Joseph Yurosek is senior vice president and regional group manager of middle market banking, Orange County and South Bay, for Comerica Bank’s Western Market. He oversees bankers working with private companies with revenues of $10 million to $100 million. Yurosek, who has been with Comerica in California since 1997, holds a bachelor’s degree in accounting and finance and received an MBA from the University of Southern California.
Q. What role does a bank play in assisting businesses in a down economy?
Because banks have the vantage point of seeing companies of all different sizes and across many different industries, your banker can share proven ideas and concrete solutions to help a company address issues, such as delayed customer payments, reductions in staff, building inventories or lower demand. As a company’s cash flow is impacted, it is important to discuss the changed circumstances immediately and keep your banker adequately informed.
Q. How can a company work with its bank to save money and become more efficient?
Treasury products are one area every company should be analyzing. To effectively manage your cash position and improve payment processing, ask the basic questions: Are we collecting money as quickly as possible? Are we making it easy for customers to pay us? Are we controlling incoming and outgoing payments? Banks have products that can address each of these, from remote deposit capability and lockbox to electronic bill payments solutions and information reporting. There have also been advances in fraud protection and security measures to help control losses.
Q. What information should a business update its bank on?
Share information on any changes to the management team; banks want to have confidence in the management and ownership of the company. Provide fiscal year-end financial statements and any interim financial statements on the company as well as any major changes (positive or negative) in the product line, suppliers and customers. During performance discussions, it is very important to know where the company is versus its projections. If it is ahead of or behind the target, then management should be able to explain what the contributing factors are.