Because I am in banking, I have been getting a lot of messages this weekend asking if the banking system is crashing. To which I have to say, not yet. I talk to all the regional and local banks in the Texas market, and they are all sitting very strong – healthy balance sheets. NONE of them are feeling insecure about where they are. So, I don’t see a systemic bank failure right now…the market is overreacting…I know…it never does that…LOL.
So, what then to make of the Silicon Valley Bank? It was a technology bank. Technology has been the market leader, and between the thousands of layoffs and now a big technology bank going down, tech is screaming a warning signal – Danger Lies Ahead. I think you would be better served seeing this as a warning to get your house in order. Using leverage can be a smart move if it is used to invest in assets or a business that generates positive cash flow and contributes to your bottom line. However, if debt was used to purchase non-income-generating products or resulted in a negative impact on your bottom line, it’s important to reduce that debt. By utilizing leverage effectively in our personal lives, we can prevent a repeat of the 2008 financial crisis and create positive outcomes for ourselves.
Be ready. With all disruption comes opportunities for those who are ready. I am not making light of this; America is in serious financial trouble – neither the government nor even the Federal Reserve is currently solvent. That is EXTREMELY problematic. Don’t hide your head in the sand, keep working on the task that has been put in front of you…but get your house in order. Be ready, there really is trouble ahead…we won’t get out of this unscathed. You can’t control that, so DON’T WORRY ABOUT IT. Worrying about things you cannot control is NOT fruitful. Does no good. Control what you can control, do the job in front of you, get your house in order, and be “other” focused. There are people you can reach today. Be an encourager…a lot of people have a tough time of it right now, reach out with kindness – it costs nothing. You CAN do that. Have a blessed week!
P.S- f you are in the market for a commercial or business loan, you risk NOTHING by giving me a call. See why we are so busy and what makes us different. From a live person answering the phone to quick one (1) day approvals, you will see the difference-and often our rates are better than anyone else. You get the whole package with Commercial Capital. So give me a call today at 512-358-1511 or click here to get started.
Karen Schimpf
Commercial Capital, Ltd.
O: 512-358-1511
E: karen@ApplyCommercialLoans.com
L: www.linkedin.com/in/karenschimpf/
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