Frequently Asked Questions (FAQ)
- How much of my own money do I have to invest in my own business?
- Are there any special loans and grants provided by the SBA for minorities?
- Why do I need a business plan?
- Does the SBA lend money?
- How detailed should a business plan be?
- What have some SCORE clients done to launch their businesses succesfully?
1. How much of my own money do I have to invest in my own business?
It varies, and your past credit history may affect this, but most banks like to see the owners holding at
least 25 to 33% of the start-up investment.
2. Are there any special loans and grants provided by the SBA for minorities?
While the SBA does encourage banks to lend to minority businesses, the requirements and rules for borrowing
funds are the same for all applicants. The SBA does not provide any grants.
3. Why do I need a business plan?
Any lender will require it and it's easier to do the plan once then to do it for every lender. It will help
you discover other aspects of your venture that you might not have considered.
4. Does the SBA lend money?
No! The SBA offers guarantees on loans to small businesses by working with and through more then 30 banks
in the Las Vegas valley.
5. How detailed should a business plan be?
Lenders, and other readers, appreciate short concise plans. Three to four pages of text plus 5 pages of
financials does the job for many loan applicants.
6. What have some SCORE clients done to launch their businesses succesfully?
- Attend the SCORE seminar.
- Then think about your business for about 10 days.
- Schedule a first counseling session with a SCORE counselor.
- Begin writing your business plan.
- Continue meeting with your SCORE counselor until plan is finished.