A Promotional Merchandiser Saved Tens of Thousands of Dollars with Favorable Interest Rates
With the financial strategy and advice of SVA’s Business Advisory Services Group, 14 West, producers of promotional merchandise / designers of retail displays, obtained extremely favorable bank rates, saving them tens of thousands of dollars over the course of a year.
14 West produces promotional merchandise and designs retail displays for national consumer brands and advertising agencies. In the early stages of the business, SVA Principal, Barbara Ecklond, helped owner, Kevin Scharnek structure 14 West’s financial procedures. Once those procedures were in place, it soon became obvious the company might need to hire an internal accountant to help lower service fees and maintain financial consistency.
“Barb was the first person to raise her hand,” said Scharnek. “She offered to help reduce fees by assisting in our search for the most capable professional. I saw this as a long-term gesture by Barbara and SVA. It demonstrated that she was very interested in the success of my business.” And it quickly saved the company 50 percent in accounting fees.
Because SVA helped develop 14 West’s financial statements, the company was able to negotiate a 0.5% to 1.0% lower interest rate than would otherwise have been possible. “It was one of the best rates we’ve ever given a small company like 14 West,” their banker admitted, “as good a rate as we recently offered a far larger company.”
“Most small businesses do not have the financial data or team 14 West does,” Scharnek told us. “By partnering with SVA, and because of their ability to help us secure a strong financial team, we have saved tens of thousands of dollars.”