By: Stanley Koopmans, Senior Vice President – Commercial Banker
When it comes to your company’s operating line of credit (LOC), Goldilocks had the right idea.
Rather than trying to get approved for the largest possible LOC your business may qualify for, it’s much better to evaluate your expectations for the year, and attempt to match your credit line as closely as possible to your anticipated needs. This approach also helps cover the scenario where your current LOC won’t be adequate to support projected growth.
Not too big. Not too small. It’s time to make sure your current LOC is a perfect fit.