It may be time to move away from the traditional health care model that some describe as sick-care. In the old model’s place, a new model would emerge. One based on wellness. Individuals would take responsibility for their own health care decisions. In this new paradigm, the Internet would play an important role in providing needed information.Modern medical science has provided us with unprecedented opportunities for prolonging life, but it is a sad observation these extended years have too often come with little consideration for quality of life or cost. Too often, there has been no emphasis on wellness. There is reason for people to be concerned about health. This concern is for both longevity and quality of life.It has also become ever apparent to a growing number of observant people that the cost of health care in the United States has reached unprecedented levels. This ever increasing economic burden threatens to destroy the health care system that has long been the envy of the world. It is not clear how long the current health care system can survive. More than a few experts are suggesting changes and believe that significant changes must occur. These experts tell us that health care will soon be unaffordable and already is for many. Such experts suggest a new health paradigm is required, but what should this new paradigm be?Certainly, a significant part of any necessary change is to move away from a health care model almost completely structured around sick-care to a new model that places the primary emphasis on wellness (prevention). It seems intuitive that it should cost less to prevent a major disease, like cancer, than to treat it. If we foster wellness (prevent sickness and disease), then, quality-of-life should follow.Such a new paradigm requires individuals to take charge of their own health. Are you ready to move to a new wellness paradigm, take charge of your health and not leave it entirely to the “health professionals”? Are you ready to form a partnership with your physician and other health care providers? There is an increasing number of people who would say, “Yes.” This sounds well and good; however, there is a “catch.” The adoption of this new paradigm requires individuals to be more informed than ever about their bodily functions. They must also have access to information that may have historically been uninteresting.As people begin to adopt this new health paradigm, how do they begin to answer all the questions? Where do they find information that will be useful in sustaining their part of the new health partnership? Information about natural supplements that are known for their anti-aging properties, may be helpful. These anti-aging natural supplements may add years to one’s life, but their real value may be in their ability to add to your quality-of-life. Perhaps added years will be an extra bonus! How does one go about finding such articles?The new wellness paradigm requires access to information about body function, nutrition, minerals, enzymes, other anti-aging natural supplements, disease and similar topics. The Internet can play a significant role in filling this need. Web sites dedicated to relevant wellness information can be a valuable health information resource for those willing to embrace the new health paradigm.
SBA Commercial Lenders – Poised For a Come Back?
Year to date we have seen 6 major national SBA lenders come back to the market. That is very encouraging news, despite all of the continued talk of the recession and how bad it might get. The fact that these leaders in the industry have the confidence to put both their necks on the line and capital, is the most important and significant statement of belief they could provide.
SBA commercial loans, including the SBA 7a and the 504 loan program have received a lot of press lately, both good and bad. On the positive side, SBA loans have been one of the most durable programs throughout the credit crisis and though down substantially for 2008 (37%) and year to date 2009 (estimated at 50% though that is not confirmed) – SBA loans are still funding. We know this because we still are closing SBA loans.
Liken this to the CMBS market that is all but dead and was down 98% in 2008, compared to 2007… 98%… This is according to the Commercial Mortgage Bankers Association, the most reputable association in our industry.
SBA Lenders
Many people are still disappointed by the SBA performance though. After all the SBA was created to help small business through difficult times and to get loans that they would not have otherwise been qualified for.
Borrowers need to keep in mind that the SBA does not fund loans. Rather banks/lenders fund SBA loans and they provide a guarantee to the funding bank that if the borrower defaults, the Small Business Association will pay the bank back and make them whole. However, some backs have had a difficult time getting their capital back from the SBA… Which has caused fear in upper bank management and have forced banks to further scrutinize loan requests.
Despite these concerns and the media (which continue to pound fear pound into our society), many leading experts are hopeful that we have bottomed out, and they are backing their words, with the most valuable form of confidence – their capital.
The Real Reason Why Small Businesses Can’t Get Approved for a Loan
Oh no, not again. Yes, that’s right, I’m not going to go there… at least not for today. There’s no shortage of excuses and reasons why small businesses can’t get approved for business loans. It never fails to amaze me the coverage this topic gets especially when the national economy goes into recession or when major political races are at stake. Yes, I agree that small business growth and success is the economic back bone of the US and also, that more than 60% of the US workforce are employed by small businesses. But where I get off the group think is when it comes to the lack of financing for a small business with a business loan. In this article, let’s explore the REAL REASON that small business don’t qualify for loans and the truth may even surprise you.It’s Deeper Than Statistics
I love numbers and even better, I love reading financial statements and the notes. The love for numbers did not become a passion for me in the world of small business lending until I came to understand that the financial statements tell the story of a business. Similar to the story behind the financial statements, there’s a story behind the statistics stating that small business owners can’t get approved for loans especially if they’re of a certain ethnic group, gender, and / or industry. I’m not completely washing away the reality that there’s a shred of discrimination in our world… hey, we live in a broken society with broken people. However, a large part of this thinking (small business owners can’t get a loan because of skin color, gender, etc) is just simply untrue. I’ve been on both sides of the fence so to speak in the world of small business lending. I’ve worked for a big bank, and I’ve worked for a not for profit community development financial institution and it’s always the same. The number one reason why small business can’t (and don’t) get approved for loans is due to the considerably large operating risk that exists in these businesses.Operating Risk: It All Starts with You
What does operating risk mean? Well, here’s a question to bring some clarity. What speaks more to sustainability: a business that’s been operating for at least one year or a business that’s still in the owner(s) mind? I’d go with the first option. Operating risk means that you have and continue to execute on your business plan(s) and that the business is cash flow positive (i.e. returning a sustainable profit margin to cover costs and make you money). Here’s the sad truth: not many small businesses get to this point. Most if any, within two years are still trying to figure things out. OK, granted, there are levels to this particularly when you observe the diversity of businesses. However, I’m speaking to the ones that endeavor to obtain a business loan.In closing, I offer a couple of ways to minimize your operating risk and increase your chances of getting approved for a loan. (1) Grow tough skin and learn to survive. The game of business is one of survival. Most days, things will not go your way and you just have to stay the course, be adaptable, and stay true to the business mission. (2) Never forget the 3 P’s – Production, Processes, and Personnel. Become efficient in the production of what you offer for sale, create and put in place processes to enhance production efficiency and ultimately the customer experience, and finally, hire, train, and invest in people who share your vision for the business.