Financing

At the Center we assist MBEs to secure financing in accordance with their needs, i.e. lines of credit, term loans, and accounts-receivable financing.

We also help MBE contractors build bonding capacity and obtain surety bonds.

The assistance may include preparing the package, identifying sources and application assistance for:

Lines of Credit & Loans

· Lines of Credit

· Short term and long term business loans

· Loans for fixed assets (commercial real estate and equipment)

· SBA guarantee loans 7(a)

· SBA 504 loans for commercial real estate and equipment

Surety Bonds

· Surety Bond from private surety bond producers (Bid, Performance & Payment)

Accounts receivable financing

· Accounts receivable financing or Factoring

SBA Lending tips:

· Choose your lender carefully. SBA backed loans are made by private lenders. Banks have differing levels of experience with, and automation to quicken SBA loan processing. The SBA has a "Preferred" Lender Program, based on lenders' histories in processing SBA backed loans. Using one can speed up your application.

· Have a strong business plan ready. Have past financial statements and projections of future sales ready. You'll need to credibly demonstrate how the business will be able to pay back the loan.

· Know exactly how much you are asking for and when you would be repaying. This will help demonstrate a solid grasp on what you'll do with the loan and an understanding of exactly how you'll pay it back.

· Highlight your experience in this particular business, and the industry in general. You want to communicate that the business has management capable of effectively utilizing the loan funds. Also have your personal tax returns from the past 3 years ready to show.

· Be prepared to put up collateral such as real estate. The SBA does not back 100% of the loan. Private lenders will want collateral to secure the portion not backed by the SBA.