Aaron Graft, Founder & CEO of Triumph Bancorp, discusses the banking industry, challenges faced during the financial crisis, raising capital for young entrepreneurs, embracing humility, and building a strong team culture.
The importance of quality deposits and profitable loans for banking growth and profitability.
The value of operational leverage and niche markets in building a successful bank.
The significance of servant leadership, investing in people, and learning from others in creating a strong organizational culture.
Deep dives
Building a Healthy Investment Firm
The Patmos Podcast hosts Cooper Wagner and Cole Jones discuss their mission to create the healthiest investment firm in the world. They emphasize learning from experienced men in life and business. They introduce their guest, Aaron Graf, Vice Chairman and Founder of Triumph Bank, and discuss his background and the growth of Triumph Bank over the past 15 years.
Triumph Bank's Origin Story
Aaron Graf shares his journey into banking, which began in Western Oklahoma. He highlights his father's investment in a small bank during the SNL crisis and how it influenced his interest in banking. After pursuing a liberal arts degree, attending law school, and practicing corporate law, Graf felt his entrepreneurial spirit calling. In 2010, he founded Triumph Bank, initially focusing on the distressed multifamily market.
The Bold Move: Buying a Bank
During the financial crisis of 2007-2009, when most were avoiding banks, Graf saw an opportunity. He proposed to his mentors the idea of buying a bank instead of investing in the multifamily market. Despite the challenges and regulatory complexities involved in purchasing a bank, Triumph Bank was established on November 5, 2010. Graf became the CEO, leading the bank in a unique and unconventional way.
Banking Growth and Profitability
Graf explains the key factors influencing banking growth and profitability. He highlights the importance of quality deposits that are relational rather than solely driven by interest rates. He also stresses that making profitable loans over the entire economic cycle is a challenge for banks. Graf emphasizes the need for operational leverage, growing assets faster than the growth of the team, and the value of niche markets.
Cultivating a Strong Organizational Culture
Graf shares his perspective on building a strong organizational culture. He emphasizes the value of servant leadership and the importance of investing in people. Graf believes in the power of humility and consistently learning from others. He encourages young entrepreneurs to be persistent, build relational capital, and prioritize creating long-term value.
Aaron Graft is the Founder, VIce Chairman & CEO of Triumph Bancorp. He joined us on the pod to talk about the banking industry and leadership. Triumph is known for their culture and that starts at the top with Aaron.
Make sure to listen to the whole episode as the end is the best.
Aaron was also on the The Fort Podcast with Chris Powers. He goes more in depth there on the banking industry, his background, and TBK.