How to Keep Your Small Business Loan’s Interest Rate Low
Updated: Mar 20
One of the top news stories is that interest rates have shot up and are continuing to climb - with no sign of normalcy coming up! As a local business owner, often your top priority is to keep your costs down - which is getting harder and harder to do with inflation as well as these rising interest rates. Well, let me walk you through one way that you can keep your small business loan’s interest rate to stay the same rate, no matter what happens with the Federal Reserve.
What is a fixed-income interest rate?
Honeycomb Credit offers loans with fixed-income interest rates. What this means is that whatever the interest rate is that our credit analysis team determines for your loan stays the same.
Other lenders have variable interest rates, which mean they change based on the prime rate - which is like the standard interest rate that most banks use.
Business owners tend to really like this type of interest rate because they know exactly what their monthly payment is going to look like as they pay back their loan. It won’t fluctuate based on the prime rate.
What else is unique about the Honeycomb Credit interest rate?
The other really cool feature about Honeycomb Credit’s interest rate is that we don’t get a cent of it! It all goes back to the customers, family, friends, and other members of your community who invest in your business.
You see, Honeycomb is a platform where you source money from your community, but it’s not donations, like Kickstarter, but investments. This is awesome for you because you can get the winning combination of access to capital, strengthened customer relationships, and marketing power that Honeycomb provides. It’s also awesome for your investors because they get the chance to possibly make some money by investing in you and showing their support for a small business they love.
So why is now the time to take out a Honeycomb Credit small business loan?
Well, to put it bluntly, right now your interest rate is as low as it’s going to be for a while. Interest rates are only going to get higher for probably a couple of years, so if you act fast and lock in your interest rate now with our fixed-income interest rate, you can actually save money.
So, if you’ve got a big project that’s going to require some extra capital to make happen, we’d love to hear about it! Fill out the form below to learn more about Honeycomb Credit and to get in touch with us!