- How will rising interest rates will affect your current business operations? Do you have a mortgage on any real estate? Fixed or variable rates? Take a look at any other existing loans and credit cards, are they pegged to the fed rate? Do you buy inventory with vendor financing agreements? Do you have the capital on hand to realize the growth you want? Any sizable equipment purchases on the horizon?
- How will rising interest rates will affect your customers? Do you sell to consumers and businesses? Both will be impacted by a rise; consumers with mortgage, credit card, and car loans, businesses with the same plus equipment, inventory, working capital, and other obligations.
- How rising interest rates affect will your competition? No one knows your market like you do. Will this be an opportunity to consolidate market share as your competitors are caught unprepared? Can you afford to be on the sidelines? Capital on hand gives you’re the advantage of agility.