Getting small business loans for women-owned businesses can be an excellent way to save cash on financing and get the cash which you require to start a new business. In case you are women business owners, you can make the grade for a small business loan. Here are a couple of things to consider about small business loans. There are several resources available to help women business owners get access to financing. These resources consist of free women-specific startup incubators, counseling services and women only small business loans.
Women-owned businesses that have been running for two or more years, that have credit score of above 680, and that are money-making may meet the requirements for a streamlined SBA 7(a) loan.
How To Get Small Business Loans For Women
Before you make the decision to seek a small business loan for women, you need to consider taking the benefit of free small business counseling services. These small business helping services will help you process your business plan, and discover a variety of financing options.
There are two firms that offer free business counseling to women business owners. The first is the Small Business Administration (SBA). They have a countrywide network of almost 100 Women’s Business Centers that are intended to help women business owners in starting and developing small businesses. They provide services like mentoring, business consulting, training, networking, and non-direct lending through the SBA Community Advantage Loan Program.
SCORE is another organization that offers business counseling services for small businesses. The SBA funds SCORE, so their offerings are normally free. SCORE is not limited to women business owners; however they’ll be able to help you locate and access resources, especially targeted to women business owners. The firm also provides mentoring, workshops, webinars, and more.
In case you’re in a minority business owner, you may want to consider checking out the Small Business Administration. The Small Business Administration is a government agency that ensures loans for women small business owners. SBA does not lend directly, instead they work together with other lenders. When you apply for financing with an SBA lender and are approved, the Small Business Administration will stand at the back of that loan.
The SBA does not have a specific program that is designed for minority business owners. But, they’ve a “color blind” rule which means they examine every application as if it were the same. This will increase your odds of getting approval for a small business loan.
Assistance To Socially Disadvantaged Women
Socially deprived women may get unique opportunities through the SBA. While the SBA does not limit any of its financing programs to socially deprived, minority or women business owners, the organization does have a high priority to bring diversity to the small business field. The SBA aspires to encourage diversity in not just the workers of a business; however also on the ownership arena. To do that, the SBA acknowledges socially deprived people may be lacking the same financial base as other business owners. Certain loan requirements, such as down payments or collateral, can be decreased to make the loans available to these socially deprived people despite financial challenges.
While financing programs particularly intended for women business owners do exist, there is no one-size-fits all financing product for all women business owners. One benefit of searching for a loan intended for women business owners is that some financial products have more easygoing borrowing requirements that could increase your possibilities of successfully getting funding. Take your time and consider getting free counseling services offered by the Small Business Administration.