For too long, individuals who have never left the comfort of an air-conditioned office or a cubicle in some downtown tower have been sitting in judgment over development loans. For too long, these individuals have based life-altering decisions on nothing more than columns and rows on a spreadsheet — decisions that have cost companies and their principals their life savings and their properties.

For too long, people who have never in their years in banking, tried to run a stall, a cook shop, or a bar have been given the authority to pronounce on facilities they themselves could never conceptualise, let alone understand.

It is for these reasons that I want to share my own story.

My First Loan Rejection

In 2012, I took my first-ever development loan application to one of Jamaica’s most established, locally owned banks. The adjudicator who reviewed it told me my project was not viable and would not succeed. I took my documents and left.

That project was completed within 14 months. I sold only one of the four units, paid off the facility in full through another institution, ended up with excess liquidity, and still own the remaining three units to this day.

That experience has stayed with me. I often think about how differently things might have turned out if I had listened to that adjudicator. My very first development would never have materialised. What disheartens me most is that this same person still holds the same position at that same institution, still making the same kind of misjudgments, still casting legitimate businesses in a negative light.

A Call to Financial Institutions

I share this not to relitigate the past, but to make a broader point: banks and other lending institutions need to properly vet the people they place in these adjudicating roles.

Adjudicators need to be made aware of the many different components that make up a development loan. They need to be exposed to the actual projects they’re evaluating — not just the numbers behind them. They should be required to conduct site visits, do their analysis on the ground with clients, and take the time to actually know their clients. Vet the applicant’s track record. Read the files. Files tell the story.

To any financial institution considering entry into this type of lending, my advice is simple: be prepared to make decisions quickly. A clear yes or a clear no allows the client to consider other options without losing valuable time. And there are options — plenty of them. Some of us remain loyal because we want to build long-term relationships with financial partners we can trust for years to come. But banking is, at its core, a relationship business. It must be mutually beneficial to all parties involved, at all times.

The Bigger Picture

I’ll close with this: if Jamaica’s leading financial institutions continue to prioritise lending for cars and assets that depreciate within months over lending that builds homes, businesses, and communities, we will find ourselves in a spot of bother before too long.

Rohan A. Grant, JP, Founder and CEO, GARCSL Limited. Construction professional for 27 years — always building in Jamaica.