en Start Up applicant with a BK Hi, my wife and I are wanting to start up a bakery business but was wondering if Bankruptcy (Ch.7) 6 years ago would keep us from getting an SBA loan? Prior to the BK I never missed a payment (Except prior to the BK) and since the BK I never missed a payment. I had to file due to being unemployed after being laid off and not being able to keep my head above water. My wife has good credit. I'm hoping this is not an issue for use to get a loan. Any info/suggestions would be appreciated. Eric Loans & Grants Sat, 09 May 2015 07:19:34 +0000 esg007 1113819 at sba 7a 401k can I use my 401k as collateral to lower my down payment on a sba 7a loan? Loans & Grants Fri, 08 May 2015 02:25:45 +0000 ghbn951 1113814 at Reduced SBA loan fees for Veterans on $3.5MM loan I've read that there's a reduction in the SBA loan fee for the short term / low amount ($350K) loans for veterans but is there a reduced rate on the regular SBA loan? Right now it seems to be at 3.75%. Loans & Grants Mon, 27 Apr 2015 13:58:38 +0000 Phatbastage 1113768 at Loan for US food products for export Hello, I work for a food import/distribution business in Asia and we are looking to build up our product order quantities but would like to look into an SBA loan due to the low rates and good payback terms. I have an LLC registered in Oregon and some funds that could be put towards a downpayment on an SBA loan. My main question is, are there any specific loans or financing that are purposely supportive of companies exporting American products? That would be what I'm after. I'm over in Asia so a little hard to get clear information from here, I'd love to get a bit more info on exactly the type of loan I would be looking for and then direct my application as such. Thank you for any information you can provide. Loans & Grants Tue, 21 Apr 2015 12:50:30 +0000 jonnybleu 1113751 at Obtaining an SBA loan with no personal equity I am interested in obtaining an SBA loan of around $75,000 but a bank told me I'd be required to contribute 10%-50% cash equity. Are there ways around this? I want to open a franchise of a business that's SBA approved but I don't have any capital to put forth. Surely there are options out there or am I dreaming? I thank you for reading and responding to my question. Loans & Grants Fri, 03 Apr 2015 19:11:03 +0000 eclark22 1113672 at Renovations... Is a loan for renovations and remodeling considered a "building and real estate" loan with 20-25yr terms? Or is it another category with shorter terms? Thanks Loans & Grants Sat, 18 Apr 2015 02:33:36 +0000 upwestside 1113734 at Ecommerce Start Up Loan Needed HELP! Hi My name is David and I am new here. My partner and I are two young entrepreneurs who have fully invested ourselves into launching an ecommerce product website. However, we don't have enough capital to purchase inventory from overseas and for a few necessary start up expenses. We estimate that we need $15,000 to launch our website but we know that traditional banks won't lend $15,000 to a start up businesses. Also, my personal FICO score is poor due to some mishandling 5 years ago but my partner's FICO score is in the mid 700 range. Someone please steer us in the right direction!!! Thanks for reading Loans & Grants Wed, 15 Apr 2015 09:14:11 +0000 dsong610 1113725 at Partnerships Situation: I want to purchase 40% TO 60% of an existing restaurant. Sale price is $250,000. The current owner started the restaurant 8 years ago and has run it as a sole owner/manager since opening. Current profits/owner’s benefit runs around $80k to $100k. Current owner wants to stay on in a partnership situation, splitting responsibilities, hours, etc, and pay accordingly. I do not want to buy into the current LLC due to the potential dangers of unknown financial/legal/etc situations. Trusting the partner is one thing, good business sense is another. We will form a new S-Corp and sell the business and all assets to it. Question: Will the SBA back a loan that lists the current owner as an officer of the purchasing S-Corp. i.e.: 1. Current LLC sells business and all assets for $150k to new S-Corp (business value is $250k). 2. Current owner and myself are listed as offices of new S-Corp. 3. Current owner gets the $150k via the selling LLC. 4. Repayment of new SBA loan comes out of my half of profits/owner's benefits. So, will the SBA back this type of loan, or is it not possible due to the current owner having an interest in both the selling and purchasing corporations? Thanks! Loans & Grants Fri, 10 Apr 2015 14:07:41 +0000 1113704 at start up funds with 20% down and no collateral I'm wondering if it is possible to get an sba backed loan for start up funds of $50,000. I have $10,000 to put down but no collateral to put up. Loans & Grants Mon, 13 Apr 2015 02:11:55 +0000 tommydoss 1113714 at Acquiring an existing business Hello Everyone, and thank you for taking the time to read my post. I am currently looking to purchase an existing business. I see great potential and see it as my "one shot" to invest in. I'm in my late 20's and could come up with prob 25k on my own. I would most likely be able to get more money from family, friends etc, but I've yet to do the math on that. The business is a liquor store that the owner is looking to sell, due to his age, and children wanting nothing to do with it. His children have their own businesses and have no time to run it. The store is not listed yet, however, after speaking with the owner he said he would be willing to let it go ASAP, should the right offer come along. He didn't want to give me an exact price, however, when speaking to his son earlier, it was somewhere in the 100k-200k range. My questions are as follows: 1. Where should I start? (I know, vague, but anything helps) 2. Should I visit a bank, explain the situation, mention potential help/coordination with the SBA and see where that takes me? 3. Is this even a case where the SBA could assist me? 4. At what point would the existing business show/release financial statements for me to convince the financial institutions I will be able to repay the loan? 5. As in my case, if I don't have an exact price the owner wants for his store, how am I supposed to walk into a bank and say "Hi, how much can I borrow based on my history and what I make now, and what I own?" 6. Would a starting point be to see how much I actually qualify for? 7. What do you all recommend? I truly apologize for such basic/vague questions, but,I need to start somewhere, and I've only heard good things about the community. Looking forward to everyone's responses. Best regards, Daniel Loans & Grants Mon, 23 Feb 2015 21:06:37 +0000 dcarrillo 1113492 at SBA Down Payment Can you use an unsecured personal line of credit for the down payment on a small business loan for a franchise? Loans & Grants Thu, 02 Apr 2015 19:32:53 +0000 stephanie.quinn 1113670 at How Do I Apply? I have a small business and I am looking for a small loan for startup costs. Where Do I go to apply for the ones on this website, and are there other sites I should look at to finding loans to apply for as well? Thanks! Chantal Loans & Grants Thu, 26 Mar 2015 19:52:23 +0000 cstephens382 1113644 at Lesser of 2 evils business loan Currently in a 11.625 variable rate loan w a balance of 154,000. Have worked to refinance for 6 mths or so now. 000 we pay $2300 a month. Im working with a small bank on a 5 year fixed ARM. Its locked in for 5 years an will be reevaluated after 5 for a rate increase. I think I have to take this to cut our payment in half for at least 5 years, continue to pay $2300 a month payment and the rest towards principle. Hopefully after the 5 years we can refinance the balance into a fixed rate with new bank after that. Does my plan make sound good? Or do I continue to pay $2300 a month on the current note. This is a note taken out by my in law on her business. We assumed the business in Jan when she semi retired Loans & Grants Mon, 30 Mar 2015 00:31:47 +0000 Hot Pockets 1113652 at SBA Fixed Charge Coverage Definition How does the SBA define Fixed Charge Coverage ratio? I was wondering if you used a standard definition for defining how to calculate Fixed Charge Coverage Ratio. I am working with a potential 7a borrower and just want to make sure we define and calculate it the same as you. Below is our standard definition and I would just like to confirm that it matches up to your definition. Thank you so much for any help that you can provide!!! Fixed Charge Coverage Ratio means the ratio of (a) Borrower’s EBITDA plus rent and operating lease payments, less cash taxes paid, distributions, dividends and capital expenditures (other than Capital Expenditures financed with the proceeds of purchase money Indebtedness or Capital Leases to the extent permitted hereunder) and other extraordinary items for the twelve month period then ending to (b) the consolidated sum of (i) Borrower’s interest expense, and (ii) all principal payments with respect to Indebtedness that were paid or were due and payable by all Consolidated Entities during the period plus rent and operating lease expense incurred in the same such period. Loans & Grants Fri, 27 Mar 2015 17:35:09 +0000 weg3 1113646 at Net worth limit of a guarantor I need to know if there is a limit on personal net worth for a guarantor on an SBA loan? Loans & Grants Wed, 18 Sep 2013 19:03:11 +0000 hroberts 753728 at Diaster Loans Payback I received $9,900 from the SBA to cover the cost of damage done to my home due to hurricane Sandy. The damage was done to my roof. At the same time I put in a claim to my insurance company. The repairs to my roof came to $6,875.00. The insurance check was for $3,550 that was submitted and received by the SBA. After the insurance reimbursement of $3,550 my principal balance is $6,450. So I am looking at this as a $6,450 loan in which I paid the contractor $6,875.00. Is my thinking correct? Loans & Grants Sun, 24 Mar 2013 16:09:30 +0000 HALBERT3 549851 at Loan for a Mobile Pet Grooming Vehicle <p>Hi all, first post, and I hope I&#39;m doing this right! So, here&#39;s my situation. I am currently a house-call dog groomer (meaning I go into people&#39;s homes with all of my equipment and groom their dogs there). I have been incredibly successful at this business (going on 2 years in January, as of Nov 30, 2012 profit has been about $35,000). I am hoping to invest in buying a mobile grooming van, so that instead of carrying my equipment with me, I have everything I need right in the vehicle. (such as water, electricity (large generator), a bathtub, dryer, etc). I will also be able to double my profit because I will be able to do more dogs in a day (because the setup/breakdown of my equipment as well as cleanup takes me a lot longer currently) The problem is, most grooming vans (used) run somewhere between $25k-$40k; (new is closer to $60k) due to the conversion, and the equipment inside. My goal would be to get a SBA OR equipment loan to get this van, the problem that I&#39;m having is the banks are evaluating the cost of the vehicle as the stripped van. (Ford E-250, average price used is about $10k), as well as my only collateral would be the van itself. My business plan clearly states what the equipment inside (dryer, table, bathing systems, etc) are worth. Many SBA loans don&#39;t want to hold titles, because I have no other collateral for this large amount other than the van itself (because I don&#39;t have a mortgage, and my personal vehicle is worth less than $10,000. ). Thanks!!</p> <p><em>This post was edited to remove a link. Please review our <a href="" title="best practices"><u>Community Best Practices</u></a> for more information</em><em> about how best to participate in our online discussions. Thank you.</em></p> Loans & Grants Sat, 08 Dec 2012 03:29:10 +0000 thedoc617 377951 at Buying business in financial hardship An online business I know is about to file bankruptcy. There is a judgement for the companies UCC as well as other judgments for foreclosed properties. Can I use a small business loan to buy the company? Or just the inventory? Who should I contact first with my intent? I have never owned a business and think this would be a great opportunity. I am so lost and do not know where to start. Loans & Grants Wed, 18 Sep 2013 15:04:55 +0000 eagertobeowner 753720 at working capital financing I started a healthcare business 18 months ago with little to no money, and have been scratching and clawing ever since. What is the small business recovery act? Somebody told me about this, and how it might be able to help get some working capital to help us expand and grow. Banks arent doing anything for us, is there any sort of government help with loans or grants that could help us? Loans & Grants Mon, 23 Sep 2013 16:17:25 +0000 jajohndc 753952 at Car Hauler I am tired of working 10-16 hours a day and feel like I'm not getting any where. I want to start a car hauling company. I love to drive. I come from a family of truckers, so it is in my blood. I just don't have the money to get started. Do anyone have any ideas on how can I get a business grant? or Low interest loan? My credit isn't the greatest. Any ideas? Loans & Grants Tue, 17 Sep 2013 17:37:33 +0000 clakerfan24 753675 at Starting a manufacturing business from scratch I am a service-connected disabled veteran. I was discharged earlier this year, and right away I went to vocational training to learn to make bicycle frames. I finished the training and now I would like to start my own framebuilding business, but I have recently been exposed to some confusing information that contradicts what I assumed was true. In order to qualify for a loan, I have to already have a business plan, which I understand, but I need to also be able to show my product line. However, If I do not already own the machinery and facility I need to produce the product, how can I possibly have product to show? I assumed I could take out a loan to buy this machinery. What comes first, the chicken or the egg? I have a workshop in the garage of the house I rent. I just need about $15,000 worth of machinery, from a TIG welder to frame jig to vertical mill and fixtures. Other than these expensive items, I can probably use my savings and credit cards to obtain what I need. I have always assumed there would be a horde of patriotic institutions waiting in line for me when I got out of the Army to get me set up to go into business for myself and produce American products and succeed. Now that I'm out I'm finding that I have to already be rich or have generous rich family members in order to qualify for any kind of financing to start my business. I am seriously dumbfounded. The british have a word for this: gobsmacked! I probably do not need a penny from anybody after the initial equipment purchases, so I have no intention of begging for grants ever. I just need a vertical mill, welder, jig and fixtures so I can get to work. Isn't that what the SBA is for? Loans & Grants Tue, 17 Sep 2013 05:59:21 +0000 753633 at Gross or net earnings requirement for a business loan Hi. I would like to know if how much is the estimated gross or net earnings of a business that can qualify for a line of credit of 1million? Thank you Loans & Grants Fri, 26 Jul 2013 15:51:18 +0000 aitobgen 741631 at Veterans participation in business obtained through Patriot express loan How much participation in the business is required by the veteran/military member. If he has a manager and oversees the manager's results periodically is that sufficient to meet underwriting criteria for the Patriot Express Loan? Loans & Grants Sun, 15 Sep 2013 20:45:12 +0000 wshwuzfshn 753421 at need advice hello my names meg and im trying to get my home business out there but having issues on finding the right funding. if you could help me that would be great if i can get some legal advice. im artistic im trying show people my hand made sculptures,Invitations,Interior paintings/murals along with my hand made decorative decorations for all event including weddings. so any advice would help Loans & Grants Sat, 06 Jul 2013 19:10:37 +0000 meg 709031 at Woman Owned Small Business (NEW) Needing Financial Help ASAP I need help with grant/loan application please. Loans & Grants Thu, 11 Jul 2013 13:56:47 +0000 Shaeann 722481 at I need of loan or grant hello my name is mark I am a long haul household mover. in april of 2012 I bought my own truck. short story is on my 1st trip the engine blew up so borrowed the money from the company I am leased on with to have it rebuilt. got the truck back and less then 40,000 miles on new engine and it blew again so now I have to rent a truck and going under fast with all these bills adding up, taking the shop who rebuilt engine to court but this could take some time. I need some kind of loan or grant to get me back on my feet. if there is any info or you know how I could get some kind of loan would be very helpful thank you very much Loans & Grants Thu, 21 Feb 2013 03:25:40 +0000 mack135 491421 at Construction Company Can a construction company obtain a SBA Loan? I was told recently by a banker that SBA loans are not given to construction companies, Is this true? Loans & Grants Thu, 04 Apr 2013 16:04:50 +0000 jcharterina 560841 at loan idea for my business As I stated in my profile, I am looking for a very practical loan Idea for a new business that I'm starting. I have an office and a few purchases for the business and I got stuck since I lost my job. I have very poor credit and cannot borrow from the bank. I have to keep paying rent or I lose the space. My business is Health Care related. I need Ideas or a point to the right direction. If I can obtain a $25,000 loan, I will be fine. Loans & Grants Sun, 16 Sep 2012 16:21:53 +0000 BettyUSA 303091 at How do I get a loan for a small business We need around 20,000.00 dlls loan to continue with the business. We have to get ready with some machines for the winter Loans & Grants Sun, 23 Jun 2013 19:37:19 +0000 alexisgoli 683081 at Debt Financing Strategies for Brick and Mortar Food Establishment Hello, I am relatively new to the world of business loans. Upon reading a number of articles, it appears that the 7A business loan is the most common form of business financing. I am interested in opening a brick and mortar food establishment here in Dallas. For those who have already taken a similar route, I would like to know if you have any advice to offer as well as the best resources you have found on your journey to developing your business. Kind regards, RD Loans & Grants Thu, 22 Aug 2013 02:22:45 +0000 RDeveau 751739 at