Choosing a bank with fewer lending limitations will keep you from hitting a credit roadblock when you need financing most.
Entrepreneur Vince Cirrincione III had a natural affinity with his longtime bank, a locally based lender that had made several loans over the years to his family's Pittsburgh-based medical and industrial gas supply company. He liked the bank's personal service and quick loan decisions. And he didn't have to worry about getting lost in the shuffle of a large bank.
As it turns out, Cirrincione should have been worried about his bank's ability to keep pace with his company's growing borrowing needs. It's a lesson the 47-year-old entrepreneur would learn the hard way. Four years ago, when Cirrincione needed more than $2 million to buy a gas-filling facility in Akron, Ohio, the bank had to take a pass--not because it doubted Cirrincione's ability to repay the loan, but because of its own lending limitations. "We were dumbfounded," recalls Cirrincione, president of Sky Oxygen, the $10 million business he runs with his sister, Laurie Waller, 46.
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