Business Loan Connection Makes Securing a Business Loan Simple

No matter the time of year, new and established business owners are in need of financial assistance with their businesses. Small business loans in Central New York has met it's match with Business Loan Connection. We are the most sought after small business loan provider in the Finger Lakes Region with an excellent track record for helping business owners get started or expand their service, product, shop, or office.
Beginning your search for small business loans in Tompkins County starts right here. Our relationship with several of the best credit unions has brought options to many Small bussiness loans in the Finger Lakes Regionbusiness owners that has made the access to funds easy and simple.
Why Use a Credit Union
Credit Unions, unlike banks, are owned and operated by the members. Our goal is to provide the best resources for all our customers. Your business in the community is important to us just like it is to you. Our communities here in the Finger Lakes needs more entrepreneurs to encourage growth and forward movement in our economy.  This is why we look at your business and proposals with a very different eye than a typical banking institution.
Credit Unions are cooperatives. They offer the same loans and financial products as do typical banks but are a non-profit entity.
Business Loan Connection is a unique collaboration between community development credit unions in central and upstate New York. By connecting existing and aspiring business owners to financial and skill-building opportunities, we work to cultivate successful small businesses throughout our combined service area.
With the rise of uncertainty in today's financial markets, it is a wise decision to look toward your own ability to provide for your family and ultimately your community by starting a business in the Finger Lakes which will bring value to your local area. Consumers are becoming more adamant about supporting their local small business owners instead of lining the pockets of the big-box-store executives.
How to Decide Which Interest Rate Method is Preferable
With a fixed-rate loan, you can plan for the monthly expenditure without any surprises or changes. This is a low-risk option and can greatly reduce stress as your business is growing and expanding. Your business will always know what to expect to pay out each month.Small business loans in Syracuse
A variable-rate loan, on the other hand, brings with it a constant anxiety as to what the market will do as your rate approaches the time for re-evaluation.
Businesses will often opt for the lower rate of the variable-rate loan as the payments are much lower (due to the lower incentive rate) at least for the beginning of the loan period. This is very useful if your cash flow is on the low side and the business has not a solid customer base to start with. The danger here is that the rate could increase significantly (even with a cap) that is causes hardship on the business to manage the increase.
Business Loan Connections
We have established ourselves as the community leader in small business loans in the Finger Lakes region. Your satisfaction and financial needs are our primary concern. When you need to start or expand your business, contact one of our lenders listed HERE for a personal consultation and simple steps to get started.  We look forward to servicing your business needs and welcome you to a growing area that needs your business idea.
Published October 18, 2017 by Carol Chernikoff in Finance

Small Business Loans For Businesses in Central, New York

You've been thinking of starting your own business or enterprise for a while now. What's holding you back? Typically, the major obstacle to starting a business relates specifically to the need for money to implement the start up. Even existing businesses who are ready to expand (or need to expand to meet growing demand) can find small business loans in central new yorksearching for or obtaining the funds needed to be a difficult project.
Small business loans in the Finger Lakes Region are available and with just a bit of effort on your part can be the perfect solution to your growing needs. There are a lot of risks to take into consideration when starting up a business; leaving your job and/or reducing your personal income for a period of time are just the start.
How Much Do You Need
Determining your level of need requires the effort we were just speaking of. Most lenders will need a thorough business plan, 
Consider the following uses:
Licenses and permits. Depending on your region, you may need special paperwork and registry to operate.
Supplies. Are you buying raw materials? Do you need computers and/or other devices?
Equipment. Do you need specialized machinery or software?
Office space. This is a huge expense, and you can't neglect things like Internet, utilities costs, janitorial services and whether to outsource back office tasks, like payroll and invoicing.
Associations, subscriptions, memberships. What publications and affiliations will you subsribe to every month?
Operating expenses. Dig into the nooks and crannies here, and don’t forget about marketing.
Legal fees. Are you consulting a lawyer throughout your business-development process?
Employees, freelancers and contractors. If you can’t do it alone, you’ll need people on your payroll.
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Small business loans in Central New York take these items into consideration and you will want to be sure that you have each detailed out as much as possible. Some of the items noted can be reduced by starting out smaller, perhaps in a home-based office and as a sole-proprietor (without employees).
Business Loan Connection can help you take the guess work out of what is needed for small business loans in Tompkins County. Our expert and knowledgeable staff and our relationships with local credit union lenders will make the process simpler and quicker than what you may expect. is a unique collaboration between community development credit unions in central and upstate New York. By connecting existing and small business loans in the finger lakes aspiring business owners to financial and skill-building opportunities, we work to cultivate successful small businesses throughout our combined service area.
Get Your Business Idea Started the Right Way
Our goal is to provide exceptional assistance to business owners in the Central New York area through our relationships with lenders willing to provide small business loans in the Finger Lakes region. We are available to answer your questions and get you started in applying for and receiving the financial assistance you need for your business.
A business needs capital to grow and we understand that. A business needs to grow and expand as the demand increases for the services or products, and we know this is your goal as well. Please refer to our Contact page to locate the lender closest to you. We look forward to serving your small business loan needs here in Central New York
Published October 11, 2017 by Carol Chernikoff in Finance

Business Loan Connection Offers Affordable Small Business Loans for Women and Minority Owned Businesses

Today, more than ever, women and minorities are jumping into the entrepreneur shoes and building a business they can be proud of. The contributions to communities through these endeavors are a certain boon to the wellness of the area.  Small business loans in the Finger Lakes region are available for both women and minorities with alternative business loans in Onondoga Countyenticing rates and payment requirements.
Operating a small business is a dream that can more easily become a reality with some of the special programs designed especially for these groups and we are excited to show you the options available through our lenders.
Small Business Loans in Tompkins County for Women and Minorities
Women and minorities have historically been at an economic disadvantage, especially when it comes to starting and operating a company. Financial institutions generally have strict requirements for lending to begin with, and the lack of assets and capital can make it both expensive and difficult to borrow. Millions of small businesses operated by these groups struggle to gain an edge in a competitive market and grow as a result.While banks operate for the sake of profit, and are largely unable to help with this, credit unions are created to serve their communities. For this reason, the credit union partners of Business Loan Connection are proud to offer minority business loans and small business loans for women. By empowering you to grow your company, the community becomes a better place as well.
How You Can Use These Funds
Whether you need an infusion of capital to help cover a large order, purchase supplies, or acquire equipment, this specialized program can help. It’s also ideal if you need to renovate your venue or make upgrades, to take your establishment to the next level. Use the funds in whatever way will prime your company for growth.
Easier Terms and Conditions
Easier Qualification- This type of financing is designed to help those who might not otherwise be able to get the capital needed to grow their companies. As such, it’s easier to qualify.
Low Interest Rates- The interest rate is capped at four percent, to make it much easier for emerging entrepreneurs to pay off their balances.
Longer Terms- Depending on the amount of capital needed, you may be able to take up to five years to pay the balance in full.
Extensive Capital- You may be able to borrow as much as $50,000.
Versatile- There are very few restrictions as to what the funds can be used on, so you can apply them to the areas that will impact your company the most.
Take The Lead in Your Community
A dream is just a dream if you don't take action. The longer you sit on an idea, the more reasons you will find to not make it happen. Don't let this happen to you and your future business. Take a good look at your idea, learn how to devise a proper business plan (remember our Resource page) and take full advantage of all that is offered here in our State.
Business Loan Connection knows the struggle many would-be business owners encounter and we want to show you how, with the help of our small business loan lenders in Central, NY, you can obtain the financing you need today to get your start-up off the ground or to build an existing business.
We understand that the process may seem daunting, but with our expert lenders, we will walk you through each part as expeditiously as possible and have you soon on your way to making your dream a reality.
Contact our lenders today for more information.
Published September 20, 2017 by Carol Chernikoff in Finance

Business Loan Connection Offers Small Business Loans in the Finger Lakes Region of New York

Small business loans in Tompkins County are right at your fingertips...just a click away to get you started. The corporate America scenario is struggling and many entrepreneurs are finding a better way to secure their future. Starting out with a new business or increasing a current business often needs some financial assistance to small business loans in Tompkins Countybuild a profitable endeavor.

Business Loan Connection can get you started and help you every step of the way to obtaining the financing you need. Our lenders are ready to assist you in obtaining any of the following small business loans in the Finger Lakes Region.









WORKING CAPITAL LOAN is a unique collaboration between community development credit unions in central and upstate New York. By connecting existing and aspiring business owners to financial and skill-building opportunities, we work to cultivate successful small businesses throughout our combined service area.

Getting Started and What Lenders Need

The changes in the economic and regulatory conditions are affecting how banks and other lenders deal with small business loans. Unlike years ago, banks now require a heavier amount of paperwork and information about a potential or existing business before they can consider the risk and potential.

The extent of financial disclosures and business plan information can come as quite a shock to first-time applicants for a small business loan in Central, New York.

  “Applicants need to provide a clear and concise plan about what they want to do,” says Lee Watson, First Bank Senior Vice President and City Executive (Greenville, NC). “We need to understand what they are doing, how much money is needed, and how they plan to pay it back.”

Regardless of the current economic scene, lenders really do want to help you finance your business needs. They just need a lot more background, financials and small business loans in the Finger Lakesinformation to confirm the viability of the risk.

Lenders will, at the very least, ask for balance sheets, profit-and-loss reports, and cash flow statements. And that’s in addition to the plan for how you will invest and repay the loan. Sounds like a lot of data to provide, but this is simply the way small business loans are formed and funded.  Risk for the lender is always on the forefront. Viability and potential for the borrower's ability to repay is the next factor.

Small Business Loans In Tompkins County

Business Loan Connection works with some of the most small business loan friendly credit unions here in Central New York. Our goal is to assist you in progressing positively through the entire loan process and get you the funds and capital you need to get your business going in the right direction.

We also offer resources to new and existing business owners to prepare or update their business plans. Check out our Education page for excellent information, classes and workshops on numerous subjects. Being an informed consumer and being prepared for the challenges of applying for a small business loan will aid in the process.  We are here to assist you in getting the capital you need today.

Our lending partners can be reached through our Contact page. Contact us today to get started on your way to a profitable new future with your business.

Published September 13, 2017 by Carol Chernikoff in Finance

What is a Signature Line of Credit

Small business loans in the Finger Lakes Region are offered in various types and have individual requirements dictated by the lender. The choice you make depends on your loan purpose (what you will use it for), your personal or business credit rating, the terms and interest rates that best suit your needs.

Typically, small business loans can be secured or unsecured (depending on amount and repayment terms). Signature loans are one such tool that can be obtained without small business loans in tioga countya security or collateral (such as your house or other tangible asset).

What Exactly is a Signature Loan

Are you considering a signature loan? This is one of the easiest loan types if you have a good relationship with your lender. The signature loan, also known as a “good-faith” or “character” loan is offered by many local banks that use only the borrower's signature (hence the name) and their promise to pay as the collateral. There are no requirements to put up any type of asset or collateral to secure the loan. It can be used for a myriad of purposes without restriction, though the interest rates may be higher than other types of loans due to the lack of any real asset to secure it.

What Does the Lender Look For

To determine whether to grant a signature loan, a bank or credit union typically looks for a solid credit history and sufficient income to repay the loan. In some cases, the lender may require a co-signer on the loan, but the co-signer only signs a promissory note and is only called upon in the event the original borrower defaults on his payments.

These loans are commonly used in small towns and areas where individuals and business owners have closer relationships with banks. A good community reputation and the good borrowing position needed for any unsecured loan are common requirements. This is actually a very good option when you need a smaller amount of money to work with. You can apply in person to your local lender or apply through their online website. Most likely, in a small community, you will want to speak directly with your bank or credit union to discuss options and obtain the best product to fit your needs.

Signature Loans vs. Unsecured Term Loans

As we all ready know, a signature loan is a type of unsecured term loan. Unsecured refers to the fact these loans are not secured by collateral like home mortgages and small business loans in onondoga countycar loans. Term means the loan is paid off in a set period of time, usually in equal monthly installments throughout the term.

The signature loan is a one-time loan and does not replenish itself like a line of credit loan. You will be paying equal monthly payments throughout the term of the loan on the whole amount, not just what you spend.

Small Business Loans in Tompkins County

With so many options available, speaking with a trusted lender will assist you in making the best decision for yourself and your business. Your comfort level with debt depends on your situation, purpose for the funds, and spending habits.

The credit union partners behind Business Loan Connection can help you fulfill your small business potential with affordable capital and expert advice. Our presence here brings you options for small business loans in Central New York. You can trust our experience and find the exact method to finance your business and get started realizing your dream and vision.

Contact us for more information and to begin the process. We look forward to serving your small business needs.

Published August 23, 2017 by Carol Chernikoff in Finance

Small Business Loans; Fixed Rates vs. Variable Rates

Taking the time to research small business loans in Central New York will save you headaches and surprises down the road. There are many questions regarding the viability of obtaining a fixed-rate loan as opposed to a variable-rate loan. Both come with advantages and disadvantages. 
As you begin the loan process, take into consideration the length of the loan needed, the amount of the loan, and the interest rate. Be aware of what the current and predicted market trend is. As of right now, you may want to consider the potential impact of certain changes the Federal Reserve is considering. They control the banks small business loans in the finger lakesand interest rates, which can either help or hinder your future interest rates.
What Are Fixed-Rate and Variable-Rate
Fixed-rate loans, as the name implies, is an agreed upon interest rate that is applied to the life (term) of your small business loan. Typical small business loans run a term ranging from 10 to 50 years, with a 30-year note being the most common.
A fixed-rate loan allows you to budget easily for the loan amount with no surprises. No matter if the interest rate rises or falls, you will remain at the interest rate you agreed upon at the inception of the loan. Your business and budget are protected even if the interest rate skyrockets. This is the safest and contains the least amount of risk for you and your business. Should the interest rates drop drastically, you have the option of refinancing to a lower rate which can save you a significant amount of money.
Now, variable-rate loans are a bit more volatile but do come with advantages which could work in your favor. Variable-rate small business loans in the Finger Lakes are often started at a much lower rate than a fixed-rate loan. It's quite enticing to small businesses just getting started. And with that lower rate, your business can get up and running, producing more income with the loan repayments being lower for a period of time.
A variable-rate loan's interest rate will fluctuate periodically over the term and depending on the market rates at those times. The interest rate is tied to an index that changes as the market moves. Obviously that means that your interest rate and monthly payments can go up or down depending on the market activity. Typically, there is a bit of protection for you in the form of a cap. A cap limits how much of a change can be imposed on the loan. So if interest rates jumped 5 points...your loan, typically, would not bear the brunt of that hike. The cap on the loan interest rate would prevent that. Be sure to evaluate comparable small business loan terms and conditions. Some loans will offer a better cap and interest rate depending on the lender.
How to Decide Which Interest Rate Method is Preferable
With a fixed-rate loan, you can plan for the monthly expenditure without any surprises or changes. This is a low-risk option and can greatly reduce stress as your business is growing and expanding. Your business will always know what to expect to pay out each month.
A variable-rate loan, on the other hand, brings with it a constant anxiety as to what the market will do as your rate approaches the time for re-evaluation.
Businesses will often opt for the lower rate of the variable-rate loan as the payments are much lower (due to the lower incentive rate) at least for the beginning of the loan period.  This is very useful if your cash flow is on the low side and the business has not a solid customer base to start with. The danger here is that the rate could increase fixed rate loans in tompkins countysignificantly (even with a cap) that is causes hardship on the business to manage the increase.
Your Choice, Your Way
The decision as to whether to choose a fixed or variable rate small business loan really comes down to your personal inclination toward risk or stability. There are advantages and disadvantages to both. Consider the needs and strategies of your business and pick the one that best matches you.
If you have questions or would like to learn more about small business loans in Tompkins County, contact us here at Business Loan Connection and we will be happy to assist.
Published August 16, 2017 by Carol Chernikoff in Finance

A First Timers Guide to Small Business Loans

Millennials and Baby Boomers alike are hedging their bets on what the economy is going to do and how best to secure their future. The old standby of getting a job for 40-hours a week for 40 years is no longer appealing, safe or guaranteed. Many have experienced the changes in the employee/employer landscape and even been the finding a business loan lender in Central NYvictim of redundancy.
Entrepreneurs are plentiful now and although have always existed, the urgency is higher as uncertainty fills the air. The future is not guaranteed for anyone. Start-up businesses are popping up right and left, so you would think there is sufficient money available to fund projects. True and not true. Money in the form of loans and grants are, indeed, available but come with stringent rules and requirements. Small business loans in the Finger Lakes region are available but you need to know where to start.
Where to Start in Financing your Business Venture
Take a good hard look at your idea, the desire and need for the service or product, the industry trends, and your potential client base. You will need to deeply and diligently research many aspects of your proposed business before even attempting to woo a lender with your request for a loan.
There are three main types of business loans available.
  • Small Business Administration (SBA)
  • Conventional Bank Loans
  • Alternative Lenders
Which one is best for you and your business will rely on several factors. Let's look at each option:
Small Business Administration offers several useful loan programs intended to meet the funding needs of various business types.
The government isn't directly lending small businesses money. Instead, the SBA sets guidelines for loans made by its partners, which include banks, community Central NY small business loansdevelopment organizations and microlending institutions.
These loans facilitated by the SBA are guaranteed and backed by the government, which helps in reducing the risk to lenders.
Businesses have a variety of SBA loan types to choose from, each of which comes with its own rules and stipulations on how the money can be used and when it must be repaid.
Pros and cons: The government guaranty, which typically covers between 75 and 90 percent of the loan, eliminates much of the risk for the lender. In addition, the terms of an SBA loan also tend be more favorable to borrowers. The downsides are that additional paperwork needs to be filed, extra fees need to be paid, and it takes longer to get an approval.
This can be an excellent option for new start-ups from entrepreneurs without a huge or existing history in the business marketplace.
Conventional Bank Loans
Although small business loans in Tompkins County from your local bank are also the source of the SBA guaranteed loans (which are often the loan type a new business will approve for due to the guarantee of repayment), your local lender is also the formulators of conventional loans.
The biggest difference here is that with a conventional loan, the government is not guaranteeing or backing the loan, thus putting the lender is a more precarious position.  Often this risk outweighs the bank's comfort level in loaning the money to a new start-up.
Bank loans still require particular business plans, credit history, ability to repay and track record, the rules and stipulations as to how the money will be used is less daunting.

Pros and cons: While conventional loans can be approved quicker than SBA loans, and often carry a lower interest rate and less fees, the repayment term can be significantly shorter.  The difficulty in obtaining a bank loan for a new business is difficult to say the least.  New would-be business owners without a strong track record and credit history may find this option to be a tough sell.
Alternative Lenders
In recent years, the idea of alternative lenders has blossomed and there are some big players in the field. Small businesses are quite interested in these new lenders because of their lighter restrictions, ability to deal with less-than-perfect credit histories, and openness to start ups.
Speed of application, approval and cash-in-hand is a huge bonus to entrepreneurs who want to get going quickly and with the least amount of hassle.
There are direct alternative lenders, which lend money directly to small businesses, and lending marketplaces, which provide small businesses with multiple loan options from different direct lenders.
Pros and cons: There are excellent positives when considering an alternative lender which can include those items listed above (easy application process, quick approval and quick funding).  Your business and/or personal financial history doesn't need to be above excellent, and there are few restrictions on the use of the money. There is always a downside for something that sounds so good. And in this case, it is the matter of interest rates,which will be considerably higher than SBA or conventional.  That, of course, makes sense when the lenders in this arena are taking a much higher risk on loaning the money to you.
Final Thoughts
No matter which way you decide to go to finance your business idea, be sure to evaluate the options and be prepared with all the necessary documentation to make sure you can clearly and concisely get your business idea across to the lender in a favorable light.
Take your time and do your research. In these tumultuous times, building your own safety net with a business can be the answer for you and your family.
Published July 27, 2017 by Carol Chernikoff in Finance

Business Loan Connection Offers Small Business Loans in the Finger Lakes Region

You have an excellent and compelling business idea, but you need funding. Not to worry. Very few business start-ups can begin operating without financial backing and funds. Small business loans in Tompkins County are available and Business Loan Connection can get you started.
Our community connections and educational services offer some of the best and most attractive loan options to entrepreneurs who need a hand in getting started.  small business loans in the finger lakesWhether your need business equipment loans, working capital, mortgages for investor housing or qualify for loans directed to assisting women and minorities, we can help you find the right financing for your needs and circumstances.
What Makes Business Loan Connection Different
Rather than having one sole lender to work with, our access to financing products are plentiful and secure. We work with our credit union partners in the following New York Counties:
  • Cayuga
  • Chemung
  • Cortland
  • Madison
  • Oneida
  • Onondaga
  • Oswego
  • Schuyler
  • Seneca
  • Tioga
  • Tompkins
Credit Unions are cooperatives. 
They offer the same loans and financial products as do typical banks, but are a non-profit entity. Business Loan Connection is a unique collaboration between community development credit unions in central and upstate New York. By connecting existing and aspiring business owners to financial and skill-building opportunities, we work to cultivate successful small businesses throughout our combined service area. With the rise of uncertainty in today's financial markets, it is a wise decision to look toward your own ability to provide for your family and ultimately your community by starting a business in the Finger Lakes which will bring value to your local area.  Consumers are becoming more adamant about supporting their local small business owners instead of lining the pockets of the big-box-store executives.
Central New York has seen its share of ups and downs in this volatile economy, but no time is better than the present to embark on your dream.  Our access to small business loans in Tompkins County and environs is second to none. Our understanding of the needs of small business owners has proudly made us one of the top lending solutions in the area.
Your business idea, service or product has a value above all others.  You bring your own expertise, personality and dreams to the table, and can set the stage for a profitable future. There are numerous types of loans and financing available. 
Some of our Small Business Loan products include:

Business Loan Connection is proud to bring you small business loans in the Finger Lakes region. Your idea is important to us and we do encourage you to proceed in applying for the financial terms that will most suit your business and needs.  Feel free to contact us with questions. We re happy to provide the answers you seek and look forward to building a comfortable and enjoyable relationship and partnership with you.
Published July 13, 2017 by Carol Chernikoff in Finance

Central NY Small Business Owners Can Count on Business Loan Connection

Central NY has had its share of setbacks over the years. For many small business owners who live here, however, this is the best place to start a business and raise a small-business-loans-syracusefamily.

Business Loan Connection was formed so that everyone who wants to create a thriving, sustainable business in Central and Upstate NY has a chance to make this dream a reality. It doesn’t matter what your economic status is, small business owners who are willing to learn and work hard can count on the Business Loan Connection to work with them.

What is a CDFI?

When financial institutions come together, everyone wins. Business Loan Connection is a Community Development Financial Institution (CDFI). A CDFI is a group of financial institutions that come together to serve their local community. CDFIs are certified by the US Department of Treasury and offer financial products and services in economically depressed and underserved areas. 

The goal of a CDFI is to do more than just offer loans. These financial institutions also offer education services to help small business owners learn how to manage and grow their business. This education ensures that the local community will grow with the businesses as jobs are added in the area and money is then injected back into neighborhoods. New jobs also attract new residents to the area and more opportunities for growth.

Cooperative Federal and Alternative Federal Credit Unions

Business Loan Connection is a CDFI formed by Cooperative Federal and Alternative Federal Credit Union. These organizations are community credit unions that believed that if they combined their efforts they could offer more services to a larger area.

Both Cooperative Federal and Alternative Federal Credit Union are dedicated to strengthening neighborhoods, create economic opportunity, and foster a solidarity economy. They specialize in offering financial products to those who are low income, new citizens and others marginalized by the mainstream economy.

These credit unions also offer business education and financial assistance to Central and Upstate NY small business owners, including:

  • Business consulting
  • Business workshops
  • Business seminars
  • Credit assistance for new business owners

Business Loan Connection wants to help give small business owners every opportunity to achieve success and to be able to qualify for financial products that will help their business grow.

You Can Count on Business Loan Connection

Business Loan Connection located in Central New York is comprised of community credit unions that are highly invested in the areas they serve. They are dedicated to helping marginalized residents realize the dream of home ownership and business ownership that would otherwise remain unfulfilled. As a certified CDFI, Business Loan Connection offers the financial and educational tools Central NY small business owners need.

To learn more about how Business Loan Connection can help your small business contact us today and speak to one of our qualified loan specialists.

Published June 28, 2017 by Carol Chernikoff in Finance

A Guide to Obtaining Small Business Loans

Small business owners often believe that obtaining a loan for their business is impossible in today’s economic climate. Banks are lending out less money and lending guidelines are more stringent. It appears you must prove you don’t need a loan before you can qualify to get a loan.

Obtaining small business loans isn’t impossible if you are able to answer the 5 W’s:

  • Why do I need a loan?
  • When do I need the money?
  • What type of loan do I need?
  • Where do I obtain the loan?

This guide can help you understand how to answer these five questions so that you can make sure that you obtain the financing you need for your small business.

Why do I need a loan?

At first the answer to this question seems obvious: you need money for your business. However, the answer can’t be that simple. You need to let a lender know how you will use the money you receive. Are you looking to:

  • Start a new business?
  • Develop and launch a new product?
  • Purchase more equipment?
  • Meet payroll until customers pay outstanding invoices?
  • Cover expenses during your slow period?
  • Buy a new building?

Once you are specific regarding the reason you need the loan you can then determine the type of loan you need and the type of lender who will be best able to meet your small-business-loans-onondoga-countyneeds.

When do I need the money?

Another question you need to answer to obtain a small business loan in Upstate New York is “When do I need the money?”

Are you short of funds due to an unexpected expenditure and you need money right away? Have you been planning a product launch for the last few months and are now ready to start development? Or do you know that January and February are always slow for you and you are looking for a way to cover upcoming expenses?

Emergencies happen and if you need money as soon as possible there is funding available, however that will limit your options regarding the type of funding you can obtain and the lenders that offer those type of loans. With planning, you will have more options and the ability to receive the best loan for your needs at better rates.

What type of loan do I need?

The type of loan you need depends on why you need the money, when you need the money and your financial standing. When you are looking to answer this question, you need to consider:

  • What is my personal credit rating?
  • Do I have collateral?
  • How long have I been in business?
  • How much money does my business make?
  • Will I be able to make payments on the loan I receive?

You may not like to think about these questions and the answers may not be what you hope for. However, you need to be honest with yourself and don’t think that a poor credit rating or no collateral means you don’t qualify for a small business loan. There are many different types of credit available and some financial institutions are more flexible than others are.

Depending on the type of financing you need, you may be able to apply for:

  • A business credit card
  • A business line of credit
  • A personal loan
  • A merchant cash advance
  • A term loan
  • A SBA loan
  • Invoice financing
  • A microloan

These different loan options make it easier to meet almost any business need you have, even if your financial status is less than favorable.

Where do I obtain the loan?

Once you know the answers to the first three questions, you can then consider the most important question when obtaining a small business loan: Where do I get the money?

Your first thought  may be that you need to go to your local bank and apply for a traditional business loan. That isn’t the case anymore. The recent economic crisis provided an opportunity for other, less traditional lenders to step in and offer alternative financing to those who don’t want or can’t qualify for a standard business loan.  These lenders include:

  • Credit unions
  • Microlenders
  • Online financial institutions

These lenders are more flexible if you are a new business, your company doesn’t generate a lot of revenue, or you don’t have traditional collateral such as property or equipment. You may have to pay a higher interest rate but the payments are often still affordable so that you can repay the loan without having to give up a percentage of your business.

Obtaining small business loans takes planning, research, and a willingness to think freely in terms of the type of loan you want. Even loans to satisfy an immediate need require some consideration.

If you are looking for a loan for your small business you should start your research by understanding your current situation and your options. You can talk to our loan specialists to get started.

Published June 14, 2017 by Carol Chernikoff in Finance

CNY Economic Development Loans and Your Business

Small communities often have a hard time attracting and retaining businesses. Many companies are lured away by the siren song of big cities with their large and talented labor pool as well as community resources. This has caused small and rural areas to create business incubators and economic development councils to help startups and small businesses.

The Central New York Regional Planning and Development Board (CNY RPDB) is a local entity that is looking to stimulate growth in Central New York with several different programs. One program, the Central New York Enterprise Development Fund (CNY EDF), helps local small businesses finance their growth and business development needs.

What is a CNY Economic Development Loan?

The goal of the CNY EDF is to help create and retain jobs in the area by attracting and supporting small businesses. They help small businesses leverage private funds by offering loans for business growth projects.

CNY Economic Development loans are meant to be a part of a total financing package used by a business to fund a project. The maximum loan amount is $100,000 and the amount of the loan can’t exceed 50% of the total project cost.

In addition, CNY EDF requirements state that the small business must invest at least 10% of its private equity to finance the project. The remaining funds for the project can be obtained by qualifying for a commercial loan, grant procurement, or through other business financing options.

A CNY Economic Development loan can only be used for projects geared towards improving property, purchasing equipment, or for creating long term working capital.

CNY EDF Loan Terms

Central New York Economic Development small business financing is a revolving loan with a 12-60-month term. In addition to the 10% private equity, businesses must have a form of collateral they can use to secure the loan. The type of collateral depends on the amount of financing requested and the purpose of the loan.

There is a non-refundable $250 loan application fee and the business is responsible for the closing costs of the loan.

CNY Economic Development Loan Criteria

To qualify for a CNY EDF loan you need to be a manufacturer or service firm located in one of the following counties:

  • Cayuga
  • Madison
  • Onondaga
  • Cortland
  • Oswego

The company can only have a maximum of 100 employees and be able to prove the organization has created new wealth in the region by either creating or retaining jobs.

CNY Economic Development Loans and Your Business

If your business meets the above criteria, then you may be able to qualify for a CNY EDF loan. Our loan specialists may be able to answer your questions about CNY Economic Development loans and how they can be an important part of financing your business growth project.

Published May 31, 2017 by Carol Chernikoff in Finance

Understanding SBA Loans

If you own a business or are looking to start a business you may have heard about Small Business Administration (SBA) Loans. To many business owners, SBA Loans seem like the best solution to all their business problems. As with all financing options, however, there are advantages and disadvantages to these government guaranteed loans.

If you are a small business owner In the Finger Lakes region looking for financing to start a new business, buy equipment or purchase real estate for your new business, then you will need to understand what SBA Loans are, the terms of these loans, and what the application process entails.

What is an SBA Loan?

SBA Loans are overseen and approved by the Small Business Administration. While individual financial institutions may offer these types of loans, the SBA dictates the application process, approval, and terms.

There are four main types of SBA Loans:

  • General Small Business Loans 7(a)
  • Mircoloan Program
  • Real Estate and Equipment Loans (CDC/504)
  • Disaster Loans

The federal government guarantees up to 85% of these loans that are less than $150,000 and 75% of loans that are more than $150,000. This guarantee is what makes these loans so appealing to both lenders and business owners.

The most common uses for these loans are for working capital, business expansion, purchasing new equipment, buying a business, or purchasing real estate. The maximum loan amount you can request is $5 million dollars but the Microloan program allows new or growing businesses to borrow minute amounts for a short period.

Loan Maturity and Interest Rate

If you are looking to finance working capital, you can have up to 10 years to repay your loan and if you are looking to finance fixed assets you can have up to 25 years to repay the loan.

The interest rates are reasonable and controlled by the SBA. While rates vary depending on the type of loan you are requesting, the SBA puts a cap on the spread financial institutions can add. The term spread is used to define the mark up financial institutions can add to the prime rate of a SBA loan.

For example, if you are looking to borrow $50,000 for 5 years, the interest rate would be the prime rate with no more than a 6% spread added onto the loan by the financial institution you are working with.

SBA Loans and Repayment Terms

Another benefit of an SBA Loan is the repayment terms. Loans with a longer repayment term have a lower interest rate and monthly payment than loans that mature in a shorter period. This allows you to obtain the financing or equipment you need without having to worry about high payments or a short-term loan.

SBA Application Process is Rigorous

While there are many benefits to applying for an SBA Loan, the qualification process is rigorous and time consuming. In addition to the application, the SBA demands a copious number of supporting documents, including:

  • Your resume
  • Your personal income tax returns
  • A Personal Financial Statement form
  • An overview of your business
  • Your Profit & Loss Statements

If you are interested in viewing the entire check list, then you can view it here.

Individuals who have a sound personal and business financial history have a better chance of being approved for an SBA Loan and even then, you must wait several months to receive your funds.

If you are interested in learning more about SBA Loans and if your business would qualify, contact the loan experts at Business Loan Connection and they can help you determine if an SBA Loan will help you meet your business goals.

Published May 24, 2017 by Carol Chernikoff in Finance

Is a Line of Credit Beneficial for Your Business?

If you are looking for financing for your small business, you have several options to consider. One of these options includes a business line of credit. In order to understand if a line of credit is beneficial for your business, you need to consider the pros and cons of this type of financing.

Business Lines of Credit

A business line of credit is similar to a home equity line of credit. Your business will receive access to a specific amount of financing, such as $50,000. You only have to make payments or accrue interest on this financing if you utilize it for your business.

Most lines of credit are revolving, so if you use the financing and pay it back you have access to the same amount of financing again.

Business lines of credit can be secured or unsecured. If you secure a line of credit, you may need to use your receivables as collateral.

Uses for a Line of Credit

A line of credit is best used as a short term loan. It is often used to help cover operating expenses. Businesses often use a line of credit to:

  • Help meet payroll obligations
  • Cover seasonal expenses
  • Handle temporary cash flow shortages

Any type of expense you need to meet before you cash flow improves can be covered using a business line of credit. You don’t want to use it if you are suffering from a long term cash flow shortage or for a long term investment.

Line of Credit Pros

There are many benefits to obtaining a line of credit for your small business. The fact that you have ready access to extra finances can help you if your customers don’t pay their invoices on time or if you have an unexpected expense. Other line of credit pros includes:

  • Lower interest rate
  • Lower closing costs
  • Doesn’t require you to give up a percentage of the business
  • Often don’t require collateral
  • Helps to build business credit

These business line of credit benefits are one of the reasons why many small businesses turn to them for their funding needs. However, there are some disadvantages to this type of financing that you need to consider.

Line of Credit Cons

While the ability to keep your personal savings and not have to search for investors is nice, a business line of credit is only for short term financing needs. If you are Small Business Laons in Upstate New Yorklooking to expand your business, purchase equipment or buy a new building, this type of financing isn’t an option for you. Other disadvantages of a line of credit include:

  • If you miss a payment your interest rate can increase
  • If you exceed your credit limit your interest rate will increase
  • You need to pay up front fees to obtain the financing
  • Line of credit needs to be repaid even if business fails

Another factor to consider is that the business line of credit still needs to be paid back. This added expense may become a burden to your company when your cash flow improves. Some companies end up in a vicious cycle of continuously borrowing and repaying from their line of credit.

As with all types of financing, you need to look at many different aspects to determine if a line of credit is beneficial for your small business. Contact one of our loan specialists to learn more so that you can make an informed decision.

Published April 19, 2017 by Carol Chernikoff in Finance

Women in Business, A Small Business Owner Guide to Securing Small Business Loans

Women owned businesses are breaking new ground in the US. Businesses owned by women generate $1.2 trillion in annual revenue, yet many of these entrepreneurs Women in Businesshad to start their venture with less capital and their path to success is impeded with financial barriers. This is why the SBA’s Office of Women Business Owners and other organizations are working to help women on their path to success.

Small Business Requirements

Women who are applying for a small business loan need to have a good credit score from a business reporting agency, and a sound business plan. If the business is low-risk, it will have a better chance of receiving funding than a high risk venture.

Financial Barriers

On average, women start their businesses with half as much capital as their male counterparts. Other financial barriers include:

  • Only .1% of women who apply for venture capital receive it
  • Only 25% who apply for angel funding receive it
  • 55% of women use their personal savings to start a business
  • Only 5.5% apply to financial institutions, including banks for small business loans

Bridging the Gap

Small business loans are important to help bridge the gap to meet the financial needs of a startup. While women and men have issues obtaining a small business loan for a new business, women are statistically at a disadvantage. Organizations that include the Small Business Association, Score and the National Women’s Business Council have created training and assistance to help women obtain a small business loan as well as to survive and thrive in their new venture.

These organizations provide mentoring to help women learn the necessary skills to improve the chance of success. They also help women learn important business skills to make sure that they can build their company on a solid foundation.

Many of these organizations also teach women how to apply for the special loan programs created for women by the SBA and others.Small Business Owners

Becoming the Next Success Story

Organizations are creating ways to level the playing field for women entrepreneurs. By working with these organizations, financial institutions, and potential investors, women are able to create the businesses of their dreams.

If you are looking to start a new business contact our financial experts. They can help you understand how to apply for a small business loan and resources that are available to help improve the odds of receiving funding.

Published April 12, 2017 by Carol Chernikoff in Finance

Business Loans for Equipment: What You Need to Know

Business loans for equipment are a fast and efficient way to finance business necessities such as machinery, vehicles or new computers. How much you can borrow, loan equipment loans in Upstat New Yorkterms and the length of the loans depends on your credit history and the items you need to finance.

What is a Equipment Loan?

An equipment loan is similar to a personal car loan. The amount you can borrow depends on the value of the equipment, you receive a fixed interest rate, and the equipment is used as collateral for the loan.

What You Need to Know

Here are some important things that you need to know about business loans for equipment:

  • You can finance between 80%-100% of the cost of the equipment
  • You can use an equipment loan to purchase
    • Heavy machinery
    • Business vehicles
    • Computers and other hardware
    • Factory equipment
    • Most business equipment
  • Amount you can borrow depends on the type of equipment or if it is new or used
  • Factors that affect approval for an equipment loan include
    • Value of equipment
    • Business history
    • Credit rating
  • Even if your credit is imperfect you can still qualify
  • Length of the term will depend on the type of the equipment and its useful life
  • Does cost more than purchasing equipment outright but spread cost out

A business loan for equipment may not be your best option for all purchases. Depending on the cost of the equipment, the interest rates you qualify for and the useful life of the equipment, you may be better off purchasing the equipment outright or using a business credit card. The best way to determine if a business equipment loan is in your best interest is to speak with a financing specialist.

Published March 29, 2017 by Carol Chernikoff in Finance

Do You Need an Accountant or a Bookkeeper?

Most small business owners try to complete many business tasks on their own. This do it yourself attitude often extends to keeping track of the business finances. With Small Business Loans in Upstate New Yorkfinancial software available that will walk you through most tasks why do you need an accountant or a bookkeeper? The truth of the matter is that most business owners in Upstate New York aren’t doing as well as they think and could use some outside assistance.

Questions to Ask

Some questions you may want to ask when deciding if you need an account or a bookkeeper include:

  • Am I familiar with basic accounting tasks and financial statements?
  • Do I know anything about taxes?
  • Does bookkeeping keep me away from other important tasks?
  • Is my business currently experiencing rapid growth?
  • Is my revenue going up but my profit is staying the same or going down?
  • Do my investors expect professional financial reports?
  • Am I looking to expand my business, especially into a new state?

When most business owners consider these questions they realize that financial matters may be over their heads and they need to call in the professionals.

You Actually Need Both

Business Loan Connection knows the real answer to this question is that you most likely will need both an accountant and a bookkeeper. The reason for this is because each position handles different financial situations. An account can help you see the big financial picture, offer financial advice, do your business taxes, and prepare the financial documents you need to obtain financing.

A bookkeeper handles the day to day tasks that keep the financial gears of your business turning smoothly. They can handle expenses, accounts receivable, payroll and tracking all of the financial documents you will need to file your business taxes. They can be your financial right hand that will help you determine where your money is coming from, where it is going to and if there are ways to save money to make your business more profitable.

Should Accountants and Bookkeepers Be Outsourced or In-house?

Just because you may need the services of an accountant or bookkeep doesn’t necessarily mean you need to add them to your staff right away. Both financial professionals can be hired on an outsourced basis at first and then you can hire financial staff in-house down the road if the need arises.

You can hire a part-time bookkeeper as a sub-contractor to work only a few hours a week if you are a new business. They can work in the office or from home and can handle all the day to day tasks you don’t have time for as you get your business up and running.

Initially you may only need to work with your accountant once a year at tax time. If you are looking to require capital or negotiate credit terms you may need to speak to your accountant more often, but at most you should only need to see your accountant a few times a year.

How to Know When to Make the Transition

If you decide to outsource your bookkeeping and accountant needs, then how do you know when you need to hire someone in-house? One key sign that you may need a full-time in-house bookkeeper is if your business has thirty or more employees or is generating $1 million in annual revenue. If your tax planning has become complicated, basic accounting services are no longer sufficient or you speak to your accountant more than several times a year, then you may need to look to bring a full-time accountant on board for your business.

Understanding the financial health of your business is key to making your company sustainable and investing in your financial future. Contact our experts for help in assessing the health of your business and to see if a business loan will help you meet your business goals.

Published March 16, 2017 by Carol Chernikoff in Finance

What’s the Difference Between Debt and Equity Financing ?

It takes money to make money, however this saying doesn’t take into account the fact that not everyone has money when they start a business. Small business startup small-business-loans-finger-lakesloans in Upstate New York can be difficult to obtain, which leaves alternative financing methods. Equity financing is one alternative method to obtain funds for a new business.

Debt Financing and Equity Financing

The term debt financing is just another way of saying a company borrows money to finance their business. Equity financing is where an individual or company offers capital in exchange for part ownership of the business.

Equity Financing

There are benefits to using equity financing to obtain capital. Investors offer financing on the basis of the merits of the business plan. This is beneficial for startups, because they don’t have the three years of business financial history banks require. It is also okay if an individual’s credit is slightly bruised or that the business doesn’t have assets to use as collateral.

Repayment with equity financing is less rigid as well. There are no set monthly payments and the company doesn’t pay the investor back if the business doesn’t show a profit.

The disadvantage of equity financing is that the entrepreneur is no longer the sole owner of the business. The investors have a say in the day to day operations of the business and receive a share of the profits as a means of repayment. Not all business owners like the idea of someone else having a say in their company.

Debt Financing

Obtaining a small business startup loan in the Finger Lakes region allows business owners the ability to maintain full ownership of their company. If an individual has put up collateral, they may lose assets if they don’t pay the loan back but they maintain ownership. A small business loan also helps build business credit, which make obtaining future loans with better interest rates easier to achieve. Interest rates are also tax deductible, which is always a plus.

Small business loans are also more difficult to obtain. An individual needs to have good credit and outstanding financials. Business owners may also need collateral if they are looking to obtain a large loan. This isn’t always easy, especially in after the recent financial tumult.

There are advantages and disadvantages to equity financing. Business owners need to look at their financial situation, what they are using the capital to accomplish, and how they feel about giving up a share of their business before determining if equity financing is right for them.

Published February 22, 2017 by Carol Chernikoff in Finance

How to Leverage a Small Business Loan for Growth

Not all debt is bad. When used carefully, debt can help a business manage a short term cash flow situation or expand their business. A small business loan can be used to small-business-loans-finger-lakeshelp a business owner remove obstacles that stand in the way of achieving the next level of success.

Leveraging Small Business Loans

Should a business owner take on debt in order to grow their business or should they wait until they have the cash reserves to expand their business? This is a question many business owners face when they are considering taking to the company to the next level.

This question isn’t always easy to answer. Sometimes entrepreneurs feel trapped because they can’t achieve growth without a huge investment in their company. Many owners face these growth dilemmas:

  • They can’t bring in more customers without moving to a more expansive location with more traffic
  • They can’t win bids for large customers without the funds to cover expenses until the customer pays
  • They can’t produce more products without investing in expensive equipment
  • They can’t launch a new product line without being able to cover launch expenses
  • They can’t expand without moving to a larger facility

Many of these opportunities for growth can’t occur without the business owner taking on debt. So. Should the owner let these opportunities pass them buy or take the risk and obtain a small business loan?

Take on Debt or Wait?

Obtaining a small business loan for growth is a reasonable risk to take if you have a clear goal in mind, a business plan that outlines how the money will be used, and an understanding of the return on investment you will be able to achieve.

This investment needs to be able to cover the principle and the interest of the small business loan you will be taking out for your company. You need to be able to calculate the profit you will achieve with your investment, what your new earnings will be, and if those new earnings after expenses will be able to repay your loan plus interest.

The type of loan that you will use to achieve growth will be a major factor in your ability to cover the principle and interest. You need to find out what type of loan you can qualify for based on your company’s current income, potential collateral and personal credit rating. If the interest rate is too high or you won’t be able to obtain a loan for the amount you need, they you may want to consider alternative loan products.

Alternative Small Business Loan

Companies caught in the viscous cycle of needing a small business loan to achieve growth but can’t qualify for a loan before they increase their business income may want to consider an alternative loan. These alternative financial products include:

  • Cash advances
  • Loans based on collateral
  • Angel funding
  • Business credit lines

Alternative lenders don’t consider the same criteria as traditional lenders for their small business loans. You may be able to qualify for the funds you need based on your future earnings and achieve the growth your company needs to reach the next level.

If you are considering applying for a small business loan in Upstate New York to grow your business, talk to a loan specialist today. 

Published February 15, 2017 by chris barkley in Finance

What are Working Capital Loans?

Small business owners in Tompkins County often find themselves on a cash flow rollercoaster, which affects the company’s working capital. When it is difficult for your business to meet working capital loans in the Finger Lakes expenses, you can apply for a working capital loan.

What is Working Capital?

If you were to ask your bookkeeper what the definition of working capital is, they would tell you that your working capital is inventory on hand and your accounts receivables minus your payroll and accounts payables. Translating that into layman’s terms, your working capital is inventory and customer payments minus what you pay employees and suppliers. If you have cash on hand or in the bank, this would also be part of your working capital.

You use this money to pay all of the day-to-day- expenses you encounter as a part of operating your business. As with all small business owners in Central, NY, you experience times when you don’t have enough cash to cover those expenses because your money is tied up. For example, you may have just ordered a big shipment to meet customer demand, some of your customers may be slow to pay what you owe, or you just hired a new employee.

When your cash on hand doesn’t meet operating expenses, you may need financing to help you cover outlays until your cash frees up. You don’t need a large loan, or need long-term financing, just something to help you cover your current shortfall.

What are Working Capital Loans?

A working capital loan is a short-term financing option that will help you cover the everyday expenses of your business.  An example of a short-term loan is a business working capital loans Upstate New Yorkline of credit, which is a form of revolving loan you have access to when you need it and once you pay back what you borrow you have access to the financing again.

Working capital loans are easy to apply for and you often receive financing faster than you can with a standard loan. You also don’t have to explain how you want to use the funds, which is a requirement for standard loans. This means working capital loans are great for unexpected losses, however, it is usually best to apply for some loan types, such a business line of credit, before you need it.

What Expenses Qualify for Working Capital Loans?

You can use working capital loans for standard operational expenses, including:

  • Take advantage of a fantastic discount from a supplier
  • Stock up on inventory before a peak season
  • Cover operational expenses during a slow season
  • Cover pre-launch expenses
  • Update your product lines
  • Renovate or relocate your office space
  • Cover expenses during economic fluctuations
  • Cover expenses while collecting from slow paying customers
  • Help cover additional marketing efforts to assist in business growth
  • Meet payroll during an expansion

A working capital loan will prevent you from having to search for an investor or dip into your personal savings to help meet cash flow needs and can help you improve your business credit rating if you pay the loan back in time.

There are several different types of working capital loans, and each one has its advantages and disadvantages. You can speak with our loan specialists to learn more about working capital loans and if they can help your business.

Published January 25, 2017 by Carol Chernikoff in Finance

Crucial Tax Deductions for Small Businesses money is an essential part of running a small business. As a small business owner in Central, NY, you often need to determine what you purchase, what supplies you reorder, and what expenses need to wait. Sometimes spending money now can help you save money later because you will be able to lower the business taxes you will owe at the end of the year. Here are some crucial tax deductions for your small business.


Many of the technological devices and equipment you purchase to help run your business qualify as tax deductions. Qualifying purchases include:

  • Mobile phones
  • Internet provider
  • Computers/laptops
  • Software
  • Upgrades
  • Technical support
  • Training to use technology
  • Printers
  • Refrigerator for breakroom
  • Lights and lighting

Some technology deductions can be taken all at once, while others need to be spread out over several years. Your accountant, book keeper or tax advisor in the Finger Lakes region will be able to help you understand how to qualify for specific technology deductions based on your purchases for the year.


Essential business supplies are also tax deductible, including:

  • Paper
  • Pens
  • File cabinets
  • Desks
  • Chairs
  • Cubicle walls
  • File cabinets
  • File folders
  • Ledgers

Keep careful track of all of the supplies you purchase throughout the year to decrease your tax liability.


All of the inventory you need to create the products you sell, the items you ship or things you sell in your brick and mortar store constitute an important tax deduction category:

  • Spices and ingredients you use to create the dishes you sell in your restaurant
  • The materials you need to produce the dolls you sell
  • The wellness products you buy to sell in your health food store
  • The beauty supplies you sell on your ecommerce website

All of these items are tax deductible, so monitor your inventory carefully.


The expenses you incur while advertising your business are also tax deductible such as:

  • Your company website
  • Sales activities
  • Promotions
  • Television/Radio ads
  • Newspaper ads

So consider this as you determine what types of marketing you will do for your company.

Employee Related Expenses

Expenses related to hiring, training and retaining employees are huge and are also one of the major categories in deductions.

Deductible employee expenses include:

  • Salaries
  • Fees paid to contractors
  • Health insurance and benefits
  • Training
  • Company Parties

You may also be able to deduct the fees of the accountant you use to determine deductible business expenses.


All travel related expenses also qualify, including:

  • Client meetings
  • Trade shows
  • Meetings with vendors
  • Plane tickets
  • Hotel bills
  • Meals

Keep careful track of all of your expenses when you travel so that you can deduct them to reduce your tax liability.

Startup Costs

Costs that you accrue to startup your business can be tax deductible, such as:

  • Licenses
  • Registration fees
  • Office space
  • Securing distributers
  • Grand opening activities

Determining your tax liability is an important but confusing part of running a business. Hiring an accountant or tax advisor who understands current business tax codes will help you to reduce your tax liability while staying compliant with business tax laws.

Published January 11, 2017 by Carol Chernikoff in Finance

Understanding How Your Personal Credit Score Effects Your Business Loans

Business financing is difficult to obtain for new and existing businesses alike. However, what many SMB companies aren’t aware of is the fact that if you are business loans in Onondaga Countylooking for a small business loan in Syracuse, banks look at your personal credit score. The health of your personal credit score impacts your ability to obtain a loan with an A lender.

How Well Do You Manage Money?

According to the Small Business Administration, an individual’s credit score represents how well they manage their money. Therefore, if you have a low credit score, the banks consider you a poor risk because of your bad financial management. The SBA will also only approve business loans for those who have impeccable credit.

Bringing You’re A Game

So what score do you need in order to obtain financing from an A lender? If you have a credit score of 720, then you have a good chance of being approved for a business loan and receiving favorable terms. If your credit score is below 660, then you will have a difficult time finding an A lender who will approve you and you will most likely have a less favorable interest rate.

Alternative Lending Options

If you have poor credit you can still obtain a business loan. If you approach local or community banks you have a better chance of obtaining a business loan since their approval process is often more lenient than national banks. Credit unions are also more forgiving when it comes to personal credit scores and past financial mistakes.

Another option to a standard business loan would be to apply for alternative lending options that are available for small business financing in Central, New York. There are several different alternative lending options available, such as:

  • Stock based lines of credit
  • Merchant Cash Advances
  • Asset based loans
  • Revenue based loans

Revenue based loans are a financial product where a bank looks at the past six months of a company’s revenue. If a company has more than five deposits a month and generates $10,000 a month in revenue than you can qualify for a revenue based loan.

Some Bad Credit Restrictions

There are some instances where even alternative lending products aren’t an option. If you have filed for bankruptcy within the past year or have unpaid tax liens then you won’t be able to obtain a business loan or alternative lending product. People who have been convicted of a felony or financial fraud will also be unable to apply for a business loan.

Having good credit is the surest way to guarantee that you will be approved for a business loan with an A lender. Having poor credit doesn’t exclude you from obtaining a loan, however you may need to turn to your community bank or apply for an alternative loan. Looking for the best loan for your business may take some research but if you understand how your personal credit score effects your business loan then you are have taken a step in the right direction.

Published December 21, 2016 by Carol Chernikoff in Finance

Are Business Startup Loans a Thing of the Past?

Since the early 2000’s many banks have been hit hard. Some community banks didn’t survive the financial travails of the last decade and those that did survive can’t small-business-loans-tompkins-tioga-countiesafford to offer business startup loans like they used to. Business Startup loans may not be dead, but they are fighting for their lives. And it may be non-bank financial institutions that will throw them a lifeline.

A Vital Community Role

Community banks have played an important role for local businesses in the Finger Lakes. Their dedication to invest in Main Street USA offered new and existing businesses loan products that kept small businesses thriving. But as the lenders started to suffer, they were no longer able to pump money into the community, so small business has suffered as well.

This is especially true for startups. The credit crunch that started in the mid 2000’s made obtaining a business startup loan difficult. Regulations and restrictions on small business credit forced entrepreneurs to search for other ways to finance new business launches.

Non-bank Financial Institutions

Angel investors, crowd funding and non-bank online financial services have saved small business startups in the Finger Lakes region and helped keep the entrepreneurial spirit alive and well. Their business startup loans and other financial products have forced traditional banks to look at offering business loans again. Banks are revamping their product offerings, customer service approaches and sales approaches as they try once more to support the local business community.

Healthy Competition Means Businesses Win

As multiple financial services become available, startup companies have more variety when it comes to loan products. Business startup loans in Ithaca are still tied to an individual’s credit score, but even those with little credit or poor credit can obtain financing.

If you are looking for a business startup loan in Syracuse, you can find financing. By understanding the types of loans available, knowing your credit score, and having a solid business plan you may be able to finance your new business.

Published December 07, 2016 by Carol Chernikoff in Finance

What are Alternative Loans and How Do They Help Small Businesses?

Companies find themselves in need of financing for a number of reasons. Large businesses often have the credit, assets, and income history to receive a loan from a small-business-loans-cortland-countytraditional lender. Small businesses, on the other hand, don’t always have this option. If you are a small business, you still may be able to obtain financing with an alternative loan.

What are Alternative Loans?

An alternative loan is a financial option available to businesses who may not qualify for traditional funding. The lenders who provide these loans are more flexible than traditional banks. They will look at other sources of collateral, may be more forgiving about a poor credit history, and will offer financing to startup businesses in Central, NY on a more frequent basis.

Types of Alternative Loans

There are a wide variety of alternative loans, including:
• Working capital loans
• Merchant cash advance
• Lines of Credit
• Asset based loans
• Factoring
• Mezzanine instruments
• Venture capital
• Angel investing
• Small business loans and guarantees
• Short term bridge loans

Each of these funding types help small businesses in different ways and use different types of collateral, including real estate, credit card receipts, and accounts receivable. This flexibility ensures that a small business will be able to find a loan they need for their purchasing, expansion and start up needs.

How do Alternative Loans Help Small Businesses?

The fact that there are a variety of alternative loans are easier to obtain is one of the main ways that alternative lenders help small businesses. Alternative lenders are also more flexible with repayment terms and are willing to fund smaller loans that traditional creditors won’t touch.

In addition, a small business in Ithaca can often apply for a loan, be approved, and receive the funding within a shorter time frame than with traditional loans. This is beneficial for a small business that finds itself short on inventory or working capital because a customer hasn’t paid their account.

Demystifying Alternative Loans

Small businesses are often apprehensive about alternative loans and alternative lenders. Business owners have heard horror stories about irreparable lenders, horrendous interest rates, and repayment terms that must small businesses can’t afford.

However, most alternative lenders are well respected, long term financial institutions, such as credit unions, that understand there is a need for funding to small businesses. Traditional institutions have tightened their lending procedures following the recent economic crisis, and this has opened the way for other lenders to step up and offer a much needed service.

While the interest rates for alternative loans in Syracuse may be higher, they aren’t prohibitively high. If business owners due their research, they will often be able to find a legitimate organization that offers the funding they need at an acceptable rate.

Business owners due need to be careful when seeking alternative funding. Contact one of our loan specialists to understand more about alternative financing and the difference between good and bad lending terms.
Published November 08, 2016 by Carol Chernikoff in Finance

Two Leading Credit Unions Join Forces to Offer Affordable Small Business Loans in Central NY

Small businesses face multiple challenges.

Small business in Central NY face challenges that only local institutions understand. That is why Two leading local credit unions have joined forces to offer small-business-loans-tompkins-countyaffordable small business loans in Central NY with the creation of

Community Development Credit Unions

Cooperative Federal is a community development credit union and a member of the These credit unions work to help small businesses with financial products, education and counseling to ensure that local organizations not only survive but thrive.

Offering Expert Advice

The credit union partners of have the experience to help you answer important questions about small business financing and lines of credit for Finger Lakes area business owners. They are there to help you understand:

  • Personal credit and business financing
  • The business loan process
  • Small Business Administration (SBA) Guaranteed Loan
  • Women and Minority Subsidized Loans
  • Step Up Loans Alternative Solutions Small businesses often don't know that there are alternative solutions available to solve their financial problems. offers traditional and non-traditional loans. Alternative solutions help businesses receive the funding they need when traditional loans aren't available for some companies. Alternative loan solutions include:

  • Signature Line of Credit
  • Share Secured Loans
  • Business Equipment Loan
  • Working Capital Loan Loan Specialists has loan specialists available to help local small business owners determine the type of financing that will suit their needs. The loan specialists are not only experts in financing but also in the local financial and educational resources available to small businesses in Central NY. Receiving expert, local advice helps business owners understand all options available to them to make their organization grow.

Investing in the local community is an important part of business development. This is why the four credit unions that formed are community development credit unions. They want to invest in local businesses and create a vibrant community. If you are a Central NY small business owner in need of financing, contact a loan specialist or submit a loan application today.



Published November 08, 2016 by Carol Chernikoff in Finance