Archive for the ‘Wealth Management’ Category

Loan Kpi To Measure Your Bank’s Performance

Monday, April 16th, 2018

By Sam Miller

In banking, key performance indicators (KPI) play a significant role in determining your bank’s level of performance. KPIs may either be financial or non-financial and should be set to suit the bank’s organizational framework, strategies and objectives. KPIs vary from one bank to another due to contrast in CEO management approaches.

Many community banks have a multitude of key performance indicators that are more likely to be included in a KPI report. These performance indicators may be incorporated in your KPI report or may be used as basis for establishing a new one.

One is liquidity ratios. Consider settling one or two of the twelve liquidity ratios, at least, to deal with liquidity issues that mostly affect your bank. Another is uninvested funds, which, when taken less the reserve requirements give an ongoing measure on how you perform at keeping the bank’s funding going through investments.

Moreover, showing a table of loan commitments beginning the period; new, funded commitments as well as ending balance will show future obligations and movement. Putting average rates for every category will also yield a sound indication of how upcoming loan gains will be affected.

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On the other hand, demonstrating a graph of loans outstanding at the beginning of the phase; new, funded loans, principal reductions and total ending loans will show loan activity as well. Looking at the loan portfolio’s average rate at the beginning and end of the period will show profitability information.

Meanwhile, loans exceeding a specific dollar amount such as huge loans that are paid early may imply either a potential opportunity or a lost customer. Banks have customers maintaining considerable balances, in which significant increase or decrease in the said accounts can also mean a possible loss or gain. Changes in loan rating categories or levels of loans bigger than the specified amount must be individually listed.

The total quantity and sum of new deposit accounts also provide a growth measure as well. Monitoring by the kind of account such as savings, checking, CD or money market gives better data instead of simply using totals. There is also the total quantity and amount of closed deposit accounts, in which putting new accounts is the central focus although the net increase is considered highly substantial. Replacing accounts on continuously can cost quite a lot.

Furthermore, it doesn’t hurt to formally report large or unfamiliar items, in case you are aware of them. Establish a threshold that is low enough to yield important items but is high enough to keep you from producing a list that’s a page long list. Keep in mind that limits may depend on the expense item’s nature.

Additionally, the earning assets quotient should be differentiated against the previous year or month to date. Also, the ratio of interest-bearing liabilities should be compared to the previous year or month to date results. Always make sure to be on the lookout for trends of both these factors. Don’t forget to consider customer count as well.

Lastly, it is important to evaluate your KPIs every year after setting plans for the coming year. Be sure that your KPIs come with measurements that can forecast how the year’s goals can be met.

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Daycare Grants: Who Are Eligible To Apply For State Daycare Grants?

Saturday, January 13th, 2018

By Loren Yadeski

Daycare centers provide a valuable community service and can directly contribute to our economic development by allowing mothers to resume working again as soon as they are able to leave their children at the daycare center. Starting your own daycare center can be a worthwhile endeavor for you both as an entrepreneur and a responsible citizen. The only problem for most is that they lack funds to start their own daycare center. Those who already have an existing daycare center would also want to expand their services but they are also limited by the lack of funds. In both cases, obtaining a grant from state and federal sources is their best option. Grants, unlike loans, are not meant to be repaid as long as the money is spent for the purpose they were originally intended, which means less worry for you so you can concentrate on expanding and offering better child care programs in your daycare center. If you are a US citizen or legal resident alien residing in the US, you may apply and receive federal, state or private organization grants and loans.

There are many government grants both on the state and federal levels that provide funds to daycare centers. While most of these are usually granted to non-profit daycare centers, for-profit ones can still avail of them depending on certain factors. The grants they provide are usually spent for the construction, renovation and repair of daycare centers facilities so they can meet the local and state government’s requirements. The grants can also be spent for developing and expanding child care programs to suit the needs of children under the care of the center.

The Small Business Administration can be your best friend in starting or expanding your daycare center. They can help you not only for the planning and development of your daycare center business but the can also provide you with resources where you can get grants. There are organizations that give grants specifically to women and minorities such as African-Americans, Hispanics and Native Americans.

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You will have more chances of getting financial aid grants from government agencies or business organizations if your daycare center is non-profit. However, if your daycare center is primarily a business for profit, you would have better chances of obtaining a grant from private organizations that give small business grants. If you’re not lucky enough to get one, your next option is to get loans from banks, seek financial assistance from venture capitalists, or get loans or monetary gifts from your close relatives or friends.

Once you have found your potential source of grant, you should contact them and make a request for their application package including their latest guidelines. The guidelines are very important since non-compliance will result to instant rejection. Since you will not be alone in applying for a particular grant, your chances of getting it is small. It would be better if you apply for several grants from several organizations. There are grants that once granted can be reapplied for again after a certain period of time has passed. You can renew them again but you ultimate goal should be to stop relying on grants to prop up your business and be self-sufficient at the soonest possible time.

About the Author: Loren Yadeski, author of this article, is knowledgeable in

child care and daycare grants

. If you live in Georgia, check out — Georgia

for more detailed information on how you can avail of financial aid grants for daycare facilities in Georgia.


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