Keep lender information requests from producing conflicting forecasts

Different packs can describe different businesses

Several lenders request accounts and forecasts while discussing your debts. One receives last month's figures, another a revised forecast and a third a spreadsheet with different sales assumptions. Establish a controlled process for preparing information. Differences may be legitimate, but they should be explained rather than leave each lender assessing a financial picture that management cannot reconcile.

Date the source information

Imagine a contractor negotiating with a bank and two equipment financiers. Record the period covered by the accounts and the preparation date of the forecast. Ask the accountant to identify unfinished reconciliations. Do not rename an old file current simply because it is being emailed today. The recipient needs to understand how recent and complete the information is.

Keep estimates labelled

business.gov.au says estimated cash-flow figures should be clearly identified and explained. Use a common set of assumptions and show any scenario separately. If a lender requests a different format, preserve the same underlying facts. A layout change should not silently introduce earlier customer receipts or remove costs that remain relevant to the business.

Source: business.gov.au: Set up a cash flow statement

Record what each lender received

Maintain a submission log with the exact file version, date and recipient. Keep confidential information shared only through appropriate channels and obtain advice where disclosure questions arise. In the contractor's example, this makes it possible to answer a lender's question about a number without guessing which of several forecasts it has been reading.

Explain material revisions

When a major receipt fails or an expense changes, ask the adviser what updates should be supplied. Show the change and its reason rather than replacing the file without explanation. Avoid allowing a lender to rely on a proposal the business now knows cannot be performed. The purpose of version control is accurate communication, not merely a tidy folder.

Coordinate instructions as well as numbers

Make sure the people negotiating know the current figures and which proposals remain open. Keep legal notices and deadlines separately monitored. A consistent information pack can improve the discussions, but it cannot resolve a funding gap by presentation alone. Where the combined position is unworkable, take qualified advice about the wider options promptly.