Business loans play a crucial role in making your vision for the future come to life, whether you own an established small to medium sized business or you are setting out to launch a brand new venture. Financing can help business owners expand, acquire new equipment, purchase or develop real estate, or acquire commercial vehicles. For businesses that deal with seasonal low points, revolving lines of credit additionally assure ongoing financial health. Baxter Credit Union offers a broad range of business loan products, and may be the partner you are looking for as you seek financing for your venture.
Baxter Credit Union was initially established to serve Baxter Healthcare employees, and has been active for over 40 years at this point. Although Baxter Healthcare is a small credit union — nationwide, it is 56th in terms of size — Baxter Credit Union is a fast-growing credit union that currently counts around 250,000 members in the United States and Puerto Rico. As of the present, Baxter Credit Union manages assets of almost $4 billion.
Baxter Credit Union was listed on the Forbes2020 list of Best In-State Banks and Credit Unions, an honor based on customer trust and satisfaction, extensive banking services, and comprehensive financial advice options. That means that Baxter Credit Union earned their existing members' seal of approval, and future members are likely to be equally satisfied with the credit union's commitment to excellent service and a diverse range of financial products.
In addition to a wide range of personal banking services that include checking and savings accounts as well as mortgages and student loans, Baxter Credit Union, based in Illinois, offers a range of financial solutions for businesses.
Baxter Credit Union partners with select businesses through programs designed to raise the value of your organization and give your employees access to favorable banking options. The credit union offers standard and premium business checking accounts, the latter of which have especially advantageous interest rates (an APY of 0.25%), and commercial loan solutions to suit almost any venture's financial needs as they launch, grow, or make it through challenging periods.
Like other credit unions, Baxter exclusively provides financial services and banking products to its members. Entrepreneurs who are interested in exploring the possibility of obtaining a business loan through Baxter Credit Union should first join the credit union, if they are not already a member. Membership with Baxter Credit Union is open to those who:
- Reside or work in Illinois in Lake, McHenry, DuPage, Kane or Cook Counties.
- Reside or work in Kenosha County in Wisconsin.
- Are employed by, or have contracts with, one of the employer groups that Baxter Credit Union has partnered with. This program covers dozens of employers.
- Are an immediate relative of a person who is already a member of Baxter Credit Union.
Individuals who are already members of Baxter Credit Union may be eligible for commercial loan products through the credit union even if they have relocated outside of the area served by Baxter Credit Union, in the case of sole proprietors.
In the cases of businesses that are located outside of the areas served by Baxter Credit Union, commercial banking and loan options may still be an option if 51% of the owners or partners in the venture are eligible for membership with Baxter.
“Baxter Credit Union offers a full suite of business banking solutions with a great degree of flexibility.”
What Does Baxter Credit Union Offer?
A Broad Range of Commercial Loan Options
Ventures and entrepreneurs who are eligible to join Baxter Credit Union may, subject to meeting other required conditions, be able to acquire financing through this Illinois-based credit union. Baxter Credit Union is, as a small credit union, in a great position to work with you to ascertain how they can best serve you as you build, grow, or expand your business. To this end, Baxter Credit Union offers four unique types of commercial loans that cover the most common needs businesses will have, in addition to offering business credit cards.
The types of commercial loans Baxter Credit Union offers are:
- BCU Business Real Estate Loans. The commercial real estate loans that Baxter Credit Union offers to its business members have competitive rates and can be fixed over a period of three to five years. These loans allow businesses to acquire commercial properties or to develop or renovate existing commercial real estate.
- BCU Business Term Loans. These commercial loans, which generally cover amounts of $250,000 or less, are an excellent way to improve the profitability of your business, and Baxter offers low rates. They can be used to purchase equipment and fixtures and to make changes that will improve your cash flow situation. The terms Baxter Credit Union offers are up to 60 months, depending on the collateral. Amortized loans are also available.
- Commercial vehicle loans are also available to businesses that have joined Baxter Credit Union, with an especially straightforward and fast application process and extremely competitive rates. The terms cover a maximum of 72 months.
- Lines of credit ensure that your business has access to the funding it needs on an ongoing basis, and they are used to acquire short-term assets like inventory or seasonal working capital requirements. In partnering with Baxter Credit Union, members will gain access to low rates and flexible repayment options.
Day to Day Business Banking Solutions
Baxter Credit Union offers a full suite of business banking solutions to its members, with a great degree of flexibility. Standard business checking accounts have low minimum balance requirements and modest fees, making them a good option for new ventures that are just launching. Premium business checking accounts with Baxter Credit Union, meanwhile, give access to unique benefits that include a 0.25% APY. Baxter Credit Union also has a Business Money Market program that allows ventures to accumulate funds by earning interest, while still making withdrawals possible. Because every business needs a reliable credit card, business credit cards with low rates and no annual fees are another integral part of Baxter Credit Union financial suite for businesses. Do you need merchant processing? This, too, is a service Baxter Credit Union offers to its business members.
A Commitment to Customer Service
Baxter Credit Union makes itself available to its members 24 hours a day, and seven days a week — and that doesn't only mean logging into a secure and up to date online banking portal. The credit union has a toll free number that can be reached at any point during the day, or the night for that matter, in case of emergencies.
Do you prefer a face to face conversation with an employee? Baxter Credit Union has 41 convenient locations in 37 different cities where you will be able to withdraw funds or get financial advice.
Convenient Online Banking Solutions
Every bank and credit union offers online banking options now, but not all of these services are equally convenient. With the fact that members increasingly rely on their desktop computers and cellphones to stay up to date on their banking situation, Baxter Credit Union invested in an overhauled and extremely modern online banking portal, which includes a very user-friendly mobile app.
Competitive Commercial Loan Rates
Not all credit unions offer commercial loans, as some remain focused on serving the employees of certain corporations or companies and their immediate families. When you, as an entrepreneur, partner with a credit union that does offer business loans, such as Baxter Credit Union, you gain access to the full spectrum of benefits that the credit union model of banking has to offer. That includes extremely competitive small business loan rates and in many cases flexible terms. The conditions you will have access to depend on the type of commercial loan you are applying for and your assets, as well as your business credit score and collateral. However, should you be approved for a commercial loan with Baxter Credit Union, you will ultimately save money, which you can invest back into your business.
Experience You Can Trust
With over 40 years of experience in the field, Baxter Credit Union has stood out as a robust and reliable credit union that you can trust. This is, indeed, why Baxter Credit Union is today one of the fastest-growing credit unions in the United States, with new branches having opened recently.
Commitment to ESG Values
As an entrepreneur, you will likely want to show your clients or customers that you value environmental, social, and governance values that are so important in the modern corporate world. Choosing to partner with a credit union such as Baxter Credit Union for your banking and financing needs demonstrates what values you hold dear as a business, too. Baxter Credit Union is actively involved in charitable giving and operates scholarship programs. It is also committed to advancing equity by nurturing future leaders from diverse backgrounds.
Who Can Apply for a Commercial Loan Baxter Credit Union?
Baxter Credit Union offers a variety of commercial loans to cover all your business needs, and it does so at extremely competitive rates. Entrepreneurs who are exploring the possibility of partnering with Baxter Credit Union for their financing solutions will first need to establish that they are eligible to join the credit union, if they are not current members.
To apply to become a member of Baxter Credit Union, a status that is lifelong once you are accepted, you will have to meet one of the following criteria:
- New members of Baxter Credit Union have to live or work in Illinois in Lake, McHenry, DuPage, Kane or Cook Counties, or reside or work in Kenosha County in Wisconsin.
- If you are an immediate relative of an existing member, meaning a parent, child, or sibling, this will also make you eligible to join Baxter Credit Union yourself.
Those entrepreneurs who were already members of Baxter Credit Union before launching a business, and who currently live and work outside of the area covered by the credit union, do remain eligible to apply for its commercial loan programs. Credit unions have restrictions on the individuals who may apply to join, but once you are a member, you will be able to access the benefits Baxter Credit Union offers regardless of where you live and work.
To access commercial loan applications, you must become a member and have a business account with Baxter Credit Union. Once this prerequisite is in place, a business or entrepreneur would go through a similar process to apply for a commercial loan that they would expect from any other financial institution. This means that entrepreneurs will need to supply detailed financial statements and tax returns going back three years, as well as submitting personal financial statements and tax returns pertaining to the principals and guarantors.
The application process is surprisingly simple — at Baxter Credit Union, one single form can be used to apply for any type of commercial loan. Once you initiate the application, a Baxter Credit Union employee will contact you in order to find the best loan package for your needs, guiding you through the process and offering assistance if you have any questions. Any business will have to meet Baxter Credit Union's prerequisite conditions to be considered for a business loan, and depending on the type of loan you are interested in pursuing, your venture will need to have been operational for at least two or three years. The decision-making process will be thorough, but you can expect a loan decision within approximately four weeks.
“Baxter Credit Union offers cover precisely the basic needs that the majority of ventures typically finds themselves relying on.”
What Types of Business Loans Does Baxter Credit Union Offer?
Baxter Credit Union is committed to supporting the future financial success of its business members by offering a total of four different commercial loan products. These loan products are designed to cater to established small, medium sized, and larger businesses, as ventures have to have been operational for two to three years before Baxter Credit Union will consider lending to them.
While four loan types may seem limited, and Baxter Credit Union cannot meet the needs of every business, the loan products this Illinois credit union offers cover precisely the basic needs that the majority of ventures typically finds themselves relying on.
Commercial Real Estate Loans
Baxter Credit Union offers commercial real estate loans to their business members that are designed to help ventures purchase their own commercial properties. The commercial real estate loans that Baxter Credit Union offers can additionally be used to renovate or develop a commercial property a company already owns. The advantage of working with Baxter Credit Union in this arena lies in three to five year fixed interest rates, with longer amortization options also being an option. The rates you can expect from a commercial real estate loan with Baxter Credit Union are favorable.
Business Term Loans
Business term loans are often the lifeblood that helps a company grow and take their success to the next level. Baxter Credit Union offers these loans, which will add to your working capital and allow you to make the purchases that propel your venture to new heights, at very competitive rates. The terms Baxter Credit Union offers are generally up to 60 months, which depends on the collateral.
Lines of Credit
Baxter Credit Union offers flexible lines of credit, borrowing limits that businesses can access at any time — or, as Baxter Credit Union describes it, "capital and cash, when you need it". These lines of credit are vital to any company in dealing with occasional cash flow challenges, such as when needing to purchase inventory or keep your business afloat while you wait for customers or clients to pay you. They are also vital for businesses that deal with cyclical low points. The advantage of these revolving lines of credit lies in the fact that, once approved, a business will be able to access the funds whenever they need to, only borrowing as much as they require to cover their short term needs.
Commercial Vehicle Loans
Baxter Credit Union additionally offers commercial vehicle loans, which not all credit unions that cater to business members do. With a commercial auto loan from Baxter Credit Union, you will be able to purchase a new commercial vehicle at an extremely competitive rate. The terms that Baxter offers will require you to repay the loan within 72 months, and if a new vehicle is essential to growing your business, partnering with a small credit union is often the very best way to access funding.
How Do You Qualify for a Baxter Credit Union Business Loan?
Businesses who have already joined Baxter Credit Union and who would like to apply for any of the four commercial loan products that the credit union makes available to eligible members only have to complete the simple application form to initiate the loan application process.
Those who are not members will, upon completing the form, be invited to apply to join Baxter Credit Union if they are eligible. Entrepreneurs who are existing members of Baxter Credit Union but who currently only have a personal account with Baxter will be asked to open a business account before being considered for a loan.
Members with an existing business account can rest assured that their loan application process will be reviewed within two business days. Baxter Credit Union will first assess whether a business meets the basic criteria, as companies have to be established for two or three years, depending on the type of loan they seek, to be considered. Should you meet these basic criteria, Baxter Credit Union will require insights into the same types of documents as any other credit union.
- Sole proprietors and DBAs will need to submit their personal social security number or the TIN (taxpayer identification number) of the business.
- Partnerships and limited partnerships should supply their IRS tax ID letter, a copy of the partnership agreement, and a copy of the business license.
- Corporations will need to submit an IRS tax ID letter or the first page of their business tax return, as well as a copy of their Articles of Incorporation and bylaws.
- LLCs follow a similar process as partnerships, and need to submit their IRS ID letter, a copy of their Articles of Partnership or Organization, and where applicable, a copy of their Operating Agreement.
- Nonprofits can also apply for a commercial loan with Baxter Credit Union, and this will require them to submit an IRS tax ID letter, a copy of their Articles of Organization and Resolutions, and bylaws or meeting minutes wherein the organization grants permission to open a business account and apply for a loan with Baxter Credit Union.
To be able to assess whether a business qualifies for a commercial loan with Baxter Credit Union, the credit union will review the following documents:
- Financial statements, income statements, and balance sheets dating back two or three years depending on the type of commercial loan sought.
- Personal tax returns dating back three years, and personal financial statements, for the principals and guarantors.
In addition, like any other credit union, Baxter Credit Union will review your financial health by examining the following elements:
- When you apply for a commercial loan from Baxter Credit Union, they will review your personal credit score as well as your business credit score. Your business will ideally have a Dun & Bradstreet (D&B) PAYDEX score between 80 and 100, and significantly lower scores will reduce your odds of being approved for a loan.
- Reviewing your annual revenue and profit will help Baxter Credit Union determine whether you will be able to cover the repayments.
- Like other credit unions, Baxter Credit Union will look into your debt to income ratio when deciding whether you qualify for a commercial loan.
- Longer term loans for higher amounts will need to be secured with collateral in order to minimize the risk that Baxter Credit Union takes on.
It is important to mention that some credit unions may offer startup capital for ventures that are just about to launch, based on a detailed business plan. Baxter Credit Union is not one of these credit unions; commercial loan products are designed to meet the needs of established businesses. Entrepreneurs starting small businesses may, however, be able to access personal loan products to contribute to startup capital.