Commercial Relationship Manager Interview Questions UK: 8 Real Questions and What Interviewers Want

Applying for a Commercial Relationship Manager job in the UK? Here is what you are likely to be asked. These questions come from our Commercial Relationship Manager question bank of 16 questions, written for UK employers at senior level.

Eight Commercial Relationship Manager interview questions, and what the interviewer is thinking

1. Walk me through how you would assess a mid-sized corporate's credit application, from financial analysis to recommendation.

Why they ask: The core competency for a commercial relationship manager.

2. Which financial covenants would you propose for a leveraged facility, and how do you set them?

Why they ask: Tests structuring skills and understanding of lender protection.

3. How do you analyse a borrower's cash flow and working capital, and why do they matter for the structure of the facility?

Why they ask: Tests the ability to link analysis to the facility offered.

4. What is a risk rating, and how does PD, LGD and EAD feed into the pricing and approval of a commercial loan?

Why they ask: Tests understanding of credit risk metrics used by the bank.

5. What due diligence and KYC would you carry out on a corporate client with a complex group structure?

Why they ask: Tests financial crime knowledge in a commercial context.

6. A corporate client breaches its leverage covenant after a poor quarter and asks for a waiver. What do you do?

Why they ask: Tests handling of a covenant breach with commercial and credit judgement.

7. Tell me about a time you built a strong relationship with a senior client stakeholder, such as a finance director or owner.

Why they ask: Relationship management is central to the role.

8. Why commercial banking, and what do you think distinguishes an excellent commercial relationship manager?

Why they ask: Checks commitment to the role and understanding of what success looks like.

A sample answer to question 1

Walk me through how you would assess a mid-sized corporate's credit application, from financial analysis to recommendation.

I'd begin with purpose, structure and repayment source. Then I'd review three to five years of audited accounts and the latest management numbers, and examine revenue quality, margins, working capital, cash conversion and capex. Key ratios would include leverage, net debt to EBITDA, interest cover, debt service cover and gearing, and I'd compare them to sector peers and the bank's covenants. I'd analyse the business: market position, customer and supplier concentration, management track record and ownership, and sector outlook, including cyclical and regulatory risks. I'd build a base case and downside forecast to test whether the debt can be serviced in adverse conditions, check the quality and valuation of any security, and consider structure, covenants, pricing and the customer's wider banking relationship. I'd assign an internal risk rating, which feeds into expected loss under IFRS 9, and write a credit paper with a clear recommendation, risks and mitigants for credit committee approval.

Common mistake to avoid: Focusing only on security; no downside case

Want the rest?

Full model answers, key points and common mistakes for all 16 questions are on the Commercial Relationship Manager interview questions page. The first five are free, no sign-up needed.