When the business climate is as difficult as it has been in past years, it becomes more important than ever for businesses to manage their cash flow effectively. Making the most of the cash you have on hand means squeezing every possible earning opportunity out of it.
A sweep account from Harbor Bank can help you do just that. A sweep account combines a commercial checking account with a high-quality investment account. Every day, excess funds are swept out of your checking account and into the investment account automatically, where they can earn competitive returns. You don't have to sacrifice liquidity to make your cash work as hard as you do.
While they're in the investment account, your funds are invested in short-term, high-quality money market vehicles. You may have a choice of investment options with varying levels of potential risk and returns.
Your Harbor Bank Business Development Officer works with you to determine what constitutes "excess" cash for your sweep account, and what minimum balance should be maintained in your commercial checking account.
A sweep account can help put small and medium sized businesses on better footing to compete with large corporations, which often have investment officers to manage their cash. Companies that don't have the time or resources to monitor their daily investment position can maximize their earning automatically with a sweep account.
Federal Regulation Q prohibits banks from paying interest on commercial checking accounts. Fortunately, that doesn't mean your cash has to collect dust. Sweep your firm's extra money into an investment vehicle that can improve your company's bottom line. Call your Harbor Bank Business Development Officer to find out more about a sweep account, or visit www.theharborbank.com.
The mutual fund investments included in this program are not insured by the FDIC nor any government agency, are not deposits or obligations of the Bank, and are subject to investment risks, including the possible loss of principal amount invested. Average fund yield is computed before any bank fees charged.