Most development agencies require applicants to attend the session, which can last a day or more, to polish their required business plans and work on other weaknesses. In addition to writing a business plan that passes muster and demonstrating basic business skills, applicants must come up with 10 percent of the loan amount in cash. Borrowers also must have verifiable collateral, but the range of what's acceptable is broader than you might find at a bank. Lenders will accept virtually anything a pawnbroker will. Shimp emphasizes that collateral is important and his agency will turn down people who won't pledge anything.
Lenders look for reasonably clean credit, but are more lenient than conventional lenders.
Two out of three must vote yes, but if an application has gotten that far, it's unlikely to fail. The whole process can take months if the agency feels the borrower needs special assistance, but if things go smoothly, it can be wrapped up in a matter of a couple of weeks. That's our goal. Five years later, Glaze's HTG Sales Inc. will net several times that number. Inc. All rights reserved.