Aryan Dokht Guest Appearance with Erik Broekhuijsen

Translated transcript of the Interview

Erik: If you want to do business in America, you quickly end up needing a bank account. After all, you have to pay and get paid. So, I’m pleased to have as my guest today Aryan Dokht, a true American banker. I’m, of course, going to ask him a few questions about how exactly it works. Aryan, welcome to the Netherlands, in Baarn.

Aryan: Yes, certainly.

Erik: Where are you from?

Aryan: I grew up in the Netherlands and moved to the US in 2001, where I completed my studies. Comerica Bank needed someone who spoke Dutch because we already had several Dutch clients, but also a European department. We work with many other European countries as well. It’s a great opportunity for us to visit this place a few times a year. It is important for us to visit the parent companies to build relationships and support the US subsidiaries. You certainly want to be close to the owner making decisions for the strategy in the US, which is why we are here a few times a year.

Erik: Yes, that’s great that you mention it. That parent company in the Netherlands can be quite challenging. We help companies start in America and then grow, but essentially, you’re starting from scratch. How do you solve that as a Dutch entrepreneur?

Aryan: Well, what we often say is that there are many opportunities in America. If you’re looking to diversify your revenue stream beyond just Europe to the rest of the world, you quickly realize that America has something attractive to offer for Dutch owners, which is why we frequently recommend it. There are some challenges to setting up in America, but once you’ve solved them, many companies fare very well.

Erik: How does the banking system work? It’s a bit different in America. Almost everyone has encountered receiving a check in the mail, sometimes with bizarre amounts. What’s happening now? America doesn’t know iDeal, but what do they know? How do you make payments in the end?

Aryan: Well, there are five different types of payment methods in the US. Checks still exist in the US, and because there are many people, indeed even companies, without a bank account. The only way to pay them is via a check. If you mishandle your bank account, US banks can simply close it. There’s a system where other banks can see why you can’t have an account due to actions that are unacceptable. For instance, a negative balance for weeks can lead to closure and you won’t be able to open a new account easily. So, when you want to open a bank account in the US, make sure it always has a good balance to avoid problems.

Erik: What’s the name of the bank you currently work for?

Aryan: I work for Comerica Bank.

Erik: That’s quite an old bank.

Aryan: It’s a very old bank—175 years this year. We started in Detroit, initially in the basement of a church. Back in the day, many banks opened in bars. The reason was simple: when people got paid, they’d immediately buy drinks and end up with no money for their families. So, Detroit Savings Bank was founded in a church basement to ensure people still had money at the end of the day or week.

Erik: That’s fantastic! Starting in a bar. Of course, daily, we deal with entrepreneurs heading to America. They face basic questions like opening accounts and making transfers. But what happens when they want to build a new factory for $5 million or consider an acquisition? Are those things you can also help with?

Aryan: Yes, absolutely. That’s probably our top advice when it comes to mergers and acquisitions in the US: to get initiated immediately if you’re starting something. You already have a team and such. We can help with investment banking and financing acquisitions. In some cases, we collaborate with ING and Rabobank for financing.

Erik: You mentioned in our pre-interview that you can work with or translate Dutch credit scores, which Americans rely on heavily.

Aryan: In America, credit scores range from 500 to 840, with 700 being good. You can’t start at 700 immediately; you typically start around 550-600 and build over eighteen months. But we can look at the parent company or work with Dutch banks to provide a sort of immediate credit score in the US.

Erik: A kind of soft landing program with the bank. Great. What challenges do people face at first? They’re in good hands when they call you, but what problems do you see in practice?

Aryan: A major issue in banking is compliance. You have KYC here in Europe, and most US banks don’t understand Europe. There’s already so much business in the US that they lack a European department. One of the first issues you’ll encounter is needing someone with a personal credit score to help open the account. With us, all Dutch stakeholders can manage the account. Another problem is the requirement to be physically present at the bank to open an account or modify services. Once more, using Comerica’s services, these requirements are simplified, allowing operations from the Netherlands.

Erik: These days, online options help a lot, and it provides relief knowing banking actions can be handled remotely when appropriate. People often ask if they need to travel to Houston or Miami for every check or bank transfer.

Aryan: There are solutions for that. With your mobile phone, you can use our app in the Netherlands. Just take a picture of the check you receive, and the next day the amount will be in your account.

Erik: That’s a positive note to end on. One reason to do business in America is to ensure smooth payments. With you, clients are in good hands, even getting those checks deposited using an app. Thank you for this conversation.

Aryan: Thank you very much!