Critical to Presidential’s decision to extend credit is your ability to demonstrate that additional working capital will generate revenue and appropriate gross margin. While Presidential may be less concerned about high leverage or short-term cash flow than a conventional lender, the company is clearly focused on your ability to generate accounts receivable and grow your business.
Find out if you qualify: Quick Qualification
Early stage companies, including start-ups, often find it difficult to obtain a line of credit from a conventional bank. Most businesses without at least two years of operating history are immediately declined. Presidential specializes in helping your new business by relying on your company’s ability to generate quality accounts receivable.
In fact, Presidential is able to approve a start-up loan contingent upon qualified accounts receivable.
Surprisingly, successful, fast-growing companies often run into the most difficulty obtaining enough credit. They can have a demand for credit that exceeds the bank’s willingness to increase availability. Frequently, banks will wait for year-end results before considering an increase request. The difficulty is, you need working capital now, not after year end.
Presidential is a real-time lender making decisions on the most recently available information that you use to manage your business day-to-day.
Your company may have something in its past which makes it difficult to meet bank underwriting criteria. It could be that you are in the midst of a turnaround, have a prior bankruptcy, are currently a Debtor in Possession or have faced some other obstacle such as poor personal credit or negative net worth.
We look for businesses with a promising future, regardless of current or prior challenges.
Although Presidential is not in the business of financing continued losses, as long as your future is promising, we can help.
A primary distinction between asset-based and other types of lending is our emphasis on your ability to generate commercial accounts receivable. As your accounts receivable grow, so does your available credit and cash flow.
