BusinessConnection

Exclusively for Tri Counties Bank Corporate and Business Clients

Vol .15, Issue 2

Service With Solutions™

24-hour banking (800) 922-8742 TriCountiesBank.com

With our full service relationship banking philosophy, the Tri Counties Bank team can tailor appropriate lending solutions to meet your business needs. Recently we introduced several new solutions for business loans of less than $250,000—including a streamlined

loan application and approval process—to help put you and your business first.

Starting with the convenience of working with the experienced team at your local branch, you’ll find an easy application process and simplified documentation requirements that result in a lending solution that improves your business finances and enhances your business strategy. These loans include:

Small Business Lines of Credit can be used to meet large expenses, improve working capital or help meet unexpected business needs. These revolving lines of credit have no preset maturity date, and offer a variable interest rate tied to the prime rate and interest-only payments. Lines are available for up to $250,000 when backed by business assets. Business Equipment Loans can keep your business expanding, improve productivity and reduce operating expenses. Loans are available with 100% financing up to $250,000. Business Auto Loans are available at attractive rates with terms of up to six years for automobile or light truck financing up to $100,000. Small Business Term Loans can help improve working capital or fuel business expansion with fixed rates on terms of up to 5 years. SBA Express lending provides additional options for businesses that

might not meet all of the requirements for standard bank lending. With SBA Express, loans are funded and serviced by Tri Counties Bank, but guaranteed by the U.S. Small Business Administration.

Except for SBA Express lending, our solutions are best for companies with at least three years history in business, showing profitability and meeting underwriting requirements for cash flow, financial wellness, and debt service coverage. Clean business and personal credit is required with personal guarantees from business owners.

Tri Counties Bank business bankers are ready to help current and new business customers find the right loan to match your company’s unique needs and challenges. Stop by your nearest Tri Counties Bank, call us at (800) 922-8742 or

visit us online at www.tricountiesbank.com/business/loans/small-business-loans.

New Small Business Lending Solutions Offered by Tri Counties Bank

Business Connection Summer 2015

Updating the bank’s product offerings is an important part of providing service with solutions. Tri Counties Bank recently introduced a new lineup of business checking accounts to better fit the needs of business customers.

Every business is different, with its own unique challenges, opportunities and needs. Tri Counties Bank’s new business checking solutions are designed to fit different business types and stages—making it easy for you to bank the way you do business. The new checking lineup includes:

Start Up Business Checking designed for new businesses, sole proprietors and established businesses with lower balances and relatively few transactions. Small Business Checking works well with established businesses with moderate transaction activity and balances. An interest-bearing option is also available. Enterprise Checking for larger businesses with higher account balances and activity. Not for Profit Checking for smaller non-profit organizations.

In addition, an existing product, Analysis Business Checking, provides a solution for complex businesses with higher account activity and sophisticated cash management needs.

Many current Tri Counties Bank business checking customers will be converted to one of the new accounts over the next several months. (Business customers will not notice much change: account numbers, checks, debit cards and online access, among other details, will not be affected.) Watch your mailbox for details.

Tri Counties Bank branch bankers are ready to help current and new business customers choose the right checking account to match your business’ unique needs and challenges. Please stop by your nearest Tri Counties Bank branch or call (800) 922-8742.

New Business Checking Accounts to Better Fit Business Needs

Tri Counties Bank’s new business checking solutions are designed to fit different business types and stages.

(800) 922-8742 TriCountiesBank.com

Securities are offered through Raymond James Financial Services, Inc. Member FINRA/SIPC, an independent broker/dealer, and are:• Not deposits• Not insured by FDIC or any other government agency• Not guaranteed by the bank• Subject to risks, including the possible loss of principal

Tri Counties Bank (TCB) and Tri Counties Bank Investment Services are independent of Raymond James. Office of Supervisory Jurisdiction: 780 Mangrove Ave. Chico, CA 95926 P: (866) 822-4753

and/or Roth contributions in 2015 of up to $18,000 of pay ($24,000 if age 50 or older). These deferrals go into a separate account for each employee and aren’t taxed until distributed. You can also make employer contributions to your 401(k) plan--either matching contributions or discretionary profit-sharing contributions. Combined employer and employee contributions for any employee in 2015 can’t exceed the lesser of $53,000 (plus catch-up contributions of up to $6,000 if your employee is age 50 or older) or 100% of the employee’s compensation.

DEFINED BENEFIT PLANA defined benefit plan is a qualified retirement plan that guarantees your employees a specified level of benefits at retirement (for example, an annual benefit equal to 30% of final average pay). As the name suggests, it’s the retirement benefit that’s defined, not the level of contributions to the plan. In 2015, a defined benefit plan can provide an annual benefit of up to $210,000 (or 100% of pay if less). In general, defined benefit plans are too costly and too complex for most small businesses. However, because they can provide the largest benefit of any retirement plan, and therefore allow the largest deductible employer contribution, defined benefit plans can be attractive to businesses that have a small group of highly compensated owners who are seeking to contribute as much money as possible on a tax-deferred basis.

As an employer, you have an important role to play in helping America’s workers save. Now is the time to look into retirement plan programs for you and your employees. Our Tri Counties Bank Investment team is here to help you with your questions and provide solutions for your business. Please contact us at (866) 822-4753 for more information.

This information, developed by an independent third party, has been obtained from sources considered to be reliable, but Raymond James Financial Services, Inc. does not guarantee that the foregoing material is accurate or complete. This information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation or an offer to buy or sell any security referred to herein. Investments mentioned may not be suitable for all investors. The material is general in nature. Past performance may not be indicative of future results. Raymond James Financial Services, Inc. does not provide advice on tax, legal or mortgage issues. These matters should be discussed with the appropriate professional.

Investing involves risk and there is no assurance that any strategy, including asset allocation will ultimately be successful or profitable nor protect against a loss. This material is being provided for information purposes only and is not a complete description, nor is it a recommendation. Any opinions are those of Tri Counties Bank and not necessarily those of Raymond James.

If you’re self-employed or own a small business and you haven’t established a retirement savings plan, what are you waiting for? A retirement plan can help you and your employees save for the future.

TAX ADVANTAGESA retirement plan can have significant tax advantages:

Your contributions are deductible when made. Your contributions aren’t taxed to an employee until distributed from the plan. Money in the retirement program grows tax deferred (or, in the case of Roth accounts, potentially tax free).

TYPES OF PLANSRetirement plans are usually either IRA-based (like SEPs and SIMPLE IRAs) or “qualified” (like 401(k)s, profit-sharing plans, and defined benefit plans).Qualified plans are generally more complicated and expensive to maintain than IRA-based plans because they have to comply with specific Internal Revenue Code and ERISA (the Employee Retirement Income Security Act of 1974) requirements in order to qualify for their tax benefits. Also, qualified plan assets must be held either in trust or by an insurance company. With IRA-based plans, your employees own (i.e., “vest” in) your contributions immediately. With qualified plans, you can generally require that your employees work a certain numbers of years before they vest.

SEPSA SEP allows you to set up an IRA (a “SEP-IRA”) for yourself and each of your eligible employees. You contribute a uniform percentage of pay for each employee, although you don’t have to make contributions every year, offering you some flexibility when business conditions vary. Most employers, including those who are self-employed, can establish a SEP.

SIMPLE IRA PLANThe SIMPLE IRA plan is available if you have 100 or fewer employees. Employees can elect to make pretax contributions in 2015 of up to $12,500 ($15,500 if age 50 or older). You must either match your employees’ contributions dollar for dollar--up to 3% of each employee’s compensation--or make a fixed contribution of 2% of compensation for each eligible employee. (The 3% match can be reduced to 1% in any two of five years.) Each employee who earned $5,000 or more in any two prior years, and who is expected to earn at least $5,000 in the current year, must be allowed to participate in the plan.

PROFIT-SHARING PLANTypically, only you, not your employees, contribute to a qualified profit-sharing plan. Your contributions are discretionary--there’s usually no set amount you need to contribute each year, and you have the flexibility to contribute nothing at all in a given year if you so choose (although your contributions must be nondiscriminatory, and “substantial and recurring,” for your plan to remain qualified). Contributions for any employee in 2015 can’t exceed the lesser of $53,000 or 100% of the employee’s compensation.

401(K) PLANThe 401(k) plan has become a hugely popular retirement savings vehicle for small businesses. With a 401(k) plan, employees can make pretax

Retirement Plans for Small BusinessesApril 23, 2015

Now is the time to look into retirement plan programs for you and your employees.

This publication does not constitute legal, accounting or other professional advice. Although it is intended to be accurate, neither the publisher nor any other party assumes liability for loss or damage due to reliance on this material. Websites not belonging to this organization are provided for information only. No endorsement is implied. Images may be from one or more of these sources: ©iStock, ©Fotolia. ©2015 Bluespire Marketing | bluespiremarketing.com

Tri Counties Bank Celebrates 40 Years of Service with Solutions

On March 11th of this year, Tri Counties Bank marked our 40th anniversary. Our story started back in 1975 in a trailer on Pillsbury Road in Chico. The Bank was launched during challenging economic times primarily by local farmers and small business owners

who felt underserved by other institutions.

Tri Counties opened with just a handful of employees, and today we are now 1,000 strong with nearly $4 billion in assets. We serve businesses across nearly all industries, as well as individuals, families and communities through a network of Northern and Central California branch and ATM locations from the Oregon Border south to Bakersfield along with a seven days per week Customer Service Call Center, online banking and mobile banking.

Our founders began a strong commitment that has continued all these years to improve the financial success and well-being of our customers, communities, shareholders and employees. Growing larger is not a goal in and of itself, but it is a testament that the

bank has served more and more communities with profitability through four decades of good and bad economic cycles.

Throughout 2015, we will be celebrating our first 40 years by thanking customers, communities and employees with commemorations including:

40,000 Eco Shopping Bags will be distributed to Tri Counties Bank customers. $40,000 will be distributed to 40 Northern & Central California non-profit organizations, each receiving $1,000 through a Tri Counties Bank employee selection process. Another $40,000 will be awarded to one of the above selected organizations for its outstanding service to those in need in the communities we serve. 40 of Tri Counties Bank’s longest serving employees will receive special recognition and all employees will be appreciated through special company events.

Happy 40th Anniversary Tri Counties Bank!