U.S. Small Business Administration Programs Shivani Desai, Arizona District Office Associate District Director for Business Development

U.S. Small Business Administration n Created in 1953 n The only Federal Government Agency specifically designed to assist the small business community n Mission Statement – aid – counsel – protect – fair proportion of government contracts and sales

How We Assist Small Business n Business Development n Financial Assistance n Procurement Assistance n Office of Advocacy Business Plans

SBA’s Resource Partners n SCORE n Small Business Development Centers n Women’s Business Centers

TELEPHONE OR VISIT SCORE FOR FREE BUSINESS COUNSELING PHOENIX SCORE N. Central Avenue, #800 Phoenix EAST VALLEY SCORE: S. Alma School #4800, Mesa SCORE’s WEB SITE: ● Free Monthly Newsletter ● Counseling TUCSON SCORE E. Broadway, Tucson Prescott-Northern AZ Willow Creek Rd.#2, Prescott

SMALL BUSINESS DEVELOPMENT CENTERS “SBDC” ● Business Planning ● Training ● Loan Preparation ● Counseling Arizona has SBDC’s statewide. Visit their web site:

SBA’s Women’s Business Center in Arizona Tucson: Tucson/Pima County WBC 10 East Broadway, #210 Tucson Area: Pima County

SBA’s Web Pages n SBA Program Information: n Publications n Links n Local Information:

SBA Loan Programs n 7(a) Regular Loans n Certified Development Company Loans n Disaster Loans

SBA Loan Eligibility n For Profit n Size Standards n Type n Unable to borrow on reasonable terms

Size Standards Sales in Millions n Retail $6.0 to $21.0 n Service $2.5 to $21.5 n Construction $7.0 to $33.5 n Agriculture $.5 to $ 9.0 Number of Employees n Wholesale < 100 n Manufacturing 500 to

Type - Those Not Eligible Are... n Non-Profits n Lenders n Passive Owned Real Estate n Foreign Business n Pyramid Sales n Defaulted on a Federal Loan resulting in a loss n Religious Teaching n Sexual Materials n Speculation n Gambling n Life Insurance n Incarcerated, on probation or parole, or indicted for felony or moral crime

THREE ELEMENTS IN AN SBA GUARANTEED LOAN n Small Business Applicant n Bank n SBA

THE BUSINESS PLAN n Purpose of the Loan n History & description of the Business n Current Balance Sheet & Income Statement n Financial Statements for 3 Years n Schedule of Term Debts n Aging of A/R and Payables n Investment by Owner n Proformas n Personal Financials and Resume

Loan Terms n 7 years for working capital n years for equipment n Up to 25 years for land and building

What if I only need a What if I only need a business loan business loan between $ to between $ to $35, ? $35, ? Prestamos Small Business Lending (Counties of Maricopa, Pima, Graham, Gila, Coconino, Yavapai) PPEP Microbusiness & Housing (Counties of Cochise, Santa Cruz, Pinal,Yuma, etc.) Microbusiness Advancement Center of S. Arizona (Pima County) SBA has a MICROLOAN PROGRAM! Nonprofit Intermediaries make loans to eligible borrowers. Application is made directly to the Intermediary:

What Do These Businesses Have in Common n Staples n Federal Express n American Online n Sun Tire n Nike n Apple Computers n Outback n Teledyne n Intel

Government Procurement Assistance n Procurement Marketing & Access Network n 8(a) and SDB certifications n HUBZones n Surety Bonds n Small Business Innovation Research Grants n Procurement Center Representatives

Central Contractor Registration n is a National Internet- based database of small businesses. n A link to procurement opportunities. n An electronic search engine for contracting officers. n A marketing tool for small firms.

What are the Advantages of n One-stop procurement shop n Solicitations can be ed to those businesses with addresses listed in their profile. n It’s a dynamic system allowing participating small firms to update their own profiles

8(a) & Small Disadvantaged Business Certification 8(a) Program n Business Development Program n 9 year participation n Criteria – US Citizen – 2 Years in Business – Less than $250,000 in personal assets – Demonstrate social & economic disadvantage

HUBZone Empowerment Contracting Program n Federal Contracting Opportunities n Distressed Areas n Foster Growth n Empower Communities, create jobs, and attracts private investment

SBA Surety Bonds n Why SBA Surety Bond n SBA will guarantee % of face value n Must meet SBA Size Standards n Fees – From Surety - 23% of premium – From Contractor - $7.45 per every $1,000 of contract

Small Business Innovation Research Grants n Ten Federal Department & Agencies n Criteria – American Owned – For-Profit – R&D Program – 500 Employees n Information n Three Phase n SBA’s role – Directs implementation – Coordinate information – Review progress

How to Get Help n Arizona District Office (602) n SBA On-Line n Local Information: n SBA Answer Desk U ASK SBA

Any Questions??? Thank You!