What was think in the mind of an entrepreneur when he see his business prospect is so big, but hindered by the additional of capital?
Of course, the entrepreneur will try to draw the investor into his business. And one of the investor who oftentimes expected is financier instituting, in this case bank.
In is true, till this time, bank still become the prime choice most of the entrepreneurs who require the capital addition for development of their business. There are some reasons what forms background of its. For example, existence of regulation clarity, including in it is clarity - even rule of law - concerning each party rights and obligations ( creditor /bank and debtor).
Clarity of regulation emerges because one of bank function is as intermediary institution channeling the third party fund to the needed. Mean, credit has become a product of bank, so everything related to credit is clearly arranged.
The clarity of law also emerges because of credit agreement between banks with debtor always done notarial.
Of course it is very different from the debit and credit between you with your friend. The agreement that happened very flexible and negotiable, and possibly beneficial for you as an entrepreneur. For example, agreement concerning compensation (interest) or return time.
But on the other side, the agreement tending very limber, create blurry rule. Extreme, the agreement content tends to misinterpreted or even misused to beneficial one of the parties. Finally, not only debit and credit relation which have problem, but friendship is also can become broken.
The problem now is how to get investor from a banking institution smoothly?
To deliver to successfulness of credit application to the bank, following below I will submit some the matters better be done, is not done and avoided by applicant of credit.
Continue to : 20 precise steps penetrate the debt in bank 2
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