Why it’s so important especially now to Maintain a Relationship with Your Business Banker
We all strive to make financial decisions with wisdom and confidence. Listed below are some of the reasons why it’s important to build a strong relationship with your banker and to also have an emergency plan in place.
As you are running your small business, you will open a business checking account, apply for a business credit card, and also apply for small business financing. Your bank may assign a specific banker to your account or have it managed by their small business department.
While it seems like it’s a small part of your business, after you’ve opened your business account it is very important to build a relationship with your banker in order to take advantage of the many benefits, they can offer your business. When a crisis arises, you will not just be seen as a bank account number but a person that they know and have built relationally with.
A Trusted Financial Advisor
Meet with your banker regularly every month or quarterly to go over your business’s finances. By analyzing your cash flow, balance sheets, assets, receivables, and payables, your banker can assess how healthy your business’s finances really are. Use them as a part of your internal team, not just external support.
Your Banker has several Business Contacts
Your business banker works and networks with a wide variety of businesses and professionals and can be a valuable resource in connecting you with them.
Better Financing and Loans
If you walk into a new bank and immediately apply for a business loan, your chances of receiving financing are low. But when you’ve developed and maintained a relationship with your bank over several months or years, you have a much better chance of getting a loan, because the bank already knows you and knows how your business finances work.
Testimonials and Reference on Your Behalf
Just as your business banker can point you in the direction of the right CPA or vendor, they can also point potential customers and clients in your direction. Their network is actually also potential customers for you.
Maintaining a relationship with your business banker isn’t difficult. You have to be intentional and schedule a meeting to introduce yourself and go over your business’s model and finances. They are a professional in their sector and you can benefit from their assistance and expertise.
You will find yourself in a better place when a crisis hits because you have built great relationships. When it’s time for you to access additional financial support it will be a little easier and decrease your stress level. Reach out to your banker today if you haven’t already.
Follow Business Consultant Yolanda Shields Instagram Facebook LinkediN
