Thursday, August 6, 2009

Is there money out there?

 Most of us are listening to the national media’s message of no lending by the banks.  But,  are they telling the full story or just selling bad news?  This week, I talked with John Lorentzen of National City Bank  who told a somewhat surprising story.

With National City’s financial troubles and ongoing merger with PNC, you would think them to be the least likely bank lending money.  But, Lorentzen, a twenty year small business credit officer and lender, says that he is putting together his best month on the year.  Lorentzen who operates in the Greenwood market says that he expect to close on three loans which may be the best three deals of his tenure (over ten years) with the bank.

National City small business lenders are having a killer month?  Impossible if you listen to the media.  What is really going on here?

Greg Gordon of First Merchants Bank says that Lorentzen’s experience is unique, an aberration.  Gordon is feels the pinch of restricted credit criteria.  He says that while there is certainly money to be lent, banks are being very selective in approving loans.  

All the confusing and contradictory opinions and messages about what is going on with Indiana businesses in terms of growth or stagnation is causing candidate reticence and paralysis for many corporate recruiting strategies and with executive recruiting consultants who are moving forward with growth plans for the first quarter 2009.  For more information visit Indiana Banking Talent.

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