Q. Where can I get financing for a business I want to start?
A. Over the years, I’ve had several SCORE new business startup clients who were incredulous when we talked about startup financing. They thought either SBA or SCORE could just write them a check on the spot for what they needed. Wrong! SBA guarantees loans. It doesn’t make grants or loans. SCORE provides training, advice, coaching and mentoring. It doesn’t make grants or loans either.
Before the 2008 financial crisis, startup owners often got bank loans or home equity loans for initial costs. Because of the financial crisis, that’s changed because of tighter lending standards and the real estate bust. During the past two years, about 12.3 percent of startups used bank loans. That’s down from 18.4 percent previously. During the past two years, 5.5 percent of startups…