When taking a Personal Inventory, you want to ask yourself questions like a lender might and give yourself the real answers. Not all of the answers will necessarily be seen as positives, but you need to know where you are right now and what areas of your financial profile might need help.
What assets do you have that would be available to use as down payment or as collateral?
Do you have income from other sources that can help to pay back a loan?
Do you have any "ghosts in the closet" or any ugly situations that a lender might consider a negative? If so, are there ways you can present to a lender that would mitigate the negatives?
Do you have work experience that is relevant to your financing request?
If you are starting a new endeavor, are there experiences in your past that will directly or indirectly help you?
What debts do you have and what bills do you pay every month or year?
Be realistic about your income, assets, and debts.
Again, you want the real answers to the hard questions.
No one’s situation is perfect, but can a lender or investor deal with the situation or is there a way you can make it better?
Once you have taken a personal inventory, prepare a Personal Financial Statement.