What type of financing is recommended for Parker to expand the warehouse?

Bank credit is considered the most suitable option for Parker to expand the warehouse due to several reasons. Using bank credit typically involves borrowing a significant amount of money that can be repaid over a longer period, which aligns well with the nature of warehouse expansion projects that usually require substantial capital.

Banks offer structured loan products that can be tailored to the needs of businesses, providing benefits like lower interest rates compared to personal loans or family loans, especially for larger amounts. Additionally, bank credit often comes with professional oversight and can include additional resources such as financial advice, which can be instrumental in ensuring the successful management of the expansion.

Utilizing bank credit also helps in building a business's credit profile, providing future opportunities for financing as the business grows. When considering the scope and scale of a warehouse expansion, bank credit is typically able to match the requirements more effectively than alternatives such as online credit, which may not be well-suited for larger, long-term investments.