In figures released by the National Women’s Business Council (NWBC) in 2007, around 8 million business were owned by women in the US. With around 12% of these employing full-time workers, the average annual revenue was just over $1 million. However, times are dramatically changing and it is thought that total revenue for women-led business has now reached $1.2 trillion. Furthermore, over half of social and healthcare assistance businesses are owned by women. There is no denying that times are changing and a part of this success has to be credited to small business loans for women.
Of course, to lead a successful business, you have to be determined, patient, dedicated, and more, but none of this matters if the finance is not there to help a business to grow. Thanks to small business loans for women, we are now seeing more women-owned businesses than ever before and the market is becoming more competitive as a result.
Why Are Business Loans Important?
Loans for a small business can be vital as they can help them to survive the dreaded first few months. A large percentage of start-ups fail early on because they do not have the financial support to continue. The Small Business Administration (SBA) have a dedicated team that support small businesses in their application for loans which are normally backed by banks, credit unions and other lenders.
How To Apply
The basics for a loan of this type are just like any other in that you will need good business and/or personal credit – via either of the three main agencies – as well as an extensive business plan(See SBA Loan Checklist). These rules are set out by the Office of Women’s Business Owners (OWBO) and although sometimes risks are taken and in fact some of the most successful businesses around were started as a risk, you are more likely to be successful if you have a foolproof, low-risk business plan.