Ask Dakota Business Lending – Issue 2
As a key resource for business owners, Dakota Business Lending wants to help you find the answers you need to reach your goals and fulfill your dreams.
That is why we are answering YOUR questions about all things financing, entrepreneurship, and small business.
This issue, let’s talk about the 5 W’s of business financing:
WHO should I reach out to?
When you are looking for financing for your business, the first person you should reach out to is your banker or other lending partner like Dakota Business Lending. Not only will they know the programs available to fit your needs, but they can walk you through the loan application and help you gather any necessary paperwork to get the process going.
WHAT can I get financing for?
There are many financing options available for a variety of business needs, ranging from land, real estate, and inventory/equipment to working capital, hiring and recruiting, and leasehold improvements. Your business size, stage, industry, and location will determine which programs you are eligible for.
WHEN should I reach out?
The earlier, the better! It is best to contact your lender and financing partner right away so you can have all parties on board from the very beginning. This allows everyone to work together to find the best financing solutions for your business needs. Whether it be a 504 loan or another financing solution, having everyone on the same page from the start will help the process to go as smooth as possible.
WHERE can I find other financing options and programs to help me?
Your banker or financing partner will be able to connect you with any other financing solutions available.
You can also access other loan and grant programs inside the Vault. This is an online comprehensive library of small business financing programs throughout the state. Just select “Find a Program” and answer a few short questions to generate a list of programs available for your specific needs.
WHY should I consider the SBA 504 loan program through Dakota Business Lending?
The SBA 504 loan program is a long-term, fixed-rate financing option that can be used to finance or refinance fixed assets such as real estate and equipment. It is administered by Certified Development Corporations (CDCs) like Dakota Business Lending and provides many advantages to small business owners. These benefits include a minimum 10% down payment, up to 25-year terms, and fixed, below-market interest rates for the life of the loan.