Field Notes
Preparing for a bank conversation without theatre
Lenders respond to coherent numbers and a calm owner narrative — not to optimistic slides. A short preparation list from consulting work.
When an owner-managed firm approaches a bank for facilities, refinancing, or covenant relief, the temptation is to assemble a thick pack. Thickness rarely helps. Coherence does.
One story, three supports
Be ready to explain, in under ten minutes: what the firm earns after direct costs, how cash behaves across the year, and what you will do if a large customer pays late. Support each point with a page, not a chapter.
Clean the obvious noise
Related-party loans, personal expenses through the company, and one-off asset sales should be labelled before the meeting. If the lender has to discover them, trust erodes faster than any forecast can repair.
Forecasts that admit seasons
A flat monthly forecast in a seasonal business signals inexperience. Show the trough and how you fund it — overdraft, timing of drawings, or delayed capital spend.
Bring your accountant for compliance; bring clarity yourself
Your accountant can speak to filings. The owner still needs a performance narrative. If that narrative is fuzzy, a focused financial performance review before the meeting is usually cheaper than a declined facility.