From Cash-Basis Accounting to Loan-Ready: How Signature Analytics Helped Secure Funding

Securing business funding can be challenging, especially if your financials aren’t up to a bank’s standards. This was exactly the case for one of our clients.

When we first got involved with them, they needed a banking relationship to secure funding, but their financials were in disarray. They were operating on cash-basis accounting, had no financial forecast, and lacked reviewed CPA financials. In short, they weren’t in a position to qualify for a loan.

A Big Transition That Was Essential to Growth and Long-Term Success

For any business looking to secure funding, having clear and reliable financials is non-negotiable. Banks rely on detailed financial reports to evaluate risk before approving loans. But this client didn’t have any of the necessary tools in place: no timely financial reports, no forecasting model, and no insight into their future financial health. Without these essential documents, securing a line of credit or a real estate loan was virtually impossible.

How Signature Analytics Helped Get Financials in Order

That’s when Signature Analytics stepped in. Over a nine-month period, we worked closely with the client to completely overhaul their financials. Our team transitioned them from cash-basis accounting to accrual accounting, which gave a more accurate picture of their financial situation. We also created a reliable financial forecasting model and ensured their financial statements were timely and accurate.

By organizing their financials and making them presentable and reliable in the eyes of a lender, we positioned the client for success.

Clear Financials Support an Easy Yes from the Bank

Once we had the client’s financials in shape, we brought in two banks and guided the client through the application process with both. The result? The banks were so impressed with the organization and clarity of the financials that they were able to approve the line of credit and real estate loans right in the client’s office.

The Takeaway: Buttoned Up FInancials Make Getting a Loan Much Easier

Moving from cash-basis accounting to being loan-ready is a complex process that requires expert guidance. By partnering with Signature Analytics, businesses can get their financials in order, making it possible to secure the funding they need to grow.

About Signature Analytics?

Signature Analytics is the smart choice for business owners. With the support of our outsourced accounting and CFO Business Advisory services , your business can make smarter decisions based on accurate data.

We customize the right solution for your business to get you the Accurate, Relevant, and Timely (ART) financials you need to run your business successfully. Contact our team of experts for expert accounting and financial analysis.