Mayflower Plymouth Quotes

“Stewarding capital is about responsibly turning two good things into one hundred good things; it’s about turning seeds into forests.”
― Hendrith Vanlon Smith Jr

“Lenders often consider a company's industry, market conditions, and competitive landscape in their risk assessment. Everything matters.”
― Hendrith Vanlon Smith Jr.

“When people feel like they are a part of a team, they are more likely to act in ways that benefit everyone, and less likely to engage in destructive behavior.”
― Hendrith Vanlon Smith Jr, Business Leadership: The Key Elements

“Capital must be consistently preserved, accumulated and compounded - that's the expectation.”
― Hendrith Vanlon Smith Jr., Investing, The Permaculture Way: Mayflower-Plymouth's 12 Principles of Permaculture Investing

“Interest coverage ratio measures a company's ability to pay interest on its outstanding debt. If a company can’t effectively pay interest on its outstanding debt, the likelihood that it can afford new debt is extremely low.”
― Hendrith Vanlon Smith Jr.

“Mezzanine financing combines debt and equity, providing lenders with additional security. If your lender is interested in doing this, just know that’s it’s a way for them to mitigate risk. On the flip side, it may sometimes be smart to come out the gate with this as your offering.”
― Hendrith Vanlon Smith Jr.

“Loan amortization schedules outline how loan payments are allocated between principal and interest. These can make the difference between pays as agreed or default at some future point in time.”
― Hendrith Vanlon Smith Jr.

“Working capital loans help businesses manage day-to-day operational expenses. But it’s really important that cash flow optimization is prioritized in this.”
― Hendrith Vanlon Smith Jr.

“Regulatory compliance is crucial in corporate lending, with financial institutions having to adhere to various laws and guidelines. It represents another set of costs and risks that lenders have to consider.”
― Hendrith Vanlon Smith Jr.

“Commercial lending is a vital component of the financial industry, supporting businesses in achieving their growth and operational goals. Without corporate lenders, the ability and rate at which businesses are able to grow would likely be considerably less.”
― Hendrith Vanlon Smith Jr.

“Commercial bankers have a responsibility to holistically evaluate the creditworthiness of businesses seeking loans to ensure responsible lending practices.”
― Hendrith Vanlon Smith Jr.

“Understanding the unique needs of each business is crucial in tailoring financial solutions that align with their objectives. It’s never a one size fits all when it comes to financing.”
― Hendrith Vanlon Smith Jr.

“Interest rate risk management tools, like derivatives, may be utilized to mitigate the impact of fluctuating interest rates on commercial loans.”
― Hendrith Vanlon Smith Jr.

“Loan restructuring may be explored as a collaborative solution between commercial bankers and businesses facing financial challenges. In the event of crises, it may be the best option for everyone.”
― Hendrith Vanlon Smith Jr.

“Refinancing options are considered to optimize a business's financial structure, potentially lowering interest costs and improving overall financial health. But it has to be to the advantage of both the borrower and the lender.”
― Hendrith Vanlon Smith Jr.

“There will always be opportunities at the intersection of risk and predictability.”
― Hendrith Vanlon Smith Jr.

“Municipal bonds finance local government projects, such as schools, roads, and utilities. So there’s a public good aspect to investing in municipalities that isn’t antithetical to equity investing but it’s different.”
― Hendrith Vanlon Smith Jr.

“Bond proceeds contribute to community improvements, enhancing residents' quality of life. Theres a public good aspect there.”
― Hendrith Vanlon Smith Jr.

“At Mayflower-Plymouth, we believe in having a long term view with investments. We believe that maximizing long-term ROI requires having a big picture view in terms of business and economics. We believe that equity without income is unnatural – so every portfolio should generate consistent income. We believe in prioritizing not just growth, but also resilience. And we believe that we should employ a multitude of traditional investment approaches toward the achievement of our investment goals.”
― Hendrith Vanlon Smith Jr., Investing, The Permaculture Way: Mayflower-Plymouth's 12 Principles of Permaculture Investing

“Cash flow analysis helps lenders assess a business's ability to generate sufficient cash to meet debt obligations. In terms of managing your business’s money, free cash flow is a good metric to keep front and center.”
― Hendrith Vanlon Smith Jr.

“Secured loans have collateral, while unsecured loans rely solely on a borrower's creditworthiness. As an entrepreneur, you’re in a stronger position if you have both the creditworthiness piece and the collateral piece.”
― Hendrith Vanlon Smith Jr.

“Bridge loans provide short-term financing until long-term financing is secured. If you’re having trouble getting full financing, try seeking a bridge loan for the time being.”
― Hendrith Vanlon Smith Jr.

“Defaulting on a corporate loan can result in financial penalties and damage the business’s credit. You wanna avoid default by any moral means necessary.”
― Hendrith Vanlon Smith Jr.

“Refinancing involves replacing an existing loan with a new one, often to secure better terms. But it’s a bit of a paradox because to benefit from what may be much needed refinancing, you need to qualify for refinancing.”
― Hendrith Vanlon Smith Jr.

“Interest rate risk arises when there's potential for interest rates to change, impacting loan costs. It’s a serious consideration for lenders.”
― Hendrith Vanlon Smith Jr., Capital Acquisition: Small Business Considerations for How to Get Financing

“Restructuring may occur if a business faces financial challenges, involving changes to loan terms. It can be a tedious process, but often times, better than the alternatives.”
― Hendrith Vanlon Smith Jr.

“Currency risk is a consideration in international corporate lending, given fluctuating exchange rates. It represents another set of costs and risks that lenders have to consider when lending internationally.”
― Hendrith Vanlon Smith Jr., Capital Acquisition: Small Business Considerations for How to Get Financing

“Corporate lenders play a vital role in supporting economic growth by providing capital to businesses. Without corporate lenders, the ability and rate at which businesses are able to grow would likely be considerably less.”
― Hendrith Vanlon Smith Jr., Capital Acquisition: Small Business Considerations for How to Get Financing

“Commercial loans serve various purposes, from financing expansion and working capital to equipment acquisition and real estate investment – They’re a very important part of the capital ecosystem of the world, and of its individual nations.”
― Hendrith Vanlon Smith Jr.

“Municipal bonds finance local government projects, such as schools, roads, and utilities.”
― Hendrith Vanlon Smith Jr.