There is one misconception that many companies, especially startups, hold, which ends up costing them a significant amount of money. This misconception revolves around the idea that when working with a bank as a company, one can conduct business with it as if they were an individual. In other words, the company can deposit money and trust the banking system to protect its funds, assuming that the money is being handled properly by the bank.

Unfortunately, reality proves that many companies that operate in this way with banks pay dearly for it. Banks charge them very high fees for every transaction, which amounts to significant sums for the company every month. Additionally, often the company’s money lies in a non-interest-bearing account or in basic deposits, thus the company does not benefit from the additional value in the form of interest that its cash could generate. Many times this results in significant losses, worth tens and even hundreds of thousands of dollars. Just imagine how much added value could have been generated for a startup that received millions of dollars in the last funding round if only it had been transferred to savings with higher interest than the default offered by the bank.

This is where we come in. Our role at Danoy is to function as our client’s financial department. When one of our team members takes on the role of a company or startup’s CFO, we take charge of dealing with the banks. Our goals are twofold: to reduce costs and increase profits. We do this in a variety of ways. Firstly, we engage in intensive negotiations with the banks to significantly reduce costs for banking operations and services. In addition, we insist on getting our clients involved in the bank’s dealing room activities. There, our clients receive better exchange rates. Sometimes the bank may refuse our demands. In such cases, we know how to offer our clients alternatives that will not leave them dependent on the unfavorable conditions the banks offer them.

In conclusion, our work at Danoy with the banks is very valuable for our clients. Since often our clients deposit significant amounts in banks, the cost reduction and interest increase that we are able to generate for our clients are very significant.

If you too are interested in saving on dealings with banks, contact us.