Currently about three million small businesses in the United States are run by Latinos. These businesses generate approximately $500 billion in sales a year. Nevertheless, new studies have revealed that Latino entrepreneurs, as well as other minority groups, often struggle to secure the financing they need to grow their businesses.
If you’re in search for business loans for Latinos, check out these 4 places to find the small business loan you need to grow your business.
Many may wonder if there are special financing programs or business loans for Latinos.
Both local and national organizations indeed offer minority business loans and financing resources to help Latinos navigate the loan process and get connected to prospective small business lenders. If you are a Latino business owner seeking assistance in obtaining credit and financing, check into the following resources that can help you pursue the various business loans for Latinos.
While the Small Business Administration itself does not offer special SBA loans for Latinos or any other minority group, the SBA does offer dedicated minority programming and resources, such as the 8(a) Business Development program.
The many SBA programs are great ways to access the resources you need to grow their enterprises.
The Minority Business Development Agency is the only federal agency that advocates the growth of minority-owned businesses. Although the MBDA does not offer financing itself, it connects entrepreneurs to business development centers nationwide. Use this resource to access the various business tools and education needed to successfully finance a business.
The Latino Coalition is a membership organization that provides helpful resources for Latino business owners. It has partnered with Biz2Credit, a user-friendly online platform, in its efforts to simplify matters for business owners who want to apply for a business loan. Information about business loans for Latinos is available through Biz2Credit.
Latino business owners and entrepreneurs can submit their application for free and receive support from a loan specialist. Members of this national organization also receive additional benefits such as affordable health insurance and discount on business supplies. If you’re a Latino entrepreneur, the Latino Coalition is a resource you should take advantage of even if you’re not on the hunt for business loans for Latinos.
The Latino Credit Union is a credit union and community development financial institution that seeks to serve traditionally unbanked, underserved immigrant communities. It offers microloans of up to $15,000 ($20,000 for joint applications) for terms of 6-36 months.
Latinos seeking small business loans to grow their businesses can benefit from the growing number of organizations that offer dedicated programming to support minority business owners.
While many institutions may not offer specific business loans for Latinos, they do offer the support resources you will need to understand your options, navigate the process, and prepare the best loan package possible—all of which will help put your business in a better position to receive small business funding.