Understanding a business owner’s personal financial situation is a critical skill in managing risk for commercial lenders. In this practice lab, we’ll step into the shoes of an SME lender and seek to holistically understand a business owner’s personal finances (within the context of a prospective borrowing request). We’ll dig through the company’s financial results and the owner’s personal net worth statement to try and identify potential risks.
Next, we’ll work through an adjustment template, line-by-line, in order to arrive at a responsible set of insights and a prudent set of adjustments.
This lab is a great building block for early career business and commercial bankers, including relationship managers, analysts, and adjudicators. Other credit professionals like asset-based lenders, commercial real estate lenders, equipment finance professionals, and commercial loan brokers will also get enormous value.
Why stop here? Expand your skills and show your expertise with the professional certifications, specializations, and CPE credits you’re already on your way to earning.