Using Community Banks
Mutual Bank - A Community Bank
A mutual bank, also called a mutual savings bank, is a community bank. They are owned by their depositors and operated for the benefit of their depositors.
Credit Unions and Business Financing
Even though credit unions were originally developed to serve financially underserved individuals, they have a lot to offer small businesses. If a small business has a tie that qualifies them as a possible credit union member, the credit union may be able to offer them all the products and services they need, including business financing.
Community Banks may be the Answer for Small Business Banking
Changing bank regulation has affected small business financing and its sources of financing. Large banks are more interested in the larger businesses as customers. Community banks may be the answer for small business financing.
Small Business Financing Through Community Development Financial Institutions
Financing for small businesses who cannot get financing due to credit problems or other difficulties may be available through the Community Development Financial Institutions Fund (CDFI Fund). This fund was developed to serve as a source of small business financing in under-served areas to assist in economic development.