The evolving roles of financial professionals

On this week’s episode of Professionals of the Inland Empire “PIE” podcast, commercial banker Keith Cerwinski and alternative finance expert Linda Onestinghel join John Tulac to discuss the evolving roles of financial professionals and the diverse funding strategies available to small and medium-sized enterprises.

Keith Cerwinski has 36 years of experience in commercial banking, specifically targeting small to medium-sized businesses with revenues ranging from 10 million to 300 million dollars. Throughout his career, his professional philosophy has evolved from a product-sales focus to an advisory role where he acts as a comprehensive resource for his clients. He believes that because banks cannot meet every specific need, a banker must provide added value by connecting clients with relevant resources, such as CPAs or insurance brokers. In an ever-evolving market, Keith balances optimism with realism while forecasting the landscape for the year ahead.

Cerwinski seeks business operators who prioritize collaboration and see their banker as a growth partner rather than just a transactional provider. He facilitates various financial needs, including working capital, machinery financing, real estate, and acquisitions. When a bank cannot directly assist, Keith utilizes a robust referral system. This network of professionals referring clients to one another ensures that businesses receive the necessary services while maintaining a trustworthy and mutually beneficial ecosystem.

Linda Onestinghel, Senior Vice President at Shoreline Capital, offers 25 years of experience in accounts receivable financing and factoring. Her services cater to small business owners who may require solutions outside of traditional banking. She clarifies the distinction between factoring and accounts receivable financing: factoring involves selling receivables to a finance company that handles collections, which is common for service businesses managing payroll. In contrast, accounts receivable financing allows manufacturers and distributors to handle their own collections while directing payments to the provider. Both methods provide immediate access to funds, bypassing the typical 30 to 45day wait for customer payments.

Onestinghel emphasizes that consistent cash flow is vital for meeting payroll and operational expenses. Her services allow businesses to grow without accumulating traditional debt, as the financing amounts fluctuate dynamically with sales volumes. This flexibility is especially beneficial for newer businesses or those facing delayed payments from their own clients.

Both experts highlight the emotional investment business owners have in their companies. Because of this, they stress the importance of delivering difficult financial news with sensitivity and offering alternative solutions through their professional networks. The value of trust is evidenced by Keith’s long-term relationships, including one client he has served for 27 years. Their goal is to grow alongside their clients, and Linda notes that businesses often transition from her alternative services to traditional bank loans as they stabilize.

Cerwinski is optimistic about the coming year, citing potential growth fueled by significant tax incentives and larger tax returns in the market. However, he remains cautious regarding risks such as shifting interest rates and tariffs that could impact market dynamics. From her perspective, Linda expects alternative finance to play a pivotal role as businesses navigate challenges in securing traditional funds. She encourages owners to secure financing early to capitalize on new opportunities, particularly when dealing with long payment terms.

Collaboration, trust, and transparent communication are the cornerstones of a healthy entrepreneurial ecosystem. Both Keith and Linda emphasize that business owners should build multifaceted teams of professionals who can address diverse financial challenges. By recognizing the specialized roles of different financing experts, entrepreneurs can better sustain their business health and navigate the complexities of growth.

The PIE podcast aims to showcase Inland Empire professional talent, foster local economic development, and highlight the Provisors networking community. Catch the full show on YouTube @ProfessionalsofInlandEmpire.