Twenty years ago International Treasurer wrote that maintaining good bank relationships pays dividends in times of need.
With regulations taking up a fair amount of time and money of most banks, companies might find their partners a little distracted these days. That’s why it’s always good to keep in touch, whatever your needs. And discussions at a recent NeuGroup Tech20 Treasurers’ Peer Group bear this out, as now is as good a time as any to maintain good relations. “With a slew of Basel III-related rules starting to take effect, this is an opportune time for discussion with relationship banks about how they see these rules impacting their offerings and what changes this might entail for your wallet allocation and bank mix.”
In 1994 it was a similar situation, wherein treasurers were encouraged to maintain good relations for those times in need: “Like a friend, bank relationships must be cultivated to ensure that they are a reliable source of funds. The public markets blow too hot and cold to be a dependable first source — particularly in the event of a crisis.”
Bottom line? Pick up the phone.