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Small Business
ILLINOIS 2019-2020
resource guide
How to
Grow Your
BUSINESS
in Illinois
1
2
CONTENTS
Illinois Edition 2019-2020
Local Business Funding
Assistance Programs
8 National Success Story 26 National Success Story
Rebecca Fyffe launched Landmark Jennifer and Jeff Herbert’s
Pest Management with the help meadery has expanded into a
of the SBA-supported Women’s multimillion dollar enterprise
Business Development Center. thanks to SBA assistance.
11 Local SBA Resource 29 SBA Lenders
Partners
33 Need Financing?
15 Your Advocates
34 Go Global with
16 Write Your Business Plan International Trade
18 Entrepreneurial 36 R&D Opportunities for
Opportunities High Growth Startups
19 Opportunities for Veterans 38 National Success Story
Cheeseburger Baby owner
20 How to Start a Business Stephanie Vitori persevered
through a financial storm and a
24 Local Success Story natural disaster.
Cornelius Griggs was able to grow
his business by setting a firm 42 Surety Bonds
foundation with expert business
guidance from the SBA.
Contracting
44 National Success Story
Jennifer Rahn steers the course
for Admiral Engineering,
succeeding as a small business
subcontractor.
47 Government Contracting
48 SBA Certification
Programs
49 Woman-Owned Small
Business Certification
ON THE COVER Cornelius Griggs,
photo courtesy of the SBA
3
Let us help
give voice
to your
story.
SCOPE OF SERVICES We have all heard the phrase “content is
king.” Creating rich, engaging, and inspiring
content differentiates your brand in the
Brand Voice Catalogs marketplace. But who has time to focus on
Articles Visitor Guides anything other than running their business?
Narrative works with you to develop
Blogs Books
the tools to tell your story across all
Website Content Copywriting
media platforms. Powerful and authentic
Social Media Posts Photography storytelling helps you stand out. It inspires
Email Content Videos action. It creates an emotional impact and
Brochures forges enduring relationships. It separates
you from the competition.
To schedule a meeting or to learn more, contact
Buddy Butler at buddy@newsouthmediainc.com
or call 304.615.9884.
BY NEW SOUTH M E D I A
4
5
PUBLISHED BY
New South Media, Inc.
304.413.0104 | newsouthmedia.com
PUBLISHER
Nikki Bowman, nikki@newsouthmediainc.com
ASSOCIATE EDITORS
Pam Kasey, pam@newsouthmediainc.com
Jess Walker, jess@newsouthmediainc.com
DESIGNER
Hayley Richard, hayley@newsouthmediainc.com
OPER ATIONS MANAGER
Holly Leleux-Thubron, holly@newsouthmediainc.com
ADVERTISING SALES DIRECTOR
Heather Mills, heather@newsouthmediainc.com
ADVERTISING SALES
Kelley McGinnis, Bryson Taylor
sba@newsouthmediainc.com
Copyright: New South Media, Inc. Reproduction in part or whole is strictly prohib-
ited without the express written permission of the publisher.
© NEW SOUTH MEDIA, INC., ALL RIGHTS RESERVED
The U.S. Small Business Administration’s Office of Marketing & Customer Service directs
the publication of the Small Business Resource Guide under SBA Contract #SBAHQ-
17-C-0018. SBA publication summer 2019 national edition #mcs-0089.
WRITER/EDITOR
Becky Bosshart
(202) 205-6677
rebecca.bosshart@sba.gov
DIRECTOR OF MARKETING
Paula Panissidi Tavares
paula.tavares@sba.gov
The SBA’s participation in this publication is not an endorsement of the views,
opinions, products or services of the contractor or any advertiser or other participant
appearing here. All SBA programs and services are extended to the public on a nondis-
criminatory basis.
Directory listings do not constitute or imply an endorsement by the SBA of any
opinions, products, or services of any private individual or entity.
Printed in the United States of America.
While every reasonable effort has been made to ensure that the information con-
tained here is accurate as of the date of publication, the information is subject to
change without notice. The contractor that publishes this guide, the federal govern-
ment, or agents thereof shall not be held liable for any damages arising from the use
of or reliance on the information contained in this publication.
6
SBA Illinois District Office
500 W. Madison St., suite 1150 Springfield Office
Chicago, IL 60661 3330 Ginger Creek Road, suite B-East
(312) 353-4528 Springfield, IL 62711
Fax (312) 886-5688 (217) 793-5020 x114
@SBA_Illinois Fax (217) 793-5025
sba.gov/il
District Director Letter District Director Supervisory Business Area Counsel
W
Robert “Bo” Steiner Development Specialist John Baker
elcome to the 2019-2020 edition of the U.S. Small (312) 353-5031 Rosalyn Putman (312) 886-0833
Business Administration’s Illinois Small Business robert.steiner@sba.gov (312) 353-5037 john.baker@sba.gov
Resource Guide. Whether you’re a dreamer with rosalyn.putman@sba.gov
an idea in Chicago or a seasoned entrepreneur in Peoria, Deputy District Attorneys
the SBA Illinois District Office supports your small business Director Business Development Andrea Button-Ott
at every stage in the business lifecycle. The SBA is the only Mark Ferguson Specialists (312) 886-0704
federal agency dedicated to helping our 30 million small (312) 353-5430 Lolitha McKinney andrea.button-ott@
businesses start, grow, expand, and recover after a disaster. mark.ferguson@sba.gov (312) 353-5850 sba.gov
The Illinois district works with an extensive network of lolitha.mckinney@
Michelle Chesebro
business advisers and lenders to help Illinois’s 1.2 million Public Affairs Specialist sba.gov
(312) 353-8274
small businesses. Across our state in the last year, we Jessica Mayle
Ron Miller michelle.chesebro@
empowered small businesses to: (312) 886-0409
(312) 353-7076 sba.gov
• Find an ally, advocate or mentor at over 60 jessica.mayle@sba.gov
ronald.miller@sba.gov
locations of our SBA Resource Partners, which James Howard
Supervisory Lender Don Pellico (312) 353-4514
includes SCORE chapters, Small Business
Relations Specialist (312) 353-3962 james.howard@sba.gov
Development Centers, and Women’s Business
Robert Esquivel donald.pellico@sba.gov
Centers, all powered by the SBA. Kate O’Loughlin
(312) 353-6557
• Access over $1.1 billion in SBA-guaranteed loans (312) 353-9098
robert.esquivel@sba.gov Lead Economic
using local banks, credit unions, community-based kate.oloughlin@sba.gov
Development Specialist
lenders, and microlenders. These 2,300 businesses Lender Relations Carole Harris
that qualified for SBA financing have hired Paralegal
Specialists (312) 353-4003
thousands of new employees, bought needed Margie Pascual
Patrick Piorkowski carole.harris@sba.gov
equipment, and built or renovated facilities. (312) 353-5481
(312) 353-5060
• Gain more than $1 billion in federal contracting awards. margaret.pascual@
patrick.piorkowski@ Economic Development
Small businesses employ 2.5 million Illinois residents, or sba.gov
sba.gov Specialist
45% of all workers in the state. If you want to be your own Stephen Konkle
Charles White
boss, Illinois is a great place to launch a small business. (312) 886-4208
(217) 793-5020 x105
Stay up to date on SBA events near you and get stephen.konkle@sba.gov
charles.white@sba.gov
valuable Illinois business information by following us
Phyllis Shelton
on Twitter at @SBA_Illinois. Register for email updates Administrative Officer (312) 353-4519
at sba.gov/updates. Use our Small Business Resource Sheila Bartolomei phyllis.shelton@sba.gov
Guide to power your American dream here in Illinois. (312) 886-1022
sheila.bartolomei@ District Support
Sincerely,
sba.gov Assistant
Luz Rodriguez
District Support (312) 353-1825
Assistant luz.rodriguez@sba.gov
Robert “Bo” Steiner Lenore Rodgers
Illinois District Director (312) 353-4385 Senior Investigator
U.S. Small Business lenore.rodgers@sba.gov Counsel
Administration Mary Beth Cvengros
(312) 353-4663
mary.cvengros@sba.gov
7
LOCAL BUSINESS
ASSISTANCE
How We Did It
Made
to Last
Joyce and Jerado Reynolds used SBA
support to succeed.
Written by Micaela Morrissette
COURTESY OF SHANA SURECK PHOTOGRAPHY
8
LOCAL BUSINESS ASSISTANCE
R 5
eynolds Welding &
Tips for
Fabrication has grown
steadily, building a loyal
customer base, since
Jerado Reynolds founded
the company in 2005. Success
COURTESY OF SHANA SURECK PHOTOGRAPHY
“At first the company was just Jerado,”
recalls his wife and co-owner, Joyce
Find a great business mentor.
Reynolds. “Then it was him and me part To find your local SBA office and
time.” During the day she worked as a resource partners in your area, visit
nurse and spent her evenings doing all sba.gov/localresources.
the company’s paperwork. The Reynolds
sank everything they earned into the
business—money, time, and energy. She Have a healthy view
remembers with pride helping Jerado
of competition.
weld a stair railing at a local school. Her
We’re not always competing.
son later attended that same school,
We’re a competitor, but if a similar
and she watched her child and others business has extra work, they’ll send
SBA Resource Partner, where “from day
using the rail, benefiting from the it to us and vice versa. That’s the
one it was, Eureka! Everyone wanted
hard work the couple did together. It relationship to have.
to see us win.” Women entrepreneurs
was then Joyce decided as much as she
receive essential business counseling and
loved her day job, she wanted to devote
training from this national network of
herself full time to the family business Record everything you do.
community-based centers. Most helpful
in Windsor, Connecticut. She wanted Navigating business relationships
was the detailed personal attention
to work side-by-side with her husband, in this age means keeping an email
available through free one-on-one
fully focused on administration and record of everything you do. Leave a
business counseling. Joyce also learned
business growth. As they both hoped, clear paper trail.
about workshops offered by providers like
word of mouth spread; clients made
the Metropolitan District, a Connecticut
referrals. Joyce was soon overwhelmed
nonprofit municipal corporation offering
with paperwork. They brought on two
water and sewer services. At a meet- Sacrifice to ensure quality.
employees—doubling up in the busy We don’t cut corners. Sometimes you
and-greet, Joyce understood how much
seasons. They were able to maintain four have to lose money to do quality work—
the SBA could help her business. An
full-time employees by 2009. After this, it’s rough, but nothing is more important.
SBA professional walked Joyce through
Joyce says, they saw that “things were
the extensive paperwork and, crucially,
not moving.” She wanted to scale up.
helped her register the company in
the System for Award Management
Seek SBA assistance to
Challenge
The company wasn’t growing in part (sam.gov), positioning the company for see if you qualify for
because it wasn’t certified with the new federal contracts. business certifications.
state department of transportation or “Resources like the Entrepreneurial We used to look for jobs. Now that
prequalified with the Connecticut State Center and the SBA will train you from we’re on the SBA Subcontracting
Department of Administrative Services, bottom to top,” Joyce says. “They have Network database, SubNet, and
Joyce says. She decided to tackle the finance classes that open your eyes sam.gov, we have a continuous flow
regarding taxes. You'll learn how to of contractors reaching out to us.
certification problem full time, leaving
her nursing career. This was the change register your business. They’ll help
she'd been wanting to make, but since with a contract or your website or on two bridges—a lifelong dream. Joyce
her background was in health care, accountability statements. Everything!” continues to move forward, getting
Joyce didn’t feel fluent in the languages Before the SBA, Reynolds Welding Reynolds qualified for the SBA 8(a)
of construction or business. Joyce attempted the DOT certification on five Business Development Program, which
wanted to learn, and she had incentive: separate occasions, always falling short provides free business development
they needed the certifications to bid because the process was so complicated. education to small businesses so they
on bigger jobs. “Never be afraid to ask Joyce secured the certification with SBA can better compete in the public sector.
questions,” she says. Joyce needed to guidance on the first attempt. “When I came on full time, I set a goal
find people with answers. for what I would like for the company,
Benefit and I’ve achieved 80% of that,” Joyce
Solution Reynolds Welding now employs more says. When she secures 8(a) certification
She and Jerado connected with the than 15 workers, constructing stairs, for Reynolds, she’ll have hit all her
University of Hartford Entrepreneurial rails, structural beams, and columns objectives. Then, she admits, she’ll
Center & Women’s Business Center, an throughout the region. Jerado is working probably come up with some new ones.
9
LOCAL BUSINESS ASSISTANCE
SBA Resource Partners
No matter your industry, location, or experience, if you have a dream, the SBA is here to help you achieve it. Our SBA
Resource Partners offer mentoring, counseling, and training to help you startup and thrive at all stages of the business
life cycle. These independent organizations operating across the United States and U.S. territories are funded through SBA
cooperative agreements or grants.
SMALL BUSINESS DEVELOPMENT CENTERS
950+
Achieve your dream of business ownership and remain
competitive in an ever-changing global economy with assistance
from your local SBDC. Access free counseling and free or low-
cost training on topics like regulatory compliance, technology
Small Business development, and international trade. Find an SBDC adviser at
sba.gov/sbdc.
Development Centers
SCORE
300+
Join the ranks of other business owners who have experienced
higher revenues and increased growth thanks to SCORE, the nation’s
largest network of volunteer business mentors. Experienced
executives share real-world knowledge to fit your busy schedule.
SCORE chapters SCORE mentors are available for free as often as you need, in person,
via email or over video chat. Find a mentor at sba.gov/score.
WOMEN’S BUSINESS CENTERS
100+
Women entrepreneurs receive essential business counseling and
training from this national network of community-based centers.
Each center tailors its services to help you navigate the challenges
women often face when starting or growing a business. To learn
about SBA resources for women visit sba.gov/women.
Women’s Business
Centers
VETERANS BUSINESS OUTREACH CENTERS
20 +
Veteran and military entrepreneurs receive business training,
counseling, and referrals to other SBA Resource Partners at
a Veterans Business Outreach Center, sba.gov/vboc. Receive
procurement guidance to better compete for government
contracts. VBOCs also serve active duty service members,
Veterans Business National Guard or Reserve members, veterans of any era, and
Outreach Centers military spouses.
10LOCAL BUSINESS ASSISTANCE
Our Local SBA
Resource Partners
SBA’s Resource Partners are independent organizations funded through SBA cooperative
agreements or grants.
SCORE
Visit sba.gov/score to start working on your
business goals. Contact your local office to
schedule an appointment.
Chicago Chapter
500 W. Madison St., suite 1150
(312) 353-7724
chicago.score.org
Decatur Chapter
Millikin University
224 N. Fairview, room 108
(217) 424-6297
decatur.score.org
Fox Valley Chapter
1120 E. Diehl Road
Naperville
(630) 692-1162
foxvalley.score.org
North Cook and Lake Counties Chapter
1954 First Ave., suite 193
Highland Park
(224) 372-3432
northchicago.score.org
Peoria Chapter
403 NE Jefferson
(309) 676-0755
peoria.score.org
Quad Cities Chapter
331 W. Third St.
Davenport, IA
(309) 797-0082
quadcities.score.org
St. Louis Chapter
1222 Spruce St., suite 10.103
Arthur and Sandra Johnson, owners St. Louis, MO
of 21 Short Stop in Georgia, received
assistance from their local Small Business (866) 726-7340
Development Center and SCORE chapter. stlouis.score.org
11LOCAL BUSINESS ASSISTANCE
Women’s
Business
Centers
For your nearest Women’s Business
Center, visit sba.gov/women.
Women’s Business Development
Center Chicago
8 S. Michigan Ave., suite 400
Chicago
(312) 853-3477
wbdc@wbdc.org
WBDC Aurora
43 W. Galena Blvd.
(630) 896-3115
wbcaurora@wbdc.org
Illinois Small Business
Development Centers
Illinois SBDC State Office Champaign County EDC College of DuPage
Department of Commerce and 1817 S. Neil St., suite 100 535 Duane St.
Economic Opportunity Champaign Glen Ellyn
500 E. Monroe St. (217) 378-8535 (630) 942-2771
Springfield Don Elmore Ute Westphal
(217) 524-5700 don@cusbdc.org westphalu@cod.edu
State Director Mark A. Petrilli
mark.petrilli@illinois.gov Chicagoland Chamber of Commerce College of Lake County
410 N. Michigan Ave., suite 900 19351 W. Washington St.
Bethel New Life Chicago Grayslake
1140 N. Lamon (312) 494-6790 (847) 543-2750
Chicago Stacey Caldwell Mitch Bienvenue
(773) 473-7874 scaldwell@chicagolandchamber.org mbienvenue@clcillinois.edu
Curt Roeschley
croeschley@bethelnewlife.org Danville Area Community College Economic Strategies
141 Jobst Hall Development Corp.
Bradley University 2000 E. Main St. 1843 S. Carpenter St.
141 Jobst Hall Danville Chicago
1501 W. Bradley Ave. (217) 442-7232 (312) 733-2287
Peoria Carol L. Nichols Gabriela Perez
(309) 677-4989 sbdc@dacc.edu gperez@esdcpilsen.org
Kevin Evans
illinoissbdc@bradley.edu
12LOCAL BUSINESS ASSISTANCE
Far South CDC Lincoln Land Community College SIU-Edwardsville East St. Louis
9923 S. Halsted St. Montgomery Hall satellite office
Chicago 5250 Shepherd Road, room 1171 601 James R Thompson Blvd., building D,
(773) 941-4833 Springfield room 1017
Kathryn Jackson (217) 786-4530 (618) 482-8329
kathryn@farsouthcdc.org Kevin Lust
Starved Rock Country Alliance
sbdc@llcc.edu
Greater Englewood CDC 350 Fifth St., suite 262
815 W. 63rd St., fourth floor McHenry County College Peru
Chicago 4100 W. Shamrock Lane (844) 369-8898
(773) 651-2400 McHenry Amy Lambert
Tamora Hughes (815) 479-7677 alambert@alliancesbdc.org
thughes@gecdc.org Mark Butler
WIU-Macomb
Greater Southwest Development Corp. sbdc@mchenry.edu
305 Seal Hall
2601 W. 63rd St. 1 University Circle
Rockford Chamber of Commerce
Chicago (309) 298-3040
8500 E. State St.
(773) 436-1000 Jim Boyd
(815) 316-4301
Andrew Fogaty sb-center@wiu.edu
Mike Mastroianni
a.fogaty@greatersouthwest.org
sbdc@rockfordchamber.com WIU-Quad Cities
36 Squared satellite office 3300 River Drive, complex C, room 1420F
3636 S. Iron St. Sauk Valley Community College
173 IL Route 2 Moline
Chicago (309) 762-3999 x62243
(312) 933-6556 Dixon
(815) 835-6244 Ann Friederichs
Andrew Fogaty ae-friederichs@wiu.edu
a.fogaty@greatersouthwest.org Stacy McCaskill
stacy.m.mccaskill@svcc.edu Waubonsee Community College
Harper College
18 S. River St., room 268
650 E. Higgins Road, suite 18N Shawnee Community College
Aurora
Schaumburg 8364 Shawnee College Road
(630) 906-4143
(847) 925-6570 Ullin
Harriet Parker
Tom Cassell (618) 634-3231
hparker@waubonsee.edu
tcassell@harpercollege.edu Brett Whitnel
brettw@shawneecc.edu Women’s Business Development Center
Illinois Hispanic Chamber of Commerce
8 S. Michigan Ave., suite 400
222 Merchandise Mart, suite 1212 Southeastern Illinois College
Chicago
Chicago 3575 College Road
(312) 853-3477
(312) 425-9500 Harrisburg
Maura Mitchell
Silvia Bonilla (618) 252-5001
mmitchell@wbdc.org
sbdc@ihccbusiness.net Lori Cox
Illinois Wesleyan University lori.cox@sic.edu Women’s Business Development Center
State Farm Hall 354 South Suburbs
South Suburban Economic 4137 Sauk Trail
1402 Park St.
Growth Initiative Richton Park
Bloomington
1920 W. 174th St. (312) 853-3477
(309) 556-3490
East Hazel Crest Tasha Brown
Karen Bussone
(708) 232-3161 tbrown@wbdc.org
kbussone@iwu.edu
Vicki Brown
Industrial Council of NW Chicago vicki.brown@southlandsbdc.com Little Village Chamber of Commerce
320 N. Damen Ave., suite 100 3610 W. 26th St.
Chicago SIU-Carbondale Chicago
(312) 433-2373 1740 Innovation Drive (312) 853-3477
Merly Thomas (618) 536-2424 Blanca Berthier
merly@industrialcouncil.com Greg Bouhl bberthier@wbdc.org
sbdc@siu.edu
Joseph Business School YWCA Metro Chicago
7600 W. Roosevelt Road SIU-Edwardsville 6600 S. Cottage Grove
Forest Park Alumni Hall 2126 Chicago
(708) 697-6234 (618) 650-2929 (773) 496-5659 x2659
Melissa Brown Jo Ann Di Maggio May Vince Williams
mbrown@livingwd.org gdimagg@siue.edu vincent.williams@ywcachicago.org
13LOCAL BUSINESS ASSISTANCE
Export-Import Bank
International Export Midwest Regional Director Michael Howard
(312) 353-8093
Trade Assistance michael.howard@exim.gov
SBA Acting Director International Trade
Centers Illinois State Trade and
Export Promotion
Finance
Patrick Hayes
Bradley University Director Margo Markopoulos (216) 522-4731
1501 W. Bradley Ave. (312) 814-3116 patrick.hayes@sba.gov
141 Jobst Hall margo.markopoulos@illinois.gov
Peoria
Peoria
U.S. Commercial Service
(309) 677-3471
Jim Foley U.S. Export Office Director & International Trade
Specialist
illinoissbdcitc@bradley.edu
Champaign County
Assistance Elizabeth Ahern
141 Jobst Hall
1817 S. Neil St., suite 100
Champaign
Centers 1501 W. Bradley Ave.
(309) 671-7815
(217) 378-8535 Chicago elizabeth.ahern@trade.gov
Mariel Huasanga U.S. Commercial Service
Mariel@cusbdc.org Office Director Hovan Asdourian
(312) 886-8094
College of DuPage
hovan.asdourian@trade.gov
535 Duane St.
Glen Ellyn
(630) 942-3041
Jean Lin
lini@cod.edu
Industrial Council of NW Chicago
320 N. Damen Ave., suite 100
Chicago
(312) 433-7656
Lauro Arias
lauro@industrialcouncil.com
Joseph Business School
7600 W. Roosevelt Road
Forest Park
(708) 697-6289
Brian Butler
bbutler@jbs.edu
College of Lake County O'Connor Belting, a Delaware
19351 W. Washington St. family-owned business,
expanded with the help of an
Grayslake SBA-guaranteed 7(a) loan.
(847) 543-2306
Kevin Kim
jkim16@clcillinois.edu
Veterans Business
SIU-Edwardsville
Alumni Hall 2126
(618) 650-2452
Outreach Centers
Veteran entrepreneurs or small business owners can receive business training,
Silvia Torres Bowman counseling and mentoring, and referrals to other SBA Resource Partners at a Veterans
sitorre@siue.edu Business Outreach Center, sba.gov/vboc. This is also the place to receive procurement
WIU-Quad Cities guidance, which can help your business better compete for government contracts.
3300 Riverfront, building C, 1420H Wisconsin Women’s Business Veterans Business Resource Center
Moline Initiative Corp. (314) 531-8387
(309) 762-3999 x62243 (414) 263-5450 vetbiz.com
Ann Friederichs wwbic.com
ae-friederichs@wiu.edu
14LOCAL BUSINESS ASSISTANCE
Your To report how a proposed federal
regulation could unfairly affect you,
Advocates
find your regional SBA advocate at
sba.gov/advocacy.
To submit a comment about how
your business has been hurt by an
existing regulation, visit
The SBA’s offices of advocacy and ombudsman are sba.gov/ombudsman/comments
independent voices for small business within the
federal government.
Advocacy
When you need a voice within the federal »» when you need economic and small »» seek remedies when rules are
government for your interests as a small business statistics inconsistently applied
business owner, the SBA’s regional advocates The SBA’s Office of Advocacy also »» recover payment for services done by
are here to assist. The advocates analyze the independently represents small business and government contractors
effects of proposed regulations and consider advances its concerns before Congress, the
alternatives that minimize the economic White House, federal agencies, federal courts, Make your voice heard by participating in a
burden on small businesses, governmental and state policy makers. Regional Regulatory Enforcement Fairness
jurisdictions, and nonprofits. Find your Roundtable or a public hearing hosted by the
regional advocate at sba.gov/advocacy. Ombudsman SBA’s national ombudsman. These events
Entrepreneurs who have an issue with an are posted periodically on the ombudsman
Your advocate helps with these small
existing federal regulation or policy can website, sba.gov/ombudsman.
business issues:
receive assistance from the SBA’s national To submit a comment or complaint through
»» if your business could be negatively ombudsman. the online form, visit sba.gov/ombudsman/
affected by regulations proposed by the comments. Your concerns will be directed to
The ombudsman’s office helps you:
government the appropriate federal agency for review. The
»» if you have contracting issues with a »» resolve regulatory disputes with federal SBA will collaborate with you and the agency
agencies to help resolve the issue.
federal agency
»» reduce unfair penalties and fines
15LOCAL BUSINESS ASSISTANCE
Write your
Business Plan
Your business plan is the foundation of your business. Learn how to write a business plan with the help
of an SBA Resource Partner.
TRADITIONAL BUSINESS
PLAN FORMAT
When you write your business plan, you don’t have to stick to the
exact business plan template. Instead, use the sections that make
the most sense for your business and your needs.
Executive Summary
Briefly summarize your company and why it will be successful.
Include your mission statement, your product or service, and basic
information about your company’s leadership team, employees,
and location. You should also include financial information and
high-level growth plans if you plan to ask for financing.
Company Description
Go into detail about the problems your business solves. Be specific
as to audience and location. List out the consumers, organizations,
or businesses your company plans to serve.
Explain the competitive advantages you have that will make your
business successful. Are there experts on your team? Have you found
the perfect location? Your company description is the place to boast
about your strengths.
Market Analysis
Demonstrate a solid understanding of your industry outlook and tar-
get market. This is where it pays to partner with an experienced busi-
ness counselor from your local Small Business Development Center,
SCORE, Women's Business Center, or Veterans Business Outreach
Center—all these SBA Resource Partners provide free or low-cost
business assistance. Competitive research will show what other busi-
nesses are doing and their strengths. In your market research, look for
trends and themes. What do successful competitors do? Why does it
work? Can you do it better? Now's the time to answer these questions.
Business plans help you run your business.
A good business plan guides you through managing your business. Organization and Management
You’ll use your business plan as a roadmap for how to structure, run, Explain how your com-
and grow your new business. pany will be structured
Business plans can help you get funding or bring on new and who will run it.
business partners. Investors want to see a return on their Describe the legal Want to see an
structure of your busi-
investment. Your business plan is the tool you’ll use to convince
people that working with you—or investing in your company—is ness. State whether you
example of a
a smart investment. Brain storm with a business counselor (visit have or intend to incor- business plan?
one of our SBA Resource Partners detailed on page 8) and write porate your business as View examples of business plans
a traditional business plan, which uses a standard structure a C or an S corporation,
at sba.gov/business-guide/plan/
and detailed sections. Once you've got it all down, you can then form a general or limited
write-your-business-
condense it to a lean startup business plan, which typically partnership, or if you're a
plan-template
contains key points on only one page. sole proprietor or limited
liability company.
16LOCAL BUSINESS ASSISTANCE
TRADITIONAL BUSINESS PLAN CHECKLIST
LEAN STARTUP PLAN FORMAT
Write a lean startup plan if requested from an investor, or if your
❒ Executive summary business is relatively simple or you plan to regularly change and
refine as you go.
❒ Company description
Lean startup plans use more visual organization tools and only a
❒ Market analysis handful of elements to describe your company’s value proposition,
❒ Organization and management infrastructure, customers, and finances. They’re useful for visualiz-
ing your company's fundamental facts. Your business counselor can
❒ Service or product line
help you edit down into the Business Model Canvas, used here—the
❒ Marketing and sales most well known style, or another lean startup template.
❒ Funding request Key Partnerships
❒ Financial projections Note the other businesses you’ll work with--suppliers, manufactur-
ers, subcontractors, and similar strategic partners.
❒ Appendix
Key Activities
List the ways your business will gain a competitive advantage.
Use an organizational chart to show the hierarchy. Explain how
Will you sell direct to consumers or use technology to tap into the
each person’s experience will contribute to the success of your
sharing economy?
venture. Consider including CVs of key members.
Key Resources
Service or Product Line
List resources you’ll leverage to create value for your customer.
Describe what you sell or what service you offer. Explain how it ben-
Your most important assets include staff, capital, or intellectual
efits your customers and the product lifecycle. Share your plans for
property. Leverage business resources that might be available
intellectual property, like copyright or patent filings. If you're doing
to women, veterans, Native Americans, and HUBZone–certified
research and development for your service or product, explain it.
businesses.
Marketing and Sales
Value Proposition
Your marketing strategy should evolve and change to fit your needs
Make a clear and compelling statement about the unique value
in each context.
your company brings to the market.
Describe how you'll attract and retain customers. Show how a
sale will actually happen. You'll refer to this section later when you Customer Relationships
make financial projections, so be thorough. Describe how customers will interact with your business. Think
through the customer experience from start to finish. Is it auto-
Funding Request
mated or personal? In person or online?
If you're asking for funding, outline your funding requirements.
Specify whether you want debt or equity and the terms you'd like. Customer Segments
Your goal is to clearly explain how much funding you’ll need over Name your target market. Your business won’t be for everybody;
the next five years and how the investment will be used. it’s important to have a clear sense of who you serve.
Specify if you need funds to buy equipment or materials, pay Channels
salaries, or cover specific bills until revenue increases. Explain how List the most important ways you’ll talk to your customers.
you'll pay off the debt.
Cost Structure
Financial Projections Will your company focus on reducing cost or maximizing value?
Supplement your funding request with a prospective financial Define your strategy, then list the most significant costs you’ll face.
outlook for the next five years. Show how your business will be a
Revenue Streams
financial success.
Explain how your company makes money: direct sales, member-
If your business is already established, include income state-
ships fees, selling advertising space? If your company has multiple
ments, balance sheets, and cash flow statements for the last three to
revenue streams, list them all.
five years. List collateral you could put against a loan.
Include forecasted income statements, balance sheets, cash
flow statements, and capital expenditure budgets. For the first
year, be even more specific and use quarterly—or even monthly
—projections. Make sure to clearly explain your projections and LEAN STARTUP PLAN CHECKLIST
match them to your funding requests. ❒ Key partnerships ❒ Customer segments
Use visual organization tools--graphs and charts—to tell your
❒ Key activities ❒ Channels
business's financial story.
❒ Key resources ❒ Cost structure
Appendix
Here you'll attach supporting documents or other requested ❒ Value proposition ❒ Revenue streams
materials. Common items to include are credit histories, CVs, ❒ Customer relationships
product pictures, letters of reference, licenses, permits, patents,
legal documents, and other contracts.
17LOCAL BUSINESS ASSISTANCE
Entrepreneurial
Opportunities
Regional Innovation Clusters
Create jobs and grow the economy through an SBA Regional
Innovation Cluster. Online Resources
Find free short courses and learning
Who should join
Small businesses driving innovation in one of these tech industries: tools to start and grow your small
• advanced composites business at sba.gov/learning. The
free SBA Online Learning Center is a
• agTech
great resource for every entrepreneur,
• bioscience
especially rural business owners looking
• food processing
for easy access to vital business training.
• data sciences
• medical sciences Courses include:
• power and energy • writing your business plan
• unmanned aerial systems • buying a business
• water tech • financing options
• wood products • digital and traditional marketing to win customers
• disaster recovery
How it works
• understanding your customer
Each industry cluster is based in a geographic region. Your small
business must be located in or near that region in order to join the
cluster. For example, the AgLaunch Initiative cluster, which focuses
on agricultural technology, is located in the Tennessee area. A
small agTech business in or near Tennessee will connect with
other agTech suppliers, service providers, and related institutions
through that innovation cluster.
Native American
Workshops
How it benefits you
Network with other industry innovators and connect with
resources that will help your small business find funding. You’ll
Tribal enterprises and business organizations
also receive guidance on how to better compete for government
contracts and other opportunities so you can grow and expand. can receive training at an SBA Entrepreneurial
Receive free technical and legal assistance to develop your tech Empowerment Workshop. These workshops
and get it to market for government and industry buyers. cover business concepts important for starting,
Get involved growing, or expanding a small business. RedWind
Find an SBA Regional Innovation Cluster near you by visiting instructors identify and help participants avoid
sba.gov/localassistance. Select the regional innovation clusters common pitfalls. Learn how to prepare a business
on the drop-down menu.
plan, gain access to capital, and basic book
keeping. Request a workshop in your area by
visiting nativesmallbusiness.org.
18LOCAL BUSINESS ASSISTANCE
Need financing?
Loan Fee Relief
To encourage lending to members of the
military community who want to start
or grow their business, the SBA reduces
upfront guarantee fees on select loans. That
means the cost savings will be passed down
to you, the eligible veteran or qualifying
COURTESY OF LIFEHEALTH
military member. Ask your local SBA district
office or SBA Lender about the Veterans
Advantage program.
Have an employee who was called to
active duty?
You may receive funds that enable your
business to meet ordinary and necessary
HOW THE SBA HELPED US SUCCEED operating expenses when an essential
Margot Adam Langstaff, left, and Elisa Hamill, right, sought assistance from their employee is called up to active duty in the
local Veterans Business Outreach Center, which helped them better compete for military reserve. Ask your local SBA district
government contracts. LifeHealth of Littleton, CO has expanded to more than 30 office or SBA Lender about the Military
states with offices in Washington, DC and San Antonio, TX. Their clients include the Reservist Economic Injury Disaster Loan.
Department of Defense, the National Guard, and the Indian Health Service. They
also expanded their business using an SBA-backed line of credit for $350,000. Margot Interested in contracting?
started her career as an Army medic, eventually running one of the largest outpatient Veteran-owned and service-disabled
clinics in the Northeast at Ft. Devens, MA. veteran-owned small businesses interested
in federal contracting receive training from
Opportunities
the Veteran Institute for Procurement,
which offers a platform with three
training programs to assist veterans. Visit
for Veterans nationalvip.org.
VIP Start
Members of the military community can start and grow their small Enter the federal market and become ready
for procurement. Nearly 200 veteran-owned
businesses with the help of SBA programs.
businesses from 29 states plus Washington,
Need entrepreneurship training? For women veterans DC have graduated from the program.
In Boots to Business, you explore Receive entrepreneurial training geared VIP Grow
business ownership and other self- toward women veterans, service members, Strategize to expand and operate within
employment opportunities while learning and spouses of service members through the federal marketplace. More than 700
key business concepts. You will walk away these SBA-funded programs: veteran-owned businesses from 42 states
with an overview of entrepreneurship plus DC and Guam have graduated from
»» Veteran Women Igniting the Spirit of
and applicable business ownership this program.
Entrepreneurship in Syracuse, New York
fundamentals, including how to access
»» LiftFund in San Antonio, Texas VIP International
startup capital using SBA resources.
Enter or expand your federal and commercial
Boots to Business is conducted on all
For service-disabled veterans contracting opportunities overseas.
military installations as part of the
Learn how to start and grow a small business
Department of Defense’s Transition Get certified
using these SBA-funded programs:
Assistance Program. Learn about the service-disabled veteran-
»» Entrepreneurship Bootcamp for Veterans owned small business certification program
Who’s eligible? with Disabilities in Syracuse, New York on page 49.
Service members transitioning out of
»» Veterans Entrepreneurship Program at For more assistance
active duty and military spouses.
the Riata Center for Entrepreneurship,
Are you a veteran or member of Veteran and military entrepreneurs
Spears School of Business, Oklahoma
the National Guard or Reserve or a receive business training, counseling, and
State University in Stillwater, Oklahoma
military spouse? Boots to Business: referrals to other SBA Resource Partners
Reboot teaches this entrepreneurship »» Veteran Entrepreneurship Jumpstart at at a Veterans Business Outreach Center,
curriculum off base and in local St. Joseph’s University in Philadelphia, sba.gov/vboc. For veterans business
communities. Register for either B2B Pennsylvania information visit sba.gov/veterans.
program at https://sbavets.force.com. »» Dog Tag Inc., affiliated with Georgetown
University in Washington, DC
19LOCAL BUSINESS ASSISTANCE
COURTESY OF THE SBA
Adriana Medina, owner of
Fuerte Fitness, in Seattle, WA,
received counseling from a
SCORE mentor and a Women's
Business Center adviser.
How to Start a Business
in Illinois
Thinking of starting a business? Here are the nuts & bolts.
https://cbb.census.gov/sbe. Filter your
The Startup Logistics Name Registration
search by business type and location to
Even if you’re running a home-based Register your business name with the
view data on your potential customers,
business, you will have to comply county clerk where your business is
including consumer spending, and a
with many local, state, and federal located. If you’re a corporation, also
summary of existing businesses, available
regulations. Do not ignore regulatory register with the state. When the business
as a map and a report.
details. You may avoid some red tape name is different from the owner’s full
in the beginning, but your lack of legal name(s), the “Assumed Name Act”
compliance could become an obstacle
Business License & Zoning requires sole proprietorships and general
Licenses are typically administered by a
as your business grows. Taking the time partnerships to register the business
variety of state and local departments.
to research regulations is as important name with their county clerk’s office.
It is important to consider zoning
as knowing your market. Carefully
regulations when choosing a site for your
investigate the laws affecting your Taxes
business. Contact the local business
industry. Being out of compliance could As a business owner, you should know
license office where you plan to locate
leave you unprotected legally, lead to your federal tax responsibilities and make
your business. You may not be permitted
expensive penalties, and jeopardize some business decisions to comply with
to conduct business out of your home
your business. certain tax requirements. The IRS Small
or engage in industrial activity in a Business and Self-Employed Tax Center,
retail district. Learn more about Illinois
Market Research go.usa.gov/xPxYR, offers information on
business registrations, licenses, and
Need to do research on your clients and a variety of topics including: obtaining an
permits at: https://www2.illinois.gov/
location? View consumer and business Employer Identification Number, paying
business/registration-licenses-permits
data for your area using the Census and filing income tax, virtual workshops,
Business Builder: Small Business Edition, forms, and publications.
20LOCAL BUSINESS ASSISTANCE
COURTESY OF THE SBA
An O’Fallon Casting Inc. employee at
work in O’Fallon, MO. Owner Vince
Gimeno grew his business thanks to
expert SBA business counseling.
As the IRS continues to implement some Peoria Marion
of the Tax Cuts and Jobs Act provisions, your 2415 W. Cornerstone Court 2309 W. Main St., suite 114
tax obligations may change. Visit the Tax (309) 621-7273 (618) 993-7650
Reform Provisions that Affect Businesses Quincy Rockford
page on irs.gov for the latest tax reform 3701 E. Lake Centre Drive 200 S. Wyman St.
updates that affect your bottom line. (217) 224-8208 (815) 987-5210
»» IRS Tax Assistance Centers Rockford Springfield
To make an appointment at any center,
4920 E. State St. Willard Ice Building
call (844) 545-5640.
(779) 500-6808 101 W. Jefferson St.
Bloomington (800) 732-8866 or (217) 782-3336
Schiller Park
301 S. Prospect Road
5100 River Road
(309) 556-5196
(847) 737-6688
Social Security
If you have any employees, including
Champaign
Springfield officers of a corporation but not the
310 W. Church St.
3101 Constitution Drive sole proprietor or partners, you must
(217) 398-5210
(217) 993-6783 make periodic payments, and/or file
Chicago »» State Taxes quarterly reports about payroll taxes
230 S. Dearborn St. and other mandatory deductions.
revenue.state.il.us/businesses
(312) 292-4912 You can contact the IRS or the Social
Chicago
Decatur Security Administration for information,
James R. Thompson Center-
306 W. Eldorado assistance, and forms, at (800) 772-1213
concourse level
(217) 619-7459 or visit socialsecurity.gov/employer.
100 W. Randolph St.
You can file W-2s online or verify job
Downers Grove (800) 732-8866
seekers through the Social Security
2001 Butterfield Road Des Plaines Number Verification Service.
(630) 493-5291 Maine North Regional Building
Fairview Heights 9511 Harrison Ave. Employment Eligibility
380 Fountain Office Court (847) 294-4200 Verification
(618) 589-7399 The Federal Immigration Reform and
Fairview Heights
Orland Park 15 Executive Drive, suite 2 Control Act of 1986 requires employers
14479 John Humphrey Drive (618) 624-6773 to verify employment eligibility of new
(708) 873-8310 employees. The law obligates an
21LOCAL BUSINESS ASSISTANCE
employer to process Employment Eligibility
Verification Form I-9. The U.S. Citizenship
and Immigration Service offers information
and assistance through uscis.gov/i-9-
central. For forms call (800) 870-3676. For
the employer hotline call (888) 464-4218 or
email I-9central@dhs.gov.
E-Verify, operated by the Department
of Homeland Security in partnership
with the Social Security Administration,
electronically verifies the Social Security
COURTESY OF THE SBA
number and employment eligibility
information reported on Form I-9. It’s the
quickest way for employers to determine Reeves Clippard used the business
the employment eligibility of new hires. knowledge he acquired in the SBA
Visit e-verify.gov, call (888) 464-4218 or Emerging Leaders program to grow
A/R Solar in Seattle, WA.
email e-verify@dhs.gov.
Health & Safety For health insurance options, call the Small Child Support
All businesses with employees are required Business Health Options Program at (800) Employers are essential to the success
to comply with state and federal regulations 706-7893 or visit healthcare.gov/small- of the child support program and are
regarding the protection of employees, visit businesses/employers. responsible for collecting 75% of support
dol.gov for information. The Occupational Department of Labor Association Health nationwide through payroll deductions.
Safety and Health Administration provides Plans allow small businesses, including The Office of Child Support Enforcement
information on the specific health self- employed workers, to band together by at Health and Human Services offers
and safety standards used by the U.S. geography or industry to obtain healthcare employers step-by-step instructions
Department of Labor. Call (800) 321-6742 or coverage as if they were a single large for processing income withholding
visit osha.gov. employer. For information, visit dol.gov/ orders for child support. Download the
The Illinois Department of Labor general/topic/association-health-plans. fact sheet about the Employer’s Role
promotes and protects the rights, wages,
in the Child Support Program at the
welfare, working conditions, safety and Environmental Office of Child Support Enforcement’s
health of Illinois workers through the Regulations website at acf.hhs.gov/programs/css >
administration and enforcement of more State assistance is available for employer responsibilities. You can also
than 20 labor and safety laws. small businesses that must comply find information about other employer
»» Chicago with environmental regulations responsibilities and tools that can make
Michael A. Bilandic Building under the Clean Air Act. State Small meeting those responsibilities easier,
160 N. LaSalle, 13th floor Business Environmental Assistance such as electronic income withholding
(312) 793-2800 programs provide free and confidential orders and the Child Support Portal.
assistance to help small business Send questions to employerservices@
Marion
owners understand and comply with acf.hhs.gov.
Regional Office Building
complex environmental regulations and
2309 W. Main St.
(618) 993-7090
permitting requirements. These state Intellectual Property
programs can help businesses reduce Patents, trademarks, and copyrights are
Springfield emissions at the source, often reducing types of intellectual property that serve
900 S. Spring St. regulatory burden and saving you money. to protect creations and innovations.
(217) 782-6206 To learn more about these free services The United States Patent and Trademark
The Illinois On-Site Safety and Health visit nationalsbeap.org/states/list. Office is the federal agency that grants
Consultation Program helps Illinois U.S. patents and registers trademarks.
businesses meet the federal OSHA Accessibility and For information and resources about
health and safety regulations. For a free ADA Compliance U.S. patents and federally registered
consultation for your small to medium sized For assistance with the Americans with trademarks consult uspto.gov. Call the
businesses, visit illinois.gov/idol/laws- Disabilities Act, call the ADA Center at (800) patent and trademark office help center
rules/safety. 949-4232 or the Department of Justice at at (800) 786-9199 or visit the Elijah J.
(800) 514-0301. Direct questions about McCoy Midwest Regional Office in Detroit,
Employee Insurance accessible design and the ADA standards Michigan, uspto.gov/detroit.
Check with your state laws to see if you are to the U.S. Access Board at (800) 872-2253, A patent for an invention is the grant
required to provide unemployment or workers’ TTY (800) 993-2822, ta@access-board.gov of a property right to an inventor, issued
compensation insurance for your employees. or visit access-board.gov. by the U.S. patent office. The right
22LOCAL BUSINESS ASSISTANCE
conferred by the patent grant is the from those of others and to indicate the
right to exclude others from making, source of the goods/services. Trademarks Economic
using, offering for sale, or selling
the invention in the United States
and service marks may be registered
at both the state and federal level. The
Development
Businesses and entrepreneurs can receive
or importing the invention into the U.S. Patent and Trademark Office only
assistance through programs and services
country. For information visit uspto. registers federal trademarks and service
offered by the Illinois Department of
gov/inventors. marks. Federally registered trademarks
Commerce and Economic Opportunity,
There are three types of patents: may conflict with and supersede those
illinois.gov/dceo. If you’re looking to
• Utility patents may be granted to registered only at the state level. Visit
locate or expand in Illinois, check out the
anyone who invents or discovers any uspto.gov/trademarks.
Enterprise Zone and High Impact Business
new and useful process, machine, Copyrights protect original works of
designations, tax increment financing, and
manufacture, or composition of authorship including literary, dramatic,
other recruitment and training resources.
matter, or any new and useful musical and artistic, and certain other
Innovators and minority entrepreneurs
improvement. intellectual works. Copyrights do not
also can receive business assistance.
• Design patents may be granted to protect facts, ideas, and systems,
anyone who invents a new, original, although they may protect the way they 100 W. Randolph St., suite 3-400
and ornamental design for an article are expressed. Chicago
of manufacture. For general information contact: (312) 814-7179
• Plant patents may be granted to TTY (800) 785-6055
»» U.S. Copyright Office
anyone who invents or discovers and 500 E. Monroe St.
U.S. Library of Congress
asexually reproduces any distinct and Springfield
James Madison
new variety of plant, other than a tuber (217) 782-7500
Memorial Building
propagated plant or a plant found in 101 Independence Ave. Southeast
an uncultivated state. Washington, DC
A trademark or service mark includes (202) 707-3000 or toll free (877) 476-0778
any word, name, symbol, device, or copyright.gov
any combination, used or intended to
be used to identify and distinguish the
goods/services of one seller or provider
23local success story
Cornelius
Griggs
PRESIDENT/CEO, GMA CONSTRUC TION GROUP
Chicago, IL
Cornelius Griggs starts • What challenge did you have? I launched GMA Construction Group in 2009 out
every building project with of a home office, but I’ve always had big goals focused on full-service contracting
a preconstruction phase and community service. I have a military background, so I needed business training
that lays the foundation for to excel in one of America’s greatest cities for construction and growth. Once we
successful completion— firmly established ourselves in Chicago, I also needed to secure financing to grow.
on budget, on time, with Traditional lenders are not always receptive to new entrepreneurs.
added value. He duplicated
this idea and discipline in his • What was the SBA solution? I graduated from the SBA Emerging Leaders program in
business growth, setting a firm 2016 after receiving business training and networking opportunities that really accel-
foundation with expert business erated the growth of my small business. I feel like Emerging Leaders contributed to
guidance from the SBA.
making me a force for good in my community, in addition to giving me seven months
Cornelius, a military veteran
to develop a strategic growth plan for GMA.
and Army Commendation
When I needed financing assistance for business growth, I worked with an expe-
Medal recipient, grew up
in Chicago’s west side
rienced SBA Lender to secure two SBA-backed 7(a) loans. The SBA guarantees loans
neighborhoods as a ward of made by lending institutions to small business that would not otherwise be able
the state. That experience to obtain financing. These loans in 2016 and 2017 allowed the company to upgrade
continues to drive his efforts software and office space. I also used the funds to create jobs and build my workforce.
to make a difference in I hired project-specific personnel and invested in training resources to comply with
underserved communities. industry standards.
Cornelius understands the
importance of providing • What benefit did this have for you? Today, GMA provides construction and design-
opportunities for minorities, build services in several sectors, including education, health care, and affordable
women, and veteran business
housing. We occupy a 5,000-square-foot office in Chicago’s Bridgeport neighborhood
owners. He is committed to
and have more than 80 employees.
achieving the highest levels
My dream came full circle when I was able to then give back to my community in
of minority participation
on projects.
the form of professional skills development. We established the Create Program in
partnership with a local school to encourage student interest in engineering careers
through mentorship, classroom studies, and hands-on industry experience. I’m also the
chairman of a local college’s construction management program. I’m proud to say that
over 100 students have graduated from this program and 15 have been hired at GMA.
24When I needed
financing assistance
for business growth,
I worked with an
experienced SBA
Lender to secure two
SBA-backed 7(a) loans.”
Cornelius Griggs
COURTESY OF THE SBA
President/CEO, GMA Construction Group
25FUNDING PROGRAMS
Financing Your Small Business
How We Did It
Crafting a
Business
SBA-backed financing helped Superstition Meadery expand
into a multimillion dollar enterprise.
written by Becky Bosshart
COURTESY OF SUPERSTITION MEADERY
26FUNDING PROGRAMS
J
ennifer and Jeff Herbert’s Solution
home-based brewing has Thanks to guidance from an SBA
expanded into a global, Resource Partner, the Small Business
multimillion dollar Development Center at Yavapai
enterprise thanks to SBA Community College, Jennifer and Jeff
assistance. Using Arizona honey and learned about financing that worked
5
ingredients they’ve sourced from for them. The SBA guarantees loans
around the world (such as Tahitian made by lending institutions to small
Tips for
vanilla and Moroccan saffron), the business that would not otherwise be
Herberts are selling nearly 30,000 able to obtain financing. Their small
Success
gallons annually of their honey-based business qualified for two SBA-backed
fermented beverage. They operate a loans totaling more than $600,000. The
downtown Prescott, Arizona tasting Herberts’ first SBA-backed loan allowed
room and state-of-the-art production them to acquire commercial property to
facility, creating jobs and building design and build their mead production Get guidance.
a local craft industry. The Herberts, facility. Their second SBA-backed loan Develop a working relationship with
founding members of the American provided the funding for professional an SBA Resource Partner (see page 8)
Mead Makers Association, have brewing equipment to complete their to help you find the funding that works
traveled around the world hosting 7,450-square-foot production space. The best for you.
pairing events and pouring at craft Herberts recently purchased a historic
beverage festivals. building in downtown Phoenix, Arizona
to open a mead-pairing restaurant. Define your lending needs.
Challenge
Determine if a loan is right for you. Is
The Herberts wanted to scale up their Benefit
this the right time? How much do you
meadery while also staying true to The Herberts started with two
need? What are you going to use it for?
their values of quality ingredients and employees and now have over 20
craft process. It is often difficult for producing 29,000 gallons this year.
new entrepreneurs or unique concepts From a homegrown setup, Jennifer and
Talk to multiple lenders.
like a meadery to get traditional Jeff are now charting revenue in excess
See who best matches you and your
financing, even though they knew of $2.6 million and distributing to 37
business. Has the lender successfully
they had a great idea, the backing states, across Europe and Southeast
worked with other businesses in
wasn’t there to expand. They say that Asia. They have plans for another your industry?
choosing to do something new breaks expansion, including a shipping
the mold, which can be uncomfortable warehouse to manage their online retail
for traditional lenders. and wholesale orders.
Check all options.
Consult with your lender to see if
you’re eligible for SBA financing
programs, determined by your
industry & experience; collateral;
credit score; and the relationship &
transparency you develop with the
lending agent.
Be ready for the ups
and downs.
Your entrepreneurial endeavor will
be a roller coaster ride filled with
challenges and successes. The path
is all consuming so make sure that
COURTESY OF SUPERSTITION MEADERY
you love what you do. Passion is the
price of admission.
Jeff & Jennifer Herbert, owners of Superstition Meadery, completed their 7,450-square-
foot production space and opened a tasting room in Prescott, AZ with the assistance of
SBA-backed financing. See their story on YouTube by searching for the 2019 National
Small Business Persons of the Year.
27You can also read
