In an era where entrepreneurship is booming, financial literacy becomes a cornerstone for success. This podcast, I talk to Ami Kassar, an expert in business financing, who shares invaluable insights into the world of debt markets, particularly focusing on SBA (Small Business Administration) loans, and the crucial role of financial literacy in entrepreneurial ventures.
THREE BIG IDEAS FROM THE INTERVIEW:
- Understanding Different Debt Options: It's crucial for business owners to understand their financial stories and needs. Ami emphasizes the importance of knowing the debt markets and selecting appropriate financing options, such as SBA loans, to retain control and avoid equity dilution.
- Financial Literacy and Forecasting: The podcast highlights the lack of financial literacy among many entrepreneurs. A key takeaway is the need for a well-thought-out financial forecast and projection, allowing business owners to make informed decisions about their cash needs and financing options.
- The Right Use of Debt and Equity: The discussion sheds light on the appropriate use of lines of credit (for emergencies and operational needs) versus term debt (for investments in growth). Additionally, the conversation stresses the importance of understanding the differences between equity and debt, especially in terms of control and decision-making in the business.
PODCAST INTERVIEW QUOTES:
04:14 - “We work with business owners and entrepreneurs to try and understand their stories, to try and frame and get a clearer concept of what's going on and what their needs are to achieve their goals.” - Ami Kassar
07:17 - “SBA lending as a whole has a branding problem..” - Ami Kassar
14:28 - “Our whole mantra or culture or values here, or treat an entrepreneur like we want to be treated. I had my lights turned off a couple of times building my company. I don't want that to happen to anybody else if they can possibly help it.” - Ami Kassar
18:54 - “What I always say to people is slow that down. Slow down. Take a breath. What are we trying to fulfill here? What are we trying to accomplish?” - Ami Kassar
37:37 - “My credit in my opinion is like an insurance policy. I don't care if you never touch it. It's fine with me if you never touch it but it should be there.” - Ami Kassar
38:33 - “You never will be in a situation, if you can possibly help it, where a lender smells blood and desperation.” - Ami Kassar
INTENTIONAL GROWTH™ RESOURCES:
- Intentional Growth™ Podcast Archives: Archive of 356+ episodes and counting. Get access to the entire library HERE. We'll be adding a searchable tagging feature later on this year.
- IG Financial Scorecard: Get your Intentional Growth™ Score that grades you on how well you are viewing - and running your business like a financial asset. Get your results and 5 case study videos HERE.
- Intentional Growth™ Academy: 71 Videos, 9.5 hours of content, 20+ exercises. $995 for subscribers [normally $1,495] HERE
