How Startups Can Start Prepping for a Bank Collapse

If I was concerned about the viability of the bank holding my company’s cash, I would (most creative ideas at the bottom)…

1) Move all but what I need to keep on hand for the next 1-week of expenses to an account I have with another institution.

2) Don’t have an account with another institution? Immediately start the process of opening an account with a new bank. It typically takes a few weeks to go through the corporate banking KYC and diligence process, so start NOW. DM me if looking for bank recommendations and bankers who may be willing to go above and beyond to move quickly.

3) Explore near-term options for where I can move cash:

a. Open a TreasuryDirect account and ladder short-term 1 week through 3 or 6+ month T-bills depending on my runway and cash needs.

b. Do you have a Brex account? See if you can move cash into their Brex Cash product.

c. Ask your payroll provider if they will hold the cash for you.

4) If you’re getting desperate:

a. Loan cash to an officer or director who has a personal bank account at a trusted banking institution. This can get paid back as soon as the new bank account is open.

b. Accidentally overpay your taxes right now.

c. Buy a stablecoin or BTC (and accept a whole new set of risks).