As a business owner, you may make several trips to the bank each week. Some of the visits may be for personal reasons like getting cash or opening up a CD but the majority of your visits are for business purposes such as depositing your sales revenues. Your interaction with bank employees may be limited to the tellers who help you with these transactions. But whom do you talk to when you need additional capital to grow your business?
Starting a relationship early on with a bank loan officer can have many benefits and save you mission critical time. Here are three reasons to seek and develop a working relationship with a banker before you have a need:
1. You already have someone you trust who knows you and your business. The benefit to you is this person understands your vision and can give you banking options that fall in line with your plan. Your banker already knows the answers the 5Cs of Credit questions about you.
2. You can bounce ideas off of someone in the banking field as you explore options. For example, if you’re thinking of borrowing money for your business, you and your banker can talk about the effect the new debt would have on your income statement and balance sheet, thus helping you weigh options to make an informed decision.
3. Your banker will help you to know what to expect when you do apply for a loan. When you’re ready to apply for a loan, you will know where your company is financially and you will have all the necessary documents ready that will be requested by the bank.
Regardless of whether you’re in the market for a business bank loan or not, most bankers are willing to share advice and to support you as a fellow member of the business community. A good relationship with a banker can be a huge advantage to you as a business owner and can play an important role in your success.
You're invited to read about the 5Cs of Credit and more in The Basics of Business Bank Loans (.pdf) from First Bank and Trust Company.
First Bank & Trust Company, one of the top community banks in the United States, is a diversified financial services firm with office locations in southwest Virginia, northeast Tennessee, and the New River and Shenandoah Valleys of Virginia. Financial objectives are addressed by offering free checking products for personal and business accounts, and assessing lending solutions managed by mortgage, agricultural and commercial lending divisions. Comprehensive financial solutions are available through trust and brokerage service representatives.
You're invited to read more about First Bank & Trust Company on Handshake 2.0. First Bank & Trust Company is a client of Handshake Media, Incorporated, the parent company of Handshake 2.0.