Accion:

1
Accion Resources for Entrepreneurs
Mario Cardona Loan Officer
2
Overview

• ACCION Texas Who We Are
• Our History
• Our Products and Services
• Issues Business Owners Face
• Creating a Roadmap to Success
• Business and Financial Plans
• Tips for Preparing to Access Capital
• Resource Partners

3
Who We Are

• The mission of ACCION Texas is to provide credit
  and technical assistance to small businesses
  that do not have access to loans from
  commercial sources, and to provide leadership
  and service to the micro lending field on a
  national level.

A 20 year non profit that is a CHAMPION AND
SUPPORTER of small business by PROVIDING small
business LOANS and business EDUCATION.
4
Our History
Over 15,000 loans provided with over 160M
deployed in 20 years.
5
Our Products and Services

• To achieve our mission we provide
• Loans
• Microloans ranging from 500 to 50,000
• Small Business loans 50,001 to 250,000 with
  local funds and as a designated Community
  Advantage 7a lender
• SBA 504 program in Texas market
• Special Funding Programs for Veterans
• Business Education
• Business consultations business seminars (in
  house and with partners)
• Innovation
• Micro lending Management System

6
Always on your mind.
Accounting and Financial Systems
Inventory
Equipment
Insurance/Bonding/Surety
Marketing/Advertising
Expansion of Work Force
7
Creating Your Roadmap to Success
expansion execution planning strategy analysis ide
a
8
The Business Plan

• Are you purchasing an existing business,
  franchising, creating a new business or is the
  business already established?
• Introduction
• Business Description
• Management and Operations
• Products and Services
• Industry and Competition
• Customers
• Marketing and Sales Strategy
• and last, but not least

9
The Financial Plan

• Start Up Needs
• Fixed Assets
• Buildings
• Equipment
• Furniture Fixtures
• Vehicles
• Operating Capital
• Start-up payroll
• Rent utilities/deposits
• Initial Inventory
• Licenses and permits
• Working Capital

• Fixed Monthly Expenses
• Advertising
• Bank fees
• Insurance
• Payroll
• Rent
• Supplies
• Taxes
• Utilities
• Loan Payment

10
What are LENDERS looking for?
11
The Cs of Accessing Capital
Capacity Do you have the ability to repay the
loan successfully? (Debt to Income
lt50) Character What is your background,
experiences, and expertise? Is your
business related to that experience?
References are required. Credit History
What does your credit history show?
Collection? Charge Off? Bankruptcy?
Judgment? Collateral What type of assets can
you pledge to secure the loan? What
items have you purchased for your
business? Commitment and Motivation To
improve your business and improve your
credit Conditions Do you have a clearly
defined purpose of how the loan will be used
for your business? How is the industry and
economy doing? What does your
Business Plan look like?
12
Tips Preparing for Financing

• Prepare a Business Plan
• Review your credit report
• Understand your financials
• Create a sales and marketing plan
• Do market research
• Know who your target customers are
• Create an advisory group CPA,
• business attorney and banker

13
Tips Preparing for Financing cont.

• Gather Your Financials current YTD/historical
• Financial Projections start ups and young
  businesses
• Gather Current Contracts
• Gather proof of upcoming contracts
• Bank Statements (3-6 months)
• Tax Returns (1-3 years)
• DBA or Corporation Documents
• Letters of Recommendation

14
Veteran Owned Businesses

• In the last 5 years, Accion Texas has made 434
  loans to Veteran business owners, totaling
  6,339,199
• In 2014 Accion Texas has made 86 loans to Veteran
  business owners, totaling 1,185,209
• Special veteran loan funding programs may be
  available

15
Build Your Team
16
Our Differentiating Factor

• Full one stop shop for aspiring or established
  business owners. Support individuals build and
  establish their credit Serve as a stop gap
  Efficient application process Creative with
  collateral We utilize an internally designed
  risk formula No minimum credit score
  requirement Interest Rates range from 10.5
  to 18 (possibility of lower rates with different
  loan programs)

17

• Questions?

18
Mario Cardona 1-888-215-2373 ext. 1104
mcardona_at_acciontexas.org www.acciontexas.org
acciontxinc
_at_Accion_TX