Corporate Banking FAQs

Corporate banking refers to financial services provided to established companies with more complex financing, cash-management, and banking requirements.

 

Corporate banking solutions may include corporate lending, lines of credit, acquisition financing, working-capital financing, treasury management, commercial deposit accounts, and other services designed around a company's financial operations.

Business banking generally serves companies with relatively straightforward deposit, payment, and borrowing needs.

 

Corporate banking typically serves larger or more financially complex organizations that may require customized financing structures, sophisticated treasury management, larger credit facilities, acquisition financing, or other specialized commercial banking solutions.

 

The exact definition varies among financial institutions.

The terms frequently overlap. Commercial banking can broadly describe financial products and services provided to businesses, while corporate banking commonly refers to commercial banking relationships involving larger organizations with more complex financial needs.

 

At Academy Bank, our corporate banking team works with established companies requiring customized lending and broader commercial banking solutions.

Academy Bank's corporate lending capabilities include financing for acquisitions, working capital, recapitalizations and restructurings, expansion, growth, capital expenditures, and sponsor-backed transactions.

 

Financing availability and structure depend on the company, proposed transaction, financial condition, collateral, repayment capacity, and other underwriting considerations.

Academy Bank currently underwrites corporate loans ranging from $5 million to $25 million. For larger eligible transactions, our Capital Markets team can help develop strategic banking partnerships.

Sponsor finance generally refers to lending associated with transactions backed by private equity firms or other financial sponsors.

 

Academy Bank works with lower-middle-market private equity funds, mezzanine funds, and independent sponsors on eligible financing opportunities.

Asset-based lending is financing in which eligible business assets play an important role in supporting the credit facility.

 

Depending on the financing structure, collateral may include accounts receivable, inventory, equipment, or other eligible business assets.

Yes. Acquisition financing may help eligible companies or sponsors fund the purchase of another business.

 

The financing structure depends on factors including purchase price, borrower and target financial performance, projected cash flow, capital structure, collateral, and repayment capacity.

Connect with an Academy Bank corporate or commercial lender to discuss your company, transaction, financial objectives, and anticipated financing requirements.

 

Our team can evaluate your needs and help determine the appropriate next steps.