Lenders: Why are you making the loan? Are you hoping to make a profit, help somebody, keep money in the family, or all of the above? Do you expect to get repaid? Should the payments be regular, or can the borrower pay you whenever he comes up with some money?
Borrowers: Why are you borrowing the money? Do you expect to pay the loan back? What could happen to jeopardize loan repayment? Talk about your ability to repay the loan. Sometimes surprises are nice - but not unpleasant surprises.
