• Express Business Funding

The Evolution of Lending Relationships

In days gone by, businesses would use the same bank for life. In those days, the local bank manager had authority to make decisions locally and would base a lot of his/her decisions on the strength of the relationship, not just the numbers on a balance sheet.

Back then, loyalty to your bank was a 'thing'!

But banks are businesses too. They had to evolve, and with such fierce competition, had to look at cost saving strategies such as centralization .

Customers also had to evolve. The old model of being able to call up and get straight through to a bank decision maker is mostly gone. The casualty of this shift in bank/customer relationship is "loyalty".

Business borrowers realized that there were other options to the traditional Big 5 Banks. Some of these options filled the relationship gap where businesses could call a decision maker and get real time decisions on borrowing needs. The borrowing costs may be slightly higher but many business owners value relationships and many are willing to sacrifice a few dollars to have that close bond.

There is a myriad of 'secondary lenders' who's models are relationship driven. Express Business Funding is the leader in this space and prides itself in the investment in relationships. Indeed, the CEO and the CFO both have a direct and frequent dialogue with the entire client base. This is rare to say the least.

Every relationship has its up and downs. The best advice is to work with your current lender and endeavour to get the relationship back to on track. If your relationship with your lender, whoever that may be, is becoming untenable call Express Business Funding and let’s see if we can map out a long-term working relationship


Express Business Funding

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