Other Free Encyclopedias » Online Encyclopedia » Encyclopedia - Featured Articles » Featured Articles: Blanco Kitchen Sink - Blanco Kitchen Sinks: More Than 80 Years of Quality and Innovation to Cherry Hill Inn - Find a Cherry Hill Inn and Get Close to Philadelphia

Business Loans Women - How to get a loan if you are a business woman

businesses help start lenders

In the big world of business women are branching out to start their own companies and becoming leaders in the marketplace. More and more lenders are now playing an important role in helping a woman secure a loan to facilitate their dream or idea into a successful running company.

Women today are now viewed by many lenders as trustworthy and as being a good risk. In years past, this was not always the case, as women were perceived as primary care givers and homemakers with little or no business sense. The world of business was considered a man’s world by many of these same lenders.

Many banks, financial companies, and credit unions now make it more possible for a woman to get a small business loan. Loans are now available for a woman in a variety of fields such as catering, consulting, bed and breakfast, pet grooming and supplies, on-line businesses, and photo studios just to name a few. Many of these lenders will grant a woman a business loan up to $30,000. For larger amounts, it may be necessary to apply with the Small Business Administration (SBA). Generally, going this route will require showing a solid business plan. Having good credit and nominal debt increases the chances of securing a loan.

A woman in business can also go to an investor or group of investors for a business loan. With this style of loan, these investors will want a percentage of a business and be involved in any decision making for the company. The benefit of this type of loan is that because they have an investment in the company the more likely they will help make the business successful.

Women entrepreneurs can apply for many programs. There are grants, loans designed just for women, and government loans. The Minority Business Development Agency (MBDA) is a federally funded agency whose primary center of attention is on providing resources to help establish, grow and support minority owned businesses. This kind of funding is not given directly to the woman business owner. The funding from the agency is used for a particular purpose or to secure funding from other lenders or investors.

As a woman entrepreneur, there are companies that offer training and counseling services. One such company is the Women’s Business Centers. These national centers were conceived to help women start a business and manage it successfully despite any lack of business experience, financial disadvantages, or social standing.

A non-profit organization called Service Corps Of Retired Executives (SCORE), offers small business guidance and advice to women seeking a business loan. This service is free. They will help put together a loan package or even help an entrepreneur write a business plan.

Obtaining a business loan, women with a good credit history or even bad credit can still get a loan in a variety of places. However, thorough consideration of the type of loan and how much is needed should always be contemplated before securing a business loan to make absolutely certain that the loan is actually needed to start or increase the business, and to make sure that the repayment of the loan will fit into the company’s budget.

Research is very important when looking for a loan to start a business. Many internet web sites make promises of “free money” from the government for businesses; however, to no extent should you ever pay money to companies promising grants from the government to start a business.

The federal government does not bestow to women-owned businesses business grants. It does provide information on loan assistance programs, however. There are approximately 12 programs for loan assistance to women-owned businesses at the federal level.

Networking is a very important tool. Get to know other women who own their own businesses. Ask questions and seek their guidance. If their business is successful, find out what steps were taken to get where they are. Women want to see other women succeed and networking with this sector can only assist in helping reach goals you may not have thought possible. Find local groups, organizations, and mixers in your area to attend. The contacts you make may provide you with leads and information helpful in securing a loan for your company.

Business Loan Uk - Options for finding a business loan UK [next] [back] Business Loan Financing - How To Get Business Loan Financing

User Comments

Your email address will be altered so spam harvesting bots can't read it easily.
Hide my email completely instead?

Cancel or