Funding Options

Personal Savings

There are several ways you can use personal money to fund your business. When deciding on the best funding option, it helps to make a list of your assets, liabilities, income, likely investors, and your current credit score.

Bank Loans

We encourage you to bank local! View a list of potential banking options here.

Small Business Administration (SBA) Loan Programs

The U.S. Small Business Administration has several loan programs to fit a variety of needs. Learn more through the SBA Loan Program quick reference sheet.

Grants

There is a limited number of grants awarded to small business for very specific purposes. One example is the Small Business Innovation Research (SBIR) program. Under this program a small business must submit a proposal to do scientific research that responds to a federal need.

One reputable source for grant information is the federal government website www.grants.gov.

Venture Capital

Venture capitalists typically take an equity position in a business in exchange for access to investor funds. Venture capital tends to focus on high-tech, high-growth businesses and is seldom an option for startup or lifestyle businesses.

Private or Angel Investors

These are wealthy individuals that invest in businesses. They are often entrepreneurs themselves and therefore, they have substantial business experience. Angels usually invest their money locally.

Preparing for your visit to the bank

Formal Business Plan
Statement of what the loan will be used for
Collateral to secure the loan
Owner's equity (owner's investment into the business)
Projections of income, expenses, and cash flows
Three years of personal income tax returns if ownership is 20% or more
Signed and dated perssonal financial statement if ownership is 20% or more
Guarantor's financial statement (if applicable)
Good credit history
No bankruptcy in the last 5-7 years
Lease details
Personal resumes
Expertise/experience in the area of the business
Management experience

Funding Options

​Preparing for your visit to the bank

Formal Business Plan

Statement of what the loan will be used for

Collateral to secure the loan

Owner's equity (owner's investment into the business)

Projections of income, expenses, and cash flows

Three years of personal income tax returns if ownership is 20% or more

Signed and dated perssonal financial statement if ownership is 20% or more

Guarantor's financial statement (if applicable)

Good credit history

No bankruptcy in the last 5-7 years

Lease details

Personal resumes

Expertise/experience in the area of the business

Management experience

Preparing for your visit to the bank