Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
Hampel to IBizWeekI Why inventory is hard to finance
LOS ANGELES (9/16/09)--Inventory financing will be one of the most difficult things to obtain this year, according to the Credit Union National Association’s (CUNA) chief economist. Inventory financing is hard to get because inventory is basically useless, Bill Hampel told BusinessWeek Friday. “Inventory is, by definition, self-liquidating, extinguishing collateral because if the business does not sell the vast majority of its inventory, it’s essentially worthless,” Hampel said. “For a lot of business lenders, inventory financing is essentially viewed as unsecured lending.” BusinessWeek’s article noted that Josh Lipton, owner of BikeShopHub.com, had received a $32,000 revolving line of credit from Bank of America. BofA cut the line in half this summer. Lipton said he used the credit during the slow season last fall, but paid it off in full in spring. After he paid off the line of credit, he received a note from Bank of America saying he did not qualify anymore for that large of a credit line.
Other Resources

RSS





print
News Now LiveWire
Final field-of-membership rule tops April 30 NCUA agenda http://t.co/gFIhRhUCts
21 hours ago
.@CUNA's @Nussle speaks to @VonnieQuinn about #StoptheDataBreaches and reg. relief. http://t.co/TMTubG9Afk
22 hours ago
RT @NCUFoundation: .The Foundation's @hylandhighway with @NatlJumpStart President/CEO Laura Levine at #FLHillDay2015 today: http://t.co/ep5…
1 day ago
Seriously underwater homes rise, new-home sales tumble News Now: http://t.co/2LzWTkqnES
1 day ago
#NewsNow Cornerstone Foundation awards $71K in grants http://t.co/Y6D8K9rwWv
1 day ago