Olivia’s always making her friends and family thoughtful, handmade gifts. When she retired from teaching in 2019, her husband suggested she try selling some of her items on Etsy in her spare time. What started off small quickly gained steam, and soon Olivia realized she needed to expand. Order volume was good, but often inconsistent, and in order to stock the supplies she would need, she’d have to secure materials in bulk. She also outgrew her workspace and realized she needed to move from her dining room table to the spare bedroom.
While she had retirement funds coming in each month, she didn’t want to mix up her business and personal finances. However, since she was relatively new, she was finding it hard to secure a small business loan. Credit cards were an option, but she was worried about high-interest rates.
After talking to her husband, they both decided Olivia’s best move was to take out a HELOC with Fidelity Bank. A HELOC made the most sense since she did not need a substantial amount of money and was likely to lock in a low rate. She was able to secure a great rate and within weeks had transformed her guest bedroom into an office and crafts room, stocked full of the materials she’d be needing for future orders. After just a few months, she was able to use her business profits to pay down her HELOC and was able to begin enjoying her new business profits.
Best of all, she has access to a low-interest line of credit if she needs to tap back into her HELOC in the future.
Find out how Fidelity’s LifeDesign Banking approach can offer you the clarity and confidence you need to make the best decisions for your growing business.