What is the best way to get a small business grant or loan?

Some banks extend what they call "small business lines of credit" often through credit cards. Those are easier to get and can be based on your credit history alone. They typically are up to $100,000.

For example, Wachovia's has various business lines of credits http://www.wachovia.com/small_biz/page/0,,446_612_... Their business line of credit can even be approved overnight,

Or you can try to get a government guaranteed small business loan at SBA http://www.sba.gov/financing -- read their eligibility requirements

However, if you're applying for a loan and if it is a big amount, banks and even the SBA may consider other factors aside from your business credit:

- A business plan explaining what the business is

- Your background and experience in the business -- in my experience, this is KEY in the eyes of the bank because they want to make sure that you know what you are doing and that you can make the business work. If you don't have any experience with the business, have someone on board that knows the business to give banks assurance that someone will guide you

- Your credit factors because it shows your dependability and how well you handle credit. They will do a credit check on you and poor credit history may be frowned upon, or even reason for the disapproval of your loan application

- Your collateral. Banks, even SBA guaranteed loans, want the borrower to show collateral. They want to be guaranteed that somewhere somehow they can get payment from you

- Condition or terms of loans. Banks would want to know three important things: "How much money are you requesting? What will it be used for? and For how long will it be needed?" Banks oftentimes prefer to approve loans for items that can be identified, has lasting value, and can be repossessed and sold if things fail.

Aside from banks I suggest you consider microloan providers. They typically fund up to $30K Read about the SBA Microloan Program http://www.sba.gov/financing/sbaloan/microloans.ht...

It is hard to find grants to start a business. Unlike the myths that some perpetuate, federal government and even private foundations hardly give grant money for a for-profit business. And yes, grants mean PAPERWORK - lots and lots of it, that is why a cottage industry of grant writers was born.

Nonetheless, you can go to the Catalog of Federal Domestic Assistance (CFDA) http://www.cfda.gov/ and Grants.gov http://www.grants.gov/ - these are two sites created by the federal government to provide transparency and information on grants. Browse through the listings and see if you can find any grant that would support a for-profit venture.

Even SBA does NOT give out grants. From the SBA website http://www.sba.gov/mostrequesteditems/CON_FAQ2.htm...

"The U.S. Small Business Administration does not offer grants to start or expand small businesses, although it does offer a wide variety of loan programs. (See http://www.sba.gov/financing for more information) While SBA does offer some grant programs, these are generally designed to expand and enhance organizations that provide small business management, technical, or financial assistance. These grants generally support non-profit organizations, intermediary lending institutions, and state and local governments."

Here is a listing of federal grants for small businesses. See if there is any available for individuals for starting a business -- THERE'S NONE.

http://12.46.245.173/pls/portal30/CATALOG.BROWSE_B...

I suggest you read the following books to get ideas of how to finance your business:

Financing Your Small Business http://www.amazon.com/exec/obidos/ASIN/1572484500/...

Small Business Financing: How and Where To Get It http://www.amazon.com/exec/obidos/ASIN/0808007386/...

Financing the Small Business: A Complete Guide to Obtaining Bank Loans and All Other Types of Financing http://www.amazon.com/exec/obidos/ASIN/1580626815/...

The SBA Loan Book http://www.amazon.com/exec/obidos/ASIN/158062202X/...

Angel Capital : How to Raise Early-Stage Private Equity Financing http://www.amazon.com/exec/obidos/ASIN/0471690635/...

Financing Your Small Business (Barron's Business Library Series) http://www.amazon.com/exec/obidos/ASIN/0764124897/...

No such thing as a grant for that type of business. Grants are for non profits and cutting edge technology research etc. Not worth all the trouble for an SBA loan. For the small amount of money you need try a local bank, or go online to find a commercial lease company who will finance the truck and equipment. As for start up expenses, unless you can qualify for a small operating line of credit, I'm afraid these will be out of pocket. You should start saving now. Despite what you may read on the internet there is NO FREE LUNCH FOR SMALL BUSINESS.

, Grants are the best way to Start a Business or go to College! As well as Foundations they also offer mney at no cost ' For interest the Univeracity of North Carolina has Grant Money availabe in their Arts program.!!

As for loans they might have a small interest rate at the beginning',Then the bank can raise the interest rate , fees,and so on.

If for reason your business may go bankrupted, Make sure that your business is Incorporated/.

Which will separate business from personal fiances.The Bank can't get personal assets ll when you've Incorporated your business!..

Make sure you get that Grant!! It's free money!

There is allot of money that know one remembers about , Katrina, Rita, Homeland Security, Helping are Soldiers by making something new or old What they need to fight or to relax! Our soliers are getting tired , To many tours in Iraq Make somethIng usefull to relax these guys and women..

Or make someting for our wouded > Go to Waler Reed and see what they need to be a productive citizen again!!!.

Education, the Arts The university of North Carlina as a lot of money in their art foundation please check all Foundation's they are also free money!!

Go to your local library they have many reference books on all the Foundations , Plus Grants Or any web sites

which or Rep or Senator's there's a link to every Government program . Just have a lot of paitences when going through those programs.The forms are in the library .

If you Can get a Grant you"ll never have to pay back.

. A loan is a loan.!

I know you may disl[ke an attorney however you'll need the best corparate lawyer in your State. He'll make sure you no every rule to follow ,taxes etc.

RaeAnn

First you have to ask yourself would this work? Does the interstate in PA, need an escort service? Research how many of them exist now and check to see if they are doing ok. If they are and there really is a market for more business, then I would work with a grant writer and write up a business plan, show how it could help the area you are moving to, then you would have to apply for the grant, and/or apply for the business loan at the bank, they will want to see your finances, your background if you would be able to handle such a venture will determine if they would finance it. It also depends on how much you would need to start up. You could actually put out the word you are starting the business and looking for potential clients, if you have a list of potential clients, that looks good too.

Get in contact with your Small Business Developement Center in your area. They will help you get the forms together and the places to apply for this type of thing. These new small business loans are the most difficult type of loan to get, because of the business failure rate. You might have to get a personal loan.

The SBDC has free help, classes, and seminars. That is a grea place to start and they can guide you through the whole thing.

Links to these places are below.

I tried to look into getting a small business loan & found out it really is not for a new business getting started. They want you to have been in business for something like two years to qualify. You will probably have to buy your equipment with credit or a loan from a family member. Work on getting excellent credit before you try to start, it will really hurt you if your credit is bad.

The easiest or probably more reliable way is most likely thru close relatives or friends.

Other than that, you will need to create a very good business plan and go over it with a loan officer at the bank.

Hi you will need a sound business plan - I would recommend that you use a professional company to help you with this. They will discuss your business ideas with you and help you design your company. www.bizguru.us

My article: Entrepreneurs - Want To Start A Business With The Best Possible Chance Of Success? May help

http://www.articleshut.com/index.php?page=article&...

Any company that provides you with a loan will expect you to have some money of your own invested in the company. Most look at lending a maximum of 60%.

Good Luck

The government usually has grants for small businesses. The grants themselves are small, but it can help. I don't rely on bank loans, it's just too scary and kind of foolish.

Go to the bank with a business plan. Prepare the groundwork and they'll know your serious. Otherwise get a good lawyer first and take the other choice, but hey who said anything about sticking up a bank?