Question:
I am self-employed in the Investments field in North Carolina. I am making a decent return and paying my bills on time, but my credit is overextended since I have used all available resources for business purposes.

I am looking for a grant and/or low interest loan that would provide me with capital to expand my business. The Small Business Administration said they don't issue loans for such a "speculative" venture.
 
Where can I turn for help?

Answer:

Dear Mr. C:

It's wonderful that you figured out life enough to get your business going and that now you want to make it grow.' I believe that we have to continue to do that no matter how successful you become in life. You can never just stand still because in our fast changing society that means you are slipping backwards. It is almost a "grow or die" mentality that is needed to succeed in our economy and it is understandable that you are living with this feeling. Now let's see how we can help.

Venture Capitalists
I'm not really sure what kind of investment company you have, but if the SBA said they don't invest in risky businesses let's try to find someone who will. An option is venture capitalists. These are people who will invest in your ideas but require a percentage of your business in return. The best thing about this is if things don't work out too well, you don't have to pay them back.

400 Organizations That Help Low-Income People Start a Business
Members of the Association for Enterprise Opportunity provide free and low-cost assistance and training, as well as financial assistance, to underserved populations who want to start a business including “people with low incomes and welfare recipients.â€�  Contact: Association for Enterprise Opportunity, 1601 North Kent Street, Suite 1101, Arlington, VA 22209; 703-841-7760; Fax: 703-841-7748;  www.microenterpriseworks.org; Email: aeo@assoceo.org.
 

Community Action Agencies Offer Money and Help for Low-Income Entrepreneurs
There are over 1,000 Community Action Agencies across America and 39% of these offices provide help to low-income people who want to start or expand a business.  Their programs include “Be Your Own Boss� and “Start a Home Day Care.� Contact: Community Action Partnership, 1100 17th Street NW, Suite 500, Washington, DC 20036; 202-265-7546; Fax: 202-265-8850; www.communityactionpartnership.com; Email: info@2005communityactionpartnership.com.

100 Venture Capitalists Looking to Invest in Poor Areas

The Community Development Venture Capital Alliance is an association of over 100 venture capitalists who want to advance the livelihoods of low-income people and the economies of distressed communities through entrepreneurial activity. To find out about the opportunities for you, contact: Community Development Venture Capital Alliance, 330 Seventh Avenue, 19th Floor, New York, NY 10001; 212-594-6747; Fax: 212-594-6717; www.cdvca.org; Email: cdvca@cdvca.org.

Save $1 and the Government Will Give You up to $8
The program called Individual Development Accounts (IDA) gives low-income individuals who would otherwise not be able to save money the chance to save faster by the government matching $8 for every $1 you put into a saving program. The money can be used for housing, starting a business or education. Contact: Corporation for Enterprise Development, IDA Network, 777 North Capitol Street, NW, Suite 800, Washington, DC 20002; 202-408-9788; Fax: 202-408-9793; http://www.cfed.org/; Email: idainfo@cfed.org.

Over 500,000 Businesses are Assisted by Small Business Development Center Programs Per Year
Start-up and existing businesses can receive referrals to business experts, training in information access techniques, an equity financing course, educational assistance, and more. To find a center near you, contact the following:  Association of Small Business Development Centers, 8990 Burke Lake Road, Burke, VA 22015; 703-764-9850; Fax: 703-764-1234; www.asbdc-us.org; Email: ann@asbc-us.org.

U.S. Treasury Provides Money to Low-Income Communities
The Community Development Financial Institutions Fund of the U.S. Department of the Treasury provides business loans and venture capital to people in low-income neighborhoods that would otherwise not have access to funding. To find funding sources near you, contact the following:  U.S. Department of the Treasury, Community Development Financial Institutions Fund, 601 13th Street, NW, Suite 200, South, Washington, DC 20005; 202-622-8662; Fax: 202-611-7754; www.cdfifund.gov; Email: cdfihelp@cdfi.treas.gov.

Learn Financial and Money Management Principles
The Centers for Financial Education develops and offers curricula and materials covering a full range of financial management skills, including borrowing basics, budgeting, goal setting, credit management, savings, and more. To find a center near you, contact Centers for Financial Education, 2800 San Jacinto, Suite 400, Houston, TX 77004; 800-845-5669 or 713-394-3456; Fax: 713-394-9690; www.crediteducation.org; Email: tommye.white@moneymanagement.org.

Realize Your Business Dreams and Apply for a Loan Through Count Me In
Count Me In makes loans of $500 to $10,000 available to women across the country who have nowhere to turn for their first business loan.  The Make Mine a Million Business Program offers mentoring and financing to women business owners.  A dream team creates the roadmap businesses need to grow from a micro to a million dollar enterprise.  First place winners receive loans up to $45,000 from Count Me In, a year of mentoring from a team of business advisors and an OPEN American Express Business charge card.  Runners up receive loans up to $20,000.  Contact: Count Me In, 240 Central Park South, Suite 7H, New York, NY 10019; 212-245-1245; www.count-me-in.org; Email: info@county-me-in.org.

Help for Minority Entrepreneurs to Start and Grow Their Businesses
A network of Minority Business Development Centers, Native American Business Development Centers and Business Resource Centers throughout the country provides minority entrepreneurs with one-on-one assistance in writing business plans, marketing, management and technical assistance, and financial planning.  To locate a resource center near you, contact: Minority Business Development Agency, U.S. Dept. of Commerce, 1401 Constitution Avenue, NW, Washington, DC 20230; 888-324-1551 or 202-377-1936; www.mbda.gov

Business Incubators
Like an incubator that protects eggs until they are strong enough to live on their own, business incubators provide free and low-cost services for small business to grow into strong entities. This organization engages and represents all segments of the business incubation industry and can provide information and assistance for start-up and fledgling firms.  Contact: National Business Incubation Association, 20 East Circle Drive, #37198, Athens, OH 45701; 740-593-4331; Fax: 740-593-1996; www.nbia.org; Email: info@nbia.org.

Funding for Low-Income Teen Entrepreneurs
The National Foundation for Teaching Entrepreneurship’s BizCamp is a two-week intensive summer program for youth ages 13-18 who are interested in entrepreneurship.  At the end of the camp, students compete for cash awards to fund their businesses.  To find out more, contact:  National Foundation for Teaching Entrepreneurship, 120 Wall Street, 29th Floor, New York, NY 10005; 212-232-3333 or 800-For-NFTE; Fax: 212-232-2244; www.nfte.com

$25,000 for Minority and Women-Owned Business Enterprises
Minority and women-owned businesses can access micro loans at competitive rates, receive contract procurement and RFP announcements, assistance in accessing capital markets, SBA8(a) certification assistance, education and training, consulting and needs assessments, participate in purchasing exchanges and more.  Contact:  National Minority Business Council, 25 West 45th Street, Suite 301, New York, NY 10036; 212-997-4753; Fax: 212-997-5102; www.nmbc.org; Email: nmbc@msn.com.

Financial Assistance for Minority-Owned Businesses
A wide range of programs and services are available including: referrals to corporate buyers of minority suppliers; working capital loans as well as longer-term financing; business consulting services; educational seminars and technical assistance; certification of minority business enterprises; access to the Minority Business Information Center; an advanced management education program; business opportunity fairs and more.  Contact for more information: National Minority Supplier Development Council, 1040 Avenue of the Americas, 2nd Floor, New York, NY 10018; 212-944-2430; Fax: 212-719-9611; www.nmsdcus.org

Money for American Indian Farmers, Ranchers and Youth
This Initiative provides loans to American Indian farmers, ranchers and youth and also offers loan counseling, loan preparation and loan closing services.  Money is available for farm ownership loans, operating loans, beginning farmer and rancher loans, down payment farm ownership loans for beginning farmers and loans to socially disadvantaged farmers and ranchers.  Also available are loans to rural youth to establish and operate income-producing projects.  Contact: National Tribal Development Association, RR1, Box 694, Box Elder, MT, 59521; 800-963-0015 or 406-395-4095; Fax: 406-395-4096; www.indiancreditoutreach.com; Email: billianne@indiancreditoutreach.com.

$60 Million for Economic Empowerment Programs
Over 100 National Urban League Affiliates serve more than two million African-Americans and people of all ages and financial levels, including securing funding for entrepreneurs and small businesses. To find a NUL affiliate near you, contact:  National Urban League, Inc., 120 Wall Street, New York, NY 10005; 212-558-5300; Fax: 212-344-5332; www.nul.org; Email: info@nul.org.

$16,000 for Low and Moderate-Income Women, Minorities and Veterans
Community express loans are targeted to low- and moderate-income households and to women, minorities and/or veterans to be used exclusively for business-related purposes.  In addition, the Center offers programs and seminars that include comprehensive training for entrepreneurs at all levels of business development. Contact: National Women's Business Center, 1001 Connecticut Avenue, NW #919, Washington, DC 20036; 202-785-4922; Fax: 202-785-4110; www.womensbusinesscenter.org; Email: crystal@wbiznet.biz.

Financing for Native American Entrepreneurs
This organization offers accessible business programs, services, financing and positive business-to-business relationships, artists in business program, small business management and counseling to Indian communities.  For more details, contact: A Native American Business Network (ONABEN), 11825 SW Greenburg Road, Suite B-3, Tigard, OR 97223; 800-854-8289 or 503-968-1500; Fax: 503-968-1548; www.onaben.org; Email: selena@onaben.org.

Support for Small Business Activity in Low-Income Communities
Micro-loans and flexible financing are available for real estate and construction, working capital, equipment financing and guarantees.  For more information, contact: Structured Employment Economic Development Corporation (Seedco), 915 Broadway, 17th Floor, New York, NY 10010; 212-473-0255; Fax: 212-473-0357; www.seedco.org; Email: info@seedco.org.  

Money to Start or Expand a Business for People Receiving TANF
Program number 93.593, “Job Opportunities for Low-Income Individuals,� from the U.S. Department of Health and Human Services, offers money and training for people who are receiving Temporary Assistance for Needy Families (TANF).  Contact: U.S. Department of Health and Human Services, Temporary Assistance for Needy Families (TANF), Administration for Children and Families, Office of Family Assistance, 370 L'Enfant Promenade, SW, Washington, DC 20447; 202-401-9351; www.acf.dhhs.gov

Disadvantaged Businesses Get Money & Help to Get Government Contracts
To grow and compete in the transportation marketplace, the U.S. Department of Transportation offers a variety of programs to help small, disadvantaged and women-owned firms, including short-term lending for transportation-related projects, bonding assistance to provide opportunities to obtain bid, payment and performance bonds for transportation-related projects, and referrals to other sources of federal financial assistance.  For more information, contact: U.S. Department of Transportation, Office of Small and Disadvantaged Business Utilization, 400 7th Street, SW, Room 9410, Washington, DC 20590; 800-532-1169 or 202-366-5343; Fax: 202-366-7538; http://osdbu.dot.gov; Email: nancy.strine@dot.gov

Help for Minorities to Get Government Contracts

The NAACP's Fair Share Program helps minority small businesses get government contracts. To find out how, contact: National Association for the Advancement of Colored People (NAACP), 4805 Mt. Hope Drive, Baltimore, MD 21215;  877-NAACP-98 or 410-521-4939; www.naacp.org

Contracts for Women Business Owners
Helps women business owners receive more corporate and government contracts.  Contact: National Women Business Owners Corporation, 1001 W. Jasmine Drive, Suite G, Lake Park, FL 33403; 800-675-5066; Fax: 561-881-7364; www.nwboc.org; Email: info@nwboc.org.

Venture Capital for Women Business Owners
They offer a venture capital forum that prepares and showcases 20-25 women-led high-growth businesses to local investors along with other assistance educational programs; access to information, experts and investors needed to grow a business for alumni; and a virtual boot camp. Contact:  ; Email: info@springboardenterprises.org. Springboard Enterprises, 2100 Foxhall Road, NW, Washington, DC 20007; 202-242-6282; Fax: 202-242-6284; www.springboardenterprises.org

Find Other Funding
Remember that the SBA is just one of thousands of funding sources for business.  And sure they may have one set of standards, but everyone else will have different standards.  It’s like getting a date for the prom:  if one girl says no, it does not mean that all girls are going to tell you no.  Everyone will have different standards.  You have to keep asking around.  You may not get a date with the prom queen, but you will wind up going to the prom, and that is the important point.

To Find More Sources

No matter how much we research, we know we do not have all the sources available.  There are always more sources of money than any one person can present to you, even us.  So, below are the main places for finding programs to meet your needs. 

1) Find Federal Money Programs for Business
Look at a book called the Catalog of Federal Domestic Assistance. This book is available at your local public library or the U.S. Government Printing Office www.gpo.gov. You can also search the contents of this book for free on the web at www.cfda.gov.

2) Find State Money Programs for Business
Look for the state office of economic development located in your state capitol. You can find them by dialing 411 and asking for your state capitol operator or by going to the web at www.govengine.com and clicking on your state. Then start looking for web sites on business or economic development. Every state offers a wealth of help and information on starting a business. Some offer job training funds, export assistance, technology resources, tourism promotion, industrial revenue bonds, revolving loan funds, and more. Most have a State Business Resource Guide to assist you in your search.

3) Find Local City and County Programs for Business
Start looking at every local city and county government for programs that help businesses. They all have them. If you don’t know where to go, you can call 411 and ask for the mayor’s office or the office of the county executive. Just tell them you want to start or expand a business and want to know about any and all programs. You can also go to www.govengine.com and under each state there will be a listing of all cities and counties. Click on those of interest and search for economic development or business programs. Remember, you can start a business in any state, city or county and not live there. The people who give out the money just want your business to be there and you can commute.

4) Find Money From Non-Profit Organizations for Business
There are 4 major sources for finding money from these groups:

A. The Association for Enterprise Opportunity in Arlington, VA maintains a database of non-profit organizations that provide financial assistance to entrepreneurs. Contact them at 703-841-7760 or www.microenterpriseworks.org/nearyou/

B. The Foundation Center of New York City maintains a database of all foundations that provide money to non-profit organizations or individuals. Their information is available on the web at http://fdncenter.org or from their participating libraries by contacting 212-620-4230 or 800-424-9836.

C. The Guidestar Company in Williamsburg, VA also maintains a database of foundations and they can be reached at 757-229-4631 or www.guidestar.com. Much of their database is accessible for free on the web.

D. The Aspen Institute’s mission is to identify, develop, and disseminate microenterprise program information. To find resources near you, contact The Aspen Institute, One Dupont Circle, NW, Suite 700, Washington, DC 20036; 202-736-1071; Fax: 202-467-0790; http://fieldus.org.

Find Help With Any Part Of Starting Or Expanding A Business
The government supports over 1,000 offices all over the country called Small Business Development Centers. They will sit down with you and help tackle any problem you may be having with your business like: finding money, filling out forms, taxes, marketing, technical problems, contracting, etc. All their services are free or for very little cost. These Centers do not have money for entrepreneurs, but will know of local money sources available. For a Center near you contact 1-800-8-ASK-SBA or http://www.sba.gov/sbdc/sbdcnear.html.

Keep Trying

Wow.  You are probably tired just from reading all this, and you haven’t even started any of the real work yet.  That’s the problem with life nowadays.  It’s a lot bigger and complicated than it used to be.  When I grew up in the 50s there used to be just one place to turn to for help, and that one person seemed to know it all.  Now times have changed.  No one person knows everything anymore.  Life’s become so complex.  Even I, who have been studying money programs for over 25 years, and am likely to be the best one in the country at it, still don’t feel like I know it all.

You can’t trust a “no� answer anymore. No, just means that they don’t know anything.  It seems that success in this world goes to those who don’t take no for an answer and find a way to solve the problem no matter what the experts say.  The experts are wrong too many times to trust them completely.

It’s fun to continue to learn new sources of help and new skills for finding money. I always believe that the sources you identify this time and don’t use will be of value to you some time in the future, but you just don’t know it yet.

I hope our sources give you some help. Hang in there; it’s a big world and there are lots of sources waiting to help you, but they won’t come looking for you, you have to go looking for them.

Matthew Lesko
Entrepreneur and Best Selling Author
Information USA, Inc
www.lesko.com