Heartland Business Bank

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A low-cost financing alternative to funding your businesses expansion is the use of an Industrial Revenue Bond (IRB). The Department of Commerce's IRB program allows all Wisconsin cities, villages and towns to support industrial development through the sale of tax-exempt bonds. The proceeds from the bond sale are loaned to a business to finance fixed asset projects. The local government that issues the bond becomes a partner with the business, lending its name but not its credit to the bond issue.

IRBs are an effective way to lower the cost of borrowing with either variable or a long-term fixed rate option. Because the interest earned on the bond is exempt from tax, the bond purchaser is willing to accept a lower rate of interest than a normal investment.

There are many advantages to using the IRB; however, there are also limitations and volume cap allocation parameters. Our experienced team of commercial lenders can help you determine whether or not it is a viable financing alternative for your business.

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