Access to a small business loan can come as a critical stage between the growth, expansion, or even starting small venture owners. Capital means necessary investment in new equipment for business expansion, scaling-up the workforce, and fulfilling daily operational expenses, says entrepreneurs. Whether you’re a startup looking to raise initial funding or an established business in need of capital for expansion, Wisconsin offers a variety of funding options. From government-backed loans to nonprofit organizations and state-specific programs, there are several ways to access the financial support your business needs. This article will present 20 ways small business loans in Wisconsin are protected. This will be across both state-specific programs to the federal level as well as nonprofit services dedicated to support and advancement of small businesses.
1. U.S. Small Business Administration (SBA) Loans
One of the most popular forms of funding for small businesses throughout all of Wisconsin is the SBA 7(a) Loan Program. It provides flexibility for a variety of business needs such as real estate, working capital, equipment, and inventory. The SBA CDC/504 Loan Program is ideal for businesses seeking long-term, fixed-rate financing for larger capital investments such as purchasing property or equipment. Another program that would work well for smaller loans of $50,000 is the SBA Microloan Program. It is also useful for small business owners to meet their expenses without needing to seek bank loans.
2. Wisconsin Economic Development Corporation (WEDC)
The Wisconsin Economic Development Corporation offers different types of loan programs to aid the growth and expansion of small businesses within the state of Wisconsin. The Business Development Loan Program of WEDC offers accessible financing to those businesses in need of real estate, equipment, or working capital. Entrepreneurship Support Program by WEDC targets businesses within underserved areas with the purpose of stimulating economic development, job creation, and sustainability in the long run.
3. Wisconsin Small Business Development Center (WVSBDC)
The Wisconsin Small Business Development Center (WVSBDC) offers free, one-on-one business consulting to entrepreneurs. They help small business owners in Wisconsin with business planning, marketing strategies, and financial management. WVSBDC also helps access funding, including SBA loans and other loan programs available to businesses in Wisconsin.
4. Wisconsin Community Development Block Grant (CDBG) Program
The Wisconsin Community Development Block Grant (CDBG) Program offers financing to businesses that have job creation and stimulate economic growth in low- and moderate-income areas. Loans from this program are for capital improvements, such as infrastructure and other projects that expand businesses. It targets the development of economic activity within communities in Wisconsin.
5. USDA Rural Development Loans
For businesses located in the rural areas of Wisconsin, there is the USDA Rural Development Loan Program. USDA provides land, equipment, and facility financing as well as offering working capital loans to help business growth. These loans are supposed to stimulate economic growth and employment opportunities in rural areas; therefore, they would suit any business located away from metropolitan cities.
6. Kiva Wisconsin
Kiva Wisconsin lets small businesses raise funds from a global community of lenders who want to fund new projects. Kiva advances interest-free loans up to $15,000 to Wisconsin businesses. The crowd-funding model lets business owners tap into a large and diverse community of lenders with flexible payback terms. This is a great way for small entrepreneurs to obtain smaller dollar amounts of capital without incurring the high-interest rates from traditional loans.
7. Wisconsin Women’s Business Initiative Corporation (WWBIC)
WWBIC is a non-profit organization that provides financial, technical, and other assistance to minority, women, and veteran entrepreneurs. WWBIC offers loans, business training, and other business financing options for small businesses in Wisconsin. The options available include microloans, working capital loans, and other types of funding.
The organization also provides various business development programs that provide assistance to entrepreneurs for improving their performance in the market.
8. SBA Microloan Program
The SBA Microloan Program offers up to $50,000 in loans to small businesses in Wisconsin. The program is targeted to help with working capital, inventory, equipment, or supplies for a business. Microloans are ideal for businesses that don’t require large amounts of capital; thus, they are suitable for startups or small-scale businesses looking to expand.
9. Community Development Financial Institutions (CDFIs)
CDFIs in Wisconsin offer business loans to enterprises that do not have the opportunity for traditional bank funding. A CDFI is a nonprofit lender which specializes in funding businesses based in disadvantaged economic areas or owned by minorities, women, and veterans. They give favorable terms and flexible structures to assist businesses.
10. Crowdfunding Platforms (Kickstarter, GoFundMe)
Crowdfunding is increasingly becoming a popular source of raising capital for small businesses in Wisconsin. Sites such as Kickstarter and GoFundMe enable business owners to present their business ideas to millions of online people and receive funds from those who share their vision. Crowdfunding is very effective for companies with unique products or for community-based initiatives.
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11. SBA 504 Loan Program
This long-term, fixed-rate financing for Wisconsin’s small businesses purchases major capital assets. It provides such financing when acquiring a capital asset which is often a real estate, or purchasing very large equipment, ideal for firms with significant requirements for raising money for expansions or for capital improvements.
12. SBA 8(a) Business Development Program
The SBA 8(a) program targets businesses that are either socially or economically disadvantaged. In this program, the government provides access to businesses in Wisconsin to contracts and other sources of funding that would otherwise not be accessible. The SBA 8(a) program provides financing and business development resources.
13. Venture Capital in Wisconsin
Wisconsin has a rapidly growing venture capital market with firms that focus on high-growth sectors like technology, biotech, and energy. If your business has high growth potential and operates in an innovative space, venture capital funding can accelerate your growth and access the resources needed to drive your business forward.
14. The Reinvestment Fund
The Reinvestment Fund is a nonprofit organization that supports companies whose activities include community development, affordable housing, as well as sustainable projects. Through loans and grants Wisconsin companies focused on social missions might be eligible for an entity offering favorable terms toward positive long-term outcomes from any project.
15. Wisconsin Bankers Association
Wisconsin Bankers Association (WBA). There the Wisconsin Bankers Association takes local small business owners, introducing them to the opportunities from local banks that they are offering loans, credit, commercial mortgages, and some specific products for small business and advocates for policies with good support for business to grow in the state.
16. WEDC – Capital Catalyst Program Wisconsin Economic Development Corporation (WEDC). Its Capital Catalyst Program
The Capital Catalyst Program provides capital to Wisconsin start-ups and early-stage businesses. The program matches private dollars with public grants. It allows a business to raise the money it needs for innovation and expansion. It is an excellent option for those seeking seed funding or proving their business concept to investors.
17. Angel Investors in Wisconsin
Angel investors provide funding in exchange for equity in a business. Wisconsin has an excellent network of angel investors who support early-stage companies and startups with high growth potential. These investors mainly give seed funding and work with businesses to help them grow.
18. Wisconsin Business Innovation Corporation (WBIC)
WBIC is a nonprofit organization that provides loans and business assistance to small businesses in Wisconsin. WBIC specializes in microloans and works with businesses across a wide range of sectors, including manufacturing, technology, and service-based businesses. The organization also offers mentoring and technical assistance to help businesses succeed.
19. Wisconsin Technology Council
The Wisconsin Technology Council is an organization that aims to support technology-based businesses in the state. With various funding programs, including venture capital and grants, the Council helps these technology-focused businesses grow and scale. The organization also provides resources for businesses looking to invest in cutting-edge sectors such as healthcare, engineering, and energy.
20. West Central Wisconsin Regional Planning Commission (WCWRPC)
The West Central Wisconsin Regional Planning Commission finances small businesses in the region with loans for infrastructural improvements and business development projects. They help local businesses in rural areas of Wisconsin to access funding resources to facilitate growth.
Conclusion
With so many small business loans in Wisconsin, business owners have a lot of resources to tap into that can help their businesses grow and thrive.
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