Spotlight: Northwest Bank
Spotlight: Northwest Bank
Expertise
Challenge:
Typically, banks have a construction department to specifically monitor due diligence in the loans they give out. For example, if the bank loans $20,000 to go toward doors in a new construction project, the construction department ensures the money is spent on those doors.
Larger construction projects can subject banks to high levels of or unnecessary risk.
Understanding bank employees are experts in and focused on financials, Northwest Bank of Rockford approached Imperien as an expert partner and strategic alternative to operating its construction department.
“Imperien’s ability to do what we need them to do in terms of inspection and risk management is certainly very valuable,” said Craig Carlson, senior relationship manager at Northwest Bank of Rockford. “The team at Imperien is able to explain, discern and mitigate any problem and their expertise is vitally important to the bank.”
Solution:
On behalf of Northwest Bank of Rockford, Imperien provides a suite of services to the organization including risk management, construction advocacy, and financial analysis.
On a monthly basis, Imperien crews visit construction sites to make sure the risk pool is manageable for Northwest Bank and that progress is being made to the projects funded by loans from the financial institution. Imperien then consults with the bank.
“If a corporation loans $1 million, it’s our job to account for those million dollars at the construction site. We represent the bank’s interest in making sure projects are built correctly, that their financial interests are protected, and that we are overall mitigating risk for the bank.”
Outcome:
Imperien continues to protect Northwest Bank’s interests on projects and acts as a consultant and partner in its lending practices.
“A lot of trust is involved in proactively mitigating risk on their behalf. We’ve been able to protect them,” Simpson said.
“We’re a community bank whose success is based on the success of Rockford,” Carlson said. “Imperien and Colin are local community partners who work well with us, know the community well and have our best interests at heart. The level of service is excellent. Colin is available, quick to respond, accurate, and professional.”