When you make the decision to throw away the old 9-5 in favor of the difficult, but rewarding, path of the entrepreneur, you’re taking on a major challenge. Small business financing is a challenging, but important, part of starting your own business. Without it, making your dream a reality will be near impossible. Luckily, there are funding avenues available.
Starting Your Own Business
When you want to start your own business, you need to begin with a business plan. It’s easy to jump in feet first, but without a plan of action, your chances of getting funding are slim to none. The business plan is your blueprint for success. It outlines every aspect of your business from costs, to real estate, equipment, goals, etc. It also examines your location and your competitors to see if your business idea is even viable.
Getting Those Important Loans
There are loans out there if you know where to look. The American economy is held together by small businesses, and lenders want to give them money, but you have to convince potential lenders that you and your business are worth the risk.
• Commercial Loans – Banks and other lending institutions have loans available specifically for starting new businesses. They often require money up front and a thorough investigation into your credit and business plan.
• SBA Loans – The Small Business Administration (SBA) is one of the largest providers of guaranteed small business loans. They provide loans for a variety of purchases from microloans for equipment to large loans for real estate and building costs.
Putting It All Together
Before you walk into a bank, make sure you have everything you need. You’ll want a copy of your business plan, tax returns for the last several years, and knowledge about your credit history. Don’t be afraid to be passionate about your goals, too. The bank will take all of this into consideration before making a decision on a loan. Even if you get denied in one place, don’t give up. Keep trying until you succeed.
Make your entrepreneurial dream a reality today. Call us at (713) 893-5759 or fill out our online form to start the funding process.