Boots to Business program is set to benefit from $1.12 million in grants.

On September 19, 2014, the U.S. Small Business Administration (SBA) announced that it has entered into a cooperative agreement with America’s Small Business Development Centers, SCORE, and the Association of Women’s Business Centers (AWBC). This co-op has agreed to provide a total of $1.12 million worth of funding needed to facilitate resource partner participation in SBA’s Boots to Business program.

The SBA’s Boots to Business program provides training to transitioning service members and military spouses who are interested in business ownership. The program functions as part of the Defense Department’s TAP program. The original Boots to Business began as a pilot program in 2012, and was expanded in 2013.

Each year, more than 250,000 service members separate from the military ranks. With their experience and leadership skills, Veterans have proven to be natural entrepreneurs. Veterans are more likely to be self-employed than those with no active-duty military experience. There are approximately 2.45 million Veteran owned small businesses in the U.S., making up approximately 9% of all American small businesses. Veteran owned small businesses employ more than five million Americans, generating more than one trillion dollars of sales receipts each year.

“Veterans make some of our country’s best entrepreneurs, and we are investing in them by ensuring our partners are funded to maximize the training and support they provide to service members embarking on their post-service careers,” said SBA Administrator Maria Contreras-Sweet. “We owe so much to those who have served in our Armed Forces and sacrificed so much.  Our veterans deserve opportunities, and the SBA and our network of small business experts are ready to help them start their next chapter.”

Since January, 2013, more than 16,000 transitioning service members have participated in the two-day “Introduction to Entrepreneurship” class that was offered on 165 military installations around the globe. This year, the Boots to Business program was appropriated $7 million in the federal budget.

To learn more about the Boots to Business Program and additional opportunities for veterans available through the SBA, visit www.sba.gov/vets.

The Veteran and Military Business Owners Association (VAMBOA) is a non-profit business trade association that promotes and assists Veteran Business Owners, Service Disabled Veteran Owned Businesses (SDVOB) and Military Business Owners. Small businesses are the backbone of our economy and responsible for job generation. That is why VAMBOA provides its members with Business Coaching, Contracting Opportunities, a Blog that provides information, Networking contacts and other resources. Membership is FREE to Veterans. Join Now!

VAMBOA: Boots to Business Gets $1.12M: By Debbie Gregory

The U.S. Small Business Administration’s Rhode Island District Office and the Rhode Island chapter of AARP are pleased to present two Encore Entrepreneur Month Events!

Learn to Read the Story Your Financial Statements Are Telling You
Tuesday, April 15th – 9:30am – 11:30am
Warwick Public Library
600 Sandy Lane, Small Meeting Room
Warwick, RI  02889

Being able to understand what the numbers in your cash flow statement, and on your balance sheet are telling you is a critical component to understanding just how financially healthy your small business is. Participants will learn the tricks of the trade when it comes to deciphering what your financial statements are really telling you about your business.

Make a Business Plan Part of Your Retirement Plan
Thursday, April 17th – 9:30am – 11:30am
SBA District Office Training Facility
380 Westminster Street, 5th Floor, Room 511
Providence, RI  02903

Many people celebrate retirement by starting their own business. At the core of every successful business is a solid business plan.  Join us as our small business experts show you the building blocks for your successful small business.

Both seminars are presented FREE of charge.  For more information or to register, please call or email Matthew Spoehr at the RI District Office of the U.S. Small Business Administration (401) 528-4561 or matthew.spoehr@sba.gov

With one in four individuals ages 44 to 70 interested in becoming entrepreneurs, and 63 percent of Americans planning to work during retirement, small business ownership has never been a more viable option.  SBA and AARP will offer training and mentoring services older entrepreneurs need to successfully start and grow businesses in order to create jobs.

Starting a business at any age can be a life changing event.  This SBA and AARP initiative will help potential business owners be confident they have addressed important questions as they prepare to pursue their dream of business ownership.  Questions about finance, planning and market analysis should be addressed before men and women invest their time, energy and personal funds to their business.

The U.S. Small Business Administration’s Surety Bond Guarantee Program can help your small business get bonded!  Please join us if your small business has:

• Limited Financial Resources
• No Prior Bonded Work Experience
• Been in Business Less Than Three Years
• Desire to Increase its Current Bonding Capacity

Join us for an AT&T Connect Webinar discussing:

Contract Bonds

• What they are and Why they are Required
• How to Get Pre-Qualified
• Working Capital & Bank Support

SBA’s Surety Bond Guarantee Program

• Program Eligibility
• Required Information
• Application Process & Fees

Registration is required.  Please register online at http://events.sba.gov/eventmanagement/eventlisting.aspx?state=GA  Events are listed in date order.

Date:                    Thursday, April 17, 2014

Time:                    10:00 am – 11 am

Location:             VIRTUALLY 

Access:        https://connect16.uc.att.com/sba/meet/?ExEventID=87462470 (copy the link into your browser to attend).

Dial:            (888) 858-2144 & enter meeting code 7462470# to connect by phone.

Prepare in advance for the conference at: https://connect16.uc.att.com/sba/Prepare

For more information please contact Ms. Melanie Bryant at 404-331-0100 Ext. 603 or melanie.bryant@sba.gov.

Small businesses start with passion and ideas. But they need funding to get off the ground. The Small Business Administration (SBA) has been a primary resource used by Veterans and civilians for obtaining loans to fund their startups and existing businesses. While the SBA doesn’t directly loan money to business owners, the SBA does guarantee loans made by participating lending institutions.

The basic program utilized by the SBA for small businesses is the 7(a) loan. The 7(a) loan is the most utilized loan by the SBA because it can be used for a multitude of business purposes. Additionally, it is more easily approved, a plus for business owners who may otherwise have difficulties procuring loans directly from lenders. Small business owners, especially those who are just starting their companies, may not have the cash flow that independent lenders require. The SBA serves to provide lenders with an increased guarantee against a defaulted loan. The 7(a) loans are capped at a maximum of $2 million.

In an effort to promote entrepreneurship, the SBA has also taken the initiative to waive fees on smaller loans. On loans under $150,000 guaranteed through the SBA after October 1, 2013, the fees have been set at 0%.

The SBA recently announced that small business borrowers who have or will receive SBA 7(a) guaranteed loans of $150,000 or less during Fiscal Year 2014 (October 1, 2013 – September 30, 2014) will have saved more than $6.3 million. The SBA contends that this number includes fees that were eliminated on the agency’s smallest loans, including approximately $142,000 in savings to 179 borrowers in the Santa Ana, CA District.

The waived fees are part of the SBA’s initiative to make it more cost effective to originate smaller loans.  In addition to the fees that borrowers typically pay based on the amount guaranteed by the government, the ongoing monthly fee paid by SBA lenders will be eliminated for the entire life of 7(a) loans of $150,000 or less made while the initiative is in effect.

The SBA still includes fees on loans greater than $150, 000. On any loan greater than $150,000 with a maturity of one year or shorter, the fee is 0.25 % of the guaranteed portion of the loan. On loans with maturities of more than one year, the fee is 3% of the SBA-guaranteed portion on loans of $150,000 to $700,000, and 3.5 % on loans of more than $700,000. There is also an additional fee of 0.25 % on any guaranteed portion of more than $1 million.

The SBA believes that fees collected from larger loans are expected to offset any losses sustained from the smaller loans.

To participate in the 7(a) Loan Program, a lender must meet requirements that are indicated in the Code of Federal Regulations.

Active duty military, Veterans and any civilian interested in starting a small business should utilize the SBA’s website, www.sba.gov as a valuable resource.