Author: Alysia Suarez
The following interview with S. Briles Johnson (Director) and Alyssa Mako (Assistant Director) of The Women’s Business Center of North Carolina (WBC) took place on May 30, 2013. The WBC provides support to women owned businesses helping increase their chances of success through providing tools, training and networking opportunities to grow their companies. During the interview we talked about the different ways WBC helps female entrepreneurs be more successful in managing their business.
Q. Can you provide some background on The Women’s Business Center of North Carolina?
A. We are a nonprofit group that is really about helping to grow small businesses. The WBC is one department of an agency that is operating under a larger umbrella of the Carolina Institute of Minority Development. The institute is 25 years old and is a nonprofit that is state wide and operates two nonprofits focusing on supporting small businesses, the WBC and the Minority Business Development Agency. The Minority Business Development Agency focuses doing similar services, but within the minority community for ethnic minorities. The WBC has been around for 13 years and is funded by the US Small Business Administration (SBA) and The Carolina Institute of Minority Development. We talk with clients from anything from certification to business planning to options and strategies along with providing workshops in the community.
Q. How can The Women’s Business Center help entrepreneurs who need to access funds for their start-up?
A. We don’t have funds to do loans, although we wish we did. We really try to connect you with some of the resources in the community. There are a couple of lenders that are doing small business loans in the community. We try to prepare you the best we can, with a business plan, what is expected, what is required and connect you with the right person. These services are part of our loan packaging that we provide. In a way it is like playing match maker. So that the goal at the end of the day is that you get that loan or approval after working with us or SBA.
Q. What is your background prior to coming to the WBC?
S. Briles Johnson: My background is Economic Development and I was with the State Department of Commerce for 6 years prior to coming to the WBC. There I was working with small to medium sized businesses at all stages in growth. Common questions that I heard were about what are the next steps are for growth, exportation and certification. I have been the Director of the WBC for one and half years now.
Alyssia Mako: For myself, I came with a background in banking and worked for a few years reviewing credit reports and approving loans in the public sector. Then an opening came up six years ago to work on the other side of the coin. Having had the banking experience and understanding what is required from banks helps be to better prepare our clients better.
Q. How many clients you support from this office?
A. Our office has three staff members providing counseling to an average of 300 clients annually. In addition, there is another WBC office in Fayetteville servicing the south east area and WBC offices all across the United States.
We have many long standing clients that we have had for years that allow us to go through the process of growth and development with them. Working with folks individually to see what they are looking to get out of the business and what their next plans should be. We can’t do everything, but we use other business resource partners and have sustainable handoffs in areas of expertise.
Q. Do you have any advice for new start-ups, with no financial track record?
A. There are many micro loans programs that will go off your credit score, how long been in business, how much is personally invested in the company and any income that is coming in from other sources. Our advice is tailored after having in depth conversations with your clients to see what options exist for them personally.
Q. What inside advice do you have after working for years with banks reviewing credit scores and processing loans?
A. Small business loans look to where the environment is and where the economy is and has been. What banks are looking for right now is a written business plan (narrative, financials). Numerous lenders look through the narrative, but focus on the financials, to see where the money is coming in. They really want to see a cash flow positive; where more money is coming in on a monthly basis than going out. The second thing they want to see is some investment or savings that an owner can bring. There are few to no lenders doing 100% financing. They want to see personal contributions that show that prove you have enough belief in your own ideas that put in your own funds. Similar to buying a house, a 20% down payment is the norm. The third is the credit score, especially for younger or newer start-ups that don’t have three years of financials (tax returns) to show historical revenues. This shows banks how you as a business owner handle your own personal finances.
Q. Any advice for new Start-ups trying to building their company’s credit score?
A. From the beginning the business and owner is the same thing. For starters, personal credit is an integral part of the base. As the company grows and the client base builds-up you should request vendors to bill you on terms, as this adds to your credit history. First steps for a new business is opening up a checking account, credit card and/or line of credit separate from your personal accounts. Whenever you can avoid mixing business and personal, do it.
In conclusion, I would like to thank both Ms. Johnson and Ms. Mako for their time and I hope that the information provided within this interview will inform the general public about the great things going on at The Women’s Business Center of North Carolina.
To learn more about the Women’s Business Center of North Carolina, check out their website at: http://www.ncimed.com/index.php/business-development/women-business-center
