Are you aware of SBA loans for women entrepreneurs? They are special financing programs that are specifically targeted to help women entrepreneurs. These loans offer women business owners the opportunity to fund their start-up business without having to provide a personal guarantee. In fact, they are backed by only the credit of the borrower, and there is no need for any collateral or investment, which makes them risk free.
Women have a unique opportunity in the US market: there are more women business owners than men, and women are reaping the benefits of their greater business ownership. But that does not mean that financing options are any easier for women than they are for men. If you are a woman with a business idea and you want access to capital, then you need to look into either purchasing an SBA loan or using short-term financing options like those offered through the SBA.
As a woman business owner, you will appreciate that SBA loans are very affordable, especially compared to other financing options. They are also very flexible. For example, you can borrow up to 80% of the total purchase price of your business. Or, if you need additional funding, you can obtain small business loans up to the full amount of your business equity. Another great feature is the fact that most loans are tax deductible.
There are many reasons why banks and other financial institutions don’t make unsecured loans available to small business owners. One reason is that most women don’t have good credit scores. Even those who do have good credit often don’t qualify for unsecured loans because their credit scores fall below the appropriate level. With a bad credit score, though, you can qualify for the commercial mortgage loans offered by SBA banks, and this makes it much easier for women to become business owners.
Women also typically don’t think of loan grants as an option. There are, of course, special grants for women entrepreneurs, but these tend to be quite competitive. In addition, they require a great deal of effort on the part of the applicant. Grant funding is not just given out. It requires a great deal of screening and application submission.
The above are just two examples of special financing opportunities for women-owned businesses. Because there are so many opportunities for financing small businesses, it’s important to explore all of them. There is no better time than the present to get the ball rolling on your new business venture. Apply for your free small business loans today!