As many pundits speculated and called for, President Joe Biden will no longer seek re-election to the presidency. Whether the candidate becomes Kamala Harris (no replacement candidate has been selected prior to the publication of this newsletter) or another Democrat, this new wrinkle in this year’s election cycle has many business owners on edge.

Historically, the Republican Party has identified itself as "pro-business;" however, economic data may skew otherwise. A recent report published by the Economic Policy Institute offered evidence that annual GDP (the measure of overall economic output by an economy) has been 1.2 percentage points faster during Democratic administrations than Republican ones since 1949. However, a recent CNBC survey found that only 17 percent of small business owners felt the stock market surges had any positive impact on their business. This means the barometer that most politicians point to as how strong the economy is has little bearing on the small business owner. Sadly, 73 percent of respondents said they had "little confidence in the business objectives pursued by national leaders."

To our team, this is the biggest takeaway:the majority of small business owners feel that national policies tend to favor large companies over small businesses. So, our clients and friends are yet again watching a national election in which the things that truly matter to them, such as taxation, inflation, quality of labor, interest rates, insurance costs, and a myriad of other items, might, at best, be given lip service and at worst ignored completely. If almost three-quarters of small business owners feel that their national leaders don't see or hear them, what can we, as a financial institution ingrained in the communities we serve, do to make the lives of business owners better?
  • First, we listen to you. If business is great, business is down, business is challenging, or you are getting burned out, we are here to listen.
  • Second, we will care. By truly caring, we can help in sharing your experience, and although that may not change anything, it may help change how that experience affects you.
  • Third, if appropriate, we will offer suggestions and guidance on how to move forward.

Listening, caring, and advising aren't Democratic or Republican ideals. They are human ideals. As we gear up for yet another election cycle that promises to be as inhumane as the last, the best thing we can do for each other is to be human to each other. Together, we will move forward.

Announcing recent closings:

  • $1,800,000 to refinance short-term debt used to acquire an RV park and campground.
  • $75,000 to allow an excavating company to purchase additional equipment.
  • $112,500 to finance the start-up expenses of a secondhand retail store.

Saving our member's money!

Recently, we worked with a borrower looking to expand their business outside of Michigan. This borrower manufactures and retails a line of luxury home goods, and they have been serving customers throughout Michigan out of three in-state locations. They realized that a large portion of their clientele had a similar demographic as people in Naples, FL. To enable them to expand, we provided this business with a $140,000 permanent working capital loan, allowing them to open their new location and develop into a key market. While many banks would have told this business owner to find a new banking relationship, we leaned into their experience with this business, and the result was positive.