Jessica Quindlen: [00:00:00] Welcome back to the Sound Cents podcast. I'm Jessica Quindlen. Today we're discussing business banking essentials. I have our Director of Business Banking, Vicki Yates. Hello, Vicki.
Vicki Yates: Hello.
Jessica Quindlen: And Pam Jones, our Senior Development Coordinator. Hello, Pam.
Pam Jones: Hello there.
Jessica Quindlen: Pam also used to be a small business owner and worked with Ent, so I wanted to bring her in for a different kind of perspective, both as an employee, but also as a former small business owner.
So, let's just dive right in. What sets business banking apart from personal banking?
Vicki Yates: The biggest thing would be that in business banking, we definitely take a deep dive into a business to make sure that Ent is offering the proper solutions for your business, whether that be that your business is growing, or maybe you're condensing in size, or maybe you're spreading into different parts of town. We just take a deep dive. We can also help with personal banking needs as well.
Pam Jones: I would say from a small business owner's perspective, the beautiful thing about it is that personal banking is very similar to business banking. So, for me, I did not [00:01:00] have to learn all of the intricacies of another bank, their online banking. I simply signed up with a business consultant, got my business account established and was able to use the same features that I was already using
Jessica Quindlen: Great. I love that. You mentioned business consultants and then I know we also have business bankers. Can you walk me through the difference between these two?
Vicki Yates: Sure. Business consultants would be found in our service centers and typically they work with businesses that are about $100,000 to $500,000 in revenue. It can be below that as well. Really wide open for any business from your small mom and pops up to your midsize business. And typically, business banking works with members that are $500,000 to $10 million in revenue, and then some specific areas for dentists, doctors, and attorneys.
Jessica Quindlen: Oh, great. Okay. Fantastic. So why should businesses consider credit unions for their banking needs?
Vicki Yates: You know, businesses should consider credit unions because we provide specialized service. We really [00:02:00] dive in with that business owner to find out exactly how we can be of assistance. We're really more of consultants all the way around from our BCs and in centers, as well as the business bankers.
And they really look to help you grow your business if that's what you're looking to do. They look at the right types of accounts. They look at what you're currently doing. If you currently have any gaps in your financial plan, they can help with that as well.
But also, there are great savings with interest rates that are typically lower with credit unions, as well as more locations and dividends earned back on certain accounts.
Pam Jones: And for me, I wanted to build a relationship with an organization that was very involved with the community. And for me, that was a credit union. It just made more sense to me. Like Vicky said, they had great rates. They had a wide variety of products, and it was just an easy transition for me.
Jessica Quindlen: I love it. So how do credit unions offer customized solutions for businesses?
Vicki Yates: We're definitely not a one size fits all, so we have a la carte options depending on what needs a business [00:03:00] has. We basically take a look at everything they're doing currently and if there's any pain points in that, then we help adjust.
We also look to a past, present, and future model of what businesses are doing so we can offer the proper solutions depending on what they're looking to do for their business. So, it's really a customized approach.
Pam Jones: And one of the things that I want to point out is that when I was a small business owner, I did everything myself. I hired an accountant to do most of my payroll, my taxes, filing with the state.
And now, credit unions like Ent have NewTek, which is an amazing product. I would not have had to hire an accountant, which was very expensive. They have merchant services; they do all of your payroll. They would have paid my taxes. They would have filed through the NewTek process. That customization in itself would have saved me a lot of time and money. As a small business owner, you want to focus on what's important to you, which is certainly not taxes.
Jessica Quindlen: Right. [00:04:00] Absolutely. And my next question is about the sort of fundamental principles of business banking. And I feel like time is such a massive one. I mean, hey, we all need more time, truly. But I think as small business owners, time is so valuable in every way that you can save time is important.
Are there other principles that you want to highlight for business banking?
Vicki Yates: I think you're exactly right, Jess. And I think that in business banking a principle to follow is we want the business owner to be best at what they do, which is run their business. So, we're here to kind of help everything from their financial needs.
We also can refer out if they're looking for a CPA or other services in the area that might be beneficial to their business. So, I think it's just making sure their business is set up correctly from the start and making sure all the owners are represented and looking at the legalities of setting up paperwork and all of the needs that we have in business banking before we dive into what the accounts look like. [00:05:00]
Jessica Quindlen: Why is it crucial for businesses to establish a strong banking foundation?
Pam Jones: I can say that from a small business perspective, you never know you've had a bad day until you own a business, you know.
In one day, I had my air conditioning unit go out and one of my refrigeration units. And if it hadn't been for a credit union, I would not have been able to continue to run and operate my business, so it is extremely important to have that great foundation.
They knew me from personal banking. They knew that I had solid reputation. I had, good funds. They were, easily able to just transition me right into a loan so that I could pay for the repairs and head up to the Air Force Academy to do an event that I desperately needed to do for my revenue.
Another point that I'd like to make is that I was able to take the group of individuals that worked for me from the Colorado School for Deaf and Blind and transition them into banking, [00:06:00] which was something that they had not experienced before.
So, the relationship that I had with the credit union also became their relationship. And they were treated with such dignity and respect, and they were taught how to open an account, how to get direct deposit. I think that the fundamentals in banking also looks at the community that you serve and the individuals that work for the small businesses.
Jessica Quindlen: That's fantastic. How can businesses optimize their banking relationships?
Vicki Yates: I would say that whether they're working with a business consultant or a business banker, it's setting up those regular meetings. Having a set schedule to go over things either monthly or quarterly, depending on what that business needs, just to make sure that we're seeing all the ebb and flow in their accounts and if it's working for them.
Is there something that we could do better? Do they know about all of our products and services? Have they visited Ent.com and they can take some of the free classes that we offer that might inspire them or help them run their business as well on the financial side? There are several ways at Ent [00:07:00] that we try to maximize their benefits. We remind them quite often.
Pam Jones: Not only that, but my business consultant also recommended that I go to the Pikes Peak Small Business Development Center. They showed me classes that I could take that would assist me in every aspect of my business including making sure that I had everything set up correctly with the Secretary of State. They're just such knowledgeable individuals.
And I think the other thing that I really enjoyed about it was the free business seminars that they did offer through Ent. I think that it's a partnership. I think the way you have to look at it is business banking is a partnership. It's a partnership between the credit union and the small business. And it's also a partnership with the community that we serve.
Jessica Quindlen: I love that so much and we'll definitely be sure to link that in our show notes. We've talked a lot about different strategies when it comes to business banking. What about some more advanced strategies for managing business credit effectively?
Vicki Yates: Yeah, that's a great question. I think, typically, business [00:08:00] owners see some ups and downs in their credit. And what the bankers and business consultants try to do is take a look again at their past, present and future to establish some credit goals. If they had anything in the past that was challenging, talk through those challenges, maybe why those happened. Were there changes in the business? Really, the bankers and business consultants asking a lot of questions to really learn more about the business.
And then we definitely have some tips and tricks as well as tools listed on Ent.com and that both the bankers and business consultants could provide to help keep track of their credit.
Jessica Quindlen: That's lovely. Well, that brings us to the end of our show, Vicki, Pam, thanks so much for being here. It was great to have you.
Vicki Yates: Thank you.
Pam Jones: Thank you.
Jessica Quindlen: Thank you for listening to Sound Cents from Ent Credit Union. Be sure to follow our podcast as well as rate and review us. I'm Jessica Quindlen. I will see you in two weeks, same time, same place.
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