Debt and Banking Advisory – All the Way with DBA
When discussing our clients’ business banking needs, we often find they are not across all of the terms of their current banking facilities as they are focused on other aspects of their business. While reviewing the terms of your banking facilities can be a time-consuming process, understanding these details is critical to ensuring you are getting the best deal.
During the GFC, much of the price competition that was in existence pre-GFC had disappeared. Financiers were increasing their pricing and passing on their own higher borrowing costs. Consequently, businesses and their owners may have been pressured into signing a deal that may not have been in their best interest. However, competition is stronger in the current economic climate. As a result, many businesses are finding that a better deal can now be struck.
In addition, it is important to consider whether your existing banking arrangement is relevant to your current or even future needs. If your existing deal only reflects your past banking needs, it may be time to review your position.
ESV can help you with the above concerns by providing advice and negotiating on your behalf to ensure you get the best possible deal from your financiers and bankers. We can prepare a detailed financial forecast model for your business and manage a competitive tender process with appropriate financiers and banks, to obtain the best offer in the market tailored for your requirements.
We can also review any other facilities that you may hold with your current bank to ensure they align with your current and/or future goals. If nothing else, you can have the comfort that you are currently on a good deal with your financier.
At ESV, we specialise in structuring commercial solutions to suit the individual needs of each client. We understand the complex matrix of issues that can help or hinder the delivery of an optimal banking solution for your business.
If you believe it is time to review your banking needs, please contact your relevant ESV engagement partner on 02 9283 1666.
Article by Colin Samuel