Incubating a Food Business with Financing
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Lending. Supporting. Inspiring. Funding, Mentorship, and Visibility to Grow Your Business
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Transcript of Incubating a Food Business with Financing
Lending. Supporting. Inspiring.
Funding, Mentorship, and Visibility to Grow Your
Business
2www.accionusa.org
Access to Capital Options for Everyone
What stage are you in? What are you options?
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Your ability and willingness to pay them back!
1. Build/Repair your personal credit
2. Prepare a detailed and coherent business plan
3. Prepare your financial statements
• Profit and Loss Statements (Existing businesses)
• 12 months of financial projections (New Business)
What do lenders look for?
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Managing Credit Today: Key Strategies
• Pay on time
• Keep a healthy percentage of available credit
• Diversify your trade lines
• Be proactive in calling your creditors
• Don’t open a lot of new accounts too quickly
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Who is ACCION USA?
ACCION USA is a non-profit microlender. Since 1991, we’ve provided 20,000 entrepreneurs in the Unites States with access microloans and
financial education to start, grow, or expand their businesses- Our investments in small businesses total $120 million.
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Who do we lend to?
ACCION USA’s clients range from small home-based/incubator entrepreneurs to established storefront business owners.
--Average loan size $7,000
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ACCION USA Small Business Loan Products
• Established Businesses6 Months of Revenue & ProfitableLoan Amount: up to $50,000*
• Start-Up and Transition Businesses 6 Months of Revenue but Not Yet ProfitableLoan Amount: up to $30,000*
• Sprout Loan0-6 months of revenue with outside source of income (full or part-
time job)Loan Amount: up to $5,000
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• Loan process: 5-10 business days
• Terms up to 60 months
• ACH Monthly Payments
• Interest rates: start at 8.99% average 11.99%
• No prepayment penalties
Small Business Loan Product Specifics
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ACCION USA Prequalification Questions
Credit Score over 575
No more than $3,000 past due
No Bankruptcy in the last year
No Foreclosure in the last 2 years
No late payments on mortgage and rent in the last year
Start Up Requirements
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Sprout Loan Requirements
Less than 6 months in operation
2nd source of income from client or household member
A market study and 12-months of financial projections
Technical expertise and commitment to the business
All required licenses and permits
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Brewing the American Dream
– Restaurants & Bakeries
– Food and beverage products
– Hospitality & Tourism
– Craft Brewers
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Food Businesses we have lent to…
Black and Blanco, Sandcastle Cookies•$5,000 loan to purchase baking equipment and new packaging •Operating out of kitchen incubator•6 months in operation
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Program Benefits for Client
• Ongoing 1:1 mentorship
• Getting product to market
• Media Opportunities
• Catering
• Seasonal Product Integration
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How can a beer company boost your business?
Visit:
www.samueladams.com/btad
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How to Apply!
Apply online at www.accionusa.org/apply
Code: Sprout
Email Paper application to [email protected]
For Questions, contact Erica Dorn at 646-833-4522
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Technical Assistance Resources
• Tips on credit & money management and small business strategies at
www.accionusa.org/financialeducation
• Free Online Webinars and Community Events listed at
www.accionusa.org/workshops
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Questions?
Thank you!
