How to Find a Microenterprise Loan for Your Business

If you're looking for start-up capital for your business,has five or less employees
but you don't have the credit, collateral or backgroundhas a revenue of less than $100,000 a year
needed by your bank to get a business loan, thenWhat types of businesses qualify for a
microenterprise might be your best bet.Microenterprisemicroenterprise loan?Traditional businesses such
Development programs have been around since theas:*small specialty shops like hobby shops, florists and
1970s. They were created as a way of helping peoplegift shops*small engine or auto repair shops*bakeries,
who couldn't access traditional methods of credit,cafes and sandwich shops*beauty parlors and barber
either because they were too poor, or the amount ofshops*arts and craft stores, ceramic shops and art
money they needed was too small for a bank to begalleriesNon-traditional businesses such as:*massage
interested.In the United States, there are over 500therapists, acupuncturists, hypno-therapists*business,
Microenterprise programs designed to help low tolife and relationship coaches*soap and essential oil
moderate income entrepreneurs. In fact, if you havemanufacturers*artists, painters and jewelry
bad credit, no credit and no collateral, you can probablymakers*doggie daycare owners, mobile beauty shops
find a microenterprise loan fund in your state, city orand in-home computer repairWhere can you find a
town.What do microenterprise loan programs do?Theyprogram in your area?One of the biggest problems
provide a variety of financial and business services towith finding a microenterprise loan program is that they
entrepreneurs. Some programs provide free orare often not very well advertised, and may not even
low-cost business classes that will walk you throughbe called a "microenterprise development program" so
the process of writing a business plan. Other provideunless you know where to look it can be frustrating.
counseling, to help you manage your debt, andHere are some ideas to get you started:*The Small
understand and use financial planning software. StillBusiness Adminisration*Your local Chamber of
others offer business mentors. Most MicroenterpriseCommerce or Economic Development Agency*Small
loans have some type of networking program, whereBusiness Development Center in your area*Your bank
you can build relationships with other businessor credit union*Women's organizations, business
people.How much money can you borrow?Loansupport groups* -- you can find free microenterprise
amounts vary from $500 to $25,000. Interest rates areresources indexed by state hereThe main thing to
at or below prime, and you don't need to have a lot ofremember is that if you're really serious about starting
collateral or excellent credit in order to apply. In someyour own business, there are resources available to
programs, you can qualify for a smaller loan fairlyhelp you, so don't give up!Cheryl Antier is the President
easily, and then, once it has been repaid, apply for aof Dream Weaver Enterprises, a business and
larger loan. This helps to build your business credit, andfundraising consulting company. MAPS (Microenterprise
insures that you don't over-extend yourself.What is aAnswers to your Personal Success)is a membership
microbusiness?A microbusiness is defined as anyorganization that helps women to start, grow and
business:that can be started for less than $35,000succeed in small business ownership.