Loans for minority business women and entrepreneurs may seem non-existent to some, but if you know where to go and who to talk to you will find that they are out there.
Women who are minority entrepreneurs are often at a disadvantage when it comes to having the necessary resources to start and grow a successful business. So it’s no surprise to me when I hear them say small business loans for women just don’t sound realistic. In fact, the lack of resources for women who are minority entrepreneurs was recently discussed in an article written by the multi-million dollar heiress of the Washington Post, Katherine Weymouth.
In the article, Katherine discusses the plight of minority women entrepreneurs by using Facebook Chief Operating Officer, Sheryl Sandberg’s new book, “Lean In,” as a reference. In the book ‘Lean In,” Sheryl says she is writing the book for any woman who wants to take her career to the next level.
However, most of the women who will be able to relate to what she says are women who have a choice on when and how much to work — a choice that most minority women entrepreneurs do not have. Most of the information is for women who have the financial resources and support to take them to the next level in their careers.
Katherine posed a question regarding Sheryl’s book and that question is: How do you lean in, when you don’t have someone to lean on?
Build Your Own Network
The fact of the matter is minority women entrepreneurs are going to have to build their own network of resources to “lean on,” especially if they want to obtain a small business loan.
Small business loans for women are offered through many SBA microloan programs. SBA microloans are mainly offered by local community based, nonprofit micro-lending organizations that provide up to $50,000 to entrepreneurs in disadvantaged communities. Minority women are often considered disadvantaged because they simply don’t have access to the financial resources and support needed to start and build successful businesses.
If you’re a minority woman entrepreneur and you’re in need of small business loan for women, you should definitely consider applying for an SBA microloan. An SBA microloan may be just what you need to get your business off the ground and take you career to the next level.
Consider these statistics (PDF), complied by Opportunity Fund and the Accion U.S. Network, a microloan lender who provides small business loans for women, when deciding whether or not an SBA microloan may be right for you:
- 97% of the entrepreneurs who received microloans, were still operating their business two years later as a result of obtaining the funding.
- 54% of the entrepreneurs who received microloans, were able to hire an average of 5.6 employees as result of obtaining the funding.
- 32% of the entrepreneurs who received microloans, said their revenues increased as a result of obtaining the funding and 41% said the increase in revenue met or exceeded their expectations.
With statistics like that, it sure seems that a microloan is worth considering if you are looking to grow your business.
If you’re looking for loans for minority business women, then a microloan can definitely be a step in the right direction. Check with your local SBA district office to find a microloan lender in your area and you may be glad you did.
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