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- Looking for a business loan?
One of the first things the bank will look at is your Balance Sheet Leverage. Total Debt / Tangible Net Worth In other words: “How much debt does the business…
- Make no mistake: The decision to bailout big banks IS setting a precedent right now.
This was a great question from Senator James Lankford https://www.linkedin.com/in/ACoAABMQS0ABwPyVREjPnmYe5z266DkuG2ZQFk0 to Treasury Secretary Janet Yellen…
- SVB’s collapse could have been avoided.
But they chose to have 100% of nothing instead of 50% of something. It started back in 2019 when SVB made a push for a Held-to-Maturity bond portfolio. They…
- Don’t be a Generalist Banker.
It’s a recipe for mediocrity. I have friends approach me time to time about starting a bank with them. I never take them up on it, but “don’t be a generalist…
- First Citizens to Buy Silicon Valley Bank
North Carolina-based regional bank First Citizens has agreed to purchase Silicon Valley Bank, according to a March 26 statement…
- How does a bank decide whether or not your business qualifies for a loan?
I’ll be diving into the 4 most important metrics over the next 4 Fridays. We’ll look at: 1️⃣ Balance Sheet Leverage 2️⃣ Cash Flow Leverage 3️⃣ Profitability…
- Many banks intentionally stunt their own growth.
It might sound odd, but they have their reasons. The bigger a bank gets, the more regulations it has to abide by. And if it gets big enough, it’s labeled a…
- While working for Wells Fargo I had 90 products to sell. I only sold 6 ????
Why?? Because I hate to say it, But we did not deliver the other 84 well at all… We were really good with the 6 I picked out though, So I made it a point to…
- Community Banks rely too much on Sneaker-ware, Not enough on Software.
The biggest thing that community banks have going for them is their relationships with the community and their commitment to customer service. 9 times out of…
- Did an SVB Insider profit off the collapse?Who at SVB knew this was coming?
This MUST have been illegal You’re about to see lots of articles with titles like this… If you look at these 2 charts, you can see how many insiders - that…
- Ever wonder how companies sell for 10X Book Value?
It all comes down to Tangible vs. Intangible Equity. Book Value = Tangible Assets - Tangible Liabilities But there is so much more to a company than that.…
- Fed Chair Announces Another Rate Hike
Federal Reserve Chair Jerome Powell announced yet another interest rate hike during a press conference on Wednesday. That announcement has been largely…
- PacWest Moves to Boost Liquidity
Regional bank Pac West Bancorp has secured a $1.4 billion line of credit from an Atlas SP Partners finance facility as part of its effort to boost liquidity,…
- If there is 1 thing I can tell you about interest rates, It’s that the current situation is NOT sustainable.
There are 2 primary reasons: 1️⃣ Higher rates slow the economy 2️⃣ The Federal Budget Deficit is too high The entire goal of raising interest rates is to slow…
- Sales Is Service.
Especially in banking. And that’s exactly what got Wells Fargo into hot water. You probably remember 2013 and the chaos surrounding Wells Fargo. “8 is great”…
- UBS to Buy Credit Suisse in Emergency Rescue
UBS reached an agreement to purchase embattled Credit Suisse on Sunday for a reported $3.2 billion. The agreement came after weekend negotiations orchestrated…
- Banking as a Service has major risks.
And no one seems to be talking about it. More and more businesses are relying HEAVILY on APIs that they don’t own, control, or even understand how they work.…
- I have been seeing some blame shifting occurring with regards to SVB.
Let's not shift the blame - assign blame exactly where it belongs. The decisions that led to this point - based on financial analysis, appear to have started…
- Report: UBS in Discussions for Credit Suisse Acquisition
The Financial Times https://www.ft.com/content/17892f24-4ca0-417f-9093-289b019a0852 has reported that UBS is currently involved in talks to acquire part or all…
- Success in banking doesn’t come from hitting home runs.
It’s consistent singles and a focus on the fundamentals. In baseball it’s ✅ Bunting ✅ Base hits ✅Moving runners ✅Throwing strikes In banking it’s ✅ Making…
- My favorite part of being an entrepreneur:
The month-long adventures I get to go on with my family every year. ✅ 3 years ago it was Mexico ✅ 2 years ago it was Colombia ✅ Last year it was Turkey This…
- Ever wonder what a bank’s balance sheet looks like?
It’s surprisingly backwards… It has 3 core components - from the bank’s perspective: 1️⃣ Capital The bank’s own money. Either from investors, and/or previous…
- How much tech do you need to know to start a tech company?
Considering where I am today - Surprisingly little No-code tech, Containerization, and Serverless Technologies have completely changed the requirements for…
- I don't always drink $7,000 whiskey.But when I do…It's a toast to a job well done.
This picture was taken right after I became a partner in a whiskey and cigar business with these 2 great partners. One of them walks up to me and hands me a…
- Regulators Vow to Cover Uninsured Deposits at Failed Banks
The Treasury Department, Federal Reserve Board, and Federal Deposit Insurance Corporation issued a joint statement…
- Spent the day discussing Silicon Valley Bank, Silvergate Bank, Signature Bank, among others with our customers, partners and friends.
I don't see the shutdown of SVB by regulators or the self-liquidation of Silvergate as indicators of widespread contagion but there are some characteristics of…
- Class Action Suit Alleges BofA Misled Paycheck Protection Program Borrowers
A trio of plaintiff companies recently filed a class action lawsuit against Bank of America, alleging that the bank knowingly misrepresented their Paycheck…
- Regulators Shut Down SVB
Financial regulators responded to Silicon Valley Bank’s SVB recent collapse by announcing that they have shut the bank down. The decision was made by the…
- Study: Black Banks Need to Close Tech Gap
A new Urban Institute Study…
- Why do big businesses seem to waste so much money?
How can a BANK have a $14B tech budget?? cough, cough, JP Morgan The answer isn’t SIZE - It’s AGE. Most businesses get big because they’ve been around for a…