Know Where You Stand with Your Business Banking Relationship

Business banking relationships are a critical aspect of any company’s financial success. However, these relationships aren’t always as stable as they might seem, especially when changes happen behind the scenes, like a bank acquisition.

In this blog, we’ll discuss why it’s important to maintain an active relationship with your business bank, how a bank acquisition can impact your existing agreements, and what steps you should take to ensure your business continues to receive the financial support it needs.?

Bank Acquisitions Can Change the Game

Imagine this: you’ve been working with the same bank for years, building a relationship with your banker, and then one day, your bank is acquired by a new institution. Suddenly, things that used to be simple are now uncertain. The new bank could have a completely different set of policies. Their credit requirements, fees, and even the services you’ve come to rely on might change. Your long-standing banker or relationship manager might leave, and you find yourself having to start from scratch with someone new.

It’s easy to overlook these potential shifts, especially if you’ve trusted the same institution for a long time. But when your bank is acquired, your relationship doesn’t carry the same weight as before. You’re now essentially a client of a new bank, and that trusted connection you’ve built might need to be rebuilt.

The Importance of Annual Check-Ins with Your Bank

Given how banking relationships can change, it’s a good idea to schedule regular check-ins with your business banker—especially if your bank has undergone any major changes. During these conversations, don’t hesitate to ask important questions like, “How do I rank within your portfolio?” and “Where do you see my relationship fitting within the bank?”

These questions allow you to get a sense of where your business stands and what the bank values about your relationship. It’s also a good time to assess if the relationship is still beneficial to both parties. After all, banking should be a win-win for both the business and the bank. Regular communication can help maintain that balance.

The Takeaway: Stay Proactive in Your Banking Relationships

Just because you’ve had a strong relationship with a bank in the past doesn’t mean it will automatically carry over, especially after a major change like an acquisition. Staying proactive and having open, transparent conversations with your bank is key to ensuring your business continues to receive the support it needs.

At Signature Analytics, we understand the importance of having a strong advocate when navigating these banking relationships. Whether it’s asking the right questions or providing accurate financial reports, our team can help ensure your business remains loan-ready and in good standing with your bank.

About Signature Analytics?

Signature Analytics is the smart choice for business owners. With the support of our outsourced accounting and CFO Business Advisory services, your business can make smarter decisions based on accurate data.

We customize the right solution for your business to get you the Accurate, Relevant, and Timely (ART) financials you need to run your business successfully. Contact our team of experts for expert accounting and financial analysis.