When you think of the Small Business Administration (the SBA) , you probably think of business loans. In any case you will want to add an accountant, or a good business accounting program to your budget so you can accurately track and review your expenditures. Under the program, the 8a certified company is assigned to a Business Opportunity Specialist who advises and coaches the business. Business administration has five functions: planning, organizing, leading, coordinating and controlling. The Small Business Administration will continue to provide these services as long as they’re needed.
They must have some of their own money invested into the business, must have a strong business plan detailing how they will use the borrowed money and what kind of profits the borrowed money will produce, and they must have a good credit score. While the business must be in operation for a year, all of that time does not necessarily need to be devoted to exporting. A solid industry plan is also required, as well as personal and business bank statements.
This type of program is used to buy buildings, long term devices, build or even renovate facilities as well as repay the debt with the purpose of expansion of business. Eligibility is the same as for 7(a) loans, but you must have been in business for at least 12 months. These five functions are also the five essential roles that management assumes to successfully operate a business.
Planning starts with a review of existing financials, reviewing the business operations to identify improvements. The Administration also provided help to small businesses to obtain government contracts and provided management consulting and technical assistance.
SBA’s Small Business Investment Company (SBIC) Program is a public-private investment partnership created to help fill the gap between the availability of growth capital and the needs of small businesses. A small business may have more than one SBA loan, but the SBA’s share cannot exceed $2 million.