Written By: Gerry Fusco, VP Business Banking Manager, Union Savings Bank
Managing a successful business takes a lot of hard work and critical decision-making. One of those decisions you’ll likely have to make at some point is knowing when the right time is to take out a business loan. Sometimes you need a loan because business is booming, and other times financing is required to help you get over a slow period. No matter the reason, financing can be the best decision you can make to help your business succeed.
Here are five signs the time might be right to reach out to your local bank to get the application process started for your next business loan.
You Have Cash Flow Issues
Issues with cash flow is a common challenge for small businesses. Depending on the nature of your business, sometimes cash flow issues come regularly during the slow season, and sometimes you just get behind. Regardless, if managing your cash flow is taking a toll on your business, a business line of credit from your local bank can help you out when operational expenses are due.
You Need More Inventory
Inventory is critical when it comes to making sales, and if you’re having cash flow issues, you may not have enough cash to purchase the inventory you need. So if your business is growing fast, you plan on launching a new product, or you’re coming close to a busy season, a loan might help you purchase the inventory you need to meet demand.
Being a business owner can be rewarding, but it can also be stressful. Whether your stress is derived from cash flow issues or you think you need more help, a business line can help you better manage the day-to-day. Use the funds to expand your staff, hire an independent contractor or outsource something like marketing.
Your Business is Growing
Are you thinking of moving into a bigger space? Or maybe you need another truck or piece of equipment to keep up with demand. Either way, a business loan can help you cover the extra costs needed to expand your business. Local banks offer different types of specialized, flexible loans to help you grow your business whatever you need, from commercial real estate loans to equipment/vehicle finance loans.
You’re in Need of a Technology Upgrade
Whether it’s a point of sales system at your restaurant that keeps breaking or its aging computers that are slowing you down, out-of-date technology at your business can be holding you back, or worse, giving a poor customer experience. If you’ve noticed it’s becoming a recurring problem, financing a technology upgrade for your business might be a smart move.
There are lots of reasons why you need to look into a business loan. While that process may be overwhelming, the good news is your local bank is here to help find the right financing option for you and your business.
At Union Savings Bank, business lending is our business. We want to help you grow your business by providing local business expertise, customized solutions, and a dedicated business banking team that provides the best-personalized service for your small business. Call us today to start the conversation, 866.872.1866.