Why Not Take Business Loans with State Guarantees
With the exception of rare cases where we go in agreement with the client’s bank to raise funds and a substantial reorganization of credit and that there is some prior agreement that part of it will be made through the State guarantee track, I do not agree that our customers will take the loan with the state guarantee in the bank they work with.
I tell bankers, if you believe in business
And you know him then give him a loan at your own risk,
I will not let you smear the client with stories,
Because it is known that if the state approved us a loan guaranteed by the state
Each of the four banks (I will explain soon)
Would be happy to give it, so do not play it with you
For the benefit of the client and I am not willing to escape responsibility
To tell the truth, give the customer as much as you believe
That you are willing to give and risk and that’s it.
The bankers are almost always upset that I seem to have caught them,
But that’s the truth, after she’s been told, everything calms down,
And it gives the banker an understanding that he can no longer babble
The client has all sorts of nonsense and empty slogans.
The conditions in state guarantees are good and convenient,
But … Those who are strong customer in front of the banks do not have this route
He can easily make a phone call or a short meeting to receive
Same conditions and even better.
The loans guaranteed by the State are granted for 5 years ,
Most of them at interest of prime + 3.5%.
Another little candy you gave, is the Grace of half a year,
That is, they begin paying the refund only after six months.
A little background and further explanation of the loans guaranteed by the State:
State-guaranteed loans began in the 1990s
Following the massive immigration from the former Soviet Union.
Since then, they have been given business every year
How many thousands of loans in this track.
If we simplify it, it is actually
With a loan from the bank to which the State and the client are guarantors.
Let it be clear that if you do not disturb her, they will come first to you,
You are signed on a personal guarantee, you can not escape :).
Today, the following four banks work in this track:
Leumi, Mizrahi, Mercantile and Otsar Hahayal.
Banks are much easier and convenient to give this loan
For a number of reasons that at the moment there is no point in entering them.
There are two private companies selected on behalf of the state to check out
The requests that business owners apply for a loan on this track.
Most often if the same checker on behalf of the state approved to give you
A loan in this track, the bank that you chose to give the loan,
Will confirm it to you and the amount approved by the examiner.
Unless, this is your bank , which knows you,
And decided before he sent you on this track,
Not to authorize you additional regular credit with him,
I mean, he decided you were too dangerous for him
Therefore, for example, when the state approves it
About NIS 300,000, he might say:
” It’s not too much for this customer
I know him, so I approve only NIS 150,000 . ”
And that’s what you’ll get.
While if you went to a bank that does not know you
And there is approval from the state for NIS 300,000,
He will say to himself: “Ok, if that’s what the state has given the client,
It’s fine with me, I do not know the customer anyway. ”
Because in this track the bank collateral are excellent
And there is no need in terms of the bank to put capital on the side.
This is also a great opportunity to start building easily
A relationship with a new bank that does not know you,
And the very fact that you are about to repay the loan
Gives you credit points. Also remember that we arrived
To this track of a state-guaranteed loan,
Because our bank has been afraid to give us more credit.
So do not let your bank work on you,
And most importantly do not be afraid of it.
In many cases, we succeed
Relatively easy to recruit after about a year,
A significant amount from the new bank,
And that’s part of our business development and risk management
It is important for me to remind you that you will always remember
Because taking this loan is not a goal,
But a means to fulfill your goals and objectives .