The end of 2024 and the beginning of a new year gives us the opportunity to pause, reflect, and express gratitude for the challenges we have faced, the opportunities we have realized, and the possibilities yet to come. We would like to express our deepest gratitude to everyone who has been a part of our journey!
In 2024, our valued partners, customers, and colleagues helped us grow and evolve, reinforcing our commitment to providing reliable financial solutions. The past year has had its ups and downs, but through collaboration with our clients, real estate agents, lenders and fellow brokers, we have been successful. Together we have experienced economic change and adapted to the changing financial landscape. As we look back on the year, we are reminded of the strength of our community and what we have accomplished together.
The year began with optimism that the recession fears of previous years might be easing, but worries remain. The Federal Reserve’s interest rate hike brought the prime rate to 8.50%, significantly higher than the long-term average of 6.84%. It was not until September that the Federal Reserve made a small adjustment and lowered interest rates to 8.00%. Higher interest rates have tightened lending restrictions, making it more difficult for many small business owners to qualify.
We have seen the unwavering resilience of our customers and partners in the face of these market conditions. Small business owners and real estate investors continue to innovate, reinvent and adapt to economic changes with extraordinary determination. We’re proud to be part of that resilience, helping entrepreneurs build strong foundations and navigate new challenges. No matter what obstacles arise, we believe in the potential of every business and investor we serve.
As part of this support, we help borrowers access financing options that allow them to thrive even during challenging times. Asset-based loans, SBA loans and secured lines of credit have been critical in supporting our customers over the past 12 months. Refinances and loan consolidations provide relief and help cushion the impact of high interest rates. We strive to help our clients succeed by building strong borrower profiles that make them attractive to niche lenders. Private lenders have played a vital role this year, often stepping in where traditional lenders have hesitated, and we’re excited to be able to provide our clients with the resources they need.
The ongoing transformation of commercial real estate remains deeply impacted by the pandemic and presents its own set of challenges. As companies slowly return to on-site work, refocusing on increased amenities and flexible arrangements, office spaces face uncertainty. In response, we guide clients to adopt forced appreciation strategies in their commercial real estate (CRE) portfolios, helping them extract value without taking on the risks associated with new acquisitions. We are committed to supporting clients through these complex transitions, working with them and focusing on cash flow and stability, avoiding over-reliance on risk capital.
Another area of rapid transformation is the technology market, where advances in artificial intelligence are creating unprecedented opportunities for startups. Since traditional lending options are limited in this area, we are proud to support these innovative businesses with unsecured lines of credit, SBA loans and personal guaranteed loans. By accessing the right financing, our clients are able to take advantage of emerging technologies and position themselves at the forefront of dynamic industries.
The strength of any community lies in its willingness to work together. In small business finance, we are reminded every day that our connections and partnerships form the backbone of what we do. Working hand-in-hand with investors, lenders, brokers and our extended network allows us to create a supportive environment for all. Because of this strong community, the challenges of 2024 are less daunting and we are well-positioned to continue our mission of helping businesses thrive.
2024 is a year of mixed blessings. Although financing is a challenge, we remain committed to solutions now and in the years to come. As we navigate the holidays and enter the new year, we would like to reiterate our sincere gratitude for the trust you have placed in us. We recognize the hard work, risk and sacrifice you make every day. In the new year, our commitment to you remains strong. We’ll be with you through every economic high and low, providing you with the financial tools and guidance you need to succeed. Here’s to a prosperous 2025 – may it bring growth, opportunity and fulfillment to you and your business.
