EXECUTIVE PERSPECTIVE By Stan Walker Navigating the “New Normal” C HASE EQUIPMENT FINANCE (CEF) and its predecessor companies have been active in the equipment finance industry for over 40 years. Equipment Leasing & Finance magazine asked Stan Walker, the company’s National Coverage Man-ager, to share his thoughts on what it’s been like navigating the business through the post financial crisis “new normal.” How has the competitive landscape changed since the downturn? The most recent, and perhaps most impactful, change is the pull back of GE Capital as they focus their financing efforts in support of their core lines of business. As they move away from those non-core units, there will be an opportunity for others to fill that void since the financing needs for those customers will still be there. We have also begun to see the emergence of several new equipment finance start-ups. Many are operating at the smaller regional and community banks, but there are also several new international bank-owned firms as well as a few new commercial players. Most of these new businesses are being run by industry veterans, allowing them to ramp up quickly and establish quality teams around them. sary responses to the world we now live in, but they absolutely increase the cost to do business. Couple this with continued margin compression and slower-than-expected capex growth, and you’ve had to be very thoughtful and creative in managing your business. Are there any strategic changes CEF has made since the downturn? I think we are all feeling the same pressure to balance net-interest income and loan/lease growth with putting business on the books at thin margins. We want to grow revenue but not at the expense of mortgaging our future. Given this, we have become increasingly selective in pursuing RFP oppor-tunities where lowest rate is the deciding factor, and instead have focused our efforts on working with clients and selected prospects of the bank where there are strong relationships. In addition, we have allocated more resources toward our syndications team to help us both manage risk and positively impact our bottom line. Lastly, we have made a concentrated effort to grow our true lease book in specific asset types and industries. Although product has been significantly com-moditized over the years, we feel that by being selective and leveraging our experienced equipment management team we can uncover those attractive opportunities still out there. Are there challenges you face today that you weren’t dealing with before the financial crisis? Without a doubt, the heightened regulatory environment we operate in today is much more complex than it was five to seven years ago. There are added capital requirements, more resources dedicated to controls and compliance and much more discipline and scrutiny around how we operate our day-to-day business. All of these are appropriate and neces-How does CEF differentiate itself from the rest of the field? Our business model is built around relationships: cultivate new ones, retain them and grow them. We want to focus on our clients and their needs first and foremost. At the end of the day, I think it really comes down to focusing on two main things: 1. Wake up every morning with the mindset that no one is going to outwork you. Make the extra call. Take the extra 15 minutes to polish up the presentation. Go into meetings with clients and prospects with the idea that you are going to show them something different. 2. Treat people the way you would want your mother treated. Whether it’s a client, a co-worker or the person behind the lunch counter, there is no excuse for not treating people the right way. ■ Stan Walker is Senior Vice President of Chase Equipment Finance. ISTOCK 64 OCTOBER 2015 EQUIPMENT LEASING & FINANCE MAGAZINE