Sources & Methodologies

• We believe credibility comes from transparency and rigor. Loan Analytics employs robust data sources, proven modeling frameworks, and strict quality controls to deliver studies of the highest caliber. Key aspects of our approach include:

• Trusted Data Sources: Quality inputs yield quality insights. We leverage the most reliable, up-to-date dataavailable – from detailed demographic statistics to industry benchmarks and even competitors’ financials – to ground each feasibility study in fact. Our team has access to leading market research databases and public data (e.g. Census, Bureau of Labor Statistics, FDIC reports), ensuring that every claim in our report is backed by objective evidence.

• Robust Modeling Frameworks: Our financial analysis is built on well-established frameworks and best practices. We construct multi-year financial projections in accordance with recognized standards such as the Uniform Standards of Professional Appraisal Practice (USPAP) – the national quality-control benchmark for appraisal and valuation analysis. Each model is informed by real-world data (including peer company financials) to ensure projections are credible and defensible. We integrate techniques like discounted cash flow analysis, scenario planning, and break-even analysis to evaluate viability from every angle. All calculations follow generally accepted accounting principles, and key assumptions are clearly documented for transparency.

• Regulatory Compliance Benchmarks: Our feasibility studies are designed to meet or exceed SBA and USDA requirements from the start. We structure each report to cover all the critical components that regulators and lenders expect – including market demand analysis, technical/operational feasibility, detailed financial projections, management capability assessment, environmental and regulatory reviews, and risk By adhering to official guidelines (e.g. SBA’s SOP 50 10 for 7(a)/504 loans and USDA’s program regulations), we ensure our studies will be accepted as “lender-ready”. For example, SBA’s 7(a) and 504 loan programs typically require an independent feasibility study for projects above a certain size (around $1 million), and USDA’s Business & Industry loan guarantees mandate a feasibility analysis for new ventures or major expansions with no established cash flow. We stay current with these criteria so that our clients’ reports check every box for compliance.

• Validation & Quality Assurance: Every analysis undergoes rigorous internal review and stress-testing before it ever reaches your desk. We employ a peer-review system – a second set of senior eyes scrutinizes each study to challenge assumptions, verify calculations, and confirm conclusions. We also subject our financial models to sensitivity analyses and stress tests: examining best-case, base-case, and worst-case scenarios to see how changes in key assumptions could affect the project’s viability. This disciplined validation process ensures our recommendations hold true under varying conditions, and that any weaknesses are identified and addressed proactively. In addition, we cross-check our findings against external benchmarks and, when applicable, relevant regulatory ratios (for instance, Debt Service Coverage Ratio thresholds for loan approval) to make sure our clients are on solid footing.

• By being transparent about our data sources and methodologies, we give our clients and their stakeholders confidence in the integrity of our work. Our mantra: evidence-driven, by the book, and built to withstand scrutiny.