Professionally Speaking July 2017- Verve, a credit union

Commercial Lenders: Leveraging a Crucial Business Asset

by John Hill of  Verve, a Credit Union  920.230.3021

As an entrepreneur, maintaining a close relationship with your commercial lender is important throughout the life of your business. Companies go through lifecycle stages – each with its own unique challenges – and your commercial lender can help you recognize shifts and identify ways to navigate those changes.

Think beyond lending at every lifecycle stage of your business. 

1. Ideation/Development – At the initial planning stage of your business, a commercial lender can provide valuable resources and give ideas on ways to prepare for your new business venture.

2. Startup/Survival – Decisions you make on day one can have a lasting impact on your business – consider your financial institution a partner in your business, even if you don’t need financing right away. Your financial institution should provide a team of experts to help in the good times and bad, which could mean the difference between survival and defeat.

3. Success/Growth – Cash flow is one of the leading reasons for the high failure rate of new businesses. Consider the timing of the funds you receive, and prepare your business for financing during the development stages by staying in close communication with your commercial lender.

4. Expansion – There may be times in your business where you need to decide if you will expand or not, and preparation is critical. Sharing your plans with your commercial lender can help them provide better recommendations to assist you with important business decisions.

5. Maturity/Exit Strategy – Make sure there is a succession plan in place and set your successor up for the best chance of financing by connecting them with the commercial lender you’ve been working with throughout your career.

Stay connected for long-term business success.

Whether you have a current financial need or not, communicating with your commercial lender can help you prepare for all stages of your business and can even mean the difference between success and failure.

John Hill (jhill@verveacu.com) is the Vice President of Business Lending at Verve with more than 15 years of experience in the lending industry and a passion for helping entrepreneurs meet their goals. Founded in 1937, Verve, a Credit Union, is a member-owned, not-for-profit financial cooperative with more than $800 million in assets and serving over 56,000 members at 15 locations. Learn more at www.verveacu.com. Federally insured by NCUA.

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