PLAN FOR SUCCESS AND
WATCH YOUR PROFITS SOAR.

Flight Plan. Capital Plan. Contingency Plans. Whether you’re referring to planes or profits, a lot of planning is involved in smooth take offs, forward motion and safe landings. Your Farin Advisors will help get everyone on board and insure your profitability with a sound strategic capital plan, as well as contingency plans for turbulence, delays and destination changes.

FARIN CAPITAL PLANNING

Let Farin help you build a foundation for continued success.

“I firmly believe that if you’re prepared for a ‘capital storm’, there won’t be one.”

– Tom Farin, Founder and Chairman of the Board

SCHEDULE A MEETING

Enjoy a smooth ride —
develop a solid, strategic
Capital Plan ►

YOUR BLUEPRINT FOR THE FUTURE

Farin assists newly chartered and seasoned institutions review and develop Capital Plans. Closely intertwined with asset/liability management, the Capital Planning Process can be daunting. By partnering with Farin, your Institution will benefit from years of ALM expertise and integrated Capital Plan development, testing and preparation. Our advisors are vigilant, they stay informed and thoroughly understand existing and pending regulatory expectations. They will guide you painlessly through the crucial Capital Planning and implementation process.

REVIEW YOUR PLAN, THEN ASK YOURSELF…

  • Are the proper, rigorous, stress tests incorporated into your plan?
  • Do your ratios remain above failure rate after testing?
  • What is your definition of failure in regard to capital?
  • Do you have a contingency plan(s)?
  • Does your plan document your capital goals and how you arrived at those goals?

BENEFITS OF OUR ADVISORY APPROACH

Farin will work with your management team to assess your strategic plans and risk systems to build an effective Capital Plan that meets regulatory expectations.

  • A Full Team of Financial Industry Veterans – Developing your capital planning strategy is mission critical. Your advisory team is comprised of your peers in terms of experience and industry knowledge and is given your institution’s particular set of circumstances, will take point on your capital planning development and then confer, with the team, on any nuances that happen to fall under other advisor’s expertise.

“Between us, we have over a century of financial industry experience. We’ve seen it all, taken theory to best practice, challenged conventional thinking and implemented successful plans for institutions both big and small.”

Dave Koch, Farin President & CEO

  • Save time and expense – The Farin approach is efficient and productive. Our experience allows us to anticipate pitfalls that may hinder the planning process or implementation. We’ll  help you get it done right, the first time.
  • Take control of the process – We will help you implement processes to meet regulatory expectations on an immediate and on-going basis. We understand that implementing new practices across departments can be challenging. We will help you educate your board and  staff as to the benefits of each change and help bring everyone on board.
  • Keep your board of directors and management team focused on important issues – We support the decision making process. We understand that while discussing big picture concepts and possibly uncomfortable changes, people have a tendency to go off on tangents and get caught up in the details of how a plan may roll out or who on the team may be affected. We will help steer meetings, take the heat and play the heavy when necessary, to make sure the initiatives we have agreed are in your institution’s best interest are approved and implemented.

THE FARIN CAPITAL PLANNING PROCESS

We will lead you through a detailed, step-by-step process which will result in a Capital Planning document that your management team can use to guide the growth of the institution while meeting regulatory expectations. The process includes:

  • Assessing your institution’s static AND dynamic balance sheet positions
  • Designing regulatory compliant capital stress scenarios
  • Measuring the impact of the stress scenarios on capital
  • Defining your institution’s definition of capital failure
  • Developing your institution’s contingency capital plan(s)
  • Reviewing and adjusting your institution’s capital goals

FARIN CAPITAL PLANNING SOFTWARE

Our Capital Planning advisory services clients receive a complimentary copy of our Capital Planning software. This software helps you build and run multiple “What-If” scenarios for stress testing your current, newly developed capital plan, as well as your contingency capital plan(s). Our software will help you meet current (Basel III or NCUA) standards, as well as address ever-evolving regulatory requirements. Keep in mind that regulators now want to see a ‘static’ balance sheet analysis – which shows the effect on capital compliance if the balance sheet is held constant through phase-in of capital regulations AND ‘dynamic’ analysis of your business plan assumptions. Many capital planning models can provide static balance sheet analysis, but very few are appropriate for running dynamic analysis. Our capital planning model can produce both the static and dynamic results in detailed, easy to understand and use reports, which we are happy to interpret for you if you have any concerns.

“By using Farin’s Capital Planning model to understand how changing capital requirements might impact our balance sheet, we were better able to identify and address areas of potential concern.”

Margaret Hasenbeck, Vice President/CFO
Community Credit Union of Florida
Over $500 Million Institution, Farin client for over 10 years

FUNDING LONG-TERM ASSETS ON THE CHEAP

Read Tom Farin’s articles ►

LIQUIDITY — WHAT RISKS DOES IT CONTRIBUTE TO YOUR CAPITAL PLAN AND FUNDING NEEDS? CPE WEBINAR

November 16 — Register Now ►

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“A Capital Plan is the foundation of every Institution. It informs growth and overall business strategies, and should be developed with long-range strategic financial goals and intermediary goals to mark progress.”

Dave Koch
Farin President & CEO
608-661-4217
dkoch@farin.com
More about Dave 

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FARIN CAPITAL PLANNING VIDEO

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FARIN CAPITAL PLANNING MODEL
CHART EXAMPLES

Urum Urumoglu

Farin Senior Client Consultant
608-661-4210
urum@farin.com

“Your capital plan is a blueprint for the future. A good capital plan should include quantitative and qualitative guidelines for strategies and growth. It links and supports other policies within a financial institution. And it should always be unique to the institution’s risk profile and appetite.”

More about Urum ►

REVIEW THE COMPONENTS OF OUR COMPREHENSIVE SUITE

For 30 years we’ve specialized in core areas of Financial Risk Management and developed these tools to help financial institutions like yours plan ahead and ultimately thrive in any economic environment.