The 2023 Banking Crisis and what it means for your agency

The past few weeks have been full of headlines about bank runs, government takeovers, and financial pandemonium.

Even if you don’t use Silicon Valley Bank, Credit Suisse, or any of the other banks at the center of the news, there could be broader implications for banks and the overall economy.

How long it will last and what it all means remain open questions at the time of this episode, but Chip and Gini tackle what is known and how agencies should be thinking about what they should be doing.

Key takeaways

* Chip Griffin: “The story over the past couple of weeks reminds me of It’s A Wonderful Life, where everybody’s just lining up at the bank trying to grab whatever cash they can.”

* Gini Dietrich: “Human beings in general tend to wait until there’s a crisis to make change. If we can do one thing today, it’s to compel you to make change now versus waiting for a crisis.”

* Chip Griffin: “Make sure that you are exercising any available credit that you have to make sure that it doesn’t go away for inactivity.”

* Gini Dietrich: “The world is not ending yet. The sky is not falling yet. But be prepared.”

View Transcript

The following is a computer-generated transcript. Please listen to the audio to confirm accuracy.

Chip Griffin: Hello, and welcome to another episode of the Agency Leadership Podcast. I’m Chip Griffin.

Gini Dietrich: I’m Gini Dietrich.

Chip Griffin: Gini, I’m thinking about putting all of my money into, I don’t know, Credit Suisse. Does that sound like a good idea to you?

Gini Dietrich: No, it does not.

Chip Griffin: No? Silicon Valley Bank? Oh no, no. Crypto?

Gini Dietrich: No!

Chip Griffin: All right, well, we’ll talk more about that right after this.

Ah, banking, it’s one of my favorite topics. I love to, I love to think about these things and yes, it’s unfortunately been a major topic of discussion the last few weeks. And probably a lot will change between when we record this and when you actually listen to it, you know, 10 days or so from now. So if we’re outta date, by the time you’re listening to us, it’s just par for the course for us.

So accept it and move on.

Gini Dietrich: Well, yes, and I think there, the issue is that, you know, Silicon Valley Bank folded and then Signature Bank went behind them and now Credit Suisse. And so we’re looking, I mean, The point is that this is going to continue to happen and we have to help agency owners be prepared for the inevitable.

It’s kind of silly that, you know, we didn’t learn our lesson 15 years ago and we’re back here again. But. You know, having, especially me having run a business through the great recession, I now know what to expect. I can see the signs that are coming and I know how to get through it and survive it. So I think that’s what, you know, whether or not more banks fail in the next 10 days is yet to be seen.

But I think the bigger issue is how do we help agency owners prepare for what could be the inevitable.

Chip Griffin: Right. And, and obviously we’re not gonna solve all the problems of the world here. So we are, we’re not gonna solve why there is a banking crisis today, and we can certainly debate that. It’s being debated heavily.

Yes.