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BUSINESS
FINANCE SUMMARY
Three
Stages of Business Financing1
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Seed Capital
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Prototypes
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Research
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Test
Marketing
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Usual Source: Personal Funds
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Start-up Financing
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Equipment
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Supplies
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Inventory
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Deposits
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Operating Shortfalls
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Usual Source: Banks, SBA, Investors
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Growth Capital
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Add
Products or Markets
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Add
Personnel Expansion, Space and Equipment
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Usual Source: Investors, Banks and Venture
Capitalist
Popular Sources of Funding in
Baldwin County
 | Banks
There are over 20 banks and credit unions in Baldwin County. Each has its
own set of guidelines for the types of loans they will make and the
collateral required.
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| South Alabama Regional Planning Commission
www.sarpc.org
Gap financing up to $125,000 based on the number of jobs created. The
objective is to fill the gap between the business’s need for capital and
what the bank is willing to lend. A bank must provide at least two-thirds
of the loan.
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| Revolving Loan Programs
Several revolving loan programs and micro-loan programs exist in the area,
each with its own specific objectives and guidelines:
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| Community Express Loan Program
www.borregospringsbank.com
 | Working capital $5,000 - $50,000 |
| Credit score based; no collateral required
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| Accounts Receivable Financing
Factoring companies specialize in financing receivables.
| Presidential Finance
www.presfin.com |
| Some banks in the area also provide this service
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| Business Loan Packagers
These are the only companies in the area that can do
SBA 504 loan packaging.
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| Other businesses that would benefit from your business succeeding
Sometimes a good customer or supplier can be both a source of capital and
business leads, either as a partner, an investor, or as a lender.
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| Seed/angel/venture capital/CAPCO’s
The Baldwin County Economic Development Alliance hosts an active equity
capital group of investors for the Baldwin-Mobile area. Contact Bob
Higgins (251) 947-2445
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| 1 Courtesy of the
Center for Entrepreneurial Excellence, Mobile |
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