BIZ2CREDIT LATINO SMALL BUSINESS CREDIT STUDY

Transcription

1 BIZ2CREDIT LATINO SMALL BUSINESS CREDIT STUDY With Antonio Lizano, Corporate Multicultural Marketing Manager of Paychex and Entrepreneur Rafael Cuellar Wed., Oct. 7, 2015 at 3 p.m. et

2 Presenters 2 Rohit Arora Anita Campbell Antonio Lizano Rafael Cuellar

3 Latino-owned businesses 3 Though they are the fastest growing segment of the small business community, Latinos often find it challenging to secure capital

4 4 Rafael Cuellar Entrepreneur President/CEO of Cuellar, LLC

5 Latino Entrepreneurial Background 5 Latinos are the fastest growing, and companies owned by Latinas are the fastest growing. At the same time, small businesses are shutting down at the fastest rate in history. Some of that has to do with managing your money, your people, and your time.

6 Challenges for Latino Entrepreneurs 6 Because language is sometimes a barrier, the application process can be intimidating Some people don't have a lot of experience borrowing money from banks People with poor credit histories -- or none at all -- can be difficult to find a bank that will give an aspiring entrepreneur a chance (They often must turn to high interest, non-bank lenders, such as cash advance companies)

7 Advice for Latino small business 7 owners Hire the right people Your people make your business Understand regulations around your business Be in control of your capital Understand that running a business is not easy

8 8 Antonio Lizano Corporate Multicultural Marketing Manager

9 9 Percentage of Business Owners and Self-Employed by Hispanic Segment

10 10 Hispanic Small Business Owners vs All U.S. Household Income Ratios

11 11 Growth Annual Percent Increase in Number of Hispanic-Owned Firms

12 Percent Increase in Hispanic-Owned Businesses ( ) *Source U.S. Census Division 12

13 What do Latino Businesses 13 Need? What types of business services do Latino-owned companies need? What are the solutions and benefits?

14 Establishing Business 14 Ownership What is the process of becoming a business owner? What do I need to become a business owner? Accounting Credit Compliance Insurance Know the business cycle of making a sale and the viability of a successful business model

15 15 Rohit Arora Co-Founder and President, Biz2Credit Rohit Arora, CEO and co-founder is responsible for driving Biz2Credit to its leadership position today. Rohit is an often quoted expert on small business lending for major news media, including: New York Times, The Wall St. Journal, Bloomberg, Entrepreneur, American Banker, CNNMoney, MSNBC, Inc., and Washington Post. Rohit Arora was named Crain's NY Business "Entrepreneur of the Year 2011.

16 Biz2Credit: Who we are Crain s NY Fast 50 Top Business 2012 Entrepreneur.com Top Small Business Finance Resource Funded over $1+ billion to date Immediate access to a network of lenders on the digital platform 2011 Crain s Top Entrepreneur

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18 Latino-owned companies 18 There are over 3 million Latino-owned U.S. businesses Figure is expected to double in five years. Generate an estimated $500 billion in sales annually. Securing capital is still a challenge

19 19 Where are Latino businesses growing? The short answer is everywhere

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21 Where to Find Funding 21 Loan programs designed to help Latinos -- and others who live in economic empowerment zones Options besides name brand big banks include regional banks, credit unions and institutional lenders Alternative lenders typically approve more than half of the small business loan requests

22 How long does it take to get funding from Biz2Credit? 22 Typically 2-3 weeks, if the applicant has all the necessary documentation Applications are done online and completed in just a few minutes No need to fill out tedious paper forms!

23 Biz2Credit Step-by-step application process for SMB borrowers 23 1 Borrowers create an account and apply for loans for free 2 Pre-qualify for multiple loans and compare options in Biz2Credit system 3 Select the best product and finish application either online, or with the help of a Loan Specialist

24 Biz2Credit en Espanol 24

25 Timeframes & Expectations 25 Timeframes for receiving funds Personal Asset Loans: Same Day Cash Advances: Days ACCION Micro-loans: 1 week Traditional Loans Between $5,000 - $150,000: 1-3 weeks Traditional Loans > $150,000: 2-4 weeks *Biggest reason for delays: Document gathering

26 26 Q&A Disclaimer: This presentation 2015 is for internal purpose only. 2015