Architecture, engineering, and environmental design firm executives are taking a second look at their banking relationships as a response to some high-profile design firm failures.

"Strong bank relationships need to be developed long before economic downturns," Brenda Nichols, chief financial officer at Larson Design Group (LDG) in Williamsport, Penn., said in the Sept. 20 issue of The Zweig Letter.

Dallas-based architecture firm HKS consolidated its banking relationships during the recession, according to statement from Natick-based consulting firm ZweigWhite.

"We had our major operations account with one bank, a payroll account with another bank and a letter of credit account supported by CDs in another local bank, as well as accounts in countries where the firm has operations," said HKS President and CEO Ralph Hawkins. "As we began to see the economy become a little more unstable in mid-2008, we decided to consolidate most of our accounts with one major bank. As a result, when the recession hit in late 2008, we were fortunate to have built a great relationship with our bank that actually saved us money with the larger accounts for several of our banking relationships."

Design executives believe it’s important to communicate with the bank about current business conditions and provide solid business reports in order to maximize future financial opportunities, according to a statement.

"LDG provides prompt financial reporting monthly," Nichols said. "When we are looking at a new business venture, we look to our bank for input, not just for loan terms. Similarly, they use us as a source of information about the local economy and what we see developing. We have requested and received an increase in our line of credit each of the last three years even though the immediate need did not exist."