Small Business Financing in 2022

When it comes to financing your small business, the options can feel confusing and overwhelming. There are many different factors that contribute to determining which financing option is best for your business and what kinds of financing you are eligible for. 

Our experienced lenders at First National Bank of Sycamore are well established in the local community, familiar with the needs of local farmers and small businesses, and well equipped with the expertise required to advise you on what kind of financing you need to achieve your goals. We invite you to stop in or schedule a meeting with one of our lenders to discuss your needs and determine the right path forward. 

Here are some of the options that might work for your business:

Traditional Bank Loans

At First National Bank of Sycamore, we understand that loans are not one size fits all. We offer a variety of options for long term business growth, such as equipment loans with a variety of terms and interest rates to best suit the borrower. These loans can also be used for a variety of options. For example, did you know a real estate mortgage loan can be used to purchase anything from your start up coffee shop building to additional farming ground?

You can find out if you qualify for any of the loan options from FNB Sycamore by meeting with one of our experienced lenders. Because of our relationship with local businesses and our close ties with this community, we work with you to do our best to meet your needs.

Operating Line of Credit

A line of credit differs from a traditional bank loan in that businesses request a loan for a specific purchase. A line of credit does have a specific piece of collateral tied to its use; it is a set borrowing limit that can be used at any time, paid back, and then used again. Lines of credit provide you with the peace of mind you need to conduct business when your expected revenue is delayed or irregular, so you can cover expenses without relying on a higher interest rate credit card, missing payroll, or borrowing from a friend or family member to make ends meet.

Lines of credit might also be used to finance a project that doesn’t have a clearly anticipated cost or used by seasonal businesses to cover expenses during the slow-season. Interest is usually variable and charged as money is spent, so borrowers should have a plan in place for paying down their charges as quickly as they can to avoid spending a lot on interest. Interest rate is based on your personal or business credit score, so you’ll want to make sure you stay on top of your credit score to be able to maintain access to lower APRs.

Lines of credit are great for purchases you can’t charge or that exceed your credit card’s borrowing limit.

Business Credit Cards

A business credit card gives you flexibility for purchases and immediate access to collateral-free funding. These are great for all of those everyday purchases, with duplicate cards available for multiple employees in your company. Using a business credit card can make tracking expenses far easier than paying with cash or check, since these transactions can tie into your accounting software. 

FNB Sycamore offers business credit card options with low rates, cash back options, and rewards programs. Talk to one of our lenders or visit our website to learn more and apply today.

Ag Loans

Whether you need to purchase livestock, equipment, real estate, or more, FNB Sycamore prides itself on being a full-service ag lender and highly invested and experienced in the agricultural needs of our community. FNB Sycamore can help you secure an operating line of credit for inputs and prepaids; commercial loans for equipment purchases or real estate loans to purchase additional acreage. We gladly service the needs of full- or part-time farmers.

If you’re ready to invest in the success of your small business, connect with one of our commercial loan professionals today.