If your credit union provides business services, do your memberswho are also business owners think of you for their businessaccounts? Perhaps more importantly, is your credit union lookingfor opportunities to open business deposit relationships with thesemembers?

I'm firmly convinced many credit unions can increase theirvisibility and credibility as a business services provider and growtheir business member relationships by changing how they approachpotential business owner-members. And, the opportunities may neverbe better than they are in today's economic climate.

In our situation, we had devoted significant talent andresources over the years and built a strong presence in terms ofbusiness services. Yet, we continued to hear, 'I didn't know youdid that,' from many prospective business members. In fact, many ofthese individuals had been longtime members, with numerous personalaccounts or loans. But, they thought we only provided consumerloans, credit cards, and savings and checking accounts. We weren'teven on their radar for business loans or deposit accounts.

We asked, “Why?” and, “What can we do to change this?”

Sure, it takes some time to change people's perceptions of youand build their awareness. However, several years ago, we came tothe conclusion that a small strategic change would have asignificant impact in helping us grow and increase our businessrelationships.

This change started by building on some basic facts. First,prospective business members are more likely to work with themember center staff and managers than with the business servicesarea.

Second, our branch managers were already actively involved inmany business groups and activities in their local areas, like theChamber of Commerce, the Rotary Club and others. So, we simplylooked for new ways to cultivate those opportunities available atthe branches.

We shifted our emphasis to business savings, business checkingand sweep accounts as key starting points for establishingrelationships with businesses. And, we moved to a broader, teamapproach for business services, with branch managers partneringwith our business services officers and staff.

In many respects, local branch managers are now part of the faceof our business services department, especially for businessdeposit accounts. Branch managers target and visit prospectivebusiness members in their areas. They're also involved insoliciting and opening new business deposit accounts. Managers setannual branch goals for business contacts and accounts opened. And,they stay involved once the business relationship is established.Member center staff is also part of the team process and isexperienced in serving business deposit accounts andtransactions.

This change has proven to be a great way to build the prospectpipeline, for both business deposits and loans, and it has helpedus grow.

Essentially, we've taken the same approach that works inbuilding individual member relationships and applied it to businessmembers: We use deposit services and accounts as the foundation forbuilding long-term relationships.

We've always provided one-on-one service to business members,just as we do for individuals. Our target for prospective businessowner-members hasn't changed. We focus on businesses we call“tweener” accounts, where our capabilities and strengths allow usto outdo local or regional banks and outbid larger commercialbanks.

The biggest hurdle we still face in growing business services isthe same one every credit union deals with: getting invited to thetable when a business is considering a change. Involving localbranch managers and focusing on business deposit account serviceshas helped us get in many more doors.

When given the chance to talk with business owners, we're ableto show them we can do a really good job of serving their businessneeds. They walk away impressed with what we offer. And many times,they choose us. In fact, we continue to have business clients tellus that we understand their business better and work more closelywith them than other financial institutions do.

The simple reality is credit unions serve members, and some ofthose members own businesses.
Many credit unions are extremely well-positioned to serve thesemembers' business needs and do it better than competitors. And,numerous small- and medium-sized business owners are searching fora better financial value, but they aren't aware credit unionsprovide them.

I encourage you to reevaluate your strategy, reexamine thestrengths and benefits you can offer a business owner, and thenconsider changing the way your credit union approaches prospectivebusiness owner-members.

Using a team approach to business development and businessdeposit services as a starting point can go a long way in helpingyou build and establish long-term relationships with these businessmember-owners. It's worked well for us. I'm convinced it can workwell for other credit unions, too.

Especially now.