SBA says: Small Businesses Create 2 Million Jobs

urlFrom an early January post from SBA Administrator Maria Contreras-Sweet: “Last week’s jobs report offered more evidence that our economy is gathering a head of steam as we ring in the New Year. Last month, American businesses added back 252,000 jobs and our unemployment rate fell to its lowest level since June 2008. We’re in the midst of 58 month of consecutive job growth – the longest streak on record since the mid-1990s.

Read the article here.

~ Norris Lozano, CEO of BusinessUS

Small Business Loans: hot… or not?

arrowsThe media is hungry for clues about the direction of the American economy. And as we know, small business is a key engine of this economy, providing 55% of all jobs and 66% of all net new jobs since the 1970’s, as well as 54% of all US sales.

Here are a few positive snippets from recent news:

U.S. small business optimism jumped in December to its highest level in more than eight years, the latest sign of strength in the economy even as dark clouds settle over global growth….The outlook was further bolstered by other data on Tuesday showing job openings approached a 14-year high in November.

But perhaps these headlines grabbed you:

So 2014, on the whole, seems to have been a good year for small businesses seeking capital from banks to grow…..But if you look at the numbers another way, you’d see that this increase is only telling part of the story. It’s a story of success mainly for small businesses seeking big money from big banks.

U.S. small-business lending never quite regained the ground lost during the Great Recession, ceding significant market share to larger firms that have benefited from a gradual but lengthy economic recovery, research from the Federal Reserve Bank of Cleveland finds.

Seems to be a mixed bag… so here’s some clarity. Big banks are stepping up to the plate for small business after almost 6 years of kicking them to the curb. But only in larger amounts. No surprise here: big banks make big loans to make big profits.

Where small business lending is growing is sub $150,000 loans, which many new online lenders are happy to provide – at massively high rates.

What’s still missing in the picture is the traditional meat-and-potatoes of the small business lending picture: community banks lending to small businesses in their communities.

Says Carly Fiorina in Inc. Magazine: “Unlocking capital is very important, and of course since the financial crisis, the surviving big banks have gotten bigger, but the community banking system is really struggling, and that means small businesses are struggling. It is community banks that provide most of the capital to small business, and [we need to] start unlocking small business loans again. We have got to get capital to them so they can form and thrive.”

If you want to learn more about small business loans, contact BusinessUS

16 Hot Startups that Launched in 2014

Logo_Business_InsiderBusiness Insider has issued its Best Startups of 2014 List, and it’s worth the read.

As should be expected from a media source whose CEO is Henry Blodgett, there’s a whole lotta technology on the list, analyzed by factors like

  • funding
  • revenue
  • growth, and
  • investor interest.

Here’s the article:

Here’s the list:

  1. glamsquad-brings-hair-salon-quality-blowouts-to-your-apartmentGLAMSQUAD brings hair salon-quality blowouts to your apartment.
  2. Spring is the Instagram for shopping.
  3. DWNLD makes apps easy to make, customize and get published in the App Store
  4. Ello is the ad-free, anti-Facebook social network.

  5. Curbside lets you order stuff on your phone and pick it up at the store without leaving your car.

  6. Reserve takes all the pain out of making restaurant reservations.

  7. Shyp sends your packages for you, so you never have to step foot in the post office
  8. Jet.com is Marc Lore’s mysterious “Amazon-killer” e-commerce website.
  9. More …

~ For more information about using an SBA Loan as part of your startup capital, please contact Norris Lozano at BusinessUS

Washington DC may assist more small businesses in the New Year

image_from_bitly_13U3V75“Small businesses are looking for government to function and get a lot more done,” said John Arensmeyer, chief executive officer of the advocacy group Small Business Majority.

A few of the options on the table in this upcoming Congress are:

  1. Reduction in corporate tax rate from the current 35%
  2. Small Business tax deductions
  3. Bonus depreciation
  4. Reduction in paperwork for SBA loans.

“It’s expected to encourage more banks, particularly smaller ones, to make SBA-backed loans, said SBA Administrator Maria Contreras-Sweet.”

Read the full article here.

~ Learn more about small business loans by contacting Norris Lozano at www.Bizbank.US

Lozano congratulates Spirit of Small Business Award winners

spirit-sample-graphic_cropThe 2014 Spirit of Small Business Award winners for the Los Angeles District Office were announced today. The event is co-sponsored by the SBA.

Along with the team at BusinessUS, I would like to congratulate the winners for their success and their positive impacts on their communities. This year’s winners are:

East Ventura County – Agnew Multilingual

West Ventura County – Staples Construction Co.

South Santa Barbara County – The French Press

North Santa Barbara County – Old Town Market

San Luis Obispo County – The Wallace Group

Minority-Owned Business – Alliance Wealth Strategies

Women-Owned Business – Ohana Pet Hospital

Exporter of the Year – Zesto Audio

Green Business – AB Design Studio

Well done!

~ Norris Lozano, CEO of BusinessUS

Know the True Costs of Short-Term Online Loans, says Wall Street Journal

WSJ-logo“The pitch is simple and alluring: “We will lend you $50,000 and you only have to pay back $60,000 — and you can have the money in a day or two.” But watch out for the true cost of these short term loans – the interest can get you in trouble.

Read the Wall Street Journal article here:

~Norris Lozano, BusinessUS

What Recession? Study says 8 of 10 U.S. Small-Business Owners Would Do It All Over Again

Wells-Gallup_small_business_pollA new poll by Wells Fargo / Gallup shows that, despite the Great Recession, “More than eight in 10 U.S. small-business owners say they would still become a small-business owner if they had it to do over again.”

Read the article here

~Norris Lozano, CEO of BusinessUS, a national small business lender specializing in underserved markets.

 

Congrats to the SBA’s California Small Business People of the Year

BusinessUS congratulates Ricardo Robles, Jacqueline Robles, and Pablo “Rene” Robles of Anita’s Mexican Food on being selected by SBA as 2014 California Small Business People of the Year!

RoblesMauro Robles emigrated from Mexico, acquired U.S. citizenship, and created La Reina, a company that makes tortillas, in 1958. Today, all five of his children own it and its subsidiary, Anita’s Mexican Food, with Ricardo as president, Jacqueline as secretary and GM, and Pablo as the vice president of operations running the company day to day.

The company now ships a wide variety of products to customers around the world, and its East Los Angeles factory produces at least 1.5 million tortillas each day. In 2012, Anita’s took an SBA loan to dramatically expand its operations and in the past three years has grown revenue by over 100% and grown to 359 employees.

 

Read about all 2014 Small Business People of the Year here.

~Norris Lozano, CEO of BusinessUS

It’s National Small Business Week!

“This country’s 28 million small businesses create nearly two out of three jobs in our economy, so we can’t have a conversation about creating jobs and economic growth in America without talking about ways to support our entrepreneurs.”

~ SBA Administrator Maria Contreras-Sweet

READ: National Small Business Week Starts Today

~Norris Lozano, BusinessUS CEO

NBA Player Shooting For Madison Ave

BN-CB076_mashst_E_20140323121727Great article in today’s Wall Street Journal about Jamal Mashburn and his Chicago-based marketing agency, Mashburn Sackett, a partnership with the inimitable Jonathan Sackett.

Check ’em out!

~Norris Lozano, CEO of BusinessUS

How big is the Small Business Lending Market? $1 Trillion, says SBA

Logo_SBAThe SBA Office of Advocacy says the US Small Business Lending market is $1 Trillion, including “$585 in business loans outstanding, $422 billion in credit from finance companies, and the rest from a mix of sources”

See the SBA Report here

~ Norris Lozano, CEO of BusinessUS

Boomers in Business: the 411 on 50+

baby-boomer-small-business-owner-shop-happy-workingThis brief article reinforces several we’ve read recently about a stealth “target small business owner” – the Boomer Entrepreneur.

study by the Ewing Marion Kauffman Foundation reported that the highest rate of entrepreneurial activity over the last few years is not Gen-Y upstarts, but Baby Boomers in the 55-64 year age group.

Here’s a link to the study

~Norris Lozano, CEO of BuisnessUS, a national small business lender missioned to provide Innovative Lending to American Small Business