The Small Business Administration reports that women owning businesses in the United States are continuing to rise and today these businesses employ over 27 million people and contribute over three and a half trillion dollars to the economy. Other SBA services include technical assistance, training and counseling in entrepreneurial development, women business ownership, Native American affairs, and international trade, among others. The relevant experience of the business owner is an important factor for the loan package. The objective of SBA 7 (a) program is to allow the small business to acquire money easily. The SBA does not provide grants or direct loans with the exception of Disaster Relief Loans.
A seller needs to show a strong profitability, competitive edge to stay profitable, sustainability to survive economic downturns, scalability so the business grows, and a business culture so good employees stay. Low income borrowers, disabled business owners, exporters, rural and specialized industries are the target for this program.
This two-tiered process will eventually weed out those who may be in over their heads, while the meticulous and more determined Small Business Administration loan applicants can move closer to getting approved. Small Business Development Centers , with over 900 locations, are affiliated with local colleges and universities.
Three years worth of tax returns and credit history information is also mandatory; other documents include commercial business licenses and related signed agreements. The 8(a) Business Development Program assists in the development of small businesses owned and operated by African Americans, Hispanics, and Asians.
The question of how many employees a small business can have is complicated even further when we see that the government has been rather lax in enforcing the contract award rules for small business. While you will have to be patient, building your business on a solid foundation will always beat sand.