Ed Marsh Will be Joined Financial Risk Reduction Experts
March 13, 2023
The collapse of SVB bank may seem remote and entirely decoupled from the financial strength of industrial manufacturing firms. But is it?
Ed Marsh will host an urgent webinar on March 16th with experienced commercial banker Brent Mathews and receivables insurance expert Dan Schobel to explore the risk of contagion, and to discuss specific, actionable steps that boards, owners, and executives of middle market industrial firms can take quickly to minimize their short term risk.
As the impacts from the liquidation of Silvergate, the Federal regulator's seizure of Silicon Valley Bank and Signature Bank, and acute turmoil are felt throughout the banking industry, past financial crises have shown that other sectors of the economy will likely be affected. 186 days passed between Bear Stearn's "rescue" and Lehman's failure in 2008.
Therefore it's important to understand the following:
- how to evaluate your bank's strength, balance sheet, and more
- when & how to draw down credit facilities to maximize cash on hand and resilience
- how to protect your deposit balances for short-term accessibility and long-term access
- risks of intertwining corporate and personal banking relationships
- how to anticipate customer impairment, and how to protect receivables
Brent Mathews and Dan Schobel are experts in these areas, with expertise in working with industrial manufacturing firms. Join Ed, Brent & Dan for the live discussion to understand what might happen, and the prudent steps you can take today to protect your firm.
"Most manufacturers run their businesses conservatively, manage expenses and retain earnings for future capital investment. That's much different than the Silicon Valley model," says Ed Marsh, Founder of Consilium. "But the SVB failure may indicate, or even precipitate more widespread financial turmoil. It's important for middle market manufacturers to understand and limit their exposure."
The webinar will cover topics including:
- what led to SVB's collapse and what conditions might lead to other bank failures
- how to take the measure of your bank (and how actual strength might not matter in a bank run)
- understanding FDIC limitations and the DIF (Depositor's Insurance Fund) program that insures ALL balances
- navigating loan covenants as you diversify and protect cash balances
- maximizing cash on hand during times of uncertainty
- ripple effects and unexpected impacts on unrelated companies (your customers)
- why companies might want to pay, but be unable to
- using credit insurance to protect your receivables
About Consilium Global Business Advisors: Consilium assists American manufacturers in applying process excellence to their business development. In other words, we help lean, well-managed companies with rock-solid bottom lines effectively and consistently grow their top lines to match. We work primarily with mid-size industrial manufacturing and capital equipment companies, guiding them through a journey toward Overall Revenue Effectiveness™.
About Brent Mathews: Brent Mathews has worked in commercial finance since 2003 across a range of credit types – factoring, asset-based lending, commercial real estate, and cash flow lending for a variety of types of companies, from commercial finance companies and large banks to a family-owned finance company and a small bank. The use of funds included acquisitions, growth capital, working capital, turnaround financing, dividend recapitalizations, and refinancings.
Brent was most recently with BankProv, a small, publicly traded Massachusetts bank that is future-focused. Brent provided cash flow acquisition financing for private equity groups, family offices and independent sponsors buying lower middle market (less than $5MM EBITDA) companies across the U.S.
About Dan Schobel: Dan Schobel has been working with companies to safeguard their receivables for over 16 years. He advises companies of all sizes on methods to better protect and collect their domestic and foreign receivables while decreasing financing costs, freeing up cash flow and increasing sales flexibility. Dan was with Coface North America for 14 years before joining Volo Fin in 2021 to become a broker working with all trade credit insurance providers in the market giving him greater flexibility to provide his clients with the best structure, pricing and coverage available.