April 6, 2017
Banking Relationships Are Important!
Choosing the right banker or lender
It’s easy to think of lenders as doing your company a favor. But business financing relationships are just that: relationships. Yes, a lender has the working capital you need to grow. But a stable, successful business represents an enormously beneficial opportunity for the lender as well. So you should be just as picky with your banking relationships as it is with your financials.
Where to start
If you indeed have a long-standing relationship with a local bank, make that your first call. There’s no understating the importance of familiarity, good communication, and an amicable rapport when negotiating terms, making payments and dealing with whatever business complications may come up.
But should your local bank not offer the size or scope of financing needed, or if you’d just like to get an idea of what else is out there, don’t hesitate to shop around. Look for a lender with multiple loan products, so you have a better chance at structuring one to your liking. And get some referrals regarding the strength of service and support.
If yours is a small business, check into the availability of Small Business Administration or other government-backed loan programs. These are often designed to boost local economies, so you may be able to get favorable terms and rates.
Last, but not least, don’t limit yourself to traditional lenders. Today’s lending environment is competitive and technology driven. So businesses have a wide variety of alternatives, many of which are just a few clicks away. These include angel investors, online peer-to-peer lending networks, and crowdsourcing.
Many, if not most, companies can’t grow without taking on some debt. But precisely how you go about using debt to your advantage depends largely on the lenders with which you choose to do business. We have strong business relationships with varied lenders with innumerable products to address nearly any business situation. Let us help you find the ideal lending partner. We can also offer assistance in preparing your financial statements for best results.
Please contact us today to discuss your options.
We have added an article for your convenience that has an overview of banking relationships from Forbes.com.