The days of the town banker who knows everyone and is always willing to lend a hand or offer advice are generally long gone. However, you should still seek to establish solid working relationships with people in your local bank or credit union who specialize in nonprofit businesses.

The large retail and commercial banks have people who only work with the nonprofit sector, and a growing number of credit unions are following suit. Nonprofits now represent a huge business sector for banks, and entire departments are dedicated to nonprofit customers.

You'll value the relationship you have with these people when you need their assistance to secure a loan or establish a line of credit to improve some part of your operations. Many newer nonprofits simply will not have the financial track record needed for a conventional loan, so they need to have someone in the institution who knows of alternative programs or how to navigate the system to get you the funds you need.

Invite Bank Representatives to Your Events

Your financial paperwork will give the people in your bank or credit union most of the information they need. If you are applying for a loan, perhaps for construction or to remodel an existing facility, most of the review process is cold and impersonal.

However, inviting bank employees to visit your site or attend one of your programs will help make them aware of who you are, what you are doing, and why you are doing it. Invite them into your organization as members of the community, not just as bankers. They may be able to refer you to someone in the community who is interested in your mission and may be able to help repair a leaky roof or upgrade your office equipment.

These visits will give everyone involved in the management of your organization an opportunity to chat informally and learn about each other. It is no secret that a personal connection can accomplish far more than a paper application. With an established relationship, the possibilities for increased cooperation will also grow.

Maintain Communication

As your business plan evolves or as you consider major capital expenses, stay in touch with the nonprofit specialists in your bank. They will have valid ideas and suggestions that you may never have considered. Although they are in the business of selling financial products, they understand the process you are currently going through as well as what you may need in the future. They represent a terrific resource, so use them.