April is here, and with that so is Community Banking Month…a time to recognize the unique spirit and unwavering commitment which makes YOU, our independent community bank members, the foundation of your cities and towns across the state. Here are just some of the many ways independent community banks are the cornerstone of their community:
- Community banks are locally owned and operated.
- Community banks constitute 96.8% of all banks.
- Community banks are the primary source of lending for small businesses and farms. Even though they compose just 10% of the banking industry by assets, community banks with less than $1 billion in assets made 37.5% of outstanding bank loans to small businesses.
- Community banks reinvest deposits almost exclusively within their local communities. Nearly 95% of the bank’s investment is put back in your community through residential mortgages, small business loans, agricultural and student loans.
- Community banks are led by local people — and your neighbors, family, and friends may be employed by local community banks.
- Because community banks are themselves small businesses, they understand the needs of small-business owners.
- Community banks’ boards of directors are made up of local citizens who want to advance the interests of the towns and cities where they live and where their banks do business.
- Community banks offer a wide range of banking services and products designed to meet the needs of consumers and businesses.
Celebrating Community Banking Month
The purpose of Community Banking Month is to highlight the longstanding tradition of local hometown community banking. We urge consumers, entrepreneurs, farmers, and legislators to learn more about community banks, their role in building stronger communities, and the quality products and services they provide – all with the relationship banking experience that customers can expect from a local financial institution.
Community banks are an integral part of Main Street because they reinvest local dollars back into the community and help create local jobs. Their relationship banking philosophy is ingrained in the way they conduct business, one loan—one customer—at a time. Local reinvestment helps small businesses grow and helps families finance major purchases and build financial security.
Growth Corp is Here to Help Community Banks
We know the focus of community banks is supporting the community and entrepreneurial sector. And we’re here to help because the 504 Loan Program is a partnership with community banks that offers many benefits:
- The community bank reduces their risk to 50%
- The community bank gets first lien position on a 504 loan structure
- When clients are struggling with pending balloons, Growth Corp’s 504 offers refinancing options
- The community bank can offer their clients a low, fixed rate product with a long loan term
- SBA lending helps community banks fulfill CRA, Rural and Public Policy goals
Remember, SBA 504 Loans are offered in conjunction with local banks…not in competition with them.
Contact Growth Corp to learn more about the 504 Loan Program. We are a mission-based Certified Development Company with over 25 years of experience in partnering with banks of all sizes in helping businesses access the capital they need to grow.