Small Business Lending: BizCapital

BizCapital client Kentucky Chrome Works, an automotive manufacturer and supplier, used funds for working capital to expand operations, resulting in increased revenues and employment.

BizCapital client Kentucky Chrome Works, an automotive manufacturer and supplier, used funds for working capital to expand operations, resulting in increased revenues and employment.

BizCapital, Advantage Capital’s non-depository financial institution, is licensed by the federal government to make SBA and USDA-guaranteed loans in select states. Flexible loan products for small businesses include SBA 7(a) and USDA Business and Industry (B&I) loan guarantees. In addition, BizCapital participates in the SBA’s 504 loan program by providing qualified small businesses with first mortgages and interim debenture financing.

Since its inception in 1999, BizCapital has made more than $380 million in loans to small businesses in a variety of industries.

BizCapital provides loans to small businesses that may not be suitable for typical venture or private equity funding. Our investments usually range from $500,000 to $5,000,000 and in most cases are used for working capital, business or asset acquisitions, facility expansions, as well as equipment and business real estate purchases.

To qualify for a loan from BizCapital, a company must meet the following conditions:

  • Company must satisfy the Small Business Administration (SBA) definition of a small business or qualify as a rural business under the USDA’s B&I program;
  • Company must be located within a qualified low-income census tract;
  • At least 50 percent of the services performed by the company’s employees must be in low-income census tracts;
  • At least 50 percent of the company’s tangible property must be utilized in low-income census tracts.

In addition, the company must have no plans to change the operations or characteristics of the business such that it would fail to meet any of the qualifying criteria. Other programmatic requirements apply depending on various factors. To see if your business qualifies, please visit www.Biz-Capital.com.