Treasury Management is an important part of any business’s daily operations; however, it can tend to be overlooked by business owners. Additionally, most banks have a habit of treating Treasury Management as a “set it and forget it” service, which does a huge disservice to the business owner and their bottom line.

To make sure you’re getting the most from your financial institution, the Central Bank & Trust team will be rolling out our Treasury Management Strategy series focusing on everything from Payables Management to Fraud Protection. To start, we figured we would start at the beginning- strategies surrounding your commercial account structure.

The importance of having a proper account structure in place cannot be overstated. A clean account structure can make a world of difference in your Treasury Management strategy, including preventing internal confusion and limiting the day-to-day management needed from your accounting department. It can save you time, money, and help keep your business safe from fraud.

At Central Bank & Trust we conduct regular “check-ups” with our clients to ensure that the current commercial account structure they’re using is helpful and relevant to their business. As businesses change and grow, technology advances come into the market, and outside factors such as regulatory changes come into play, we want to be sure that the strategies initially put into place are still relevant and best for our clients. Annual conversations – or check-ups – help us do just that.

For new clients, we have a “discovery” conversation which involves assessing the client’s current account structure to see if there are efficiencies that can be put in place to help them save time and money.

These check-ups and discovery conversations focus in on several factors, including, but not limited to:

  • What is your monthly payment volume?
  • What is your monthly deposit volume?
  • What kind of balances do you carry in your checking and savings accounts?
  • What treasury management services are you currently using?
  • Is there a gap in your services that needs to be addressed?
  • What is your growth plan over the next 1-5 years, 5-10 years?

It’s also important to talk through the nuances of the business itself. A business with one location and ten employees might not need the same services as a business with three locations and 250 employees. No two businesses are alike, and your banking solutions shouldn’t be either.

Our Treasury Management team generates custom recommendations based on these check-up and discovery conversations, which include the recommended account structure as well as timing for implementation.  If you wouldn’t let your car go a year without a visit to the mechanic, you shouldn’t let your business go a year without a visit with your banking team.

To learn more about our Treasury Management process, contact our team today. Our VP of Treasury Management, Greg Guidici would be happy to set up a discovery conversation.

Be sure to check back next month as our Treasury Management Strategy Series focuses in on Online Banking.