Farm and other small business credit analysis becomes increasingly difficult when the business owner(s) has organized into multiple entities. Commonly, multiple entities are created for tax and/or liability reasons. To aid in credit analysis for operations of this type, FINPACK allows users to quickly consolidate the balance sheets or tax forms from several different data files into a single file. By consolidating these financial statements, the lender can quickly garner the most complete, global financial picture of their borrower.
It is a best practice to consolidate Detailed Balance Sheets or Tax Forms from the different entities into a new data file and indicate this is a consolidated FINPACK file. Create a Detailed Balance Sheet or Tax Form of the same date as that of the other entities in the new consolidated file. Once created, the FINPACK user can select Edit + Consolidate to bring each entity’s Detailed Balance Sheet or Tax Form into the consolidated FINPACK file. For more detailed information on the consolidating process see the FINPACK Knowledge Base.
Pauline Van Nurden is currently the Associate Director for the FINPACK Team. She has been with the team since 2017 as an Economist.
Prior to joining the FINPACK Team, she worked as a lender. This provides her valuable industry experience and knowledge in her work with FINPACK. Pauline holds a Master’s Degree in Agricultural Education and Bachelor’s Degree in Applied Economics, both from the University of Minnesota.