Bohemia, NY (PRWEB) October 26, 2013
Lawrence Teicher, founder of CFO Consulting Services, responds to an article published by Forbes, which explains that credit scores are the most important single metric used by lenders in deciding whether or not to extend credit.
According to the October 16, 2013 Forbes article titled “Small Business, Bad Credit, And Fixing It In A Single Bound,” a small business owner’s credit score is vitally important to the success of their business. When a lender receives a loan request from a small business, the owner’s credit score is the first evaluation made. Typically this is followed by years in business, annual revenues and collateral. Unless a small business is able to attract equity investors, they will likely be dependent on debt to finance their business, which is nearly impossible to do with a bad credit score.
Lawrence Teicher, founder of CFO Consulting Services, agrees that the owner’s credit score is enormously important to small businesses. “Small business financing can be highly unpredictable,” he says. “The importance of being able to acquire a loan if money is needed cannot be understated. Approval rates for small business loans are down to near all-time lows. Maintaining a respectable credit rating exponentially increases ones chance of approval.”
Teicher believes that small business owners should keep an eye on their credit report. “Small business owners generally use credit more than the average American. As a result of this, there is a greater chance of business owners having inaccurate information in their credit report. I would advise every entrepreneur to read over their credit report with great care to make sure they are giving themselves the best chance for having their loan request approved.”
CFO Consulting Services, LLC provides outsourced, part-time CFO services on an as-needed basis to both small and mid-sized businesses located in the NY metropolitan region. Founded by Long Island CPA and financial expert Lawrence Teicher, CFO Consulting Services follows four main principles: independence, objectivity, competence and confidentiality. These core values have led its clients to achieve lasting success in their businesses.