Start Out with the Smaller Banks

You tend to get your first loan wherever you can. A lot of the time, that’s a bank that lends nationally, especially with franchises. But the real bank you want to use for your operations from that point forward is an entirely different bank. The big banks have their place, but at a community bank or a smaller regional bank, you may actually get to know the president or members of the board. That bank may be the right size for you, especially if they’re willing to lend you money for additional units. After you’ve been with them a year, that’s a fair question. Go in and say, ‘This is my plan. I’m going to need money here and here. Is that something I could come to you for?’ If they say yes, you’ve hit the home run. If they say no, well you, you might want to look for another bank, but you can’t judge them until you give them enough data. You need to know your banker and leverage that professional relationship, just like you would your account or your lawyer. Don’t let the first time they see you be when you’re going in with a life or death need. What happen with the PP is just one instance. A good banker can make you a lot of money, and not just on the finance side of it. They can make valuable introductions. But the key is building the relationship.

untitled
This entry was posted in Networking and tagged , , , , , , , , , , , , , , , , . Bookmark the permalink.

2 Responses to Start Out with the Smaller Banks

  1. My first job was at Seaway National Bank because my aunt was an executive there. I still bank with small banks and military credit unions.

    Liked by 1 person

Please Leave Your Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s