SBA Micro Loan Program

This is a small loan program that allows BCL of Texas to make up to $35,000 available directly to businesses.  The objective is for BCL to provide capital to small businesses in the North Texas region. Begin by calling one of our loan officers to get prequalified.

Micro Benefits

The SBA micro loan can fiance the following:

• Leasehold improvements

• Inventory

• Supplies

• Working capital

• Machinery and

• Equipment purchase

Debt refinance and purchase of real estate for investment use are not eligible loan purpose.

Micro Terms & Rate

The maximum term allowed for BCL’s microloan is five years. However, loan terms vary according to the size of the loan and the needs of the small business borrower. Interest rates also vary and will generally be between seven percent and ten percent based on the planned use of funds.

Micro Eligible Businesses

• Existing business (over three years old)

• Manufacturing, retail, wholesale and service businesses
  

• Businesses with less than 25 employees

• The Business must be located in one of the following counties: Bell, Bosque, Burnet, Coryell, Dallas, Ellis, Falls, Hill, Johnson, McLennan, Milam or Tarrant County

• Borrower must have a credit score of 620 or above

• Business must have shown a profit in the last two years

• Borrower m ust have a postive net worth

Mirco Loan Forms

• Mirco Loan Application
• Credit Report Authorization
• Personal Financial Statement

Micro Collateral

UCC filing on all business assets, mortgage on personal or business real estate, lien on personal or business vehicles.Loans must be fully secured by collateral and personally guarenteed.

Borrower's Fees

A one-time commitment fee starting a 1.5% to 1.75% of loan amount plus collateral filing fees.

FAQ's (Frequently Asked Questions)

Q: How long does the application process take?
A: Our loan process is approximately 15 business days. The overall length of time is dependant on how quickly the applicant turns in complete requested information. Applications received with no activity for over 30 days will be canceled from the process.

Q: What would make an applicant INELIGIBLE?
A: The following would make an applicant INELIGIBLE:

• Outstanding tax liens
• Active bankruptcy
• Business involved in lending, adult businesses, firearms, real estate investment, or multi-level marketing programs
• Delinquent mortgage, rent, or child support, or multiple recent charge-offs and delinquencies

Q: What types of businesses are eligible to apply for a loan?
A: As a community-based organization, BCL of Texas offers assistance to many different types of businesses, most commonly service and retail businesses. However, businesses that engage in weapons sales, real estateinvestment, money lending or financing, multi-level marketing programs, illegal or polluting activities, or adult entertainmnet are among those that are not eligible.  

Q: Can a new business qualify for a loan?
A: No.  The business must be more then three years old and must have shown a profit in the last two years.

Q: Do I qualify for a loan if I have bad credit?
A: BCL of Texas required a 620 and above credit score. 

Q: Does BCL of Texas require collateral?
A: Yes, loans must be fully secured by collateral and guaranteed by the borrower.  BCL of Texas does not make unsecured loans.

Q:  What if I have additional questions?
A: Please feel free to contact us - call us at (888) 241-2215, or email us at micro@bcloftexas.org