Having trouble reading this e-mail? Please follow this linkhttp://www.yourentitysolution.com/Education/WeeklyOutreach/tabid/863/Default.aspx
Please add us [ admin@yourentitysolution.com ] to your email address book.
November 18th, 2009
A Good Bank Can Save Your Company
If you have been in business for awhile, particularly in these challenging times, you may already understand the power of choosing the right bank. If you are just getting around to making that decision, or are ready to make a change, shopping around is important. Making a list of Must Haves and Would Likes will keep you focused as you investigate what each bank has to offer.
When things are going well, you can get by with just about any bank. It may be more or less friendly, more or less convenient; but your livelihood will not depend on what that bank does, as long as it stays in business. After all, you simply use it to deposit funds and honor checks. However, in tough times a good bank can save your business.
How can it do that?
By allowing you to transfer balances from other credit cards such as American Express to a low or no interest credit card that the bank issues, giving you breathing room to recover.
By extending overdraft protection on your checking account, to help out when money is coming in, but a bit slower than normal.
By extending a line of credit to help out when you are in a slow season.
By calling you when there is a problem instead of returning a check or denying a request.
And by helping you provide better service to your clients by doing little things to make banking easier for them.
This last statement may be puzzling if you haven’t thought of banking as part of the service that you provide. Let me give you an example. Your Entity Solution, LLC sets up Checkbook IRA LLCs to give clients more control over their IRA funds. Most of our clients are outside Nevada. That makes opening a bank account for these funds challenging. The bank officer we work with knows us. We have spent time cultivating a relationship with him. We send him a copy of the documents he needs as proof that the LLC exists, that our client is the manager, and we are the registered agent; and he allows our clients to send back notarized documents to open the account.
Now before 9/11 this would not have been a big thing; but banking has changed and most bank officers are very nervous about opening accounts for people out of state and for people who do not show up in person to open the account. Our relationship with this bank officer makes a huge difference for our clients. If one of your clients is in trouble, wouldn’t it be great to suggest that they see a bank officer that you know provides outstanding assistance?
And while we are on the subject of banking – make sure that you are keeping your business and personal funds absolutely separate. As I mentioned in the minute book video, co-mingling funds is the fastest way to damage the liability protection your LLC or corporation gives you.
To your success,
Wendy Byford + Gary Bauer