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If you own a small business, one of the smartest ways to boost your profits is to make sure you are taking all the deductions you are entitled to on your taxes.

Doing so can lower your taxable income and allow you to hold on to more working capital for your business.

But the U.S. tax code for small businesses is fairly complicated and does get revised often. It’s important to get up to date on these changes.

The good news is that there are several new tax credits available if you make your business facilities more energy efficient or purchase an electric vehicle to be used for business. Read on to learn the latest.

What Are Small Business Tax Deductions?

Small business tax deductions (or write-offs) are business-related expenses that you can subtract from your taxable income.

According to the Internal Revenue Service, business expenses must be both ordinary and necessary to be considered deductible. An expense is “ordinary” if it’s common and accepted in your trade or business. An expense is “necessary” if it’s helpful and appropriate to your business. An expense generally doesn’t have to be indispensable, however, in order to be considered necessary.

Many types of qualified business expenses are specifically addressed on the tax return, with a line to enter the deductible amount. Other qualified expenses can be listed separately.

How Do Small Business Tax Deductions Work?

Virtually all businesses have to file a tax return with the IRS, but how much you’ll pay in taxes generally depends on how much your business has earned after qualified expenses have been deducted.

A small business tax deduction is an expense that you can deduct from your income to reduce your federal and state tax bill. If your business brought in $150,000 in revenue, for example, but you had $50,000 in tax deductible business expenses, you would then only be taxed on $100,000 of revenue, which could save you many thousands of dollars compared to what you’d owe on $150,000.

A 100% tax deduction is a business expense of which you can claim the entire cost on your income taxes. In some cases, however, you may only be able to claim a portion of the expense on your tax return.

Recommended: How Much Does It Cost to Start a Small Business?

22 Small Business Tax Deductions

Whether you’re just starting a small business or your company is already well-established, here is a list of write-offs that may be available to you. It can be a good idea to consult a tax professional, like a CPA, to find out which of these deductions your small business is eligible to receive.

1. Advertising and Promotion

The cost of advertising and promoting your business is typically 100% deductible. This can include costs related to hiring someone to design a business logo, launching your website, buying ad space in print or online media, running a social media marketing campaign, or sponsoring an event.

2. Car Expenses

If you use your car for business activities, such as driving to see a client or going to the store to buy office supplies, the costs may be tax deductible as long as you keep track of the mileage. The deductible mileage rate for tax year 2023 is $.655 per mile.

If you have only one vehicle and use it for both personal and business needs, you will likely need to separate the mileage in order for car expenses to be considered a self-employed tax deduction.

3. Energy Efficient Improvements

Thanks to the Inflation Reduction Act, small businesses can receive a tax credit that covers 30% of the cost of switching over to low-cost solar power – lowering operating costs and protecting against the volatile energy prices that are currently squeezing small businesses.

Small business building owners can receive a tax credit up to $5 per square foot to support energy efficiency improvements that deliver lower utility bills.

4. Purchase of Electric Car

If you bought a new, qualified plug-in electric vehicle (EV) in 2023 or after, you may be eligible for a clean vehicle tax credit up to $7,500 under Internal Revenue Code Section 30D. You may qualify for it by buying a qualified new car or light truck. The credit is available to individuals and businesses.

The maximum credit is $7,500. It is nonrefundable, so you can’t get back more on the credit than you owe in taxes. You can’t apply any excess credit to future tax years.

5. Child Care Facilities for Employees

If you provide child care for your employees either on-site or through a contract with an outside facility, you could be eligible for the Child Care Credit. The credit is available for child care expenses up to a cap of $3,000 for one child and $6,000 for two or more. You would claim it by filling out Form 8882.

6. Bad Debt

If you loaned money to an employee, client, or supplier and it wasn’t paid back, or if you made credit sales to customers that were never paid, you may be able to claim the outstanding debt as a business tax deduction.

Typically, you need to have proof that it was indeed a business debt and not a personal loan to write off these debts.

Recommended: Importance of Paying Back SBA Loans

7. Business Meals

Do you take clients (or potential clients) out for meals to discuss business? If so, these costs may be 50% tax-deductible. The snacks and meals you buy for your employees are also typically 50% deductible. Food provided at company parties is generally 100% deductible.

In order to be eligible, food costs typically need to be reasonable — extravagant meals likely won’t qualify. They must also be available to the whole staff, not just highly compensated employees.

8. Business Insurance

You likely have at least one type of insurance coverage for your company and/or your staff. That might be workers’ compensation, liability, property, or data breach insurance. If the insurance policy is considered ordinary and necessary, you can typically write off 100% of your premiums.

9. Business Loan Interest

If you’ve taken out loans for business purposes, including lines of credit and mortgages on business real estate, or if you’ve used business credit cards, the interest you pay on those loans may be 100% tax-deductible.

10. Contractors and Freelancers

If you hire freelancers or independent contractors to help in your business, you may be able to deduct their fees as a business expense. You may also want to keep in mind that if you pay a contractor $600 or more during the tax year, the IRS typically requires you to submit a Form 1099-NEC to both the IRS and the contractor.

11. Education

If you invest in furthering your knowledge and expertise to give you a leg up in the market, or provide your employees with educational benefits, you may be able to write these costs off as business expenses.

Tax-deductible education expenses can include: classes and workshops intended to improve skills in your field, subscriptions to professional publications. attending industry seminars and webinars, and getting business certifications.

12. Equipment Depreciation

Depreciation is a way of spreading the cost of business equipment or assets over time. It essentially measures how much an asset’s value has been used up or exhausted during the year.

Items that can be depreciated by small business typically include computers and other office equipment, machinery, office furniture, and business vehicles. You can learn the specifics by reading this IRS publication.

13. Gifts

If you give clients and prospects gifts as part of your business, the IRS generally permits you to deduct up to $25 per person per year. Any amount you spend over the $25 limit is not deductible.

A gift given to a member of a client’s family is also typically looked at as a gift to the client, unless you have a personal connection to the family member.

14. Home Office

Do you run your business out of your home? If so, you may be able to deduct expenses tied to creating and maintaining that workspace.

To qualify for the home-office tax deduction, you generally must utilize part of your home regularly and exclusively for business. The office does not need to be in a separate room, but it must be in a space solely designated to work and business operations.

You can typically deduct home office expenses in one of two ways: simplified (in which you multiply a specified rate by the square footage you use for your business, up to a maximum deduction of $1,500) and regular (which involves you itemizing expenses for home office use, including mortgage interest, rent, insurance, utilities, and depreciation).

15. Legal Fees

If your business has incurred legal expenses, such as hiring a business lawyer or going to court, you are generally able to deduct them as a business expense. Even if you go to court and do not win the case, those legal fees will likely qualify for deduction.

The legal expenses incurred, however, typically must be considered ordinary and necessary to the business in order to be considered a tax write-off.

16. Office Supplies

Every pen, sheet of paper, and toner cartridge you purchase for your business can typically be written off on your taxes.

For supplies to be deductible, they generally need to be considered essential to running and maintaining a functional office. It can be a good idea to keep receipts and categorize these small business expenses as you go. This can make it easier to file your taxes at the end of the year.

17. Professional Fees

This category includes expenses incurred hiring professionals like bookkeepers, accountants, and tax preparers for your business.

Professional fees may also include any expenses related to obtaining or maintaining professional licenses or memberships in an industry organization.

18. Rent

If you pay rent for an office, warehouse, retail space, or other type of business property, that monthly rent expense may be fully tax-deductible. If you deduct rent as a business expense, you will typically not be able to take the home office deduction as well.

19. Salaries and Employee Benefits

As long as they’re not for you or other business partners, employee salaries and benefits are generally considered write-offs for small businesses.

This category typically includes employee’s wages, paid time off, commissions, and bonuses, as well as employer-sponsored life insurance or retirement account contributions.

20. Startup Expenses

If you started your business in the latest tax year, you may be able to write off up to $5,000 of the expenses you invested in launching.

Startup expenses generally include any costs incurred to create or buy the business, such as expenses related to marketing, travel, training, forming a corporation or partnership, and renovating a commercial space.

21. Phone and Internet

Generally, what you spend to provide your business with internet and phone service can be written off to lower tax liability. If you use the phone and internet for a mix of work and personal reasons, however, you can typically only write off the percentage of the cost that goes toward your business use.

22. Travel

If you travel for work, such as to visit clients or attend industry events, your travel expenses may be considered business tax write-offs. This can include transportation (flight, rental car, train, parking and tolls), hotel stays, and meals.

Recommended: Commercial Equity Line of Credit

The Takeaway

One of the simplest ways to reduce your income tax bill is to ensure you’re claiming all of the tax deductions available to your small business. Understanding which business expenses qualify can help you avoid overpaying come tax time, and also help guide your business decisions throughout the year and help you decide if it’s time for small business financing.

If you’re seeking financing for your business, SoFi can help. On SoFi’s marketplace, you can shop top providers today to access the capital you need. Find a personalized business financing option today in minutes.

Photo credit: iStock/Moon Safari

SoFi's marketplace is owned and operated by SoFi Lending Corp. See SoFi Lending Corp. licensing information below. Advertising Disclosures: SoFi receives compensation in the event you obtain a loan through SoFi’s marketplace. This affects whether a product or service is featured on this site and could affect the order of presentation. SoFi does not include all products and services in the market. All rates, terms, and conditions vary by provider.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SOSB0424009

Wisconsin has about 460,000 small business owners who can apply for small business grants. Submitting an application and competing for Wisconsin small business grants can help you grow your small or medium-size enterprise in the Badger State.

Wisconsin’s economy has a gross domestic product of $414.4 billion as of 2023. That’s the 22nd largest GDP in the United States out of the 50 states and the District of Columbia.

Below we highlight some of the top small business grants in Wisconsin to be explored.

Grants for Small Businesses in Wisconsin

If you’re looking for small business grants in Wisconsin, here are some options to consider:

Collaborative Market Access Grant

•   Program description: This program provides grants to eligible nonprofit organizations, industry associations, or economic development agencies that support export-ready businesses in Wisconsin. Export-ready companies can then receive a portion of the grant as pass-through financial assistance for increasing their exports.

•   Incentive: Economic development organizations can receive up to $150,000 for helping export-ready companies sell their goods abroad. Your business can then receive a portion of that grant — up to $15,000 — for increasing your total export volume.

•   General requirements: Here are some of the general requirements for this grant:

◦   Operate a Wisconsin-based company

◦   Collaborate with an outside organization on a collaborative business project

◦   Your collaborative project must be a viable solution for increasing your company’s export volume

◦   The outside organization must demonstrate an administrative capacity to manage the project in collaboration with your company

•   How to apply: Contact the Wisconsin Economic Development Corporation (WEDC) for application information.

International Market Access Grant

•   Program description: This program reimburses eligible Wisconsin businesses for expenses related to international business development, such as the costs of attending trade shows or growing your presence in foreign markets.

•   Incentive: Receive up to $10,000 in reimbursement for implementing an export project or up to $25,000 if your company completes the national ExporTech™ program.

•   General requirements: Here are some of the general requirements for this grant:

◦   Be a Wisconsin-based company in operation for at least a year

◦   Manufacture, process, assemble or distribute a product or service with the potential to be exported

◦   Be new to export or expand your export volume

◦   Wisconsin cost inputs must make up at least 35% of the value of the product or service being exported

◦   Agree to a 30% match of the grant funds received

◦   Complete the ExporTech program to be eligible for the maximum grant award

•   How to apply: Contact the WEDC organization for application information.

Wisconsin Center for Technology Commercialization (CTC) Micro-Grants

•   Program description: The Wisconsin CTC provides micro-grants to eligible technology and research-based Wisconsin businesses that intend to apply for Small Business Innovation Research/Small Business Technology Transfer (SBIR/STTR) federal funds.

•   Incentive: Be reimbursed up to $4,500 for expenses related to developing a Phase I SBIR/STTR research and development proposal or Phase II SBIR/STTR commercialization plan.

•   General requirements: Here are some of the general requirements for these grants:

◦   Be a research or technology business based in Wisconsin

◦   Intend to develop a Phase I SBIR/STTR research and development proposal or Phase II SBIR/STTR commercialization plan

◦   Your SBIR/STTR technical proposal is vetted by a federal program officer who gives the go-ahead

•   How to apply: You can access the grant application portal through the Wisconsin CTC website .

Wisconsin Entrepreneurial Training Program (ETP) Grant

•   Program description: The ETP grant covers most of the tuition costs of qualified applicants who participate in the ETP course offered at select University of Wisconsin campuses.

•   Incentive: Receive a grant covering 75% of the ETP course fee that typically costs $1,000, and receive training that can help you develop or improve your entrepreneurial business plan.

•   General requirements: Here are some of the general requirements for this grant:

◦   Register for an Entrepreneurial Training Program course

◦   Meet attendance requirements

◦   Complete a satisfactory business plan within the given timeframe by the hosting UW campus

•   How to apply: Contact the Wisconsin Small Business Development Center if you wish to apply.

Wisconsin Fast Forward (WFF) Grants

•   Program description: This program can reimburse eligible employers who implement a workforce training program that provides trainees with transferable skills or industry-recognized credentials.

•   Incentive: Receive up to $50,000 in reimbursement for your training program expenses, such as the costs of curriculum development, instructor salaries, training materials, or supplies.

•   General requirements: Here are some of the general requirements for this grant if you’re a small business owner:

◦   Be a Wisconsin-based employer or partnered with a Wisconsin-based employer

◦   Propose a workforce training program

◦   Provide trainees with workforce training in Wisconsin

◦   Train economically disadvantaged individuals or people who are seeking higher wages and new opportunities

◦   Be financially viable

◦   Be current on all federal and state tax obligations

◦   Match 50% of the amount of the grant with cash or in-kind contributions

•   How to apply: Apply online if and when the Wisconsin Fast Forward grants program reopens.

Who Provides Small Business Grants in Wisconsin?

State-funded organizations and the Office of Skills Development at the Wisconsin Department of Workforce Development offer a variety of small business grants in the Badger State.

Do You Have to Pay Back a Small Business Grant?

A small business grant typically comes with terms and conditions, and you may be responsible for paying back the grant if you violate those terms. In general, small and mid-size business owners are not required to pay back an SMB grant absent any violations.

You typically have to sign a funding agreement to accept a small business grant, and it may come with certain conditions. Using the grant for an illegitimate purpose may violate the agreement and require business owners to pay back the grant.

Small business grants may require you to spend the money by a certain date. You may also have to provide proof of payment and a written statement detailing how you’ve spent the grant.

Recommended: What to Know About Short-Term Business Loans

Who Is Eligible for Small Business Grants in Wisconsin?

Local business owners or operators of an enterprise with fewer than 500 employees may be eligible for small business grants in Wisconsin.

The U.S. Small Business Administration’s Office of Advocacy generally defines a small business as an independent business having fewer than 500 employees. A small business, including individuals who freelance, may be eligible for small business grants.

What Industries Does Wisconsin Support With Grants?

Virtually all industry sectors in the Badger State can be eligible for Wisconsin small business grants, including:

•   Agriculture

•   Construction

•   Customer service

•   Financial services

•   Health care

•   Information technology

•   Manufacturing

•   Research and development in biotechnology

•   Scientific research and development services

•   Transportation, logistics, and distribution

Wisconsin Resources for SMB Owners Looking for Funding

Here are some resources for small and medium-sized businesses looking for funding in the Badger State:

Wisconsin Small Business Development Center (SBDC)

The Wisconsin SBDC is a statewide program that can provide Wisconsin’s small business owners with the following services:

•   Business training courses

•   Confidential business consulting at no cost

•   Specialized initiatives and webinars

SBA District Office in Wisconsin

The U.S. Small Business Administration (SBA) is a federal agency that provides resources and support to small business owners. The SBA Wisconsin District Office has locations in Milwaukee and Madison, and both of those locations serve all 72 counties in the Badger State.

Alternative Funding Sources for Small Businesses in Wisconsin

Here are some alternative funding sources for small businesses:

Wisconsin State Small Business Credit Initiative (SSBCI)

Wisconsin’s SSBCI is a federally funded program for small business owners in the Badger State. Federal law — the American Rescue Plan Act of 2021 — allocates nearly $80 million to Wisconsin’s State Small Business Credit Initiative program.

Here’s how Wisconsin plans to use its SSBCI funding:

•   Wisconsin Forward Venture Fund — $25 million. This program will help eligible startups access venture capital.

•   Wisconsin Forward Co-Investment Fund — $25 million. These funds will also help eligible businesses access venture capital.

•   WEDC Technology Development Fund — $8.1 million. This funding will expand WEDC’s Technology Development Loan program for eligible new businesses that need financing.

•   Wisconsin Housing and Economic Development Authority (WHEDA) Collateral Support Program — $6 million. This program will provide cash collateral to help eligible small business owners access credit.

•   WHEDA Subordinate Loan Participation Program — $6 million. This program uses SSBCI funds to expand Wisconsin’s loan participation. A loan participation program typically allows a state to partner with private lenders to support small business lending.

•   WEDC Capital Catalyst Fund — $6 million. This program will help Wisconsin provide matching funds to nonprofits that operate small business loan programs.

•   WHEDA Capital Access Program — $3 million. This program will promote small business lending activity in Wisconsin. WHEDA can use SSBCI matching funds to support portfolio insurance on small business loans.

Wisconsin Microloan Lenders

Community-based nonprofits may offer microloans of up to $50,000 to small business owners in Wisconsin. In general, microloans can range from $500 to $50,000 and may be available to startups.

Wisconsin SMB Loans from Private Lenders

Banks, credit unions, and private lenders may offer different types of small business loans to Wisconsin business owners.

Here are some of the funding products you may consider depending on your needs:

•   Commercial real estate loans

•   Equipment financing

•   Small business loans for startups

•   Working capital lines of credit

The Takeaway

Small businesses in Wisconsin may be eligible for a number of grants, ranging from state and local governments to private sources.

If you’re seeking financing for your business, SoFi can help. On SoFi’s marketplace, you can shop top providers today to access the capital you need. Find a personalized business financing option today in minutes.

FAQ

How do you get a small business grant in Wisconsin?

You can apply for Wisconsin small business grants, but there’s no guarantee you’ll get approved for one. You may have to submit a grant application as a qualified small business owner to be considered for a small business grant in Wisconsin.

How hard is it to get a business loan in Wisconsin?

You may have difficulty getting a small business loan in Wisconsin if you have bad credit or insufficient business experience.

What is the easiest SBA loan to get approved for?

There’s no guarantee you’ll get approved for any SBA loan, but SBA microloans may be one of the easier ones to get if you’re a new business owner. Startups may be eligible for SBA microloans of up to $50K. If you’re looking for a streamlined application process, SBA Express working capital loans are an option you may consider.

Photo credit: iStock/kali9

SoFi's marketplace is owned and operated by SoFi Lending Corp. See SoFi Lending Corp. licensing information below. Advertising Disclosures: SoFi receives compensation in the event you obtain a loan through SoFi’s marketplace. This affects whether a product or service is featured on this site and could affect the order of presentation. SoFi does not include all products and services in the market. All rates, terms, and conditions vary by provider.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

SOSB0424007

You’re ready to take out a loan to expand your business, hire staff, or purchase a permanent space. Trouble is, small business loans typically require a significant down payment and, right now, you simply don’t have the cash. Does that mean financing is off the table?

Not necessarily. There are several types of small business loans, including some term loans, that don’t require borrowers to make a down payment. In addition, some lenders will forgo a downpayment if a borrower has excellent credit or can offer collateral to secure the loan.

No-money-down business loans may come with higher fees and interest rates than conventional loans, however. So it’s important to shop around, compare business loan rates, and always read the fine print. Here’s what you need to know about no-money-down loans.

What Are No-Money-Down Small Business Loans?

No-money-down small business loans are exactly what they sound like — business loans with no down payment requirement.

While many small business loans require you to make a down payment of anywhere from 10% to 30% of the principal amount in order to secure the loan, these loans don’t ask for any initial deposit. Common no-money-down loans include: secured loans, short-term loans, microloans, invoice financing, and business lines of credit.

Why Cash Flow Matters to Lenders

Lenders are more likely to approve you for a no-money-down loan if your business can demonstrate a positive cash flow, which refers to the total amount of money that comes in and out of your business.

A positive cash flow means your revenue is higher than your expenses. This enables you to pay expenses, invest in new opportunities, and grow your business. A negative cash flow, on the other hand, means your expenses exceed your revenues. Businesses with positive cash flow tend to be more reliable borrowers that can afford their debt obligations, making them a trustworthy candidate to lenders.

Why You Might Need a No-Money-Down Business Loan

If your business is new or just getting off the ground, you may not be able to spend money (as in come up with a hefty down payment) in order to get money. Any available cash may be needed elsewhere in your company.

A no-money-down loan can help your business move forward without having to part with precious capital. Lenders will often waive the down payment in exchange for collateral, a higher than average interest rate, and fees.

This type of loan isn’t necessarily cheaper in the long term. However, if you need an influx of cash to achieve a healthy return on investment (ROI), a no-money-down business loan may be worth considering. Of course, it’s important to only borrow funds you know you can repay on time.

How Does a Loan With No Money Down Work?

Lenders require deposits to lower their risk. To offset the higher risk involved in offering a no-money-down business loan, lenders may offer lower funding amounts, shorter loan terms, and/or higher fees and interest rates.

In some cases, lenders may also require collateral. Using assets such as real estate or equipment as collateral allows lenders to recoup their losses if you go into default. Lenders that don’t require you to put up collateral may instead require a blanket lien (which allows them to place a claim on all assets to satisfy the debt) or request a personal guarantee (which says that if the business can’t pay its debt, the person providing the guarantee will be responsible for repayment).

Aside from the initial requirements, no-money-down business loans work the same way as traditional business loans. Typically, you receive the loan principal in a lump sum, then start paying it back (plus interest) according to a predetermined schedule. As with other types of business loans, the interest you pay on a no-money-down loan can be a tax-deductible business expense.

Pros and Cons of No-Money-Down Loans

If you’re short on capital, getting a no-money-down business loan may sound like the ideal solution. However, these types of loans come with both pros and cons. Here’s a look at how they stack up.

Pros

The biggest advantage to a no-money-down business loan is that you can avoid the catch-22 of having to come up with cash in order to borrow cash. Not having to wait until you’ve saved enough for a downpayment can also mean faster funding.

Another plus is that no-money-down business loans often have less stringent requirements, making them a viable option for businesses that have no credit history or a poor credit history. No-money-down loans also tend to be flexible, meaning you can use them for any type of business expense, such as supplies, payroll, equipment, or real estate.

Cons

One of the biggest drawbacks of no-money-down loans is that they often come with higher interest rates than conventional loans. You may also get hit with hefty loan fees, including fees for origination, late payments, and prepayments.

Loan amounts for no-money-down loans also tend to be smaller and terms are often shorter compared to conventional loans. In addition, you may have to put up a business asset as collateral in order to secure the loan.

Also keep in mind that not putting money down on a loan means the total amount you are borrowing will be greater. As a result, your loan payments will be higher.

Recommended: Grants for New York Small Businesses

No-Money-Down Loans vs Conventional Loans

No-money-down loans can come in handy in certain situations, but rates and terms tend to be less favorable when compared to conventional loans. Here’s how the two options compare.

Collateral vs Down Payments

Down payments and collateral are similar, but also have some key differences.

A down payment is a cash payment you make to the lender before you receive the loan. If you default on the loan, you forfeit your down payment.

Collateral is an asset you put up against the loan. This means you give the lender the right to take the asset if you are unable to pay the loan. Collateral could be a vehicle, piece of equipment, inventory, or real estate. Collateral allows you to keep more liquid capital in your business, but comes with the risk that you could lose the asset.

Both down payments and collateral serve the same purpose — they lower the lender’s risk. Some loans require one or both, while some require neither. Generally, if a loan requires either a down payment or collateral, it will have a lower interest rate.

Recommended: Unemployment Rates By City

6 Types of No-Money-Down Loans

Not every type of business loan requires a down payment. Here are some no-money-down loan options.

1. Business Lines of Credit

If you’re interested in getting a loan to relieve cash-flow issues, a business line of credit (LOC) can be a good solution. This kind of financing allows you to access cash when you need it and doesn’t require any down payment.

With a small business LOC, you can draw funds up to an agreed-upon credit limit (based on your business’s qualifications) whenever you need them in whatever amount you need. You only pay interest on what you use. Your line of credit replenishes to its original amount once you repay what you’ve used, plus interest.

2. Invoice Financing

Like a business line of credit, invoice financing is a quick way to improve cash flow, and it requires no down payment to secure. With invoice financing, you sell your unpaid invoices to a company who gives you up to 85 percent of the value of those invoices in return. You get the remaining amount, minus fees, once the invoices are paid by your customers.

Recommended: Annual Business Revenue

3. Equipment Loans

If you need a loan to purchase a vehicle or piece of equipment for your business, equipment financing can be a good option because the asset you are buying serves as collateral for the loan. And, if you can receive 100% of the money you need to buy the equipment, there won’t be any down payment involved. In some cases, however, an equipment loan will only cover 80%, which means you would need to come with 20% of the cost in advance.

4. Term Loans

Business term loans, which allow you to borrow a lump sum of money and repay it via monthly payments over the term of the loan, are one of the most common funding solutions for small businesses. And, you often don’t have to put money down to get one. If your lender looks over your credit and application and deems you a fit, they may only ask that you put up collateral or sign a personal guarantee.

5. SBA Microloans

If you’re looking for a startup business loan with no money down, you may want to consider a Small Business Administration (SBA) microloan. Unlike traditional, large SBA loans, microloans are for small amounts (up to $50,000) and typically do not require a down payment. SBA microloan lenders look to accommodate borrowers in underserved communities; female-, minority-, or veteran-owned businesses; environmentally friendly businesses; and certain nonprofits.

6. Crowdfunding

Crowdfunding involves getting small donations from a large number of people via a crowdfunding platform, such as Kickstarter or Wefunder.

With rewards-based crowdfunding, you create a post describing your product or service, set a target funding amount, and create tiered rewards for contributors based on the size of their donations, such as a company t-shirt or early access to the product. You need to meet your goal in order to keep the funds, and the platform typically charges a fee.

There are also other types of crowdfunding you might consider, such as equity crowdfunding (where donors receive a stake in the company), debt crowdfunding (where the money pledged by backers is a loan and must be repaid with interest by a certain deadline), and donation crowdfunding (where people give to a campaign for nothing in return).

Recommended: Comparing Personal Loans vs Business Loans

Applying for No-Money-Down Business Loans

Even if you don’t have the cash available to make a down payment, you may be able to qualify for a small business loan. Here are some things to consider before you apply for a no-money-down business loan.

Check Your Financials

At the end of the day, a lender simply wants assurance that any loans they extend will be fully repaid (plus interest). To qualify for a no-money-down loan, you’ll typically need to show a lender evidence that your business is generating revenue. If it isn’t, you’ll want to look at other assurances you can offer, such as collateral or strong personal credit, that demonstrate to the lender you are a safe bet.

Check Lender Requirements

Some lenders, like banks, have strict application requirements, such as a certain number of years in business and a minimum amount of annual revenue. Online lenders, however, tend to have more flexible criteria and may consider new businesses and those with lower cash flow if they can show other strengths, such as strong personal credit. It’s key to know what a lender is looking for before you start the application process to make sure it’s going to be worth your while.

Can You Afford the Loan?

Before applying for a small business loan, you’ll want to make sure that you have enough revenue or available cash to easily manage the monthly payments. Lenders generally like automatic withdrawals, so you’ll want to ensure that your business account balance is consistently well over wherever the monthly payment amount will be.

Can You Afford the Risk?

The rate and terms of a loan are based on the risk the borrower represents. If you can’t afford to make a down payment, you represent a higher risk to a lender. As a result, the annual percentage rate (APR) and payment frequency may be higher and the repayment period may be shorter than a traditional business loan. You may also have to put a business asset at risk. If you default on the loan, you could lose that asset.

Recommended: How Much Does It Cost to Start a Business?

Business Acquisition Loans With No Money Down

If you’re looking to purchase an existing business, a business acquisition loan can be a good option. This is a loan that’s given to a small business specifically to acquire another business. If the business you’re buying has sufficient assets to serve as collateral for the loan, you might be able to qualify for a no-money-down acquisition loan. If that’s not the case, you may be able to secure financing directly from the seller. If the owner is eager to sell, you may be able to negotiate a payment plan that doesn’t require a down payment.

The Takeaway

There are several types of loans that don’t require a down payment. However, no-money-down business loans may come with higher fees and interest rates than conventional loans.

If you’re seeking financing for your business, SoFi can help. On SoFi’s marketplace, you can shop top providers today to access the capital you need. Find a personalized business financing option today in minutes.

FAQ

Do SBA loans require a down payment?

Typically, yes. The two most common SBA loan programs – the SBA 7(a) and SBA 504 – both require a down payment of at least 10%.

Can you fund a business with no money?

Yes, it’s often possible to fund a business with no money. Options include loans from friends and family, a business grant, a no-money-down business loan, crowdfunding, and bringing in an investor.

Do no-money-down business loans exist?

Yes. Not all small business loans require a down payment. Some loans require collateral instead of a down payment, and some require neither.

What is collateral for a business loan?

Collateral for a business loan is a high-value asset, such as real estate or equipment, that a lender can seize and sell in the event that you default on the loan.

What are the downsides of no-money-down loans?

No-money-down loans often come with lower amounts, shorter terms, and higher interest rates than loans that require a down payment.

Photo credit: iStock/FluxFactory

SoFi's marketplace is owned and operated by SoFi Lending Corp. See SoFi Lending Corp. licensing information below. Advertising Disclosures: SoFi receives compensation in the event you obtain a loan through SoFi’s marketplace. This affects whether a product or service is featured on this site and could affect the order of presentation. SoFi does not include all products and services in the market. All rates, terms, and conditions vary by provider.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

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Indiana has about 530,000 small business owners who can apply for small business grants. Submitting an application and competing for Indiana small business grants can help you grow your small- or medium-sized enterprise in the Hoosier State.

Indiana’s economy has a gross domestic product of $494.8 billion as of 2023. That’s the 19th largest GDP in the United States out of the 50 states and the District of Columbia. Small businesses contribute to the nation’s economy.

Below we highlight some of the top small business grants in Indiana that you can explore.

Grants for Small Businesses in Indiana

If you’re looking for Indiana small business grants, here are some potential options to consider:

Federal Home Loan Bank of Indianapolis (FHLBI) Elevate Grants

•   Program description: FHLBI Elevate grants can help you grow your Indiana firm and cover costs related to small business expansion and workforce development.

•   Incentive: Eligible business owners can receive up to $20,000 to cover project expenses, such as technology enhancements, capital improvements, and workforce development.

•   General requirements: Here are some of the general requirements for this grant:

◦   Partner with an FHLBI member institution

◦   Be a small business owner based in Indiana or Michigan

◦   Be active in business for at least 12 months

◦   Have average annual gross revenues of less than $1 million

•   How to apply: Work directly with an FHLBI member institution to apply when the annual application opens.

City of South Bend Business Grants

•   Program description: The city of South Bend offers a variety of grants that may partially reimburse eligible businesses for making capital improvements.

•   Incentive: Eligible businesses can receive up to $20,000 for making visual enhancements in downtown South Bend and up to $112,000 for implementing an advanced sustainability project in select corridors.

•   General requirements: Any business in South Bend may be eligible for a Vibrant Places matching grant, and businesses in the downtown area may be eligible for one Exterior Enhancement Grant per year.

•   How to apply: Visit the City of South Bend website for additional information on these grants and how to apply.

Michigan City Urban Enterprise Association (MCUEA) Business Grant Program

•   Program description: The MCUEA offers grants to eligible business owners who make exterior and interior improvements to their brick-and-mortar commercial establishments in Michigan City, Indiana.

•   Incentive: Eligible businesses in the Michigan City Urban Enterprise Zone can receive up to $7,500 in reimbursements for making capital improvements.

•   General requirements: You generally need to operate a business within the Michigan City Urban Enterprise Zone for a minimum period of one year to qualify for this grant.

•   How to apply: Contact the Michigan City Urban Enterprise Association for information on when the business grant application opens.

City of Madison’s Preservation and Community Enhancement (PACE) Grant Program

•   Program description: The PACE Grant Program provides matching grants to eligible property owners who rehab and improve the structural integrity of dilapidated buildings within the city of Madison, Indiana.

•   Incentive: The PACE Grant Program offers the following incentives per category:

◦   Receive a Curb Appeal Grant of up to $5,000 for improving the appearance of your residential or commercial property within the hilltop target area

◦   Receive a Rehabilitation Grant of up to $7,500 for rehabbing your downtown historic property

◦   Receive a Dangerous Buildings Grant of up to $10,000 for the full demolition of an unsafe property within the city of Madison

◦   Receive a Dilapidated Structures Grant of up to $25,000 for the partial demolition and rehabilitation of a dilapidated structure within the city of Madison

•   General requirements: Here are some of the general requirements for this grant:

◦   Own residential or commercial property in the city of Madison, Indiana

◦   Be current on all property taxes

◦   Have no current tax liens against the property

◦   Have no current litigation between you and the city of Madison

◦   Provide willingness to execute all legal agreements

◦   Properties which previously received PACE grant funds are not eligible for additional funding for two years following the previous grant’s final disbursement of funds

•   How to apply: Contact the PACE Review Committee or Madison’s Planning Department if you’re interested in applying.

Downtown Danville Partnership Façade Improvement Grant Program

•   Program description: Downtown businesses in Danville, Indiana, can receive partial reimbursements for making improvements to their storefronts and building exteriors.

•   Incentive: Receive up to $5,000 per grant for making exterior façade improvements to your commercial property in downtown Danville, Indiana.

•   General requirements: Here are some of the general requirements for this grant:

◦   Own a business in downtown Danville, Indiana

◦   Your business is located within the boundary of Clinton, Kentucky, Broadway, and Wayne streets

◦   Receive design approval in advance from the Town of Danville’s Design Review Committee

•   How to apply: Go to the Downtown Danville Partnership website to submit your application online.

Who Provides Indiana Small Business Grants?

Local governments, nonprofits, and financial institutions affiliated with the Federal Home Loan Bank of Indianapolis may offer small business grants in Indiana.

You can compare small business grants in Indiana with similar programs in other states, such as:

•   Florida small business grants

•   Michigan small business grants

•   NJ small business grants

Do You Have to Pay Back a Small Business Grant?

A small business grant typically comes with terms and conditions, and you may be responsible for paying back the grant if you violate those terms. In general, small and midsized business owners are not required to pay back an SMB grant absent any violations.

You typically have to sign a funding agreement to accept a small business grant. As mentioned above, the grant may come with certain conditions. Using the grant for an illegitimate purpose may violate the agreement and require business owners to pay back the grant.

Small business grants may require you to spend the money by a certain date. You may also have to provide proof of payment and a written statement detailing how you’ve spent the grant.

Recommended: What to Know About Short-Term Business Loans

Who Is Eligible for Indiana Small Business Grants?

You may qualify for Indiana small business grants if your business generates annual revenues of less than $1 million and you plan to implement a capital improvement project. Local business owners or operators of an enterprise with fewer than 500 employees may also be eligible for small business grants in Indiana.

The U.S. Small Business Administration’s Office of Advocacy generally defines a small business as an independent business having fewer than 500 employees. A small business, including individuals who freelance, may be eligible for small business grants.

What Industries Does Indiana Support With Grants?

Indiana offers a variety of grants supporting the following industries:

•   Agriculture

•   Food services and drinking places

•   Hair, nail, and skin care services

•   Landscaping services

•   Restaurants and other eating places

•   Retail trade (store and nonstore retailers)

Indiana Resources for SMB Owners Looking for Funding

Here are some resources for small and medium-sized businesses looking for funding in the Hoosier State:

Indiana Small Business Development Center (SBDC)

The Indiana SBDC is a statewide program that can provide Indiana’s small business owners with the following services:

•   Access to market research reports at no cost

•   Confidential business counseling at no cost

•   Workshops and training events

SBA District Office in Indiana

The U.S. Small Business Administration (SBA) is a federal agency that provides resources and support to small business owners. The SBA District Office in Indianapolis serves all 92 counties in Indiana.

Alternative Funding Sources for Small Businesses in Indiana

Here are some alternative funding sources for small businesses in Indiana:

Indiana State Small Business Credit Initiative (SSBCI)

Indiana’s SSBCI is a federally funded program for small business owners in the Hoosier State. Federal law — the American Rescue Plan Act of 2021 — allocates about $99 million to Indiana’s State Small Business Credit Initiative program.

Here’s how Indiana plans to use the SSBCI funding:

•   Indiana Angel Network Fund — $70.4 million. This program will help eligible startups access venture capital in the Hoosier State. It provides equity capital directly to startups through the Indiana Angel Network Fund alongside co-investors. Investments from the Indiana Angel Network may be made up to $1 million per company and typically require a minimum 1:1 co-investment.

•   Indiana Loan Fund Investment Program — $28.7 million. This program can help Indiana small business owners access small business loans. This includes Indiana small businesses with fewer than 10 employees and firms owned and controlled by socially and economically disadvantaged individuals.

Indiana Microloan Lenders

Community-based nonprofits may offer microloans of up to $50,000 to Indiana small business owners. In general, microloans can range from $500 to $50,000 and may be available to startups.

Indiana SMB Loans from Private Lenders

Banks, credit unions, and private lenders may offer different types of small business loans to Indiana small business owners.

Here are some of the funding products you may consider depending on your needs:

•   Commercial real estate loans

•   Equipment financing

•   Small business loans for startups

•   Working capital lines of credit

The Takeaway

There are a variety of grants available for Indiana small businesses, ranging from state or local governments to private businesses.

If you’re seeking financing for your business, SoFi can help. On SoFi’s marketplace, you can shop top providers today to access the capital you need. Find a personalized business financing option today in minutes.

FAQ

How do you get an Indiana small business grant?

You can apply for Indiana small business grants, but there’s no guarantee you’ll get approved for one. You may have to submit a grant application as a qualified small business owner to be considered for an Indiana small business grant.

How hard is it to get a business loan in Indiana?

You may have difficulty getting an Indiana small business loan if you have bad credit or insufficient business experience. You generally have to pay back business loans with interest.

What is the easiest SBA loan to get approved for?

There’s no guarantee you’ll get approved for any SBA loan, but SBA microloans may be one of the easier ones to get if you’re a new business owner. Startups may be eligible for SBA microloans of up to $50K. If you’re looking for a streamlined application process, SBA Express working capital loans are an option you may consider.

Photo credit: iStock/JLco – Julia Amaral

SoFi's marketplace is owned and operated by SoFi Lending Corp. See SoFi Lending Corp. licensing information below. Advertising Disclosures: SoFi receives compensation in the event you obtain a loan through SoFi’s marketplace. This affects whether a product or service is featured on this site and could affect the order of presentation. SoFi does not include all products and services in the market. All rates, terms, and conditions vary by provider.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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As you grow your business and seek financing opportunities, you may wonder if taking out a business loan could affect your personal finances. In other words, could a loan for your business have an impact on your personal credit score?

The answer is, yes, in some cases, it could. A business loan may impact your personal credit score if you run a sole proprietorship or partnership, or if you personally guarantee the business account in any capacity.

Read on to learn the different ways in which a business loan can affect your credit scores, and what you can do to keep business financing separate from your personal finances.

What Is Business Credit?

Business credit is based on your business’s credit history and is expressed in the form of business credit scores. Both your business credit profile and business credit scores give credit agencies, lenders, vendors, and suppliers an indication of how you handle your debts and your likelihood of paying them on time. Building your business credit profile can pay off by giving you access to small business loans and other types of financing with favorable rates and terms.

How Does Business Credit Work?

In order to establish credit for your business, you need to first legally register it as a business entity. Once your business is registered, your business credit reports will be created when vendors, suppliers, or creditors report your company’s accounts and activity to a business credit bureau. This activity helps to generate the information that informs your business credit scores.

Recommended: Personal Loan vs Business Loan: Which Is Right for You?

Difference Between Personal and Business Credit

While business and personal credit are two separate entities, the lines can sometimes get blurred.

Your personal credit score is linked to you through your social security number and uses information drawn from your personal credit reports. Your score reflects your funding and payment history, such as your use of credit cards or your record of paying off a student or personal loan, and can affect your access to future credit and what interest rates you pay. It may also be looked at by landlords and potential employers.

A business can have its own credit score, so long as it is a separate legal entity with a federal employer identification number (EIN). If you’re trying to get a business loan, some lenders may examine only your business credit history, which is reported by three major business credit bureaus: Experian, Equifax, and Dun & Bradstreet. Others may look at both your business and personal credit scores.

Recommended: Typical Small Business Loan Fees

What Types of Business Activities Can Affect Personal Credit?

In some cases, your business credit can affect your personal credit. Let’s take a closer look.

Business Credit Card Use

When you apply for a business credit card, the lender will typically perform a hard credit inquiry into your personal credit. Any hard credit pull can potentially lower your personal credit score by a few points, so you may see a small, temporary dip in your personal credit scores.

Once you’re using your business credit card, some activities will impact only your business credit, while others may affect both personal and business credit scores. It all depends on what the credit card issuer chooses to report and which credit agencies they choose to report to.

Some business credit card issuers report all of your account activity to the three major consumer credit bureaus (TransUnion, Equifax and Experian), while others will only report negative information to those bureaus, such as being more than 30 days late on a payment.

Most Business Debt

Any type of business loan could impact your personal credit if you personally guarantee the business account or your social security number is linked to the debt. The lender will likely report a defaulted business loan to both the business and consumer credit bureaus in these cases.

How Can Business Loans Affect Personal Credit?

A business loan can affect your personal credit score in a variety of different situations.

If your business doesn’t have an EIN and the loan is tied to your social security number, for example, you would be personally liable for any debts if your business fails and is unable to repay them.Failure to make timely payments would affect your personal credit score.

Another scenario in which business loans can affect personal credit scores is when the borrower signs a personal guarantee. With a signed personal guarantee, both your credit score and your business’s credit score may be affected by missing payments. A personal guarantee also puts your personal assets at risk.

Recommended: Can Personal Loans Be Used to Start a Business?

5 Ways to Protect Personal Finances From Business Debt

If you’d prefer to keep your personal credit score separate from any business debts you incur, there are some actions you can take to help make that happen. Below are some options you may want to look into.

1. Select the Right Business Structure

How your business is structured affects how banks and lenders interact with you. For example, if you’re a sole proprietor, it’s your name that will appear on every debt owed by your business, and your business and personal credit will be one and the same. Thus any late payments and defaults you accrue can have a negative effect on your personal finances.

If you want to sever ties, you would need to become a Limited Liability Company (LLC), S-corporation, or C-corporation. Each set-up comes with a unique set of tax burdens and benefits, so when choosing a business structure, it can be a good idea to consult with a tax professional or business organization lawyer.

2. Open a Business Bank Account

Establishing a separate bank account for your business bank is one of the most important steps you can take to keep your company’s finances separate from your own. When looking for the right bank to open a business checking account, you’ll want to consider services you need now and might need in the future (such cash flow management tools or merchant services), as well as fees for business accounts (which can be different from fees for personal accounts). Also check the documentation requirements for opening a business bank account.

3. Consider Getting a Business Credit Card

It can be hard to get a business credit card right out the gate, which is why many business owners need to sign a personal guarantee when getting one.

However, you may be able to find a business credit card that does not routinely report activity to the consumer credit reporting agents. Keep in mind, though, that you need to make all payments on time. Most major small business cards will report if you default on the card.

Another option may be to get a secured business credit card. A secured card uses money that you yourself deposit as collateral. This refundable deposit protects the card issuer in case of default.

Like a regular credit card, you make payments on any amount you use each month. After your business has proven to be financially responsible, you can request to upgrade to an unsecured business credit card.

4. Understand How Defaults Are Resolved

How a default is handled will depend on how the loan was set up. If you personally guaranteed the loan, your lender may collect any collateral you put up to secure the loan, meaning you could lose your car or house. Likewise, all missed payments will show up in your personal payment history, which can lower your credit score and make it harder for you to get a personal loan or credit card.

If you or your partners did not personally guarantee the loan, then the business itself may be sued, and any business assets you used to secure the loan might be seized. You can also expect fees, interest, and penalties to accumulate, as well as your business’s credit score to take a hit.

5. Communicate With Your Lender

When applying for a business loan, it can be a good idea to ask the lender whether it will look at your personal credit report and score before approving you for the loan. If so, this means the lender will be doing a hard credit check on your financial history, which could temporarily lower your score by several points.

It can also be smart to review any documents and contracts that accompany the business loan. If any of them request a personal guarantee and require your signature instead of your business’s, then you know you will be held personally liable for the loan or line of credit.

You may be able to challenge the personal guarantee, but if you do, the lender may deny your loan request or increase your interest rate, meaning you’ll pay more for the same product.

Recommended: Unemployment Rates By City

Personal Finances Affecting Business Loans

There are three scenarios where your personal finances might impact your ability to get a small business loan:

1.   Your business is structured as a sole proprietorship or partnership.

2.   Your business has a limited credit history.

3.   Your business has a low credit score.

If any of the above are true, the following may impact your ability to get a loan or your loan terms:

Personal Credit Score

If your personal credit score is low, it can have a negative impact on your business loan. It may not prevent you from getting approved, but it could keep you from getting strong loan terms.

Personal Debt

Personal debt also has the potential to lower your prospects for being granted a business loan. If you have a lot of debt in your name, it may give lenders enough of a reason to charge you high interest rates, fearing you may one day default on payments.

Recommended: No Money Down Business Loans

The Takeaway

Whether a business loan affects your personal credit depends on a few factors, including the type of loan you’re applying for, how you’re obtaining the credit, and your business structure.

Applying for a business credit card can lead to a small hit to your personal credit score because of the hard inquiry from the lender. If you personally guarantee a business loan, your personal credit can also be affected. Finally, if you run a sole proprietorship or partnership, your personal credit could be affected by a business loan if you put your name on the loan documents.

However, business debts don’t impact personal credit if the company and the owner are two separate legal entities and the loan isn’t connected to your name or social security number.

If you’re seeking financing for your business, SoFi can help. On SoFi’s marketplace, you can shop top providers today to access the capital you need. Find a personalized business financing option today in minutes.

FAQ

Are business loans based on personal credit?

In some cases, yes. A business loan will likely be based on your personal credit if your company is structured as a sole proprietor or partnership, or if your business’s credit history is thin or your business has a low credit score.

Do small business lenders check personal credit?

In some cases, yes. Lenders will likely check your personal credit if your business doesn’t have an Employer Identification Number (EIN), meaning the loan will be in your name, or if your business is new or has a low credit score.

Can a business loan affect getting a mortgage?

If your name is attached to the business loan in any way, then yes, it can affect your ability to get a mortgage.

When applying for a mortgage, your lender will likely look at your debt-to-income ratio. Your business loan (and any other debt you already have) combined with a new mortgage could potentially push you past the threshold that lenders like to see.

If your business is a separate entity, then a business loan will not likely impact your ability to get a mortgage.

Photo credit: iStock/Rockaa

SoFi's marketplace is owned and operated by SoFi Lending Corp. See SoFi Lending Corp. licensing information below. Advertising Disclosures: SoFi receives compensation in the event you obtain a loan through SoFi’s marketplace. This affects whether a product or service is featured on this site and could affect the order of presentation. SoFi does not include all products and services in the market. All rates, terms, and conditions vary by provider.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

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