Small Business Financing 

Financing your dream
You've got everything ready to go, a stellar business plan, a modern logo, and the passion to really take your business to the next level, but what about the funding? One option could be The Small Business Administration, they can help fund your dreams if you qualify for their loan programs. 

Small Business Administration Loans
The Small Business Administration (SBA) offers loan assistance to many small businesses every year through the U.S. Take some time to study the programs offered on their website here, to see if you qualify to participate. SBA provides a number of financial assistance programs for small businesses that have been specifically designed to meet key financing needs, including debt financing, surety bonds, and equity financing.

Guaranteed Loan Programs (Debt Financing)
SBA does not make direct loans to small businesses. Rather, SBA sets the guidelines for loans, which are then made by its partners (lenders, community development organizations, and micro-lending institutions). The SBA guarantees that these loans will be repaid, thus eliminating some of the risk to the lending partners. Learn more about the SBA's loan programs click here. 

How can Teal Consulting Group help?
SBA Approval in the Service Industries: (or a company which holds minimal tangible assets)
When you seek approval through select SBA lending programs, and you do not have enough assets to be held accountable for collateral, you will need to provide an expert valuation of the business's goodwill. (Common with service orientated businesses.) In these cases, you will need a qualified business valuator, to verify the value of your business. Commonly your business bank will hire the business valuation team they've been using for years. These valuations (similar to a home appraisal) cost money. Your bank will be passing these costs onto you, and if we are not the provider of this Business Valuation report - chances are you are overpaying for an appraisal. Ask your Bank who they currently use, and ask them about the total cost. Or contact Teal Consulting Group, LLC for an expert with the proper credentials to help you through this process! 

Success Stories
The Market Street Pharmacy
Small Business Owner Receives 7(a) Loan for Start-up Capital, Growth
Sheila worked as a pharmacist for more than 20 years, she liked her job, but she wanted her own business. “I always knew I wanted to have my own pharmacy,” she said. “I just didn’t have a clue as to how I was going to do it.”  In 2003, a store-front location became available for rent, and Shelia approached a colleague with whom she had worked in a pharmacy previously, to be a co-owner. 

The local Small Business Development Center, an SBA resource partner, helped analyze the area’s demographic data, build financial models for the new store, develop a loan package, and choose business service vendors. The first-time business entrepreneurs, initially funded the business with personal money, but it just wasn't enough. 

Initially, three banks rejected The Market Street Pharmacy for loans, but the SBA’s loan guarantee programs allowed them to secure the required funding. The Market Street Pharmacy opened in September 2003 and in December two SBA-backed 7(a) loans were approved through Wilmington Trust totaling almost $200,000. 

Shelia's advice for anyone considering opening a business: “Go for it. It can be rewarding.” Read the full story here. 

PeakEnergy LLC
Small Business Owner Receives SBA Loan for Working Capital
PeakEnergy LLC was started in May 2000 to help utility companies and other energy providers use existing generators at private businesses during peak demand periods. 

Elsea (owner) had spent his entire 27 year career working in or with the electric utility industry. He was able to start his business with the help of a grant from the American Public Power Association and an SBA guaranteed working capital loan.

When asked what his advice would be for someone going into business, he said, "Go for it. My son's encouragement was 'Dad if you don't do this you will always wonder whether or not you could.' Not bad advice from a 14-year old." Read the full story here. 

For more Success Stories from the Wisconsin Business Development Finance Corporation, click here! 

Our Advice to You
There are resources available to start your business dream. Check with your local city councils, the local bank & credit unions in your area, and the universities & other education centers in your area (some have free resources available). Don't forget to ask your local Chamber of Commerce and other business development centers for help, and most important - ask around! 

Essentials of Starting your Business.. 
So you have the fancy new business cards, the sharp logo, the awesome idea, but do you have the important assets? 

• Entity Structure- Which type of structure have you selected? Whether you choose an LLC, S-Corporation, C-Corporation or Limited Partnership, knowing which structure is best for your income and tax situation is key for your business.A little research can go a long way. 
• Business Tax Identification Number- Also known as a Federal Tax Identification Number or EIN, it’s the corporate equivalent to a social security number but used for businesses.
• Business Address- A virtual business address or commercial location is ideal for small businesses. Your physical business address and business mailing address may be two different locations.
•Business Phone- Either a toll free number or local phone number is a reliable source for a company’s communications. Be aware of the number you place on your business card. (Adding to the next point, publish your phone number online.) 
•Get Online- A company web site and social media presence is almost more important than having a physical address. (We cannot stress this enough!!!) The easier a customer or lender can verify and learn more about your business, the better. If you're not online, you can count on losing out on a major customer base. 
•Business Bank Account- A small business bank account will be your most important tool for managing your company’s finances. This will also allow you to completely separate your personal banking activities from your company’s. This is a must. 
•Merchant Account- Accepting credit cards from customers is an essential part of doing business today. From mobile credit card readers to virtual terminals, a merchant account is what is utilized to accept credit cards, get cash and make money as a company.
•Business credit card- Business credit cards have many benefits such as higher limits, perks & rewards, business credit reporting and expense tracking. For real personal and business separation, a business owner needs a credit card exclusively for business purchases.
•Business debit card- A useful and convenient tool as opposed to writing business checks. Make sure you add overdraft protection to your small business bank account to avoid and potential overdrafts. 
•Funding strategy- Many businesses fail due to lack of funding; remember the old "Cash is King" saying? Analyze your business credit and plan out a short-term and long-term funding strategy. Access to credit is crucial to your business as it may experience unforeseen expenses.



Original article:
Small Business Startup: 10 Essential Ingredients Every Startup Needs, SBA

Consider a Business Valuation Today!

If you're planning to sell your business, an accurate valuation completed by a certified professional will ensure that all the hard work you've put into it will be taken into account and included in the sale price. Business valuations are also essential when seeking investment capital, taking on a partner, planning for the future, or selling shares.

While many business owners have an idea of what their business is worth, that idea can quickly wither in the face of challenges from the IRS or other sources. A business value without any solid backing as to where this said value comes from, is more than just a mathematical equation. Therefore, getting an accurate business valuation is crucial. 

Here at Teal Consulting Group we enjoy assisting our clients with their Business Valuations. When possible, we get to sit down and discuss the day-to-day operations at each and every business, we look forward to tours and walk-throughs of facilities, and we ask in depth questions to really understand each individual we help. We believe that a Business Valuation is a mixture of science and art, and we have yet to find two valuations that are exactly the same! Let us help you, contact us today for more information!