Is a business line of credit the best loan choice for your small business?

A business line of credit (LOC) is a familiar loan that’s appealing to many because of its flexibility. It can be easily misunderstood, however, so understanding its nuances are important. A discussion with a lender will often determine whether or not it’s the best solution for a borrower’s needs. Other loan products are often better suited. What is a business LOC? While there are several different types of LOCs,...

Horizon Bancorp, Inc. releases 1Q financial highlights, more than 12 percent annual loan growth

Lake Havasu City, AZ – May 1, 2018 – Horizon Bancorp, Inc. (OTC Pink:HRRB), the holding company for Horizon Community Bank, announced an annual loan growth of 12.6 percent as of March 31, 2018, compared to the balance of loans outstanding at March 31, 2017. The loan growth was steady in all of the bank’s branches and loan production offices, and included the establishment of new loan production offices...

Can a business with no operating history be approved for a business loan?

Applying for a business loan is no small thing… it requires a substantial amount of paperwork to demonstrate the business is able to repay the loan. Several years of operating history, tax returns, balance sheets and other documents provide valuable insight to reassure a lender that the business is able to handle new debt. So what happens if there is minimal operating history, or if the business is a...

Investor 101: What is a commercial construction loan pro-forma?

A significant element of the loan approval process for investor-owned commercial construction projects, a pro-forma is a form of paperwork requested from EVERY lender when it comes to a new build that is not owner-occupied. So what is a commercial construction loan pro-forma? It projects the financial path forward once a loan is approved. As part of the paperwork to help a bank balance risk with the investor’s ability...

Commercial construction loan requirements: what paperwork is needed?

When someone begins thinking about commercial construction loan requirements, the path is very different for an owner-occupied space versus a build for investing purposes. It wasn’t an impulsive decision to build, or a desire to spend months—even years—managing the construction process. It’s often led by a need for something not otherwise available. “This space isn’t working for my business any longer. It’s in the wrong location, needs too many...