2011 Small Business Series

Posted by Royal Bank America on Dec 13, 2010 in Small Business Blog | 93 comments

Our 2011 Small Business Series kicks off on Thursday, January 13th with an interactive session led by Social Media expert Rick Alcantara (@jerseycoach).

Social Media Roadmap For Your Small Biz – January 13, 2011

Small businesses are using social media twice as much this year as they did last year.  In fact, one in five small businesses are integrating social media into their business processes. They are tapping Facebook, LinkedIn, YouTube, Twitter and other platforms to increase brand awareness, generate online buzz, recruit talent, attract leads, and more.

During our interactive session we’ll discuss the growth of social media marketing, compare various social media platforms, explain the advantages of social media over traditional media and provide you with a roadmap for getting your social media program off the ground.

Event details:

To register for this free event please click here.

Top 5 Small Biz Jobs Act Benefits

Posted by Royal Bank America on Oct 19, 2010 in Small Business Blog | 1,322 comments

Royal Bank America’s Senior Vice President-Small Business Lending Diana DeRocco provides a list of  5 things every business owner should know about the Small Business Jobs Act of 2010 President Obama signed into law on September 27th.

1.  Business equipment tax deduction extended and expanded. Businesses can write off the entire amount of equipment they purchase in the first year they acquire an asset; also, the amount eligible for deduction has been upped from $250,000 to $500,000. Need new equipment or technology to grow?  Buy it now and start building that lead on your competition while reaping tax benefits in 2010.

2.  SBA 7(a) loan program guarantees extended through the end of 2010. With the 90% guarantee program extended through the end of this year, businesses poised for growth may find banks more receptive as more of the risk is shifted. If you aren’t already talking with a lender, step to it. The more they know about you and your plans the more comfortable they will be about your project.

3.  SBA 7(a) max loan levels increased to $5 million. Businesses whose growth strategies require financing above the old max of $2 million may be able to secure the extra financing they need. Again, as above, keeping your lender in the loop is key.

4.  Cell phone rules simplified. No more juggling multiple cell phones and service plans for home and business.  The rules regarding deducting cell phones have been simplified and paperwork eliminated which should enable small business owners to operate with only one cell phone in their pocket.  (By the way, add this # to your speed dial: 484.270.3000 – Royal’s Small Business Lending Center)

5.  Start-up deduction increased to $10,000. Seize the day – entrepreneurs with an idea should get moving!  Deductions for start-up expenses have been increased from $5,000 to $10,000, meaning you can build the foundation of your business with less pocketbook stress.

For businesses in growth mode the Small Business Jobs Bill provides a nice little boost. To learn more about how your business can benefit, as well as learn more about Royal’s offerings for small businesses and individuals, stop by any of our 15 convenient branch locations or give one of our small business lenders a call at 484.270.3000.

Bonus material
Some great resources available online include:

Section179.org
SCORE.org
SBA.gov

As always when it comes to your business, please consult a tax professional for details on how this bill specifically impacts your business.

Royal Opens Gate for NE Fence

Posted by Royal Bank America on Oct 17, 2010 in Small Business Blog | 7 comments

Reprinted from Royal Bank America’s Fall/Winter 2009 Newsletter

Royal has been in the unique position to increase small business financing at a time when others are pulling back. This is exactly what happened to one growing business in our region.

Northeast Fence & Ironworks has been a leader in commercial and residential fencing for 30 years. When their existing bank readjusted their lending practices and shrunk NE Fence’s line, President Ray Longstreath knew he needed to find another option.

“During these difficult times, businesses like ours use the flexibility offered by a line of credit to seize opportunities in the marketplace,” Longstreath said. “When our bank came to us and said they were cutting our line size I knew we needed to find a new lender who could truly partner in the growth and success of our business–that is when we turned to Royal.”

Having the ability to react to market conditions quickly is critical for businesses looking to thrive during these challenging times. Royal’s Small Business Lending initiative has proven to be the perfect vehicle to help stimulate the local economy.

Is your business in growth mode and looking for working capital? Let Royal help you get to the next level. Speak to a lender today.

Fueling Growth: Business Lines of Credit

Posted by Royal Bank America on Oct 7, 2010 in Small Business Blog | 213 comments

by Gene Marks, reprinted from Royal Bank America’s Fall/Winter 2009 Newsletter

I admit it – I really don’t have a whole lot of discipline. I can’t eat just one potato chip. I can’t take just a “short” nap. And I can’t watch just a single episode of Cops on a Saturday night. It’s too addicting.

That’s why I don’t have a line of credit for my business. I’m afraid of what I’d do with the money if I had it in my hands. I don’t think I’d have the self-control to invest it in my business. I’d probably blow the money on a great vacation. Or some cool stuff for my house, like a Man-Cave.

Fortunately, I’m not the norm. Banks loan money to businesses, big and small, all the time. And now that it’s pretty much agreed that the recession has bottomed out, a lot of my fellow business owners are turning to their bankers for some cash to fuel their expected growth. I know a few of these guys. I’m going to change their names for the purpose of this article. But they’re out there.

For example, there’s Steven Snyder who runs a company that makes piping and tube fittings for the military and energy industries. And there’s Jerry Castel, who owns a 25-person architectural firm. What do these guys have in common? They’re both seeing deals out there and they’re looking to buy. For Steven, the prices of key commodities, like the iron and nickel he needs to make piping, have dropped more than 50%. For Jerry, the prices of computers and specialty copy machines he needs for his firm have also fell considerably as the economy has slowed.

These guys are both predicting growth over the next year, and they see opportunities. Jerry wants to grab as many pounds of raw materials as he can; Steven wants to snap up as many computers and copy machines as he can. They both dipped into their lines of credit not for major acquisitions, but for smart business buys that will help them fuel their growth. Because for those that have the credit, now is a great time to get those end-of-recession deals that could make a huge profit contribution going forward.

Sandra Nelson doesn’t care about buying inventory–she wants to buy some people. Don’t get the wrong idea, she’s not a dictator, at least not to most of her employees. Sandra runs an engineering firm whose workload has slowed through this latest economic downturn. But she, like Steven and Jerry, is looking forward. She’s seeing the money that’s being pumped by the government into construction and “green” energy. She sees a lot of projects coming to life, and she’s going to need people to work these projects. The great news for her is that the labor market, pushing 10% unemployment, is now full of talented engineers and technical types that were laid off by big companies. Problem is, how can she bring them on?

Like Steven and Jerry, Sandra’s going to let her bank help her with this problem. With growth predicted, and some great workers available, Sandra’s also drawing on her business line of credit to finance their hiring. To her, it’s a bet she can’t lose. She’s already got contracts for work which in many cases are financed through government money. She can predict her cash flow. All she desires is some extra help to buy the “inventory” her business needs: people.

I wish I had the discipline that these guys have. I wouldn’t mind taking some of those calculated risks with my own line of credit. I know of a few potential projects that, with a little financing, could turn a good profit. A competitor of mine, hurting from the recession, recently offered me his customer contracts so he could retire into the sunset. My line of credit could help me do it. And maybe I will… right after I catch this next episode of Cops, OK?

Gene Marks’ latest book is the bestselling Streetwise Small Business Book of Lists. Gene is a regular online columnist for Forbes.com, BusinessWeek.com and American City Business Journals. Gene also owns a small business outside of Philadelphia.

Grow Your Business

Posted by Royal Bank America on Sep 8, 2010 in Slides | 419 comments

We created SpurTheEconomy.com to help small business owners easily access the banking and financing solutions they need most. In just a few clicks you’ll find products designed to help you manage finances, increase sales and promote sustained growth. You’ll also hear success stories from other small business owners and pick up key tips from some of the most knowledgeable voices in business today. Click around or call us at 484.270.3000.