What benchmarking can do for borrowers

Description

Abstract: Benchmarking, which involves comparisons between a company’s performance and industry norms or best practices, is a useful tool for a company attempting to gauge its financial performance. But many borrowers don’t use this tool because they’re too caught up in daily operations or aren’t familiar with the available resources. This article uses a hypothetical example to illustrate how bankers can provide guidance to their borrowers on the ins and outs of benchmarking and other professional tools, thus generating a win-win situation for both.