access to capital

1. Small Business Orientation
Access to Capital
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

2. Access to Capital
Access to capital is among the most significant challenges facing small business owners today, and UBS and its partners have
developed lending solutions to serve the unique needs of this group.
UBS Community Affairs & Corporate Responsibility worked with VEDC and UBS Bank USA on this effort. Lending funds
available include: Tri-State Business Opportunity Fund ($15 million for loans in the New York metro area), Los Angeles
Business Opportunity Fund ($10 million for loans in Southern California), Chicagoland Business Opportunity Fund ($5 million
for loans in the Chicago metro area) and Greater Miami Business Loan Fund ($5 million for loans in Florida).
Our Expansion provides Access to Capital under Elevating Entrepreneurs
Los
Angeles
Chicag
o
NY Tri-
State
Nevada Miami

3. VEDC’s mission is to create and sustain jobs and
businesses in our communities by providing high-quality
small business development services.
Throughout its 40 year history, VEDC has:
• Assisted more than 104,000 businesses
• Created and retained over 29,000 jobs
• Opened over 2,100 new businesses
• Graduated 3,500 entrepreneurs from our
Entrepreneurial Training Program
• Loaned over $400 Million
75% of VEDC’s clientele is low to moderate income,
as well as over 45% minority and 55% women owned entrepreneurs.
VEDC’s Mission & History
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

4. LENDING PROGRAM
• Small Business Loans in amounts ranging
from $25,000 to $500,000
• Rates: average 12%
• Terms: 3 to 7 years
• No Prepayment Penalties
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

5. 1. How much money are you requesting?
2. What is the purpose of loan?
3. What will you be providing as collateral?
4. What is your experience in the industry or how long have you been in business?
5. What is the competition for your business?
6. How is your personal credit? Anything you would like to discuss with us?
7. Do you use the services of a CPA?
8. Do you have a business plan along with projections?
9. Do you lease or own the building you are operating out of?
If you lease, what are the terms of lease?
10. How much equity injection are you providing?
Questions for Borrower
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

6. Credit
Cash Flow
Collateral
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

7. Credit History:
Record of your
credit-based
transactions
Credit Score:
A number grade that
summarizes your overall
likelihood of repayment
Creditors:
Credit cards, auto loan,
home mortgage,
student loans, etc.
3 Credit Bureaus:
Trans Union, Equifax, &
Experian
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

8. Monthly
Payments
Past Dues
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

9. Cash Flow:
Cash flow is crucial to a business' survival. Having ample cash on hand
will ensure that creditors, employees and others can be paid on time.
Debt Service Coverage Ratio (DSCR):
The amount of cash flow available to meet annual interest and
principal payments on debt. A DSCR of less than 1 would mean a
negative cash flow. A DSCR of less than 1, say 0.95, would mean that
there is only enough cash flow to cover 95% of annual debt payments.
Generally, lenders like to see a DSCR of 1.15 – 1.25.
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

10. Cash Inflow Cash Inflow
Wages 3,000$ Sales 10,000$
Total Cash Inflow 3,000$ Total Cash Inflow 10,000$
Cash Outflow Cash Outflow
Mortgage Payment 2,000$ Employee Salaries 4,500$
Car Payment 300$ Office Rent 2,000$
Credit Cards 200$ Advertising Expense 500$
Living Expenses 1,500$ Other Business Expense 1,000$
Total Cash Outflow 4,000$ Total Cash Outflow 8,000$
Net Income (1,000)$ Net Income 2,000$
Personal Business
Combined Cash Flow
Debt Coverage Ratio 1 : 1
Repayment Ability
Funding: 1,000$
VEDC Loan
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

11. UCC-1
Vehicle
Real Estate Equity
COLLATERAL
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state

12. 12
Thank You
VEDC-TBOF
29-28 41 Ave,
LIC, NY 11101
P: 212-231-4310
www.vedc.org/tri-state
VEDC
Call for more information 212-231-4310