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 orhas a revenue of less than $100,000 a year
background needed by your bank to get a businessWhat types of businesses qualify for a
loan, then microenterprise might be your bestmicroenterprise loan?Traditional businesses such
bet.Microenterprise Development programs haveas:*small specialty shops like hobby shops, florists and
been around since the 1970s. They were created asgift shops*small engine or auto repair shops*bakeries,
a way of helping people who couldn't accesscafes and sandwich shops*beauty parlors and barber
traditional methods of credit, either because theyshops*arts and craft stores, ceramic shops and art
were too poor, or the amount of money theygalleriesNon-traditional businesses such as:*massage
needed was too small for a bank to be interested.Intherapists, acupuncturists, hypno-therapists*business,
the United States, there are over 500 Microenterpriselife and relationship coaches*soap and essential oil
programs designed to help low to moderate incomemanufacturers*artists, painters and jewelry
entrepreneurs. In fact, if you have bad credit, nomakers*doggie daycare owners, mobile beauty shops
credit and no collateral, you can probably find aand in-home computer repairWhere can you find a
microenterprise loan fund in your state, city orprogram in your area?One of the biggest problems
town.What do microenterprise loan programswith finding a microenterprise loan program is that
do?They provide a variety of financial and businessthey are often not very well advertised, and may
services to entrepreneurs. Some programs providenot even be called a "microenterprise development
free or low-cost business classes that will walk youprogram" so unless you know where to look it can
through the process of writing a business plan. Otherbe frustrating. Here are some ideas to get you
provide counseling, to help you manage your debt,started:*The Small Business Adminisration*Your local
and understand and use financial planning software.Chamber of Commerce or Economic Development
Still others offer business mentors. MostAgency*Small Business Development Center in your
Microenterprise loans have some type of networkingarea*Your bank or credit union*Women's
program, where you can build relationships with otherorganizations, business support groups* -- you can
business people.How much money can youfind free microenterprise resources indexed by state
borrow?Loan amounts vary from $500 to $25,000.hereThe main thing to remember is that if you're
Interest rates are at or below prime, and you don'treally serious about starting your own business, there
need to have a lot of collateral or excellent credit inare resources available to help you, so don't give
order to apply. In some programs, you can qualify forup!Cheryl Antier is the President of Dream Weaver
a smaller loan fairly easily, and then, once it has beenEnterprises, a business and fundraising consulting
repaid, apply for a larger loan. This helps to build yourcompany. MAPS (Microenterprise Answers to your
business credit, and insures that you don'tPersonal Success)is a membership organization that
over-extend yourself.What is a microbusiness?Ahelps women to start, grow and succeed in small
microbusiness is defined as any business:that can bebusiness ownership.
started for less than $35,000