The relationship bankers at Torrey Pines Bank, with extensive experience lending to defense firms, make it their business to know their clients’ businesses. With Torrey Pines Bank’s deep roots in San Diego County, which has the #1 concentration of military and defense assets per the San Diego Military Advisory Council (SDMAC), we understand the defense industry and its financial needs.
Defense is the largest industry in San Diego, representing one in four jobs. SDMAC notes that from fiscal year 2020 to 2021, direct defense spending added up to $55.2 billion, or 25% of San Diego County’s gross regional product. That number is projected to increase by over 5% annually as the national defense strategy continues to shift toward the Pacific.
Department of Defense (DoD) contractors and other government contractors have specialized financial requirements as large as the sector’s role in the region. Those needs can be a challenge for many banks. Whether your company is seeking a Line of Credit to supplement cash flow timing or front/fund new contract awards, acquisition or ESOP financing, or a real estate loan to acquire facilities, you’ll be best served by relationship bankers with a depth of experience working with local defense contracts.
Whether your military contracting company makes drones, modifies submarines or provides cybersecurity services, here are three things to pay attention to when deciding on a business bank.
1. Understanding of the government’s specialized requirements
The defense industry is multi-faceted and requires business bankers who know how to serve your unique business needs. At first glance, a civilian might presume that military spending means weaponry or bases. We understand that defense is far more diverse, and our bankers understand the nuances and challenges of your company given their extensive GovCon DoD lending backgrounds. That expertise spurred companies like General Atomics, which specializes in research and technology development, such as nuclear fusion, to bring their banking to Torrey Pines.
2. Ability to effectively convey the risk profile of a defense contractor
Without deep industry knowledge, a banker would be hard-pressed to advocate on your behalf when credit issues or other questions arise. With decades of working intimately with government contractors in the San Diego business community, our bankers know how government contracts and task orders work and how you can secure repeat contracts. Companies rely on our ability to customize banking products and financing solutions to accommodate unique defense contracting needs.
3. Outsized commitment to your business
When you’re dealing with vital materials and information that relate to the nation’s security, you need a bank that understands government contracting and has in depth knowledge and experience with lending into DoD space. We deliver the expertise and resources of a national bank with all the personalized attention you’ve been missing — including access to decision-makers, and responsiveness so you get answers when you need them.
To learn more about how our expert team can tailor banking products to your unique business needs, contact your Torrey Pines Bank relationship manager (Bob Jondall 858-722-6937), or find out more about what our bank can offer defense contractors like you.