by Louise
Michaels
http://www.businessloanstip.com
© 2007
Millions of businesses are owned and operated
by women in the U.S. today, and many successful enterprises have been funded through
business loans. Business loans for women are readily available from various agencies
and groups. Community organizations, lending institutions, banks, and grants can
help women get a loan for their business easily and efficiently. The process is
the same as other loans, but finding the right loan for a woman specifically can
help bring many benefits.
Women may need a business loan for a variety
of reasons. This can include expanding a current business, creating a new venture
with working capital, setting up a franchise, or creating a research and development
team to incubate a business for a period of time. Whatever the reason may be,
all businesses run by women can qualify for a sizable business loan through a
variety of groups and resources.
Business loans for women are specially
tailored so that women can support themselves, any children, or other lifestyle
factors along with their business plan. It’s important to determine what
all the costs of operating a business may be, including expected salary for the
owner.
If the overhead costs for an on-site business is too high, business
loans for women are ideal to help set up a home based business. Many banks and
institutions can help fund the working capital required for inventory, assets,
capital equipment, or future loans.
Business Loan Applications require
an in-depth assessment, possibly an interview, and a review of the business plan.
A lender will also take into account character, credit, experience in the field,
and reliability. Creditworthiness is important, and a credit and background check
will be run to find consistency and integrity. A pre-qualification is a great
idea to get an estimate on how much can be borrowed at one time.
Besides
the many banks and institutions that fund business loans for women there are 3
resourceful ways for women to obtain business loans: The Minority Business Development
Agency, Business Incubation, and Business Competitions.
The Minority
Business Development Agency works closely with women to provide financial support
for women of various ethnics and cultural backgrounds. They work with Wells Fargo,
and can create a customized loan program tailored for the woman’s business
needs. Centers with community projects abound across major states. These Centers
can help women review and write business plans, submit them to competitions, and
help apply for business incubation.
Business Incubation is a business
support that provides resources and services to start-up fledgling companies.
Business Incubation is a great idea for startup businesses, as the professional
services can help get the business off the ground. Incubators can help with the
loan process, as they are interested in seeing the business off to a great start.
They will make an offer on rent cost, supplies, materials, and office space and
adjust the loan amount as the business grows. This is an excellent opportunity
for beginning an enterprise.
Business Competitions can help get a new
idea or innovative concept off the ground. These are usually privately funded,
and can open up doors to obtaining a full-fledged business loan. Alternatively,
a winning plan can be granted a cash lump sum to start, and then qualify for other
contests or incentives. Business plan competitions are often sponsored by corporations
or private investors. They generally do not require a loan repayment, but can
bring some great connections and referrals for future growth.
It’s
easy to get started on a business loan for women in business; from home based
businesses, startup companies in incubation, or just bringing a skeleton business
plan to the bank. Many lenders will tailor and create a customized loan amount
for the woman entrepreneur.
NBA
Benefit Provider - CircleLending
NBA
Resource Article - "Free
Money" Isn’t Free
NBA
Resource Article - A Simple
Plan For A Start-Up Loan
Reprint
of this article does not constitute an endorsement by the National Business Association;
the article is for informational purposes for our members and viewers of our Web
site.
