Several organizations offer financial aid to startups and established businesses in Texas. The financial aid could be in form of training, mentorship, grants, and small business loans. Factors such as the growth of a business, the relevant industry, and the impact on the local economy influence the eligibility criteria for these resources.
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Some programs are set up specifically for certain groups like minorities and women. Below are some options for small business loans in Texas.
Texas Capital Bank
Small businesses can conveniently get loans from this bank since it has branches across major cities in the state. Aside from its convenient locations, this lender offers loans of up to $750,000. Texas Capital Bank allows Small Business Administration (SBA) and term loans. Other financial provisions include equipment financing, import business, trade finance for import and export business, as well as credit lines.
The bank offers additional funds for businesses in hard-to-fund sectors such as oil, gas, brokering, and real estate. Its clients can also get asset-based funding where the accounts receivable, business inventory, and equipment act as collateral for the allocated loan. Compared to non-profit institutions, banks generally have stricter credit requirements.
PeopleFund
Underserved entrepreneur communities like people of color, veterans, and women can get financial assistance from this non-profit institution. Some of the perks associated with small business loans from PeopleFund include:
- Low down payments
- One-on-one and group business training
- No prepayment fines
- Flexible underwriting and collateral requirements
PeopleFund participates in SBA programs and offers a seven-year repayment period for their loans. The interest rates for the organization range between seven and fifteen percent. Small business owners in underserved communities can get additional discounts on their loans.
BiG Austin (Business Investment Growth Austin Microloans)
The microlender offers loans to small businesses all over Texas. You can get a loan from BiG Austin if your company is located in Williamson, Llano, Lee, Gillespie, Lampasas, Mason, Hays, McCulloch, Burnet, Milam, Travis, Blanco, Bell, and Bastrop.
If you have been in business for at least three months, you can get a loan of up to $15000. For the more established business, the loan limit can be as high as $50000. The repayment loan terms for the microlender can range from one to six years. BiG Austin requires owners of new small businesses to have another source of income. It can be anything from a second job, spousal income, or even retirement income.
Texas Trust Credit Union
Entrepreneurs often overlook the idea of business loans offered by credit unions. Perhaps it is because a business owner has to be a member of the credit union. Nonetheless, these loans have competitive interest rates and flexible underwriting processes. Texas Trust Credit Union is an ideal option for entrepreneurs with businesses in Johnson, Ellis, Tarrant, Denton, and Dallas.
The union offers credit lines, real estate loans, construction financing, term loans, and SBA loans. These provisions could prove advantageous to property and real estate developers. If you have an ongoing business purchase, you could seek a cash-back corporate credit card.
Final Words
There are many financial resources available to owners of small businesses in Texas. Online lenders, business grants, non-profit institutions, and banks are just a few of the lending options. Entrepreneurs can find the valuable financial assistance they need to scale their business operations.