In advance of National Small Business Week, occurring May 5-May 11, Bank of Southern California is sharing five important banking tips to help small business owners prepare for that next stage of growth.
According to the Small Business Administration (SBA), there are nearly 4 million small businesses in California, accounting for 99.8% of all establishments. As a community bank focused on Southern California businesses and the communities they serve, Bank of Southern California understands the small business climate and is committed to helping them thrive.
Tony Divita, Chief Operating Officer at Bank of Southern California, shares the following valuable tips to help guide small business owners on the verge of growth.
1. Business and Personal Rarely Mix
Often times, small business owners retain personal and business accounts at the same financial institution for the added benefits of ease and convenience. However, the account types may not accommodate their needs, resulting in added fees and frustration.
2. Not All Banks Are Created Equally
Unlike the big banks, community banks cater to small businesses and offer quick decision-making along with products and services more inline with the needs of business owners. with a focus on relationships and a commitment to delivering superior service, they are often a valued resource and partner.
3. Understand the Rules
Business credit cards and debit cards carry fewer protections than those for consumers. it is important to understand the terms impacting liability and use and explore alternative financing solutions as needed to increase working capital.
4. Establish A Plan
For small businesses looking to secure funding, it is important to have a solid business plan in place. The plan should outline the company’s vision and goals, forecasts financial performance, costs, income, cash flow and more.
5. Seek A SBA Preferred Lender
SBA offers government-guaranteed loans designed to help small businesses get the funds they need more easily and provide more flexible terms than conventional loan options. Proceeds may be used for construction or renovation of a building, equipment purchases, working capital and more.
If you are in search of a relationship-focused community bank with a reputation for speed and a commitment to small businesses, Bank of Southern California may be the right fit for you. To learn more, visit www.banksocal.com.