Sba loan Default; Debt Workouts are not a get rich quick plan

It happens from time to time, and it comes in a few different varieties.Small business owners with significant debt want to do a workout to reduce their debt and call us for such support. We evaluate their finances and occasionally it does not add up.In a few, we see a successful business possibly with reduced revenues from the business decline we are experiencing, but the reality is they are still profiting and, thus, we really cannot and should not employ our skills to reduce debt through our strategies just to help them avoid paying a loan that they can and should repay because they are solvent and profitable. We walk away from these potential clients. We are not in business to do this.Another issue we confront is when the client has sizable wealth accumulation. This too presents a challenge because while we can strip debt off an underperforming business preserving them from foreclosure, however, when confronting the workout for the personal guaranties, we cannot hide existing wealth. For example from time to time we come across a potential client who has paid off his mortgage and has a valuable house. It is a blank check for the banks and there is little we can do about it. They must pay more than if they had a mortgage and the house was upside down. Their exposed equity becomes a basis for pay back.A third issue which we confront from time to time is when the business is doing well but the business owner takes cash out before depositing it and, thus, makes the business look under performing while building up cash reserves under his mattress. Yes, this happens.We are not in business to support this activity. We do not represent small business owners who are misusing the system. This is unethical and not within our operational standards.I have selected post number 666, the biblical sign of the devil to discuss this issue, as what better post to discuss our ethical standards.We must all eventually answer to ourselves, how we conduct ourselves and what kind of business person we are. We have determined our standards and while we make no judgment for our clients or potential clients as everyone is entitled to determine how they act for themselves, we will not align ourselves with business owners who do not maintain an ethical standard that complies with our definition of what our mission is.We are not here to make someone rich. We are not here to help business owners cheat. We enter a workout with integrity and with full disclosure and this works. We are in business to support small business owners who are drowning in debt and cannot survive. That is what we do.