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Cultivating Strong Banking Relationships
Strategic Insights for CFOs
flexibility of their financial products. Consider
a mix of traditional banks and alternative
financial institutions, such as credit unions or
online lenders, to find the most appropriate
partners for your needs.
Srinivas Subramaniam
Principal, CFO Centre India/UK Group
srinivas.subramaniam@cfocentre.com
In today’s dynamic financial landscape, cultivating
robust banking relationships is crucial for the success
and stability of any organisation. The role of the
Chief Financial Officer (CFO) in developing these
connections is crucial. By fostering strong banking 2. Foster Open Communication
partnerships, CFOs can access better financial
terms, superior service, and valuable financial A. Establish Regular Communication:
insights. This article provides a comprehensive
guide for CFOs seeking to enhance and strengthen • Schedule routine meetings with your banking
their banking relationships. partners to discuss your financial performance,
upcoming projects, and any potential challenges.
1. Understand Your Needs and Goals These meetings should be structured yet open-
ended to encourage candid discussions.
A. Assess Your Financial Needs
• Use these meetings as opportunities to provide
• Conduct a thorough analysis of your organisation’s updates on your business and to gather insights
financial requirements, including working capital, on market trends and new financial products.
investment plans, debt management, and liquidity Regular communication helps ensure that your
needs. bank understands the evolving needs of your
• Develop a detailed financial plan that aligns with business and can offer appropriate solutions.
your organisation’s strategic goals and financial
needs. This ensures that your banking relationships B. Build Personal Relationships:
support your business objectives and growth plans.
• Develop and maintain personal relationships
B. Identify Suitable Banking Partners with key banking contacts. Plan informal
meetings, attend industry events, and
• Research and identify banks that have expertise in consistently communicate through calls or
your industry or a proven track record of supporting emails.
companies like yours in size and scope.
• Evaluate potential banking partners based on their • Cultivating personal connections can facilitate
range of services, technological capabilities, and the smoother negotiations and quicker resolutions
12 | LEADERSHIP SERIES INTERNAL AUDIT TODAY
