Pub. 6 2016-2017 Issue 3

O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S - H E L P I N G C O L O R A D A N S R E A L I Z E D R E A M S November • December 2016 23 f. Summary of mutual benefits. g. Next steps. 5. Build MOMENTUM. You’ve now established trust and value with your new COI's, and they’ve provided you with your first opportunity. Handling new referral introductions is amost important task. You only have one opportunity to make a positive impression for you and your COI. Here your professional training and experience will take over naturally as you conduct your needs based assessment to learn more about the client and share how you can help. And, of course, following up with your re - ferring COI with a thank you and a recap of the meeting should be done immediately. Don't wait. 6. SMOOTHLY onboard new clients. Consistent, ef - ficient and streamlined onboarding for your new client is vital. Ensure that you explain your process and set expectations with both your new client and COI up-front so they clearly understand what to expect. This reduces unnecessary questions or delays throughout the process. And always be sure to keep your client and COI in the loop as milestones are reached or issues arise. While the communications with the COI may seem like additional work, it is a critical step for building the relationship and ensuring a steady stream of future referrals. Summary and Major Takeaways 1. COI relationship building and strategic alliancemarketing should be a banker's highest priority. Ultimately, you are in the referral business. 2. Focus on active outreach and consistent appointment setting. 3. Build trust by demonstrating your skills, enthusiasm and commitment. 4. Build connections at every turn by thinking outside the box. 5. Consistently ask for referrals and reciprocate. 6. TOMA, TOMA, TOMA: always stay top-of-mind via calls, emails, newsletters, and event invitations. n T he Colorado Credit Reserve (CCR) program is a success - ful resource for banks to support their small business borrowers. CCR, administered by Colorado Housing and Finance Authority (CHFA), is designed to encourage banks to extend credit for loans up to $500,000 by creating a reserve account at each participating lender. To date, more than 1,800 loans have been registered into the CCR program. Participating lenders’ CCR reserve accounts are funded by the combination of a deposit from CHFA based on the amount of each registered loan, along with a registration fee of 1 percent of the loan amount paid by the borrower. There is no cost for the participating lender to enroll in the program or to register loans. CCR enables each lender to grow their reserve account over time by pooling the reserves for each loan registered in the program, up to $7,500 per loan, without requiring the deposits be returned when a registered loan is repaid. If losses are incurred from loans registered in the program, they may be recovered from the reserves in the lender’s CCR account. To the borrower, the process is virtually transparent as all credit decisions, including the rate and terms, are made by the lender. Also, the loan registration process is designed to be succinct from the lenders perspective. Lenders use their own closing documents and processes for CCR transactions, and only one additional form from CHFA to be signed by the borrower at closing. Lenders are given 30 days after loan closing to register a loan into the CCR program. The CCR program has helped fill a gap between lenders and the small business sector to advance community development across Colorado. More than 16,000 jobs are being supported by Colorado companies that have received loans registered into the CCR program. Most businesses operating in a multitude of industries are eligible to use the program, including both start-up and existing entities. Because CCR is intended to spur economic development, investment real estate and similar transactions are not eligible. For full eligibility details, see the Program Guidelines on CHFA’s website. As a result of the program’s success, the Colorado General Assembly renewed funding for CCR in 2015, which is currently available for deployment. n To learn more, and to enroll in this no cost program, please visit CHFA’s website at chfainfo.com/business-lending/Pages/credit-enhancements.aspx , or contact CHFA’s Community Development Division at 303.297.chfa (7345). Small Business Lending Boosted with Colorado Credit Reserve Access to capital for local businesses increased by CCR program STEVE JOHNSON, COMMUNITY DEVELOPMENT DIRECTOR, COLORADO HOUSING AND FINANCE AUTHORITY