LOANS
-
Up to
$250,000
-
New or
existing businesses
-
Rates
range from Prime + 2-4%
-
Open
for partial or full repayment at any time - NO
penalty!
Apply Now by
completing a Business Plan and a Personal Financial
Statement
Typical Loan Clients
It is very difficult to define the "typical loan
client." Based on previous experience, loan clients
typically fit into two very general categories:
New Entrepreneurs
New entrepreneurs typically seek loans from the SLBDC
because they are not "bankable". Non-bankable
clients are unable to obtain any or all the funding
they require from chartered banks because they:
-
lack security
-
lack a proven track record
-
are borrowing a relatively small amount of money
($15,000.00 or less) which costs financial institutions
more to administer than they can earn in interest
-
lack a Business Plan
The best way to explain how the SLBDC meets the needs
of new entrepreneurs is to explore the process the
client goes through in an effort to obtain financing.
Typically, this type of client approaches the SLBDC
looking for business start-up information. They learn
at that time that loans are available from the SLBDC.
The SLBDC staff then works with the client and explains
the requirements in terms of completing a Business
Plan.
Subsequently, SLBDC staff aids the client by providing
feedback for improving and finalizing the business
plan. During this process, the client receives advice
in terms of the viability of the business idea documented
in the Business Plan as well as the adequacy of security
being offered for a proposed loan.
If the loan is approved, the SLBDC staff works with
the client on a continuous basis by collecting and
analyzing monthly financial statements and providing
relevant feedback to the borrower. A relationship
develops between the SLBDC staff and loan clients,
and this relationship is typically stronger when new
entrepreneurs are involved.
Existing Businesses
The "typical" existing business owner who
approaches the SLBDC is looking to take the "next
step" in the development of his or her business.
This client has usually overcome the hurdles of business
start-up and has established a viable business that
employs an average of 10 people. These entrepreneurs
are typically hard working and dedicate a large number
of hours to their business each week. However, these
businesses are still not "bankable". They
may have a lack of proven profitability and a lack
of adequate security.
Once again, the SLBDC staff works with the client
to help them come up with a viable Business Plan.
Existing business owners tend to be quite a bit different
from prospective entrepreneurs as they are seeking
information that would help them obtain financing
to grow an existing operation. These business owners
tend to be more frustrated with the chartered banks
as they feel that their past business accomplishments
should be valued and aid them in obtaining required
financing. This, however, is not usually the case.
The SLBDC staff meets the needs of this type of client
by working quickly and efficiency in order to determine
whether or not there is anything the SLBDC can do
in terms of providing a loan. If a viable Business
Plan is received and there is adequate security for
the amount requested, approval is obtained as quickly
as possible in order to ensure that the Loan Application
is not further delayed. Subsequent to the advance
of funds, the SLBDC staff works with the existing
business owner by collecting and analyzing monthly
Financial Statements.
The amount of time between requesting and advancing
a loan to existing business owners is much less than
that for new business owners as the pace of communication
between the SLBDC and these entrepreneurs is much
quicker and the recommended action is implemented
immediately. The experience of these entrepreneurs
is obvious.
For More Information regarding SLBDC Loans Contact:
Ashvin Thakkar, CGA, Business Consultant
Sarnia-Lambton Business Development Corporation
109 Durand Street
Sarnia, ON N7T 5A1
Phone: (519) 383-1371
Toll Free: 1-800-263-7047
Fax: (519) 383-8115
Email: ashvin@slbdc.com
 VISIT
OUR LIBRARY!
 The
SLBDC maintains an on-site resource library containing
hundreds of publications of interest to small
businesses on a wide range of topics
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COMPUTERS
& INTERNET ACCESS!
Computer
and Internet access is Available for business
use at NO COST in the SLBDC's computer lab!
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