Helping Minnesota’s Business Owners Flourish

How’s business? Bank of America Global Research economists expect 2025 to continue to show economic growth, high productivity, and reductions in interest rates. But in an evolving professional landscape, the mid-year review is an important checkpoint for entrepreneurs. Consider the following to finish the year strong:

Supplement with Technology: Good tools can dramatically increase efficiency and productivity, providing competitive advantages. For example, AI and automation tools can even source and screen potential candidates. According to the “2024 Business Owner Spotlight,” 71 percent of business owners reported digitally optimizing their business over the past year.

Source the Capital You Need: When you need capital, consider all options to determine the best choice for your business. Traditional bank loans are useful, but don’t overlook other resources, such as business grants, that may make more sense. Call your banker and visit Bank of America’s Access to Capital Directory, which offers a variety of free and low-cost capital resources.

Visit the Center for Business Empowerment: As the nation’s top business lender, Bank of America created the Center for Business Empowerment (business.bankofamerica.com) to help businesses at every stage of growth with research, powerful tools, and resources to help entrepreneurs finish this year strong—and prepare for whatever comes next.

Business Provisions in the One Big Beautiful Bill Act

On July 4, 2025, President Trump signed into law the One Big Beautiful Bill Act (“OBBBA”). It brings with it four important tax changes businesses should be aware of.

LLCs and S. corps benefit because Qualified Business Income (QBI) tax breaks have been made permanent, allowing qualified businesses to maintain a 20 percent QBI tax deduction, which reduces their taxable income.

Businesses engaged in research and experimentation can now expense domestic research and development (R&D) costs. From 2022 through 2024, businesses had to spread out their R&D costs over time, but they can now write off the remaining R&D costs over a year or two. Then, they can begin expensing new R&D costs sooner, reducing their tax burden.

The OBBBA restored 100 percent bonus depreciation for qualified property, reversing an expected drop to 40 percent in 2025. It also created a new property category called “qualified production property” (new manufacturing or production facilities), which can be fully written off. So, businesses acquiring such property can claim larger tax deductions and sooner.

Finally, the OBBBA expanded benefits of Section 1202 Qualified Small Business Stock (QSBS). This raises the tax-free gain exclusion from $10M to $15M, so qualifying shareholders can now sell stock for up to $15M tax-free.

For more information on the OBBBA, visit eisneramper.com.

Three Priorities Entrepreneurs Should Focus on Today

In today’s dynamic business environment, entrepreneurs must be strategic and forward-thinking. Here are three critical areas to prioritize.

Supply Chain Strategy: Entrepreneurs should evaluate whether a global or local supply chain best suits their business. Global suppliers often offer cost savings and product variety, but can introduce delays and tariff complexities. Local suppliers, while potentially more limited in scope, provide faster delivery and enhanced customer service. A thorough analysis of both options is essential to building a resilient and sustainable supply chain.

Cybersecurity: With the rise in cyber threats—such as business account compromise and email takeovers—a robust cybersecurity framework is no longer optional. Entrepreneurs must proactively invest in security solutions tailored to their operations.

Choosing the right provider and implementing preventative measures can help safeguard against financial and reputational damage.

Branding: Standing out in a crowded market requires intentional and authentic branding. Entrepreneurs should define what differentiates their business and align their personal brand with their company’s values. Consumers increasingly support businesses that reflect their beliefs, making consistency and authenticity key to building trust and loyalty.

By focusing on these three pillars, entrepreneurs can position themselves for long-term success in an ever-evolving marketplace.

MidWestOne Bank. Member FDIC.

“Consumers increasingly support businesses that reflect their beliefs, making consistency and authenticity key to building trust and loyalty.”

—Marisa Mendez, VP, Treasury Management Officer at MidWestOne Bank

Your Bank is a Trusted Partner in Protecting Your Business from Fraud

As fraud tactics become increasingly sophisticated, business owners and employees need to stay alert. Scammers often pose as legitimate contacts, sending fake loan approvals, phishing emails, or urgent payment requests.

However, these scams typically include telltale signs: poor grammar, inconsistent contact information, or suspicious demands for sensitive data like Social Security numbers or payment app details.

A reliable bank, like Sunrise Banks, will never pressure you through fear or request personal information via text or email. Instead, we want to empower you with the tools and knowledge to spot red flags and respond with confidence.

“We encourage business owners to reach out when something doesn’t feel right,” says Sandra Rodriguez, branch manager at Sunrise Banks. “A quick conversation can stop a scam in its tracks.”

Whether reviewing suspicious messages, helping staff recognize scam patterns, or providing secure digital payment, your bank should act as a proactive fraud prevention partner. When in doubt, don’t go it alone— contact your banker. Together, you can safeguard your finances, protect your customers, and help prevent payment fraud from disrupting your business. In today’s threat landscape, vigilance—and trusted partners—are key to keeping you and your business safe.

For more fraud prevention resources, visit www.sunrisebanks.com/resources/security-center. Member FDIC.