues to be a lack of traction for most small to medium size businesses in their effort to obtain loans in this current economy.  Fortunately, according to reports I read, some banks say they have available money to lend and are open and willing to look at loan candidates. 

Here are some tips, or what I definitely would call uncommon tactics, to help you, the business owner, in your thirst and quest for capital to fuel your business and to expand your operations:

1. Show the bank and banker the LOVE. To be shown the money in this market I say you must first show the love. To establish trust in you and your business it is important to look at their welfare, well-being and needs first. It is not about you, it’s first about them (the banker).
2. Date the banker. You want the right fit and bank for you, your business and its needs. Visit (date) different banks and bankers, ask questions, and find out what their story is all about. As in a marriage, so with a bank, getting the right fit and complementing one another is a key ingredient to a successful relationship.  
3. Romance the banker.  Recall, and begin to use with your banker, those tactics and techniques you used when dating your spouse and when you were first married: you sought first to understand, brought gifts they liked and could remember you by; communicated often; discussed feelings as well as facts; showed how polite and mannerly you were by your little gestures of kindness and meeting their needs and showed and spoke unconditional love.
4. Get clear where you stand with your banker. Each loan is credit risk graded. Find out how yours is graded and why; what loan exceptions are currently outstanding;

• are you creating extra work for your banker (thus losing trust and favor) by not paying your loan on time;
• creating overdrafts in your account;
• not providing financial statements and other documentation required on a timely basis.

Find out what you need to do to bring peace to the relationship and favor to yourself in the relationship with your banker.

1. Think for your banker. Determine what your banker’s concerns and issues are for your specific business, industry and individual relationship.

• What are the problems, weaknesses and issues from the lender’s point of view? Set out to address each need and area of concern.
• Find out what the lender needs. Give the lender all the information and ammunition they require and need to adequately support your loan relationship. 
• Know what the C’s of credit mean for your business and tie these concepts into verbal and written communication with your banker to enable them to better help you.

These are just a few of the uncommon, but highly effective, tactics I discuss in my book “Romancing the Loan” and that I learned while being a commercial lender for over 30 years. If you would like to read or hear more strategies or need help in employing them you can contact me at larry@upyourbusiness.biz.

In Part 1 & 2, I made the case for cash flow being your most important business asset.

 As humans we are all capable of irrational behavior, thinking or actions from time to time.  One force or pull that might cause irrational actions and thinking is:

Loss aversion – ones tendency to go to great lengths to avoid possible losses. I’ve witnessed business owners exhaust all cash reserves thinking and praying that things would get better. They didn’t believe in or practice the use of cash flow projections. Each sheepishly admitted, “I just knew the economy would improve or turn around tomorrow or I’d get a contract so I wouldn’t have to face you.”  

As humans we associate with the pain of a potential loss more vividly than we do with the joy of experiencing a gain. Understanding how our aversion to loss plays out in our decision making is key. Pre-occupied with resuming a schedule or recovering losses, we blindly focus on getting back to even and become oblivious to the risks we take. We ignore signs, put on blinders and proceed with a singular purpose to recover as much of the loss as possible – many times risking everything.  Cash flow projections, if actively used, would have prevented the extent of their losses.

Also, like a private investigator, you should analyze the impacts and changes in your cash position profit and loss, receivables, inventory, payables, capital expenditures, loans and debt service each make in order to get and maintain control of your cash.

Two basic principles of cash flow management are:

• Keep money moving to make more money; money at rest (tied up in accounts receivable, inventory and capital expenditures that aren’t producing something) incurs opportunity costs.
• Money makes the most money when it turns over fast; this is the principle of turnover.

Key to understanding and applying these principles is the cash conversion cycle. Here’s the basic story: a business firm starts out with cash. That cash is used to purchase inventory. Next, the inventory is sold or a professional service is delivered. Usually the business gets little or no cash at the time of sale because the buyer typically acquires the goods or service on credit. The seller exchanges inventory or professional activity for accounts receivable. Sometime in the future, hopefully sooner rather than later, the firm collects the accounts receivable and then has cash again.

Inventory and receivables must be financed (paid for) either with the business’ own cash on hand or by borrowed money, which can be costly. The object is to reduce the cycle – shorten the time, as much as you can, between paying out cash and getting cash back.  Use and evaluation of the cycle answers the question, “How long does it take to get the money back into the bank?”

A visual explanation of the cash conversion cycle looks like this:

                                                Days outstanding              Amount outstanding

            Receivables              30 days sales                                    $100,000

            Inventory                  60 days sales                                      200,000

            Trading cycle             90 days                                              $300,000

            Acct’s payable          15 days sales                                           50,000

            Cash cycle                  75 days                                                 $250,000

The cash conversion cycle can easily be used by setting up an excel spread sheet like the following. With this tool, the business owner can see and understand the average length of time of the business’ operating cycle, determine what the cycle, time wise, would be if the business did a more efficient job reducing the collection period of their receivables or shorten the time inventory was in the warehouse – thus freeing up cash. Many times business owners see their businesses growing and know they are making money but are always short of cash. This simple, but effective tool helps show them were their cash is hiding.

The most valuable tool for your cash flow management is a cash flow projection template. If you don’t have one, please contact me for a free, simple to use template.

Cash flow projections need to become an active, live tool that is used daily to aid in making business decisions. The template should be updated and adjusted no less than monthly to provide you with good visibility of the future.

May Your Cash Flow!

The business owner – lender relationship is significantly different today, in 2010, than it has been in the previous five to ten years. The financial crisis put a microscope on failed risk management of both financial institutions and businesses.

I recently spoke to a business owner whose business was struggling and was being closely examined by his lender. He contacted me to run several scenarios by to get my opinion on his best course of action.  After listening to his story I told him the best way for me to help him was to ask him several questions. 

• As a business owner and borrower, do you have any idea what your lender, in today’s economic environment, sees when he sees you coming and what does he hears when you speak?
• Do you understand the basis of their perception? 
• Or worded another way, what is it that influences and determines their perception of you, your business and the current status of your loan with them?

All I heard next was 20 seconds of silence. My friend said rather, defensively, “But this is about me and my business and what I’m going through, and not them.”

Reminding my friend that normally we first look at things from our own perspective and stop there – the answer to the first question simply and correctly suggests what your initial step might be to change or determine their perspective.

I knew he was frustrated with his situation and my questions. I reached over to my computer and hit a link I had brought up and asked him to listen to a song by Shania Twain to help him better understand where I was heading.

http://www.youtube.com/watch?v=XqYp1jpzKCk

He relaxed and grinned when he heard the lyrics, “That don’t impress me much.” seeing the point I was leading to. “O.K., I guess you’re telling me I need to consider what they might be thinking.”

Now that he was beginning to understand I truly had his best interests at heart, I continued, “When you consider what they are going through at this time, what influences their perceptions and their frame of reference, you can then present your circumstances and needs in a way they might be willing to hear and consider positively.”   

I posed other questions for my friend to consider:

• How do you think attitudes towards risk at financial institutions have changed since 2008? 
• What risk challenges might your financial institution be going through at this moment?
• Do you know where you fit into their risk challenges? 
• Knowing that risk management – both theirs and for their customers is a much bigger part of their job now  – what might be the environment  of your individual loan officer, loan committee or person your loan officer seeks approval from for loan decisions? 
• How are regulatory changes affecting your financial institution, their risk management perspective and your loan?

As I listened to his answers to my questions, he said, “You know one of my favorite authors is Stephen Covey and he recommends we ‘begin with the end in mind.’  I now understand, I must address not only the end I want to see but my lender’s as well.” 

He was much more relaxed, “I now know what I need to do. I must think for my lender by providing him with:

• a written summary of where my business stands today,
• what I see for the near future for my business,
• how the risks are supported by my analysis and planned mitigation of those risks, and
• what solutions I recommend to bring about a satisfactory conclusion for the both of us

As we were saying our good-byes, I knew that my friend’s lender would be seeing a different customer and borrower than they had seen before and would most certainly like to see more of their borrowers looking like my friend.

Do you always know what your spouse or family members want for Christmas or for their birthdays?  When asked that question many just shrug their shoulders, “I’d have to be a mind reader to figure that out?”

In the 2000 movie comedy “What Women Want” Nick, (Mel Gibson) is an egotistic, chauvinistic, God’s gift to women (he thinks), advertising exec. Nick has his life turned haywire when an electrical accident enables him to hear what women think. At first Nick is surprised and disappointed when he discovers his macho behavior does not win him favor with the ladies. His psychologist points out his new skill of “hearing what women think” could be used to his advantage! 

The majority of the film follows Nick as he learns from his mind-reading skills and grows from being an insensitive schmuck to developing real friendships with his women co-workers and connecting with his daughter.

The bottom line to this new skill was that it gave Nick a totally different perspective of the people in his world.

Seeing the movie again recently raised the question, “What would happen if business owners could truly know what lenders want?”  What if business owners were able to hear what lenders think about them in their role as borrowers?

In the June 2010 issue of Success magazine, entrepreneur and co-star of the reality TV show Shark Tank, Daymond John, tells his story of rising to success in the field of his passion – fashion.  He stated on the way to his success, “I got turned down by about 27 banks;   I was turned down because I was poorly prepared. I didn’t know what banks needed to see; I didn’t know how to write a business plan; I didn’t know about business forecasting; I didn’t know anything.” One of Daymond’s “success strategies” is be prepared. He faults himself for being turned down. “Knowing what information investors need is critical”, he says.

Borrowing money in 2010 is about being prepared as Daymond Day suggests but more importantly, as I emphasize in my book, Romancing the Loan – 14 Ways to Open the Vault with Your Lender, as a business owner, you must ‘think for your lender’.

Thinking for your lender means providing your lender before he asks with all the required information and answers to questions he or she and the lending institution (loan committee, senior loan officer, any and all loan approving personnel) might have in regard to your loan request.

From your position and perspective as a business owner, how do you think for your lender?  Or, what is the translation of this ‘foreign language’ that lenders speak and how do you think for your lender?

• Ask – ask for professional help, like myself (someone who has been behind the loan desk for thirty plus years).
• Ask – successful business owners in your industry, community or church.
• Ask – lenders at various financial institutions you might submit your request to.
• Engage – hire professionals to perform work you are not experienced in or don’t have time for to enable you to keep your focus, time and energy on your business.  Make sure at least 80% of your energy is engaged in using your strengths and seek assistance from others who have expertise in all the areas you are weak (apply the 80/20 Principle).
• Reposition yourself – Seek and obtain coaching (I want to help you!) on how the lender will be thinking regarding your request and like a defendant in a legal case, be prepared to answer any questions the lender might have (without being defensive!).  Confidence is convincing and persuasive. 

I recently saw a very timely question on LinkedIn, “What meaning or utility can we take from the ash cloud?”

Hearing and seeing the news about the ash cloud, I was amazed at all the business ramifications of the cloud with regards to aggravation, worry, anxiety and loss of money, just to name a few.

Thinking about the question reminded me of what I believe to be a major part of any business that so often is left out, unattended to or weakly given just a passing thought and that is Risk Management.

There are many different definitions of risk and risk management and it can mean something different to each person depending on circumstances.  A good definition of both I recently came across was from the new book “Surviving and Thriving in Uncertainty: Creating the Risk Intelligent Enterprise” which states. “Risk management is the discipline of improving your chances of survival and success, particularly in uncertainty and turbulence. In this context, we define risk as the potential for failure in terms of loss or harm or missed opportunity.”

I spent the majority of my corporate work life actively involved in risk on a daily basis – lending money to businesses. In so doing the bottom line was always asking and answering the question, “Will I receive the money back that I loaned out?”  A large part of my evaluation of each business borrower was what I call Risk Management consciousness or mindset.  My intention was to provide the customer with the capital they wanted AND to help each customer become a better, more successful business owner after having gone through the borrowing process with me.

I would brainstorm possible risks that my borrowers might incur in their business and seek ways, with their help, to mitigate those risks to ensure their ability to repay my loan. I would also ask them to play the role of lender and come up with additional risks, knowing their business and industry better than I. I was often surprised at what additional risks they would mention I had not thought of.

From my perspective this meant they became more Risk Management conscious or aware with regard to all the decisions being made in the company. My hope was to help them incorporate a Risk Management mindset or filter to their regular decision making and planning process.  In doing so they, hopefully, would explore risk possibilities and determine a way to mitigate each risk. My purpose was to shine the light of possibilities and realities on their business rather than to create an attitude or atmosphere of fear or anxiety.  I wanted them to consciously change each business day from becoming a gamble to being a chosen, calculated risk.

The big difference between gambling and taking risk is options. One of the major character qualities of entrepreneurs is taking risks and many do it very well. In examining the lives and decisions of most truly great and successful entrepreneurs, we see their forward movement was based on considering or developing options.  When there are options you generally have hope – you can see light both in the mind’s eye and in reality.

Gambling in life and business is doing things with no or limited options, whereas risk taking has built into it specific options and mitigation of those risks. From my experience in addressing risk with business owner’s I have coached, many avoid the subject of risk thinking by avoiding it they are not giving it any energy. They feel if they entertain risk thinking they are somehow casting a shadow of doubt over their business. 

We all continue to witness or experience the results of new, greater and different risks in business. Take the financial crisis over the past two years. Who would have imagined such events – the trauma, destruction to companies and business failures, large and small – coming so quickly after seven to ten years of really great, high flying economic times?

My point is to suggest you become more Risk Management conscious. Look upon Risk Management as a big umbrella shielding or protecting your whole operation from some of the risks that can happen to your business.

Following are several suggestions that might give you additional options in your business and help provide a greater Risk Management consciousness and mindset:

• Get your entire team involved and seek their input; they see things you might not be aware of and this tells them you value their perspective and allows them to ‘share ownership’  in minimizing or eliminating potential risk. 
• Brainstorm with your staff and team what risks the business, your industry, your customers, your suppliers, all your stakeholders, your personnel and your local, regional and national economies have that might affect your business.
• Increase and improve the sources of information you and your management team receive from: your personnel, your customers, competitors, your industry, all your stakeholders and your local, regional, national and international economies, if applicable, to improve your awareness of what touches and possibly affects your business.
• Start/develop a mastermind group with owners of other businesses in your area, in your Chamber of Commerce, business association, church etc. to help each other develop and improve each other’s Risk Management consciousness. This includes discovery and developing plans to mitigate those potential risks you identify. 
• Consider getting an advisor or coach, like myself, to do a Risk Management audit of your business. Unlike having a CPA do an audit of your business, I come in as a partner, knowing what to look for and can help you develop a plan and practical steps for the future. For example, many business owners who borrow on a regular basis or now need to borrow are basically shut off from borrowing and were not prepared for the consequences of these times. Expert advice can help begin to open the door to the loan vault by taking proactive steps now to mitigate the effects of not being able to borrow. Since the economic turn a significant part of my advisory services are spent on Risk Management. 
• Prepare for the worst as a hedge against the unexpected.
• Consider what your business depends on the most (for example: computer access, specific skills or personnel, suppliers, travel, etc) and brainstorm ways to offset shortages, delays, shutdowns, loss etc. in each of the major areas and look for alternatives and trade offs in each critical and important area.

My book, Romancing the Loan – 14 Principles to Open the Vault with Your Lender is positively affecting business owners around the country that have purchased it and who are seeking or currently have outstanding loans. If you are a business owner who has outstanding loans or is anticipating borrowing in the near future, the principles discussed in the book will be helpful.

If you want to purchase an eBook version of my book (hard copy version not yet published) send me an email at larry@upyourbusiness.biz.  The eBook version is selling for $14.95, a small amount to give you both options and hope.

As I listen to business owners around the country, a lack of options is expressed time and time again by many who are in need of capital to fuel their businesses and keep them alive.

I believe the principles in the book help give business owners a number of viable options enabling them to create a strong bridge to keep the lines of communication open with lenders and keep them in the game to receive the loans they need and want.

I love the 2003 movie comedy “How to Lose a Guy in 10 Days” http://www.youtube.com/watch?v=qGMaRb4Z2OI  starring Kate Hudson and Matthew McConaughey, Andie (Kate Hudson), a young journalist writing for a women’s magazine, has the idea of writing a piece on the things women do to alienate the men they love, which she’ll demonstrate by winning and then driving away a man in 10 days. Meanwhile, Ben (Matthew McConaughey) is an advertising executive who wants to land a prestigious diamond account at his firm. Ben tells his boss that he’s the man for the job because he understands the fair sex so well he can make any woman fall for him in less than two weeks. Andie and Ben end up choosing one another for their mutual assignments, with neither knowing about each other’s secret agenda. Ben strives to hold on to Andie while she does everything in her power to annoy him and turn him away.  Following are some of the things Andie did to help drive Ben away. Though humorous in the movie, these are actually done in many kinds of relationships.

These could be titled “How to Lose a Lender in 10 Days”: 

• Avoid phone calls, e-mails, messages and visits 
• Be manipulative, deceiving, cunning, fail to tell the truth
• Make him/her pull words out of your mouth to get you to talk
• Always act like you are busy, are very important and have better things to do. 
• Try to nitpick every little detail and fight with him/her over it. Insult him/her.
• Ask tons of annoying questions.
• Be defensive or evasive when she/he asks you questions.
• Don’t show respect. Constantly talk about other guys (lenders).

So, as a business owner what does this mean to you? It means that you might be shooting your loan and relationship chances with your lender in the foot if you are doing some of these things. Maybe you aren’t doing any of these; however, reflect on your attitudes and actions with your lender to determine if anything you might be doing is “turning off” your lender. As a business owner, your mindset towards your lender, regardless if you are right and they are wrong, makes a huge difference in creating a satisfactory relationship.   

Another viable solution is simply seek qualified help. Many entrepreneurs are very independent minded and play the role of the lone ranger. During times like these with the loan vault shut to many businesses it may be time to turn to the Loan-A-Ranger (Larry Tyler- www.upyourbusiness.biz) for help to open the loan vault. I advise business owners around the country who are needing loans to fuel their businesses and I’m eager to listen to your story and provide you with advice for 30 minutes for free (larry@upyourbusiness.biz).