Acquiring the necessary expertise to successfully run a business in any industry takes time. Without the proper guidance, the trial and error method is costly in terms of time, capital and other resources. The launch of a mentorship initiative between the US Department of Agriculture (USDA) and SCORE will support new farmers and ranchers so they can avoid these mistakes. The announcement was part of the National Farmers Market Week, which will be running from August 6 to 12.
Insights into the world of small business lending and development
Many small businesses involve food. The baker, the butcher, the coffeecake maker and the farmer-in-the-dell are all likely to be small businesses.
But as small businesses, most of these food-related companies have the same problem: how do their owners get the cash they need to buy supplies before they actually make sales?
First, don’t despair. This situation is all too common for so many small businesses across America. Traditional lenders are often concerned with the risk involved in small business loans and unwilling to take a chance on a loan that might require seizing assets or foreclosing on property to recover the money.
Fundera announced on Tuesday the release of its new survey on the state of small business lending. The report asked small business owners about their experience with credit, lending, and financial resources. According to Fundera, the survey revealed that business owners do not know enough about the resources available to them, and as a result, they are not making the best financial decisions for their businesses.
When Rodrigo and Filberto Santoyo decided to open up a Mexican food truck in Denver, Colorado, they thought the process of starting a business would mimic what they found to be true in Mexico. What they didn’t realize is that having a credit history can go a long way in securing funding. “In Mexico, credit is used very little,” Rodrigo explains. As new arrivals, they didn’t have much of a credit history, and when they applied for funding, their application was rejected.