Speaking. Case Study: Applying for a Bank Loan

Case Study: Applying for a Bank Loan

a) Mr Brown is talking to his bank manager. He would like to have

a loan to start a small business.

Read the conversation and fill in the details required by the bank man-

ager on the interview sheet.

Bank manager Good morning, Mr Brown. Do take a seat. How can

I help you?

Mr Brown

Good morning. Yes, you may be able to help me. You

see, I’m thinking of starting a business of my own

and I need some financial advice.

Bank manager I see. What sort of business are you thinking of going

into?

Mr Brown

Well, I suppose the best way of describing it is tourism.

I’d like to organize European tours.

Bank manager May I ask whether you have ever worked in this field

before? I mean you’re a teacher, aren’t you?

Mr Brown

Yes, I am – a French teacher – and I’ve organized

lots of trips abroad for children.

Bank manager Yes, but have you really looked into the arguments for

and against going into business on your own? Have

you fully researched the field you’re interested in?

Have you done a market survey? Have you looked at

the competition?

Mr Brown

I must admit I haven’t got that far yet. In fact, what I

would really like to know from you is, would I be able

to get a loan, just short term, to cover the start-up

costs?

Bank manager Well, we would have to look very closely at the venture,

get the key facts straight. We’d look at the type of

company you intend setting up. Then we would need

a breakdown of the start-up costs: premises, staff, ad-

vertising costs, etc. Then calculate your present assets

and liabilities. Let’s consider the last point first. What

assets do you have which you could offer as security

for the loan?

Mr Brown

Bank manager

Mr Brown

Bank manager

Mr Brown

Bank manager

Mr Brown

Bank manager