How Small Business Banking Fuels T Johnson Electric, a Top Electrical Contractor in Iowa

Tyler Johnson, owner of T Johnson Electric, successfully grew his electrical business in Spencer, Iowa into a thriving company by:

• Growing Past a Solo Mindset: Shifting from working alone to building a reliable team that makes a big impact in the community.
• Finding Work-Life Balance: Setting up a steady business that runs smoothly even when he steps away to spend time with family.
• Building a Community Bank Partnership: Partnering with Northwest Bank for financial advice and tools needed to help grow his business.
  

Before the sun rises in Spencer, Iowa, Tyler Johnson is already at his desk running T Johnson Electric. He spends his early mornings mapping out schedules and organizing his crew for projects that range from electrical design and smart-system installations to emergency repair for residential, commercial and agricultural clients.

Transforming from a one-man operation into a premier electrical contracting business in Iowa has required a decade of grit and deep commitment. By moving away from trying to do everything alone and committing to a clear strategic vision, Tyler has found the strategic small business banking support necessary to turn growing pains into long-term success.

Wiring the Foundation for Independent Business Growth

After graduating from Northwest Iowa Community College, Tyler spent six years sharpening his skills and running field operations at Hicks Electric in Sutherland, Iowa. In 2015, Tyler got married and relocated to Spencer. This created an opportunity for him to begin thinking about opening his own residential electrical service business.

Before he officially opened the doors to T Johnson Electric in 2016, Tyler established his business accounts with Northwest Bank.

"I wanted to partner with a community bank, like Northwest Bank, because I could actually walk in and talk to somebody, and they would know who I am. I wasn't just a number on a screen to them. They have great service and have always treated me with respect."

At the beginning of his business journey, he didn't plan on having a massive shop, a fleet of vehicles or a large team. He hit the ground running as a solo operator, and said "yes" to every job to secure a steady income stream.

Word quickly spread about his clean jobsites and high standards, and the phone kept ringing with new opportunities. To meet the growing workload, Tyler brought on his father-in-law in 2017 as his very first employee to help manage the rapid influx of new jobs. He expanded his space in stages - from a small utility trailer to his home garage. Yet, as local demand for a reliable commercial electrician kept climbing, so did his need to expand.

Moving Beyond Transactions With Northwest Bank Mentorship

As the business outgrew Tyler's home garage, he approached his Northwest Bank business banker for a loan to build a dedicated storage shed, which led to an invaluable piece of advice.

"My banker at the time encouraged me to pay off my student loans and optimize my personal finances before taking on new business debt," said Tyler. "It was a lot to take in but looking back, it was the best advice I could have received. It set up a solid foundation that kept me financially healthy right from the start."

By building a trusted relationship with Northwest Bank, Tyler found the strategic small business banking support necessary to turn growing pains into success.

"When you get to a certain size, you cannot do everything yourself. Growing that fast is a great feeling, but you realize you can't manage it all on your own."

As the business kept growing, Tyler partnered with Northwest Bank for a real estate construction loan to fund a major commercial property expansion, allowing him to build a proper office for his crew of full-time field electricians, add extra shop space and purchase a specialized boom truck.

The banking partnership continues today with Jacob Myers serving as Tyler's banker. Instead of leaving Tyler to struggle through complex invoicing, Jacob routinely takes the time to talk with him or will drive out to Tyler's office to help him.

"There are times that the two of us will sit down together to review my small business records, using QuickBooks so I know exactly what my numbers mean for future small business growth," said Tyler.

With Northwest Bank's help, Tyler continues to use smart solutions to balance his cash flow: setting up a line of credit to assist with cash flow management during slower seasons, using business credit cards and establishing a smooth merchant card processing system to give customers convenient ways to pay.

CREATIVE DIRECTION: Please use this pull quote with an image of Tyler:

"I wanted to partner with a community bank, like Northwest Bank, because I could actually walk in and talk to somebody, and they would know who I am. I wasn't just a number on a screen to them. They have great service and have always treated me with respect." - Tyler Johnson, owner of T Johnson Electric

Amplifying a Lasting Community Legacy

By keeping his loans, credit and financial planning in one trusted place, Tyler has been able to focus on his real passion: providing exceptional service to his customers and his community. This financial foundation allowed him to safely scale his workforce from a solo operation into a dedicated team, bringing on full-time electricians and investing in local apprentices.

The true strength of Tyler's expanded team was put to the test when floods hit Spencer in the summer of 2024. Working around the clock in hazardous conditions, the small crew mobilized immediately to tackle critical safety and infrastructure needs for their displaced neighbors.

"In two weeks, we ended up turning power back on for almost 100 families," Tyler said. "It was an exhausting effort, but everyone stepped up. We did temporary power at a local church for all the disaster relief volunteers, and we worked closely with other contractors in the area to safely rebuild grids and get power back up to the community as fast as possible."

Tyler's passion for business has also helped his family thrive. When Tyler outgrew his old shop space in Spencer, he completely remodeled the building and used his business experience to help his sister Lexi launch her own salon, Sapphire & Sage, in October 2024.

"Seeing her take that foundation and turn it into a successful salon is incredibly rewarding," said Tyler.

Maintaining a Steady Flow for the Long Haul

Today, Tyler focuses on long-term growth, operational sustainability and executive development. He sharpens his small business leadership skills by regularly attending national business conferences and is mastering a challenge many trade industry business owners face: finding a healthy work-life balance.

"When you first start out, you think you have to be plugged into the business 24/7 or everything will fall apart. But true success is building a business that can run smoothly even when you step away. Finding that balance means I can still take care of my customers while being truly present for my family."

For other trade professionals trying to figure out how to choose a bank for their small business, Tyler keeps it simple and realistic:

"Every business needs three professionals in their corner: a great accountant, a great insurance agent and a great banker who treats you like a human being. Northwest Bank does exactly that. They understand the ups and downs of our industry, and they have helped me build a business that is set up for the long haul."

Ready to build a lasting legacy of your own? Reach out to a Northwest Bank commercial banker today to discuss small business banking strategies, financing programs and business loans designed to power your unique industry.