CARTOONS BY CHRIS BRITT

– CREDIT UNIONS –
While banks may be difficult to work with, credit unions can be much more amenable
to working with small businesses. Credit unions are not-for-profit; their profits are
invested back into the institution or paid out to shareholders/members in the form of a
dividend. Since they don’t pay
state or federal taxes, they may
charge lower interest rates and
have more favorable terms than
larger banks.
Because you are a member
and shareholder, not just a
customer, your credit union may
be more interested in investing
in your enterprise. Credit unions
are based around a singular
I have a game plan. I just don’t have a game.
customer base with a shared
interest – such as working for
the same company, being in the same community or serving in the armed forces. Nearly
90 million Americans are members of a credit union and credit unions hold more than
$615 billion in savings. Worldwide, there are more than 46,000 credit unions with about
172 million members.
HOW DOES IT WORK?
Credit union loans are among the most competitive loans available. They tend to
keep their rates and fees lower than average market rates and their qualification terms
are usually more flexible. What’s more, they take a less standard approach to qualifying
potential borrowers. Instead of an automatic “yes” or “no”, they may take a more
personal approach when making a decision on your loan, especially if they know you as
a customer.
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