As the successful owner of a thriving small business, you may feel that the time is right to expand in order to meet the growing demand for your products or services.

However, small business owners don’t always have easy access to the capital they need to expand. In fact, a survey conducted by Equifax in 2021 found that 52% of small business owners across Canada feel unsupported by their banks.

One effective way to overcome this challenge is to unlock the equity you have in your home to get the funds you need to grow your business.

What is a home equity line of credit?

A home equity line of credit, or HELOC, is a revolving loan against the equity you have on your home. With this line of credit, you can access as much of the amount that your lender has approved based on your property’s value.

And as an alternative to the standard HELOC, Home Trust offers the Equityline Visa, a credit card secured by a mortgage against your property that offers competitive rates and convenient access to the funds you need, when you need them. Additionally, you get useful benefits such as a 1% cash back[1] with no cap on all eligible purchases made with your card.

Below, we look at ways you can use your Home Trust Equityline Visa to support and expand your business.

1. Think about growing your team.

It is often said that a company’s most important resource is its people, so expanding your workforce to help manage the growing needs of a booming business could be a good investment. You can also use funds from your home’s equity to invest in employee development programs to train your staff and boost productivity.

2. Look into securing new equipment.

Replacing outdated office equipment such as laptops and printers with newer models can spare you from maintenance headaches down the line while enabling your employees to work faster and with less waste. Additionally, new equipment is also likely to have the latest safety and security features which can help protect your workplace from instances of theft and fraud. 

3. Consider diversifying your product lines or service offerings.

An expanding business is always looking to grow its customer base, so consider investing in new product lines or service offerings that can appeal to new customers. You can use funds from the equity on your home to research and develop new product ideas or train staff to deliver a wider range of services.

4. Boost your marketing efforts.

Investing capital into your marketing efforts can help increase the visibility of your business and win new customers. Several ways you can bolster your marketing efforts include developing more effective landing pages for your products or services, running social media campaigns, organizing promotional events and sponsoring contests.

5. Assess the potential benefits of growing into a new area.

Expanding your geographical presence by using capital to invest in a new office, product showroom or warehouse can potentially open your business to new customers in the surrounding vicinity. Operating in more locations can also allow you to minimize risk by spreading out the costs of doing business.

With Home Trust’s Equityline Visa, you will have a flexible financial tool you can use to invest in your business that will help it to adapt and grow. Learn more by visiting hometrust.ca/credit-cards/equityline-visa.

The information, materials and opinions contained in this Blog are provided for our information only. This Blog does not constitute legal, financial or other professional advice and you should not rely on it as an alternative to specific advice based on your particular circumstance. This Blog contains links to third party websites. These links are provided for information and convenience; Home Trust does not endorse the content of any third party website, and it makes no representation or warranty as to the information on such third party sites. By clicking on any link to a third party site, you leave Home Trust’s website and do so at your own risk. Home Trust disclaims all liability for any damage or loss that results from your access to or reliance on information contained in this Blog or any third party site.

[1] Cash advances, balance transfers, interest, fees and foreign transactions (including online purchases in foreign currencies) are not eligible for CashBack Rewards.