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You are starting
the process of getting ready to go to the bank!
There are several
shows with great banking
stories. One of our favorites is
Jagged Edge Mountain
Gear. Here is also a look at some other references in the videotape,
When the Banker
says, "No."
Have you shared
your business plan with key people whom you trust? Once you understand your key
critical ratios and you know how yours stand up within your industry, you will
know when you can go to a bank for a loan.
Learn who the
RMA is. They
provide the inside information about ratios to every major bank and financial
institution. If your ratios are too far off the norm, you will be securing any
loan with personal assets.
Do not go further
until you have a business plan.
4a.
Credit Cards. Be careful. Here is a discussion about credit
cards. Remember what their banker,
Tricia Maxon, did
for Jagged Edge Mountain Gear?
4b. Personal Loan and your local bank. Get to know a
local banker; meet them at a Chamber event or call your local SBDC and get a
list of small business-friendly bankers. Find out who the person is within each
bank who is most sensitive to the needs of small businesses. Call, make an
appointment, and when you meet these people, ask a lot of questions. You are in
the driver's seat. There is plenty of competition for your business. Oh, when
you set up an account, always ask about the lowest possible fees.
4c.
The SBA-guaranteed Loan.
Many of the businesses profiled here started with an SBA-guaranteed loan.
Medallion Funding is an
SBA-secured lender.
4d.Small Business Investment Companies (SBIC) in your
state. Especailly chartered to help minorities and women, read about
Medallion Funding in New York
City. It is the largest SBIC in the country.
4e. Capital Access
Programs A national effort to make access to capital easier for small
business owners, there are Capital Access Programs
in many states. Michigan was the first! Here is our working list by state.
Have a great
story to tell? Does it teach us something more about one of these ways of
raising money? Let us know and we will publish it here.
As we continue to
add capabilities to this site (see the
Future), these could become hot
pages. Eventually we will schedule events so you can meet investors and drop
off into individual chat sessions. We are just beginning this project. Help us
out! What resources have you found to be useful? What resources and interests
do you have?
Send
us a note. |
