• One Health
  • Pain Management
  • Oncology
  • Geriatric & Palliative Medicine
  • Ophthalmology
  • Anatomic Pathology
  • Poultry Medicine
  • Infectious Diseases
  • Dermatology
  • Theriogenology
  • Nutrition
  • Animal Welfare
  • Radiology
  • Internal Medicine
  • Small Ruminant
  • Cardiology
  • Dentistry
  • Feline Medicine
  • Soft Tissue Surgery
  • Urology/Nephrology
  • Avian & Exotic
  • Preventive Medicine
  • Anesthesiology & Pain Management
  • Integrative & Holistic Medicine
  • Food Animals
  • Behavior
  • Zoo Medicine
  • Toxicology
  • Orthopedics
  • Emergency & Critical Care
  • Equine Medicine
  • Pharmacology
  • Pediatrics
  • Respiratory Medicine
  • Shelter Medicine
  • Parasitology
  • Clinical Pathology
  • Virtual Care
  • Rehabilitation
  • Epidemiology
  • Fish Medicine
  • Diabetes
  • Livestock
  • Endocrinology

Choosing a lender and negotiating a deal


Low costs aren't the only reason to choose a lender. Also consider these important details before saying yes.

While it's tempting, you shouldn't just pick the lender that offers the lowest total cost. Instead, consider:

  • the lender's size and ability to meet future needs

  • the lender's knowledge of your business

  • the lender's speed at making decisions (especially when obtaining a line of credit or other financing that must be renewed)

  • the loan officer's status in the organization and the frequency with which loan officers change

  • the costs and commitments imposed, for example, compensating balances, which some practices prefer not to maintain

  • the lender's flexibility in responding to special requests, such as foreign letters of credit.

After you've found a lender, prepare to negotiate. Each party seeks an advantageous position, and the terms can influence whether the lender will fund your project. Here's what's negotiable:

  • the total loan amount

  • interest rate and fees

  • loan term

  • repayment schedule

  • amount and type of collateral

  • guarantees

  • restrictive covenants

  • acquisition of additional insurance on the life of the owner, key manager, or guarantor

  • periodic financial reporting and the extent of accountant involvement.

Gary I. Glassman, CPA, is a financial consultant and partner with Burzenski and Co. PC in East Haven, Conn., and a Veterinary Economics Editorial Advisory Board member.

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