How to Choose a Business Banker
When starting a business, one of the first and most important things you can do is open up a business account. Not only does it keep your business and personal finances separate (which it should), but it gives your business credibility and helps it to establish necessary credit.
Before you settle on a business banker and bank account, shop around. Business bank accounts are more expensive than personal bank accounts and have more fees associated with them, so you'll want to do your homework to see where you will get the best deals and what services they provide that you will need.
Having a good relationship with your banker is a crucial aspect of your business. There are a number of reasons for this. Good communication with your banker can result in business referrals and more business. In addition, a business banker will help you find solutions to your banking concerns and work with you to find the right funding and investing solutions for your business.
How to Choose a Business Banker
There are a number of things to keep in mind when choosing a business banker. The following are some things to keep in mind when selecting the right business banker for your business:
- Ask for referrals. Business associates, friends, and referral services that can be found on the internet can be very helpful in finding a good business banker. If an associate or acquaintance has had a good experience with their banker and refers you to him or her, it can eliminate the guesswork associated with finding a good banker.
- Make sure you look at the bank's own finances and standing. A bank that is struggling financially or does not have a strong customer base is not a bank you will want to do business with.
- If possible, go with a bank that specializes in small businesses. Many banks specialize or at least have departments that cater specifically to small businesses. This would be ideal, as these bankers know the issues a small business faces and are better equipped to handle them.
- Conduct an interview. You will be working closely with your banker, so it's important that you get along with him or her. Hold an interview, preferably in person but on the phone if necessary, so you can see if your personalities mesh. If the banker is rushed or you don't think you would get along with him or her, you might want to look elsewhere. Make sure the banker makes you feel comfortable and is friendly and open and can answer any questions you may have.
- Try and get as high as possible. It would be to your advantage to develop relationships with bankers who are established within the bank. Less turnover results from this, so you won't have to worry about finding a new banker every year or so.
- Make sure the banker is honest and straightforward. You don't want to deal with someone who isn't upfront about the fees and all other costs associated with opening a business account.
Selecting the right banker to handle your business accounts is an important component of your business's financial success and well-being. Once you have selected the right banker, you can begin to build a relationship of trust and cooperation that will ultimately help grow your business.