2×1: The SBA Microloan – Get a Loan and Receive Business Advice. A Win-Win proposition.

January 13, 2012 | Community

SBA’s Microloan Program offers loans to $50,000 which can be used for a wide berth of business needs.  The loan is combined with a requirement that the borrower receive at least twelve hours of Business Advising or Technical Assistance (TA).  The TA covenant is designed intentionally to help business owners succeed in an increasing competitive environment.

Some entrepreneurs are initially hesitant about obtaining one-on-one counseling but most that participate in the program experience positive results that impact their bottom line.  Business Counselors have a wealth of experience and knowledge and advise on topics such as Marketing, Accounting, Procurement, International Trade and.  The majority of successful managers hire and build a strong team to offset their weaknesses, but many small businesses cannot affort this.  In some cases, business owners have great sales skills but lack an understanding of financial analysis while othersare great visionaries but do not know how to implement their ideas. The use of  SBA Microloan’s TA  gives these owners the opportunity of a second pair of eyes to evaluate the business strategy and  identify what steps are needed to grow the company..

The importance of Technical Assistance is something a business cannot afford to ignore.  Whether it’s retail, wholesale, manufacturing or service companies, successful businesses have a common denominator and follow certain principles that entrepreneurs, especially in the beginning stages, need to emulate to increase their probabilities of success.

Eddie Landeros MBA
CDC Small Business Finance

Eddie Landeros is a business advisor and team member in our community loans department

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