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Small businesses that have previously filed for bankruptcy are no more burdened than other small firms by poor cash flow, high health insurance costs, or excessive taxes, and they attain similar firm sizes, according to a study released today by the U.S. Small Business Administration’s Office of Advocacy. However, they have about a 24 percent higher likelihood of being denied a loan and are charged interest rates at least 1 percent higher than other firms. The report finds that firms owned by African and...

WASHINGTON, D.C. – Small business owners with eligible commercial real estate mortgages maturing after Dec. 31, 2012, will be able to secure more stable, long-term financing through the U.S. Small Business Administration’s temporary 504 refinancing program as a result of a change that will be published in The Federal Register by April 6.

In February, SBA implemented a temporary refinancing program enacted under the Small Business Jobs Act of 2010, which allowed small businesses facing maturing commercial real estate mortgages or balloon payments before Dec. 31, 2012, to refinance...

In honor of Women’s History Month and in recognition of the new statistics on firms owned by American Indians and Alaskan Natives, this edition of MBDA’s newsletter features an inspiring storing about Sister Sky—a firm owned and operated by two sisters from the Spokane tribe in Eastern Washington.  As I travel around the country, I am in awe of the innovation, tenacity, and the indomitable spirit of minority business owners and their unwillingness to quit in the face of overwhelming odds. That’s the spirit that makes America great.

With the release the 2007 Survey of...

EDA’s i6 Green Challenge Webinar
Join Assistant Secretary of Commerce John Fernandez for a discussion of the latest
round of innovation grants from the Office of Innovation and Entrepreneurship.

Title:  i6 Green Challenge | Date:  Monday, March 21, 2011 | Time:  3:00 - 3:30 pm EST
Click here to register.

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Some 3,500 minority, women and disabled veteran small business owners are expected to attend the OSDBU event on April 21st in suburban Washington, DC to meet with government buyers and their prime contractors.

This is a unique marketing environment, so here are some tips to take advantage of every minute:

• Target your potential clients and speak with them first.  Get as much information about their contracting/

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The President’s Fiscal Year 2012 budget proposal requests $32.3 million, a increase of $822,000, for MBDA to expand its services and assistance to our nation’s 5.8 million minority businesses.  Currently, MBDA funds 46 minority business centers located in 26 states, the District of Columbia and Puerto Rico.  These Centers receive partial funding to provide services to minority-owned firms through a grant program administered by MBDA.  The modest increase requested in the FY 2012 budget proposal would allow MBDA to fund two additional minority business centers and push the Administration’...

As I travel around the country, I am in awe of the tenacity and the indomitable spirit of minority business owners and their unwillingness to quit in the face of overwhelming odds. That’s the spirit that makes America great.

As the National Director of the Minority Business Development Agency (MBDA), I am proud to be a part of this Administration and a part of an Agency where our work helps to expand the U.S. economy and create new jobs through the historically underutilized minority business community.

I have the privilege of serving on the senior staff of the...

Ed note: Founded in 1993, Kent Displays, Inc. is a world leader in the research, development and manufacture of Reflex™ No Power LCDs for unique, sustainable applications including electronic skins, writing tablets, smartcards and eReaders. Improv Electronics was formed in 2010 as the consumer products subsidiary of Kent Displays. 2010 sales of its first product, the Boogie Board™ LCD Writing Tablet, exceeded forecast by 10 times. Its paperless LCD technology represents a significant opportunity to reduce global paper...

Lenders who participate in the U.S. Small Business Administration’s Preferred Lender Program can approve loans through the agency’s new Small Loan Advantage program beginning Feb. 15. At the same time, the agency will begin accepting applications from community-based, mission-focused lenders who are interested in making SBA-guaranteed loans through the new Community Advantage program.

Both the Small Loan Advantage and Community Advantage programs were announced in December as part of the agency’s efforts to increase the...

As I begin my second full year leading the Minority Business Development Agency, I want to take a moment to express how honored I am to work with the Agency’s network of minority business centers and our public and private sector partners on behalf of the minority business community.  Minority-owned firms continue to grow and flourish despite tough economic conditions.

There are bright spots to consider.  The minority-business community generated $1 trillion in gross receipts and employed nearly 6 million workers according to recently released U.S. Census data.  In fact,...

On behalf of the White House Initiative on Asian Americans and Pacific Islanders (Initiative), I would like to invite you to submit comments to agency plans posted online at www.aapi.gov under “Agency Implementation Plans” in the right-hand column.  In order for the federal government to take meaningful steps, it is critically important that the Asian American and Pacific Islander (AAPI) community provide feedback to help guide the final review. 

As mandated by...

There is a tremendous opportunity to interact with over 500 Chinese government leaders and business representatives from a wide spectrum of industries.  These Chinese firms will meet with U.S. exporters and explore investment opportunities in several U.S. cities, including Chicago, Houston, Raleigh, N.C., and Washington, D.C.

Many firms are intensifying their efforts to market their products and services to countries such as China.  Today, American companies are selling more merchandise and services to China than ever before. Exports to China totaled $85 billion in 2009, a 72...

International trade is one of the driving forces in the American economy which creates jobs and wealth and accounts for a significant percentage of our economic growth. Minority firms in the United States are primed for exporting and are twice as likely to generate sales from exporting as non-minority-owned firms. Some of the reasons are due in large part to language capabilities, cultural compatibility and business agility.

The U.S. Department of Commerce (DOC) is at the center of the federal government's efforts to promote exports. Secretary of Commerce Gary Locke will lead a...

The fourth annual Americas Competitiveness Forum (ACF) will be held in Atlanta, Georgia on November 14-16, 2010.  The ACF brings together national leaders from the public and private sectors for high-level discussions on regional competitiveness and innovation, as it relates to business ventures, economic development and trade.  This year’s theme for the ACF program is “Building a Prosperous and Sustainable Future for the Americas.” 

The forum will primarily focus on green technologies, education and workforce development, entrepreneurship, small business development and trade...

Today, Commerce Secretary Gary Locke announced the appointment of 25 members to the new National Advisory Council for Minority Business Enterprises.  The advisory council will be led by the Commerce Department’s Minority Business Development Agency (MBDA) and provide advice and recommendations to the department and the...

Don Chapman with the Minority Business Development Agency discusses the panel review process for MBDA Business Center grant applications.

Initial Screening

Every application receives an initial screening to make sure that all required forms, signatures and documentation are present. It’s imperative that you complete this paperwork and documentation.

There is a check list included in the Announcement of federal Funding Opportunity for you to follow to make sure you don’t miss anything.

Any application that is not for the...

Doug Barry is a Senior International Trade Specialist within ITA’s Commercial Service. He has helped hundreds of U.S. companies of all sizes find success in overseas markets and produced a number of instructional videos and webinars that help firms navigate the path to successful sales.

Do you have to be a big company to be a successful exporter?  No.  In fact, the majority of exporters have fewer than 100 employees, and many have fewer than five.

Take...

MBDA National Director David Hinson, along with a 27-member delegation of U.S. corporate executives and minority-owned businesses, recently completed a China Business Opportunity Trade Mission to Beijing, Tianjin and Shanghai. The goal of the trade mission was to meet with potential corporate, government and university partners and attend the Minority Supplier Development (MSD) China Summit and Business Opportunity Fair.

The trip was organized by the National Minority Supplier Diversity Council (NMSDC) to foster business relations between American corporate and minority-owned...

Director Hinson participated on the September 16th panel Africa and the Diaspora - From Slave Ships to Partnerships hosted by U.S. Rep. Bobby L. Rush.

The panel was composed of leading Africa experts from the public, private and non-profit sectors. The panel increased awareness about Africa's position in the global economy.  Specifically, the forum discussed the Obama Administration's efforts to increase trade with Africa, especially the role that minorities play to strengthen U.S. Africa economic ties.

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Current Ratios and Quick Ratios

Current ratios help evaluate a company’s ability to pay short-term obligations.

Current ratio = current assets / current liabilities

The current ratio includes all current assets, but since inventory is not always quickly liquidated, many analysts remove it from the equation and use the Quick ratio.

Quick ratio = (current assets – inventory) / current liabilities

The quick ratio emphasizes assets that are easily converted to cash.  The higher the ratio, the...

Regardless of where you seek funding - from a bank, a local development corporation or a relative - a prospective lender will review your creditworthiness. A complete and thoroughly documented loan request (including a business plan) will help the lender understand you and your business. The "Five C's" are the basic components of credit analysis. They are described here to help you understand what the lender looks for.

The 5C's

Capacity to repay is the most critical of the five factors, it is the primary source of repayment - cash. The...

Free Annual Report

Your credit score represents the creditworthiness of you as an individual or your business. A credit score predicts the likelihood that you will repay your debts.

Your business credit score determines your access to capital, rates on rental space, insurance, and other business needs.

The score is comprised of data from the three major credit bureau.

• Equifax
• Experian
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Not surprisingly, the pace of merger activity in 2008-09 has slowed dramatically as compared with recent years. Excluding a few megadeals, the M&A world has indeed been quiet. With a weak economy and an ongoing liquidity squeeze, most pundits expect that few significant deals will happen this year—and many think that is exactly the way it should be.

The prevailing view is that acquisitions are a luxury, to be pursued in good times and forsaken in the bad. The prevailing view is completely wrong. Deals are always risky, but doing nothing in a downtown may be the riskiest move of...

Every lender and lending program is different. However, there is basic documentation required for a successful loan application.

Basic documentation Information required:

1. Loan application. At a minimum, the loan application requires business and personal information, the amount, purpose and banking information (checking account). The purpose must be specific and supported with appropriate documentation.

2. Copies of the Business and Personal Income Tax Returns for past three years (must be signed.) Be aware that the lender will confirm with

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