Despite all of the marketing that financiers do, there’s no one-stop shop for financing. Each financier has its focuses and strengths. So much time is wasted talking to firms that were never a fit from the start. Making sure you fit their funding profile will save you a lot of time and disappointment. 

One of the best ways to start assessing if you’re a good fit for each other is to see how much they understand your business. If you have to teach your prospective financing partner what SaaS means or what digitally native brands are, you’re likely in for a frustrating relationship. The more your partner understands how your business works, the more you’ll be able to navigate challenges together.

You’ll find that a lender that deeply understands your business can add value in unexpected ways. If they have an extensive portfolio of similar companies, they can often provide insights based on what they see in the broader ecosystem. Insights and pattern recognition aren’t exclusive to VCs.

As the financial decision-maker in your company, it’s your job to assess whether the financier is suitable for your business or not. If your partner understands you, they are likely able to creatively approach the funding of your business to match how you operate.