Janice Scarantion, owner of Busy Bees Learning Center

Today’s economic climate is slowing down (or even stopping!) business for many businesses.  But, not for MetroAction.  This year, we are experiencing a 243% increase in small business loan requests!  And, we’re ready to answer the call!  We have plenty of funding to lend and a streamlined application process that makes it as easy as 1-2-3 to apply for our loans. (more…)

Did you know that MetroAction offers loans up to $50,000 for small businesses that aren’t able to obtain bank financing?

Since 1997, MetroAction has helped more than 200 small businesses obtain over $2.8 million in financing.  We cover 8 counties in northeastern PA, including Carbon, Lackawanna, Luzerne, Monroe, Pike, Susquehanna, Wayne and Wyoming.

We’ve funded restaurants, child care providers, manufacturers, doctors, technology companies, attorneys and many other business types. In today’s economy, with banks tightening their credit policies, start-up and expanding small businesses are having a harder time finding the credit they need. (more…)

It starts with a vision.  If you take a walk down Center Street in downtown Scranton, you’ll come across an eclectic small business run by a man with big dreams and even bigger determination. Paul Nardone saw the potential in this up-and-coming city.  He didn’t see an older community with crumbling infrastructure.  He saw a thriving city that was bustling with new life and filled with opportunity.   (more…)

If you own an online business or if your brick and mortar establishment has a website, then this information is for you!

Business.gov, a website committed to providing businesses with access to government services and information, has recently developed a business Toolkit. The Toolkit is a “gadget” specifically designed for small business enterprises.

A “gadget” is a small object that can be posted to any website simply by cutting and pasting a code to the webpage. “Gadgets” offer various resources that are automatically updated everyday.

The new “gadget” provided by business.gov offers a wide variety of information and resources that are relative to small business owners. The features that this “gadget” offers are as follows:

• Explore information, forms, and contacts at all levels of government.
• Peruse current topics pertaining to small businesses.
• Research applicable licenses and permits pertinent to your business.
• View media clips offering advice from top entrepreneurs.

This is a quick, free, no maintenance reserve that provides you, and the ones that visit your website, with the latest information and resources related to small businesses. To obtain the code that will allow you to post this business Toolkit to your company’s website, visit www.business.gov.

We’d like to extend a thank-you to all of our community partners who have referred our programs to their clients.  The continued support of area legislators, banks, business development organizations and other community leaders is essential to the overall success of MetroAction. 

MetroAction recently awarded Kevin Messet of New Seasons Financial, with a trip to Woodloch Pines for referring a client to MetroAction during our  Spring Referral Incentive Program. Other prizes were awarded to Jeff Reimer, Pennstar Bank and Eileen Sokol, Pennstar Bank.  MetroAction appreciates the assistance and support of our referral partners and will continue to award their efforts in our fall Referral Incentive Award Program.  For more information, contact Christina Hitchcock at (570) 342-7711.

Today’s tumultuous economy poses a threat for business owners who are seeking to obtain capital. Banks have become rigid in their money lending habits. Because of this, the traditional bank loan process has become extremely tedious and very unforgiving.

The recent crack-down on the number of loans that banks approve has driven business owners to other sources, such as community development financial institutions (CDFI) for the money that they need. MetroAction is one of these institutions and they are committed to stimulating economic growth by providing small business loans and helping small businesses succeed.

But no matter what kind of institution you look to for a loan, your chances of loan approval will increase greatly if you meet a few important criteria. They are known as the 5 C’s of Credit.

1. Capacity – Any financial institution will be reluctant to approve you for a loan if they do not think that you have sufficient capacity to repay the debt. Financial institutions will consider your business cash flow, past payment records on other loans and commercial debt, and the likelihood of your repayment of the loan.
2. Capital – Capital is what you have personally invested in your business. You will be more likely to receive a loan if you have significant personal investments in your company. Having a large interest in your business shows lenders that you are committed to making your business succeed, which, in turn, increases their chances of receiving full loan repayment.
3. Collateral – Collateral is another kind of guarantee that will make loan approval easier. It is something of value, besides cash, that can be used to repay a loan should your original form of repayment not be substantial enough.
4. Conditions – Conditions are what you plan on using the loan for. It is important that you specify exactly how a loan will be used. A lender may also factor in how the local economy is doing and the economic state of your type of business when considering a loan request.
5. Character – Character is the vibe or impression that you radiate. This helps a lender decide whether or not they think you are a person of honor and morals. Such a person is more likely to repay a loan and thus is more likely to receive a loan. A background check and the quality of the references that you provide will also weigh into the decision.

To learn about what lenders look for when reviewing a loan request, attend one of MetroAction’s Small Business Resource Clinics.  These free seminars are held regularly throughout our 8-county service area.

As a small business owner, you probably feel financially strapped from time to time. Getting capital to keep your business afloat is, in many cases, a process that takes what seems like forever. Every penny matters and the faster you can get your hands on some cash, the better.

Well, here’s some good news from the IRS.

As part of the economic stimulus package that the government has recently provided, many businesses are eligible to receive a major tax break on purchased property for the year that the property is put into use. This means that there is a 50 percent depreciation allowance on qualified property.

Depreciation is the decrease in value of a given piece of property due to the natural effects of entropy. Normally, the cost of this wear and tear would be expressed on a company’s balance sheet over several years. With the new depreciation allowance provided by the government, a business can now write off half of qualified property as one lump sum, for property costing up to $250,000.

This allowance will keep some money in your pocket when April 15th rolls around. It has long been said that poor cash reserve is one of the main reasons for small business deterioration.  More money means that your business will have a much better chance for success.

For more details on the new depreciation allowance, visit www.irs.gov.

As always, MetroAction recommends that you consult with your accountant and/or attorney for all relevant business matters.