SBA Small Business
Everything you need to know to start and
grow your business
U.S. Small Business Administration
Seattle District Oﬃce
serving Washington State
and Northern Idaho
The American Dream:
Is Entrepreneurship for you?
There is no way to eliminate all the risks associated with starting a
small business. However, your chances of success improve with
SBA Seattle District Office good planning and preparation.
serving Washington State To evaluate your strengths and weaknesses as the owner and
and Northern Idaho manager of a small business.
www.sba.gov/wa Consider the following:
Seattle District Office Are you a self-starter?
4th & Battery Building It will be up to you - not someone else - to develop projects,
2401 4th Avenue, Suite 450 organize your time, follow through on details.
Seattle, WA 98121
Monday - Friday How well do you handle different personalities?
8 am to 4:30 pm Business owners need to develop working relationships with a
206-553-7310 variety of people including customers, vendors, staff, bankers and
professionals such as lawyers, accountants or consultants. Can
Spokane Branch Office you effectively deal with a demanding client, an unreliable vendor
801 W. Riverside Avenue, Suite 200 or cranky staff person while maintaining the best interests of your
Spokane, WA 99201 business?
Monday - Friday
8 am to 4:30 pm How good are you at making decisions?
509-353-2800 Small business owners are required to make decisions
constantly, quickly, under pressure and independently.
Do you have enough physical and emotional stamina?
Business ownership can be challenging, fun and exciting.
However, it’s also a lot of work. Can you face 12 hour work days
six or seven days a week?
Owning a business is the fulfillment of a lifetime
dream for many people. The SBA works with you How well do you plan and organize?
to pursue your dream of financial and personal Research indicates that many business failures could be
prosperity through small business ownership. avoided through better planning. Good organization of financial
information, inventory, schedules, production can help avoid many
Our experience shows that understanding exactly potential pitfalls.
what you’re getting into before you begin your
venture helps significantly. Is your drive strong enough to maintain your motivation?
Running a business and carrying all the responsibility on your
The Small Business Resource Guide is created, in shoulders can wear you down. Strong motivation to make the
partnership with SCORE “Counselors to America’s
business succeed will help you survive slowdowns as well as
Small Business” to help you start or expand a
business. Please take time to thoroughly review this periods of burnout.
How will owning a business affect your family?
The Guide includes pages of helpful ideas, references Business start-up challenges can be hard to balance against the
and suggestions. Topics include: SBA programs demands of family life. You may have to adjust to a lower standard
and services, business licensing, state and local of living or put family assets at risk until the business becomes
government regulations, steps in preparing a business profitable, which could take months or years.
plan and selecting a legal structure for your business.
In addition, you will find a listing of small business Try SBA’s new automated business start-up assessment tool,
resources offering technical assistance and loan a simple 5-minute process to determine if you are ready. You will
options. An on-line version of the Guide is available
find it online at www.sba.gov/assessmenttool/index.html
SBA’s participation in this cosponsorship is not an endorsement of the views, opinions, products, or services of any cosponsor or other person or entity. All SBA
programs or cosponsored programs are extended to the public on a nondiscriminatory basis.
Table of Contents
Checklist for Starting a Business ..............................................................................................2
Selecting the Right Legal Structure/Legal Resources. ............................................................3
Business Licensing Made Easy..................................................................................................4
Protecting Your Intellectual Property
Regulations and Your Business. ................................................................................................6
Business or Hobby?....................................................................................................................7
Business Plan Outline.................................................................................................................8
Downloadable templates for business plans and financial statements...................................9.
Training and One-on-One Counseling
SCORE, Counselors to America’s Small Business.................................................................10
Women’s Business Centers....................................................................................................10
Small Business Development Centers....................................................................................11
SBA Loan Guaranty Program
. How.it.Works...........................................................................................................................12. .
Alternative Financing. .............................................................................................................15
Need $$ for Your Small Business? Free Loan Briefing .........................................................16.
Small Business Size Standards..................................................................................................20
Training and Workshops for Entrepreneurs .............................................................................20
Doing Business with the Government - Checklist....................................................................21
Procurement Technical Assistance Centers............................................................................23. .
More Procurement Help..........................................................................................................23
SBA 8(a) Business Development, SDB, CCR, HubZone, Government Contracting...............23.
Contracting Opportunities for Service-Disabled Veterans.......................................................24
Surety Bond Guarantee Program . .........................................................................................24
Resources for Minorities ........................................................................................................25
Chambers of Commerce, Economic Development Councils..................................................26.
Frequently Requested Numbers.................................................................................................29
Self Employment .........................................................................................................................30
Employee vs. Independent Contractor......................................................................................31
Information 24 hours a day.........................................................................................................3
Free SBA Loan Briefings in Seattle, Spokane, Tacoma and Thurston County
Washington State and Northern Idaho Counties Served
Checklist for Determine regulatory and
Decide on your bookkeeping
and accounting system
Starting a State and Federal Taxes – These vary
with the form, nature and location of
income tax planning, or income tax
Washington State taxes to the Department
returns, consult your accountant, SCORE,
SBDC or WBC office, or community
of Revenue. In Idaho access the Idaho college. IRS Publication 583, “Starting a
This checklist provides the basic State Tax Commission at . Business and Keeping Records” is helpful..
www.tax.idaho.gov. For federal tax www.irs.gov/pub/irs-pdf/p583.pdf.
steps.you.should.think.about.when. information, call 1-800-829-1040. Obtain .
starting.a.business...This.list.is.not. forms by calling 1-800-829-3676 or Business Insurance.
to be construed as all-inclusive. downloaded.from.the.IRS.web.site.at. Consult with your insurance agent
Other.steps.may.be.appropriate.for. www.irs.gov/smallbiz..See page 6 about fire, automobile employee health,
your specific type of business. . bonding, life, and fidelity insurance against
Wage Regulations & Posters –.Required. employee theft, burglary, vandalism,
workplace posters are available online. business.interruption,.and.key.person.
. Prepare your business plan Visit.www.lni.wa.gov/IPUB/101-054-000. insurance. See page 18
If you’re starting a new business or trying asp or contact the WA State Dept of Labor
to obtain capital for expansion, this is your and Industries/Employment Standards at
first and most important step. See page 8 1-800-547-8367 or 360-902-4817. .
In.Idaho,.go.to.labor.idaho.gov or call
Seek legal advice 208-332-3570.
form of ownership. Leases, contracts Industrial Health & Safety Regulations
laws and regulations affect every aspect of – For.information.on.health.and.safety.
business strategy. Online source for legal rules, contact the Department of Labor &
and.regulatory.information.is.. Industries/Division of Industrial Safety and
www.Business.gov See page 3 Health at 1-800-423-7233 or visit their web
Choose business structure or call 208-426-3283.
Consider legal and tax implications. Obtain
legal advice before making this decision. . Industrial Insurance – For.information.
See page 3.. on hiring employees, insurance, and tax
withholding for employees, contact the
Financing options Department of Labor & Industries/Division
All businesses must raise sufficient capital. of Industrial Insurance at 1-800-547-
Start-up resources can include family and 8367 or 360-956-4817. www.lni.wa.gov On the Upside....
friends, personal savings, owner financing, For Idaho contact the Idaho Industrial
and.business.loans...See page 12-17, 28 Commission www.iic.idaho.gov .
For the right person,
Obtain licenses and permits Environmental Regulations – Find.out. the advantages of
State Business License – Washington’s which state and federal environmental
one-stop registration process requires permits are needed for your business, visit business ownership
filing a Master Business Application to the WA Department of Ecology’s On-line far outweigh the risks.
obtain a UBI (Unified Business Identifier) Permit Assistance System (OPAS) at .
www.ecy.wa.gov or call 360-407-6000.
Access Idaho Dept of Environmental
See page 4.
Unemployment Insurance – Refer.
questions about unemployment insurance Hard.work.and.long.hours.
activities that require specialty licensing, for.your.employees.to.the.WA.Employment. directly benefit you, .
permits or certifications are listed at . Security Department at 360-902-9551. . rather than increasing .
www.dol.wa.gov/business...Dept.of. http://www.esd.wa.gov/. .Idaho.Works.at.
profits for someone else..
Licensing Master License Service .
360-664-1400. See page 4
New Hire Reporting – Report each Earning.and.growth.potential.
Local Licenses and Permits - .You.
Department of Social and Health Services
may need to get a city license and/or
(DSHS) at 1-800-562-0479. . .
county permit for each place where you
do business. Check with your local www.dshs.wa.gov/newhire A new venture is exciting..
government regarding zoning and building
Fire Regulations – Contact your local fire
code regulations. Contact your local Running.a.business.will.
department of licensing or city clerk’s office
for.more.information. provide endless variety and
Health Regulations – Contact your local challenge and won't settle
2 September 2009
Taking a simplistic approach there are two key factors to examine:..
Selecting the Right
1. What types of potential liabilities does my business face, and can I
Legal Structure for
purchase adequate insurance coverage to handle these liabilities? .
2. What tax savings would I receive from forming a business entity?
In analyzing these two factors, you need the help of your “Formation
Team,” consisting of three key professionals: a business attorney,
by Stacey L. Romberg, Attorney at Law an accountant and a commercial insurance broker. First, your
www.staceyromberg.com commercial insurance broker will advise you regarding the potential
risks faced by your business, and will help you determine the types
Forming a new business can be overwhelming! . of coverage available. Your broker will help you answer the question:
. Is it helpful and/or necessary to form a business entity, such as a
Hiring employees, leasing commercial space, marketing - corporation or a limited liability company, in order to decrease the
in addition to actually selling the product or performing the risk of personal liability related to my business? .
service that sparked your interest in entrepreneurship - is Second, your accountant can help you answer the question: Is it
an amazing process. Your decisions regarding business financially beneficial for me to form a business entity, such as a
formation are an important step in this process. . corporation or a limited liability company, in order to decrease my
. tax liability? If so, the follow up questions to ask your accountant
What type of entity works best for your business? are: What type of entity would work the best for my particular
situation? How will that entity be taxed? What on-going accounting
responsibilities do I need to meet? .
There are four basic types of business entities: sole proprietorships, .
partnerships, corporations and limited liability companies (LLC’s). Third, your business attorney can help you answer the question: How
Other types of business entities which are beyond the scope of do I form a business entity? Your attorney can explain to you the
this article, include: limited partnerships, professional service nature of what you are forming. And, your attorney can explain to you
corporations and professional limited liability companies. how to operate and maintain the entity, once formed, in a way that
. minimizes the chances that your personal assets could be at risk for
A.sole proprietorship is a common, simple type of business a business-related liability.
business license, you are a sole proprietor. A sole proprietorship To beat the odds and ensure success for your business, you need
is.an.appropriate.and.proper.form.of.business.ownership.for.many. to be smart about your strengths and weaknesses. You cannot do
small businesses. For federal income tax purposes, the income it all and be successful! Assemble your “Formation Team” of an
from the business flows through to the individual, and is reported accountant, an attorney and a commercial insurance broker; and
on the business owner’s Schedule C. A sole proprietorship offers consult with your team continually in the formation of your business.
no protection from individual liability, so it is essential for sole Work with your team to develop a thriving and profitable new venture!
proprietorships to maintain adequate insurance coverage. .
A.partnership.is.similar.to.a.sole.proprietorship..If.you.are.in. Legal Resources
license, you have a partnership. The partnership exists regardless To register a corporation or limited partnership contact:
of whether the partners have formalized their relationship by
executing a partnership agreement. A partnership agreement sets
Office of the Secretary of State
forth the rights and obligations of each party, and describe what
the.business..A.partnership,.similar.to.a.sole.proprietorship,.results. Corporations Division - 360-753-7115
in federal income tax liability flowing from the entity to the individual
partners. A partnership tax return is required, but each individual King County Bar Association
partner pays his or her share of the business taxes instead of Lawyer Referral Services - 206-623-2551
the business itself paying the tax. As in a sole proprietorship, a Tacoma/Pierce County - 253-383-3432.
partnership offers no protection from individual liability.
. Washington State Bar Association .
A.corporation is formed by filing Articles of Incorporation with the www.wsba.org
Secretary of State’s office. One or more individuals can create a 800-945-WSBA or 206-443-WSBA
corporation. A key initial decision in forming a corporation is whether
it should be a C-Corporation or an S-Corporation. A C-Corporation Idaho State Bar & Idaho Law Foundation, Inc.
pays federal taxes both on the corporate level, and on the level www2.state.id.us/isb.
of individual shareholders. An S-Corporation pays taxes only on 208-334-4500
the shareholder level. Certain qualifications must be met in order
to register as an S-Corporation. Unlike a sole proprietorship or a Entrepreneurial Law Clinic (ELC) - UW School of Law
partnership, a corporation which is properly formed and maintained www.law.washington.edu/Clinics/Entrepreneurial.html.
can offer protections against individual liability. In order to form and 2815 Eastlake Ave E. Suite 300, Seattle, WA 98102
maintain a corporation, you need to retain both an accountant and 206-336-5616; firstname.lastname@example.org
an attorney to comply with complex tax requirements and corporate The ELC provides legal transactional assistance to low-income
formalities set forth in state Revised Codes. microentrepreneurs, entrepreneurs in economically distressed
. communities, and pre-funded high-tech start ups by a team of law
A.limited liability company, or LLC, is formed by filing a students and pro-bono attorneys who have expertise in business
Certificate of Formation with the Secretary of State’s office. One law. Income levels determine eligibility.
or more individuals can create an LLC. An LLC may be taxed in
different ways. Consult with your accountant in order to make an Sirti IP/BizNet - The University District - www.sirti.org
informed decision about how your LLC will be taxed, and file the 665 North Riverpoint Blvd., Spokane, WA 99202-1665
corresponding documents with the IRS. Similar to a corporation, a 509-358-2000
properly formed and maintained LLC can offer protections against Sirti IP/BizNet provides legal services for both start-ups and high-
individual liability. And, as in a corporation, you need to retain both growth technology businesses. Legal services are performed by
an accountant and an attorney in forming an LLC. An attorney Gonzaga University law students supervised by expert attorneys at
can help you prepare key documents, including the LLC Operating local firms that focus on business and/or intellectual property law.
SBA Small Business Resource Guide www.sba.gov/wa 3
Trade Name Search
Business Licensing A trade name is any name used in the course of business that does
not include the full legal name of all the owners of the business.
Made Easy In the case of a limited partnership, corporation or LLC, it is any
name that differs in any respect from the name registered with the
Secretary of State. Trade names are registered in Washington state
There are many types of business licenses, state and
by using the Master Business Application. Register as many names
local as well as professional. Most businesses will be
as you wish on the paper application. Online you are limited to a total
required to have a license of some sort. .
of five names per application.
The purpose of a trade name registration is to provide a record of all
Licensing requirements of counties and cities vary.
Contact your local City Clerk’s Office and County
one who first uses it in connection with their business. A trade name
Business License Office for more information. .
will remain registered indefinitely until the owner requests that it be
Also, check with the local Planning Department to
You can find trade name registrations in Washington online with the
ensure your business site meets appropriate zoning
state’s Business and Professional License Search at .
requirements, local Building Department to obtain
permits to construct permanent buildings or additions
To request a search by mail, send a letter with your return address,
to existing facilities, and County Health Department .
a list of names you want to research, and a check of money order to
pay the fee of $4 to search up to 3 names. Mail your request to the
Master License Service address listed above.
Note: A search result of “No matches were found for your search”
Department of Licensing
Master License Service (MLS)
PO Box 9034 (Physical address: 405 Black Lake Blvd, Bldg 2)
Olympia WA 98507-9034 Additional websites to conduct business
360-664-1400 information searches:
The Master Business Application is a simplified application used to
apply for many state licenses, registrations and permits, as well as Washington State Department of Revenue
some city licenses. Receive customized licensing information online dor.wa.gov/content/doingbusiness/registermybusiness/brd/
by accessing www.dol.wa.gov/business/licensing.html, click on Includes some trade names and is intended for use by the public as
Business Licensing Guide, and submit information relevant to your a consumer protection program. .
pending company operation. .
Washington’s Secretary of State
Applying for a license will also provide you with a Unified Business secstate.wa.gov/corps/search.aspx.
Identifier (UBI) number. A UBI number is a nine-digit number that Find corporation and limited liability company names.
registers you with several state agencies. It is also called a tax
registration.number,.a.business.registration.number,.and.a.business. U.S. Patent and Trademark Commission
license number. www.uspto.gov/main/profiles/acadres.htm
Filing online is not recommended for some businesses. If your
business needs specialty licenses, including liquor or lottery licenses, www.dol.wa.gov/business/faqtradename.html
you should file your application by mail. Information about specialty FAQ’s about trade names
license requirements are posted online at .
www.dol.wa.gov/business/specialtylicenses.html. Business Record Search
Application for City Business Licenses www.secstate.wa.gov/corps/search.aspx.
http://access.wa.gov/business/citylicenses.aspx. Master Licensing Service also provides information regarding
Most cities and some counties require a business license or permits corporations, persons conducting business under a trade name, or
if the business is located in the city or county limits OR does verification of business existence.
business there, regardless of the physical location of the business.
Some city licenses can be obtained in applying for your state license. www.business.idaho.gov
For others, contact the local city business license office. . The.State.of.Idaho.requires.businesses.to.register.with.the.Idaho.
Secretary of State and other regulatory agencies. Businesses in
Contractor’s Registration Idaho can go to www.business.idaho.gov to access all the relevant
Department of Labor & Industries links for starting, running, relocating, and even closing!.
This license is required for any person to submit any bid offer to New, quick and customized business wizards
do any work as a construction contractor within Washington State. provide license and form information.
Applications may be obtained from satellite offices of the Department
of Labor and Industries throughout Washington State. Fee: $113.40 Washington State.
for two years (also bond and liability insurance coverage).. www.dol.wa.gov/business/licensing.html
. and click on “Business Licensing Guide”
4 September 2009
Protecting Your Franchising
Intellectual Property Franchising is a viable alternative to circumvent higher risks
associated with starting a new, independent business from
scratch. One out of every three dollars spent by Americans
Lawful protection of intellectual property - consisting of for goods and services is spent in a franchised business,
business strategies, images, concepts and ideas - is often per the International Franchising Association .
The 10 most popular franchising industries are fast food,
www.Business.gov retail, service, automotive, restaurants, maintenance,
Legal and regulatory information for America’s small building and construction, business services, and lodging..
What is Franchising? .
A franchise is a legal and commercial relationship between the
Copyrights - www.copyright.gov. owner of a trademark, service mark, trade name, or advertising
Public Information Office 202-707-3000. symbol and an individual or group wishing to use that identification
Forms Hotline 202-707-9100. in a business. The franchise governs the method of conducting
Copyright is a form of protection provided by the laws of the United business between the two parties. A franchisee conforms to the
States (Title 17, U.S. Code) to the authors of “original works of franchisor’s business concept and sells goods or services supplied
authorship”, including literary, dramatic, musical, artistic, and certain by the franchisor or that meet the franchisor’s quality standards.
other intellectual works. This protection is available to both published
In the simplest form – product/trade name franchising - a franchiser
franchisee. The more complex form - business format franchising
Trademark - www.uspto.gov.
- involves a broader ongoing relationship between the two parties.
“Brand name” is a synonym for “trademark”. Trademarks distinguish
Business format franchises often provide a full range of services,
one firm’s cornflakes or four-wheel-drive station wagons from including site selection, training, product supply, marketing plans,
another’s. Without them, consumers could not buy products they and even assistance in obtaining financing. Before selecting a
like or avoid those they don’t like. Trademarks may be words, logos franchise, consider your investment, your abilities and your goals..
or other symbols. Trademarks are not copyrights or patents. They .
cannot be used to prevent one firm from copying the goods or Franchising Strategy - When evaluating a franchise, closely
services of another, nor from selling its goods or services under a evaluate the strength of the franchiser; the franchiser’s long-term
common descriptive (or generic) name. . goal; the uniqueness of its product or service; the type of consumer
. response the product or service is achieving; the amount of fees it
Statewide trademark registration charges; the type of support it provides: 1) startup 2) operations 3)
marketing; and the length of the contract you will be signing.
State of Washington - Office of Secretary of State
Pre-Purchase Detective Work - Routine investigation should
be conducted prior to any business purchase. Contact other
franchisees before deciding to invest. Obtain a uniform offering
Office of the Secretary of State.
circular to understand vital details about the franchise’s legal,
Corporate Division - Dolliver Building.
financial, and personnel history before signing a contract.
801 Capital Way S., Olympia, WA 98504-0234.
Monday - Friday, 8 am to 4 pm.
Reasonable Expectations - Before signing, make sure that
you will have the right to use the franchise name and trademark,
Statewide Trademark Registration Idaho Secretary of State receive training and management assistance from the franchisor,
– Trademark Division. use the franchisor’s expertise in marketing, advertising, facility
www.sos.idaho.gov. design, layouts, displays, and fixtures, and do business in an area
PO Box 83720, Boise ID 83720-0800. protected from other competing franchisees.
Some franchisees negotiate to have the franchisor help obtain
. building permits; purchase or lease equipment, signs and supplies;
Patents . and construct or remodel the business premises.
A patent is an exclusive property right to an invention and is issued
by.the.Commissioner.of.Patents.and.Trademarks,.U.S..Department. Possible Pitfalls - The contract usually benefits the franchiser
of Commerce. It gives an inventor the right to exclude others from more than the franchisee. The franchisee is generally subject to
making, using, or selling an invention for a period of 17 years in the sales quotas and often is required to purchase equipment, supplies,
United.States,.its.territories,.and.possessions... and inventory exclusively from the franchisor. The franchisor often
has the right to terminate the franchise if it fails to operate the
U.S. Patents and Trademark Office - www.uspto.gov. business according to the agreement, becomes delinquent on
Patent & Trademark Office
royalties, or violates other contract specifications.
Get Professional Help - The tax rules surrounding franchises
703-308-4357 or 1-800-786-9199.
are often complex. Consult an attorney, preferably a specialist in
franchise law, for assistance in evaluating the franchise package
and tax considerations. An accountant can help to determine the full
costs of purchasing and operating the business as well as assess
665 N. Riverpoint Blvd, Spokane, WA 99202-1665.
the potential profit to the franchisee.
Sirti accelerates start-up and high-growth technology companies.
Its state-of-the-art incubator facilities, seasoned entrepreneurial
SBA Guidance for Franchisees - www.sba.gov.
coaching and comprehensive client services, access to capital and
Download and use SBA’s “Is Franchising for Me?” .
access to legal services needed for Inland NW client companies’
SBA’s Franchise Registry - www.franchiseregistry.com
successful formation, IP protection and long-term success.
A listing of franchise companies whose franchisees benefit from a
Emphasis is given to energy, digital, and emerging technologies.
streamlined review process for SBA loan applications.
SBA Small Business Resource Guide www.sba.gov/wa 5
Employer Identification Number (EIN):.. Office of the Secretary of State
Regulations and Employers.and.most.types.of.businesses.
are required to have an Employer Identifica-
Your Business tion Number (EIN). Apply for an EIN online,
search EIN at www.irs.gov...
505 E. Union, 2nd Floor
Olympia, WA 98504-0234.
. 360-753-7115; TDD: 360-753-1485
It may be inconceivable that your IRS Business & Specialty Tax Line . The Corporations Division registers business-
home-based business or part-time 1-800-829-4933, M–F, 7 a.m.–10 p.m. PST. related entities including domestic and
enterprise must comply with the foreign (out-of-state) corporations, limited
Social Security Administration partnerships,.limited.liability.partnerships.and.
numerous local, state and federal www.ssa.gov limited liability companies. They also register
regulations,.but.in.all.likelihood.it.will... 1-800-772-1213. state-level trademarks..
Nearly all employees, employers and self-
Avoid the temptation to ignore employed persons are required to participate Corporate Registration,
in the social security program. Employers Profit/Nonprofit Corporations
regulatory.details...Doing.so.may. are required to withhold a fixed percentage
avert some red tape in the short term, 360-753-7115.
of employee wages, match each employee’s Applicants for incorporation in Washington
but could be an obstacle as your contribution and make periodic deposits to State MUST file with the Corporate Division,
the IRS. Forms are available from the IRS. Secretary of State’s Office in Olympia,
Self-employed persons must also make
WA 98504 - 0234. (This does not relieve
applicants from responsibility of also
more licenses and permits from local,
registering with state taxing authorities)..
Employer Wage Reporting Service Center.
state and federal agencies. .
Department of Revenue
Help with all your wage filing responsibilities .
The licenses or permits required for
Telephone Information Center
U.S. Citizenship and Immigration Services
your.business.will.be.determined. (USCIS) - www.uscis.gov 1-800-647-7706
by.your.type.of.business,.its. www.uscis.gov/portal/site/uscis. Answers most common tax questions.
organizational structure, and location. 1-800-357-2099.
Employers must fill out an Immigration Form Copies of publications, laws and rules .
I-9 for each employee hired for both citizens www.dor.wa.gov.
and non-citizens. Form I-9 must be kept by Your local Revenue Office, or telephone
the.employer.either.three.years.after.the. information center, 1-800-647-7706.
is terminated, whichever is later. Download New Business Outreach Workshops
Federal Agencies current I-9 form from the USCIS website.. To sign up for Revenues workshops covering
. business registration, reporting, tax laws
Internal Revenue Service (IRS) U.S. Census Bureau - www.census.gov. and rules, and recordkeeping requirements,
www.irs.gov The leading source of quality data about the contact the Revenue office nearest you.
Tax questions? 1-800-829-4933 nation’s people and economy.
To order forms 1-800-829-3676 The Electronic Filing System (ELF)
www.irs.gov/businesses/small/index.html . U.S. Department of Labor (DOL) www.dor.wa.gov
The Small Business and Self-Employed Tax www.dol.gov 1-866-487-9243. 1-877-FILE ELF (1-877-345-3353)
Center section of the IRS web site answers Regulates working conditions, wages, and This free, easy-to-use system walks filers
questions new business owners have about payment practices. . through a customized return, calculates taxes
federal taxes. . automatically, flags errors and omissions
Occupational Safety & Health Administra- before a return is filed, and provides instant
Visit the IRS Online Learning and Educational tion (OSHA) - www.osha.gov online access to the latest tax information.
Products link to see a list of small business A division of the U.S. Dept. of Labor that ELF’s electronic funds transfer lets taxpayers
video and audio presentations, and other regulates working conditions. file their tax returns early, but postpone
learning tools available. payment until the due date. This file-and-
Other relevant IRS topics to explore: . Washington State Agencies forget feature means taxpayers can get their
return completed ahead of the filing deadline
without having to remember to mail the return
Business Structures:..When.starting.a. Dept. of Labor and Industries
business, you must decide what form of www.lni.wa.gov.
business.entity.to.establish.–.this.determines. Industrial Insurance Registration.
which income tax return form you file. www.lni.wa.gov/Main/RunBusiness.asp.
Self-Employment Tax: Everyone must Required.for.businesses.employing.one.
pay Social Security and Medicare Taxes. If or more persons. Registration authorizes
(General Partnerships only).
you are self-employed, your Social Security/ deductions of medical aid and supplemental
Medicare contribution is made through the pension premiums from employee’s wages
self-employment Tax. Payments are made and establishes premium payment accounts
have a written partnership agreement and a
quarterly as part of your estimated tax pay- for industrial insurance, supplemental
ments (Form 1040-ES). buy/sell agreement. A review of the written
pension and medical aid. .
agreement by an attorney is recommended. .
Businesses with Employees: If you have .
Employment Security Dept.
employees,.you.are.required.to.withhold. King 206-296-1570
income tax, Social Security and Medicare www.metrokc.gov/recelec/records
(FICA), as well as pay the employer’s portion Unemployment Insurance Registration
of Social Security taxes and pay federal un- Snohomish 425-388-3483
employment tax under certain circumstances. more persons. Employers must file quarterly www.co.snohomish.wa.us/auditor
Nonpayment of federal taxes can result in reports showing total wages paid, individual
audits, penalties, difficulties obtaining bank Pierce 253-798-7440
employee earnings, social security numbers,
financing, and closure of your business. www.co.pierce.wa.us/auditor.
hours worked and tax due with payment. .
6 September 2009
Application for Certificate of Registration.
Contact County Business License Office.to.
King County 206-296-3504 .
Pierce County 253-798-7445.
Snohomish County 425-388-3627.
www.idahobizhelp.or Are You Running a Business or Engaging in a Hobby?
To obtain a customized list of regulating
agencies that you may need to contact Internal Revenue Service guidelines determine whether an activity is a
for specific business activity, access the business or a hobby, an activity not engaged in for profit.
Business Wizard section of this website..
Idaho State Tax Commission Here are the rules for determining if an activity qualifies as a business and what
www.tax.idaho.gov limitations apply if the activity is not a business. .
Administers Idaho state tax laws and
provides tax info and education to the public..
Taxpayers may deduct ordinary and necessary expenses for conducting a
Idaho Secretary of State trade or business. An ordinary expense is an expense that is common and
www.sos.idaho.gov accepted in the taxpayer’s trade or business. A necessary expense is one that
208-334-2300 is appropriate for the business. Generally, an activity qualifies as a business if it
Registration of business entities such as is carried on with the reasonable expectation of earning a profit. .
Liability Companies, trademark searches and .
registration.for.Idaho.State..Also.deals.with. In order to make this determination, taxpayers should consider the following
registration of Assumed Business Names
– referred to as DBA or Doing Business As.
Idaho Dept. Commerce
• Does the time and effort put into the activity indicate an intention to make
• Does the taxpayer depend on income from the activity?
• If there are losses, are they due to circumstances beyond the taxpayer’s
Idaho Dept. of Labor..
control or did they occur in the start-up phase of the business?
• Has the taxpayer changed methods of operation to improve profitability?
Assists businesses in solving employment
and training related challenges. .
• Does the taxpayer or his/her advisors have the knowledge needed to carry
on the activity as a successful business?
Idaho Industrial Commission • Has the taxpayer made a profit in similar activities in the past?
www.iic.idaho.gov 208-332-3570 • Does the activity make a profit in some years?
Administers the Idaho Workers’
• Can the taxpayer expect to make a profit in the future from the
appreciation of assets used in the activity?.
Idaho Dept of Environmental Quality
www.deq.state.id.us 208-373-0502 The IRS presumes that an activity is carried on for profit if it makes a profit
Responsible for implementing environmental during at least three of the last five tax years, including the current year — at
protection laws and programs. Information
about.air,.water.and.waste.programs,.info.on. least two of the last seven years for activities that consist primarily of breeding,
permits, regulations and DEQ publications. showing, training or racing horses..
Bureau of Occupational Licenses If an activity is not for profit, losses from that activity may not be used to offset
www.ibol.idaho.gov 208-334-3233 other income. An activity produces a loss when related expenses exceed
Specialty licensing in a variety of
occupations. Not all licensing boards income. The limit on not-for-profit losses applies to individuals, partnerships,
contract with the Bureau of Occupational estates, trusts, and S corporations. It does not apply to corporations other than
Licenses. To find the website of the state S corporations..
agency related to your business visit .
. Deductions for hobby activities are claimed as itemized deductions on
Idaho Occupational Safety & Health Schedule A (Form 1040). These deductions must be taken in the following
Consultation Program order and only to the extent stated in each of three categories:.
This free service assists with OSHA safety • Deductions that a taxpayer may take for personal as well as business
and health regulations compliance. Safety activities, such as home mortgage interest and taxes, may be taken in full.
and industrial hygiene consultants will • Deductions that don’t result in an adjustment to basis, such as advertising,
develop a confidential written report of insurance premiums and wages, may be taken next, to the extent gross
recommendations. No citations are issued
income for the activity is more than the deductions from the first category..
owner’s obligation is to correct all serious
hazards within a reasonable timeframe. .
Business deductions that reduce the basis of property, such as depreciation
and amortization, are taken last, but only to the extent gross income for the
To find the website for your county,.go.to.
activity is more than the deductions taken in the first two categories..
Idaho Association of Counties
http://idcounties.org and click on “Counties”
. . . .... www.irs.gov
SBA Small Business Resource Guide www.sba.gov/wa 7
Do you need a Business
What are the characteristics of your industry: growing, declining,
Plan? Yes! What is the size of your market?.
What is your share of the market? .
Is it growing? What is the demand for your product? .
....a business plan gives you a path to follow. It can help Are more firms entering? What are the barriers to entry? .
make the future what you want it to be, with goals and action Is it becoming more competitive; are profits being squeezed?
steps to guide your business through turbulent economic
Identify your customers, their characteristics, their location. .
....a business plan lets your banker in on the action. By Why will they patronize you? .
reading.the.details.of.your.business.plan,.your.lender.gains. What do they like about your company?
List your major competitors. .
....a business plan provides a way to communicate your Describe their size, location, reputations. .
Compare your goods and services with theirs. .
What are their major advantages? .
suppliers and your other business contacts.
What are yours?
....a business plan develops you as a manager by making Strategy.
you construct a clear “blueprint” of your business venture. What is your pricing policy? Why?.
How do you promote, advertise, and sell?.
Start with the Basics How do you distribute or deliver your products/services?.
While.there.are.many.good.business.plan.formats,.this.one. What customer services will you offer? .
has been used successfully by thousands of small business Relate your strategy to prior discussions of Product, Economics,
Executive Summary Sales Forecast
Summarize your plan in two pages or less. Make it enthusiastic, Now that you have written a description of your market, you need
professional, complete and concise. Include the goals and to do a detailed forecast of sales, by department, month by month,
objectives of the business. If applying for a loan, state the amount for the coming year.
If you had five minutes to explain the basics of your business to an
investor, what would you say? That is what goes in the summary.
Write this section last.
Methods of production, product development, quality control,
Give a brief company history. .
What does your company do? .
Describe the physical location and explain why it is appropriate. .
What are your products?.
Is it leased or owned?
Who are your customers? .
Where are you located? .
. Credit Policies.
What are your key strengths? .
Do you sell in credit? What terms? How do you check credit?
Is your industry or market growing? .
Who are the owners? .
Is the firm a proprietorship, partnership, or corporation?
Pay and personnel policies. .
Products and Services Do you have position descriptions and training programs?
What are your products (or services)? .
Price and quality levels? .
Distribution channels (i.e., how are products moved to the
How much? What is its value? .
List major suppliers. .
Major competitors? .
Do they extend credit? .
What makes your products particularly attractive?
Who pays freight? .
Do they give discounts?
(NOTE: In this section, be as specific as possible. Use statistics
. Legal Environment.
and numbers, and note your sources. Too many marketing plans
Licensing, bonding, permits, insurance, zoning, government
are just enthusiastic fluff).
regulations, patents, trademarks, copyrights.
Management and Organization
Describe your product or service from your customer’s point.of.
Who has management responsibilities? .
What do customers like and dislike about your products, services,
Position descriptions for key employees. List important advisors,
and company? .
such as attorney, accountant, banker, insurance agent, and
Why do they patronize you? .
advisory board or board of directors, if you have one.
What services are offered as part of the product (delivery, service,
warranty, support, refund offers)?
8 September 2009
Now estimate the Cost of Goods Sold (COGS) for each category of
Personal Financial Statements. sales for each month. COGS are those expenses directly related to
Include personal financial statements of all owners and major
producing or purchasing the product/service you sell. .
For retailers, COGS is the cost of buying merchandise; for
.Startup Expenses and Capital manufacturers and construction, it is direct production labor and
. materials. For services businesses, it is production labor and
Carefully research your startup expenses: keep notes to document
materials. Breaking COGS down into departments will help you
your numbers, organize your figures by dividing startup expenses
see which parts of the business deliver the most profit per sales
into major categories. We suggest: .
Buildings/Real Estate - Leasehold Improvements.
Now estimate operating expenses month by month for the year.
Capital Equipment - Location & Admin. Expenses.
These are necessary expenses which are not directly related to
Advertising & Promotion - Opening Inventory.
buying or making your product/service. They are also known as
Other Expenses - Contingencies - Working Capital
overhead items. Examples are: telephone, rent, insurance, taxes,
and the salaries of office, sales, and management personnel. Use
The contingency category is a way of allowing for costs which
the same categories of expense you use (or plan to use) in the
cannot be foreseen no matter how thorough your planning.
regular Income Statements you get from your accountant. This
Experienced entrepreneurs suggest you add 15% to 20% to your
makes it easier to draw on history in making projections, and it
estimated expenses to allow for them.
makes it easier to compare your actual statements to your plan as
Working capital is money needed to operate and pay bills while the
business gets going. A carefully planned cash flow projection is the
only good way to estimate working capital needs. Starting without
.Cash Flow Projection.
adequate working capital will ensure early failure of the business.
Your profit projection will show how you intend to prosper by having
revenues exceed expenses. Now you must show that you can pay
If this is a startup, you must also show the sources of capital.
your bills while prospering. Bills are paid with cash, not with profits.
Sources could include you, your partners or investors, private
A cash flow projection is basically nothing more than a forward look
at your checking account. It is derived from the profit projection,
.Financial History but looks at the financial data in slightly different ways. The
fundamental differences are:
If your firm is established, include financial statements for at least
the past three years as an appendix to the plan. On the income side, a cash flow asks not when a sale is made,
but rather when cash is actually collected from the customer.
Our computer template includes a spreadsheet on which these
historical statements can be condensed and laid out side by side for On the outgo side, the question is not when an expense is
comparison. It is a good idea to include some key ratios in addition incurred, but rather when the check will have to be written to pay
equity, and Inventory turnover are a few useful basic ratios.
Include an aging of accounts receivable, showing the total amount not on the other. Depreciation, for example is a real business
owing you from customers, and how much is current, 30 days past expense, but not an item of cash flow (you never write a check
due, 60 days, 90 days, and over 90 days past due. for depreciation). On the other hand, the principle part of a loan
repayment is not an expense (only the interest portion is), but it
Do the same for accounts payable. definitely takes cash out of the business, and therefore needs to be
shown on the cash flow projection.
Projected Balance Sheet By forecasting the status of your bank account, the Cash Flow
Your plan should include a projected balance sheet showing assets tells you whether your working capital reserves are adequate.
(things owned), liabilities (debts), and owner’s equity. If yours is Budgeting does not create sales or put money in the bank, but
a startup business, the balance sheet should show your financial it can help put you in control. When you know how much the off
position on opening day. Existing firms should do a projected year- season will draw down your account, and how much it will take to
end balance sheet. get started on that new contract, and when you begin negotiating
that new bank loan months in advance because you can foresee
If.you.are.using.the.business.plan.to.apply.for.a.loan,.prepare.a. the need, then you have gained a little more control over your own
pro-forma balance sheet projecting your financial position as of the destiny.
All your projections should be based on careful research, not casual
.12-Month Profit Projection guesswork. Keep notes detailing your major assumptions and
. attach the notes to your projections.
In many ways, this is the capstone of your whole business plan.
This is where it all comes together, where you show in detail how
your company will make a profit.
Free Business Plan Templates
Start by projecting sales month by month for the coming year. www.score.org - click on “Business Tools”
Break monthly sales into categories or departments; for example:
by product type, customer group, geographic territory, or different Free and Confidential
contracts or projects. A projection built up in this fashion will be
One-on-One Business Counseling
more accurate than just guessing total sales for the month. Your
Marketing Plan should be the basis for these projections. See pages 10 and 11.
SBA Small Business Resource Guide www.sba.gov/wa 9
SCORE In addition providing counseling at the
locations listed below, many counselors Women’s
Counselors also counsel on-site (hours may vary
depending on location), or do on-line or Business
to America’s telephone counseling directly from their
homes or offices.
Western Washington. Women’s Business Centers - WBCs
Bainbridge Island Chamber 206-842-4162. WBCs provide technical training and counseling
SCORE works with any start-up or Bellfair 360-275-1001. to women who are currently in business or
existing small business. One-on-one Bellevue Library 360-647-3151. thinking about starting a business. Financing
or team counseling is confidential Bothell Library 425-344-4071. is available through Community Capital
Bremerton Chamber 360-479-3579.
and free.... Coupeville 888-506-7999.
Development’s in-house loan programs.
. Everett Library 425-257-8000. Workshops are targeted to meet specific needs
Counselors are committed to helping Renton 253-630-8478. whether.a.beginner.or.seasoned.entrepreneur....
business succeed on their own terms. Forks Chamber 360-374-5337.
Friday Harbor 360-378-2906. Mukilteo
This includes counseling on financial
Kent Library 253-630-8478. NW Women’s Business Center .
options,.business.strategy,.marketing. Kirkland Library 425-822-2459. www.nwwbc.org.
tactics, product development, cash flow, Maple Valley Chamber 425-432-0222. 12199 Village Center Place, Suite 203.
management and much more. Mercer Island Library 206-236-3537. Danica Williams, 425-423-9090.
Mount Vernon 360-416-7873. email@example.com
Seattle Chapter #55 Mukilteo WBC 425-954-4040.
www.seattlescore.org North Bend Library 425-888-0554. Tacoma
2401 Fourth Avenue, Suite 450. North Mason/Chamber Belfair 360-275-1001. South Sound Women’s Business Center
Seattle, WA 98121-3419. Port Angeles 360-457-7793. www.seattleccd.com.
206-553-7320 or 1-877-732-7267 Port Townsend EDC 360-385-6767. 1101 S. Yakima St..
On-site counseling and workshops Poulsbo 360-779-4848. Linda Jadwin, 253-680-7770.
Monday - Friday, 9 am to 4 pm .
Redmond 425-647-8312. firstname.lastname@example.org.
Renton Fairwood Library 253-630-8478. .
Bellingham Chapter #591
Seattle 206-553-7320. Seattle
Shoreline Library 206-362-7550. Washington Business Center
1336 Cornwall Avenue.
Silverdale Chamber 360-692-6800. www.seattleccd.com
Bellingham, WA 98225
Thurston County EDC 360-754-6320. 1437 South Jackson - 16th and Jackson.
360-685-4259; Call for counseling hours.
Woodinville 425-821-9780. Carole Butkus, 206-324-4330, ext. 100 .
Tacoma Chapter #385
Colville TriCounty EDD 800-776-7318.
1101 South Yakima Avenue, Room M123.
Women’s Network for
Ellensburg EDA of Kittitas Co 509-962-7244.
Tacoma, WA 98405.
Ephrata 509-754-4656. Entrepreneurial Training – WNET
Lake Chelan Chamber 509-682-3503 At every stage of developing and expanding
Leavenworth 509-548-5807. your business, WNET is here to counsel,
Spokane Chapter #180 Moses Lake Chamber 509-765-7888. teach, encourage and inspire. WNET
www.scorespokane.org Omak Chamber 509-826-1880. provides dynamic networking and interactive
NE.Washington.and.North.Idaho. Pasco Chamber 509-547-9755. training.sessions.for.both.men.and.women...
801 W. Riverside Avenue, Suite 200. Quincy 509/787-2140.
Spokane, WA 99201. WNET Training Schedule:
Richland Chamber 509-946-1651.
509-353-2821; email@example.com. Go.to.www.sba.gov/wa and click on
See.website.for.workshops Richland WSU Campus 509-372-7142.
Spokane BIZStreet 509-353-2821 . “WNET” to access the current schedule of
Central Washington Chapter #663 Spokane Valley Chamber 509-924-4994. valuable morning training sessions. Fresh
www.centralwashingtonSCORE.org TriCities Richland 509-735-3268. business management topics are lead by
300.S..Columbia.Street,.3rd.Floor. TriCities Kennewick 509-736-0510. dedicated business owners and experts who
Wenatchee, WA 98801. Waterville 509-745-8871. can help you start, grow and succeed.
509-662-2116. Wenatchee Valley Chamber 509-662-2116.
info@centralwashingtonSCORE.org. W. Richland Chamber 509-967-0521.Agenda – 8 am to 10 am
See.website.for.workshops Yakima Chamber 509-248-2021.Time, locations and topics vary
Mid-Columbia Chapter #590 Northern Idaho.
www.midcolumbiascore.org Moscow SteveB@moscow.com.
Tricity Regional Chamber.
Post Falls 208-777-3151.
7130 W. Grandridge Blvd, Suite C.
Kennewick, WA 99336.
Other Resources . .
WA Office of Minority and Women’s
Business Enterprises - OMWBE
Yakima Valley Chapter #664
Visit.the.national.SCORE.website.for. Provides certification to increase participation
more information and other services of minority and women’s businesses to state
Central WA Business Resource Center.
public works contracting, purchasing of
10 N. 9th Street.
offered by this volunteer organization. goods and services, and loans. .
Yakima, WA 98901.
Download business plans and National Association of Women
financial statements www.score. Business Owners (NAWBO)
Inland Northwest Chapter
org - click on “Business Tools” www.nawbonw.org
Economic Development Group of Kittitas.
221 East 4th.
On-line counseling is available at Network.of.women.business.owners.who.
Ellensburg, WA 98926.
www.score.org.. share ideas, learn, and expand opportunities
10 September 2009
WASHINGTON Renton: Renton Technical College.
Kevin Hoult, 425-235-7819.
Erik Stewart, 360-538-2530; firstname.lastname@example.org.
Michael Franz, 206-428-3022.
CenterS (SBDC) Auburn: Green River Community College
Deanna Burnett-Keener, .
Seattle: Evergreen Business Capital - WSU.
Ruth Ann Halford, 206-246-4445.
The SBDC program delivers
professional business counseling,
quality training classes and seminars,
Bremerton: Kitsap Business Assistance
Spokane: Washington State University .
Rick Thorpe, 509-358-7890.
and up-to the-minute research
services for existing small business
that want to improve or expand their
Tacoma: Bates Technical College.
current operations. .
John Rodenberg, 253-680-7768.
David Baria, 360-748-0114.
Tri-Cities: TRIDEC - CBC .
development specialists, who have
Bruce Davis, 509-735-6222.
Des Moines: Highline.Community.College.
owned and managed a wide variety of
Zev Siegl, 206-878-3710, ext 5151.
small businesses, provide one-on-one
Vancouver: Washington State University.
counseling to small business owners
Rich Shockley, 206-878-3710, ext 5150.
Janet Harte, 360-260-6372.
at no charge. .
SBDC Certified Business Advisors
Wenatchee: Wenatchee Valley College.
guide clients on financial, marketing,
Jennifer Shelton, 425-640-1435.
Jim Fletcher, 509-682-6997.
engineering and technical issues,
Kent: Green River Community College.
Yakima: Yakima Chamber of Commerce
Kirk Davis, 253-856-9595 X5041.
Linda Johnson; 509-454-7612.
SBA in partnership with the higher College.
education community and the private Celia Nightingale, 360-407-0014.
Lewiston, ID: Lewis-Clark State College
Longview: Washington State University.
Jill Thomas-Jorgensen, 208-792-2465;
Susan Hoosier, 360-442-2946.
Washington State SBDC Lead Office
Post Falls, ID: Workforce Training Center.
Washington State University.
William Jhung, 208-666-8009.
534 E. Spokane Falls Blvd. .
Traci Harstad, 360-336-6114.
P.O. Box 1495
Spokane, WA 99210-1495
Brent Rogers, State Director
Moses Lake: Big Bend Community College .
Allan Peterson, 509-762-2373.
Idaho State SBDC Lead Office
Okanogan: Economic Alliance of Okanogan
Boise State University.
1021 Manitou Avenue.
Lew Blakeney, 509-826-5107.
Boise, ID 83725-1655.
James Hogge, State Director.
Port Angeles: Clallam.County.EDC.
Kathleen Purdy, Washington State University.
Find a location near you. .
Port Townsend: Jefferson.County.EDC.
Washington. Kathleen Purdy, Washington State University.
Pullman: Washington State University.
www.idahosbdc.org Terry Cornelison, 509-335-8081.
Addresses and maps to SBDC
locations are available online.
SBA Small Business Resource Guide www.sba.gov/wa 11
Patriot Express Loans - Loans of up to $500,000 are available to
The SBA Loan
veterans and members of the military community. Eligible military
community members include: Veterans and Service-disabled
veterans; Active-duty service members eligible for the military’s
Transition Assistance Program; Reservists and National Guard
How it Works
members; current spouses of any of the above; and the widowed
spouse of a service member or veteran who died during service or
of a service-connected disability. .
Loans can be used for most business purposes, including start-up,
expansion, equipment purchases, working capital, inventory or
business-occupied real-estate purchases. They qualify for SBA’s
The SBA helps small businesses obtain needed credit
maximum guaranty of up to 85% for loans of $150,000 or less, and
by giving the government’s guaranty to loans made by
up to 75% for loans over $150,000 up to $500,000. Patriot Express
commercial lenders. .
loans feature SBA’s fastest turnaround time for loan approvals, and
lowest interest rates for business loans - generally 2.25 percent to
The lender makes the loan and SBA will repay up to 85% 4.75 percent over prime depending upon the size and maturity of
of any loss in case of default. Since this is a bank loan, the.loan...
applications are submitted to the bank and loan payments
Additional SBA Financing Programs
closing the loan and disbursing the loan proceeds. SBA Microloan Program was developed to increase the availability
of small scale financing and technical assistance to prospective
SBA’s involvement is limited to reviewing the loan
small business borrowers. Loans range from $500 to $35,000.
application submitted by the bank to assure they meet
Loans are made through designated intermediaries. Contact
Community Capital Development, 206-324-4330 or Washington
eligibility and credit standards. .
CASH, 206-352-1945. East of the Cascade mountains, contact
Rural Community Development Resources (RCDR) in Yakima.WA,.
SBA provides the bank with a written Authorization 509-453-5133, or Panhandle Area Council in Hayden ID, 208-772-
outlining the conditions of the SBA guarantee; any 0584.
material changes to this authorization generally require
SBA approval. The.504 Certified Development Company (CDC) Loan Program..
Most commercial banks and some non-bank commercial Ameritrust CDC, 206-274-5152.
Evergreen Business Capital, 206-622-3731 NWBDA, 509-458-8555.
lenders participate in this program.
Panhandle Area Council, 208-772-0584.
The.7(a) guaranteed loan program is SBA’s primary lending Provides growing businesses with long-term, fixed-rate financing for
program.... major fixed assets, such as land and buildings. .
The borrower applies to a lending institution, not the SBA. The
A CDC is a nonprofit corporation set up to contribute to the
lender applies to the SBA for a loan guaranty. .
. economic development of its community or region. CDCs work with
The SBA can process the lender’s request through a variety of the SBA and private-sector lenders to provide financing to small
methods. Guarantees are up to $1,500,000 of each loan made by businesses...
participant lenders. . .
. Export Working Capital
These loans typically range from $25,000 to $2 million and are www.buyusa.gov/seattle/sba.html
repaid in monthly installments. They can be used for a variety Export Assistance Center, 206-553-0051
of business purposes including working capital, equipment Loans are used to finance export sales - 90% SBA guaranty up to
acquisition,debt refinance, change of ownership, and real estate $1.5 million. .
purchases. Maturities depend on the use of loan proceeds but
typically range from 5 to 25 years. . Disaster Loans
Find the SBA Participating Lender List at www.sba.gov/wa Field Operations Center West, 800-488-5323.
under “Resources” If you are in a declared disaster area and are the victim of a
disaster, you may be eligible for an SBA Disaster Loan - even if you
don’t own a business. As a homeowner, renter and/or personal-
Streamlined 7(a) Loan Processing property owner, you may apply to the SBA for a loan to help you
recover from a disaster. .
Preferred Lender program - SBA has delegated certain lenders
the authority to approve SBA loans unilaterally. Preferred lenders
General Credit Requirements
operate under the same 7(a) guaranteed loan guidelines as detailed
above. SBA generally provides a loan guarantee to the lender
SBA and private lenders use similar criteria to test credit worthiness.
within 24 hours of their request.
(1) Repayment Ability: You must show that you can meet
SBA Express Loan Program - SBAExpress loans are backed by business expenses, owners draw, and loan payments from the
an SBA guarantee of 50 percent, the lender uses its own application earnings.of.the.business...This.is.usually.demonstrated.through.
and documentation forms and the lender has unilateral credit historical performance and/or thoroughly documented cash flow
approval authority as in the PLP Program. This method makes projections..
it easier and faster for lenders to provide small business loans of .
$350,000 or less, with SBA generally providing a loan guarantee to (2) Management:..You.must.show.ability.to.operate.the.business.
the lender within 24 hours of their request.. successfully. For a start-up, you should have experience in the type
of business you propose to start, as well as some significant work
experience at a management level. .
12 September 2009
(3) Equity: The owners must have enough of their own money
(2) On the other hand, if adequate collateral simply is not available,
at stake in the business: this fact alone will not cause SBA to decline an otherwise qualified
(a) For a New Business (or when buying a business) you loan.
should have approximately one dollar of cash or business assets
for each three dollars of the loan. Eligibility - Most small businesses are eligible to receive SBA loan
(b) For an Established Firm, the after-the-loan business guarantees, however ineligible applicant cases include:.
balance sheet should show no more than four dollars of total debt
for each dollar of net worth (i.e., a 4:1 Debt/Equity ratio, although 1. The applicant is not small business.
this may vary by industry).. 2. The funds are otherwise available on reasonable terms, e.g.,
if the bank would make the same loan terms available without
Definition of Equity:..You.may.be.required.to.pledge. an SBA guaranty, or if personal assets could be used without
nonbusiness assets (often a second mortgage on your personal hardship.to.the.owners...
residence may be required for collateral). However, this should 3. The loan is to pay off inadequately secured creditors.
not be confused with equity in the sense it is used here. As used 4. Your business is engaged in speculation, lending, investment, or
here, the equity is the owner’s net investment in the business. rental.real.estate.
5. The applicant is a nonprofit enterprise (except employee stock
(4) Credit History: Your personal and company credit histories ownership programs).
will be reviewed. Prudent lenders prefer applicants who have
a history of meeting their obligations. If your credit record has Size Standards - Applicants must meet the SBA definition of small
blemishes but there are extenuating circumstances, prepare to business. Size limits vary by specific industry (NAICS code). See
explain fully. page 20 or www.sba.gov/size..
Guarantee Portion - Under the 7(a) guaranteed loan program
SBA typically guarantees from 50% to 85% of an eligible bank
loan up to a maximum guaranty amount of $1,500,000. The
exact percentage of the guaranty depends on a variety of factors
such as size of loan and which SBA program is to be used. This American Recovery and
will be worked out between the SBA and your bank.
Reinvestment Act of 2009
Amounts - The maximum loan amount is $2 million. The
total SBA guarantee for any one borrower may not exceed
Benefits to small business .
$1,500,000. Effective 03/16/09.
Maturity - Up to 25 years for real estate acquisition or SBA guarantee increased to 90 percent of a 7(a) loan
construction. Most other SBA loans are limited to 10 years. except for SBA Express..
Working capital loans are generally limited to seven years..
Interest Rates - SBA sets a maximum rate on its guaranteed
loans. The rate may be either fixed or variable, as determined 504 CDC processing fees and the Third-Party Participation
between the lender and applicant. The rate is pegged to the fees.eliminated..
formulas are: SBA alternative size standard. Businesses are considered
- Prime + 2.25% for loans > $50,000, maturity < 7 years. “small” if they meet the following requirements: .
- Prime + 2.75% for loans > $50,000, maturity 7 years or more.
- Lenders have the option of charging an additional 1% on loans
under $50,000 and 2% on loans under $25,000. - Avg. net income (after tax) of $3 million or less over
past 2 years
Fees - (Temporarily waived per the 2009 Recovery Act)....
- tangible net worth of $8.5 million or less
SBA charges a fee for its guaranty. The fee is levied on that .
portion of the loan guaranteed by SBA, not the face amount Dealer Floor Plan Program.
of.the.loan...It.is.passed.along.to.the.borrower.and.is.usually. Guaranteed loans to finance vehicle inventory are now available
financed - i.e., built into the loan amount. under SBA’s 7(a) guaranteed loan program. These loans are
available from $500,000 to $2 million to retailers of titleable
Fees for loan maturity exceeding 12 months: inventory such as cars, boats, and motor homes..
- 2% of the guaranteed portion for loans up to $150,000 .
- 3% of the guaranteed portion for loans above $150,000 up to American Recovery Capital or “ARC” A new debt service loan
$700,000 program through SBA participating lenders. Qualified applicants
- 3.5% of the guaranteed portion for loans above $700,000. can borrow up to $35,000 to pay principal and interest obligations
on existing debt. The loans are 100% guaranteed by SBA and
Fees for loan maturity of 12 months or less: 0% interest to the borrower.
- .25% (1/4 of 1%) of the guaranteed portion
Prepayment Penalties - Only on loans with terms of 15 years or
longer. Decreasing prepayment penalties apply during the first
Collateral - SBA’s policy has two parts:. For up-to-date information on how the
(1) When a loan guaranty is approved, we expect all available
American Recovery and Reinvestment Act
company assets to be offered as collateral. If company assets
are insufficient to fully secure the loan, liens on personal assets
of 2009 can help your business,
visit our website at:
SBA Small Business Resource Guide www.sba.gov/wa 13
lenders can submit applications under the traditional method, where
SBA Loan Guaranty the SBA reviews the lender’s credit analysis and examines eligibility.
You can find a list of SBA Participating Lender List at .
Program FAQs www.sba.gov/wa under “Resources”
Where can I obtain a loan application?
Does the SBA provide grants to start or expand small
businesses? Application forms and procedures differ depending on the lender.
For example some lenders may have you complete a paper loan
No. The SBA does not offer direct grants of money for starting application while others offer an on-line application. If the lender
or expanding the operations of a small business. SBA’s grant determines that an SBA guarantee is required, they will work with
programs generally support nonprofit organizations, intermediary you to complete certain SBA forms. SBA loan forms are availble
lending institutions, and state and local governments in an effort from participating lenders or via download at http://www.sba.gov/
to expand and enhance small business technical and financial tools/forms/index.html
If my loan application is declined, what other options do
There are grants available to small businesses through various I have?
federal agencies, however, these grants are typically awarded to
existing businesses and are narrow in purpose, such as the Small Don’t give up. There may be other financial resources better suited
Business Innovation Research Program www.sba.gov/SBIR. for your needs. There are other financial entities that use different
which awards grants to established and qualified enterprises to evaluative techniques and loan money at a slightly higher interest
develop new technologies. You can obtain more information on rate than a traditional bank loan. In addition, some states, coun-
grants offered by various federal, state and local organizations at ties, and cities commonly work with local banks to provide financial
www.grants.gov. support to small businesses as part of their economic development
programs. Ask your banker to help you explore these options.
Do I need to be declined by a bank before applying for Financing Options page 15.
an SBA loan guaranty?
No. The SBA helps small businesses obtain needed credit by
giving the government’s guaranty to loans made by commercial
lenders. The lender makes the loan, and SBA promises to repay What a lender looks for
up to 85% of any loss in case of default. Most commercial banks
and some nonbank commercial lenders participate in this program. New Business
(1) Describe in detail the type of business to be established.
Does my business qualify for SBA assistance? (2) Describe your experience and management credentials.
(3) Prepare a detailed estimate of how much capital will be
Approximately 98% of all businesses are eligible for SBA help. needed to start. State how much you have and how much
Ineligible businesses include those described on page 13 under you.will.need.to.borrow.
Eligibility. (4) Prepare a current personal financial statement, listing all
What can I do to increase my chances of getting a (5) Prepare a month-by-month projection of revenues, expens-
es and profit for the first twelve months. Also do a compan-
ion cash flow projection for the same period. Explain your
major assumptions in an accompanying narrative.
Research and develop a business plan that includes realistic
(6) List the collateral to be offered as security for the loan, with
financial projections and an estimate of anticipated earnings. A
estimates of the market value of each item.
well planned and organized business plan will be an important
(7) Take this material to your banker. If the bank wants an SBA
factor when a lending officer reviews your request. See Writing a
guaranty for your loan, they will make application to us. You
Business plan on page 10.
deal with the bank; the bank deals with SBA.
How much personal investment or contribution do I Established Business
need to qualify for a loan? (1) Current business financial information: Prepare a current
balance sheet and an income (profit and loss) statement
If you’re a start-up, you can typically expect to provide approxi- for current year up to the date of the balance sheet.
mately 20 to 30 percent of the total required starting capital. If (2) Historical business financial information: Prepare income
you’re an established business, the ratio of total debt-to-net worth statements and balance sheets for the past three full years.
after the loan is made should be approximately 4:1 or better in Do not include personal items on the statements. Reconcile
most cases. the equity balances between each year.
(3) Prepare a month-by-month projection of revenues, ex-
What is the turnaround time for a loan to be penses and profits for the next twelve months. Also do a
processed? companion cash flow projection for the same period. Ex-
plain your major assumptions in an accompanying narrative.
If all the loan documentation is complete, a preferred lender can (4) Prepare a current personal financial statement for each
get an SBA approval within 24 hours of submitting the documents owner, partner, or stockholder owning at least 20% of the
to SBA; a certified lender can get SBA approval in as few as three business.
days... (5) List the collateral to be offered as security for the loan, with
estimates of the market value of each item.
What is the Preferred Lender Program (PLP)? (6) State the amount and intended uses of the loan.
(7) Take this material to your banker. If the bank wants an SBA
The PLP maximizes the use of qualified lenders. SBA delegates guaranty for your loan, they will make application to us. You
loan approval, closing, and most servicing and liquidation authority deal with the bank; the bank deals with SBA.
and responsibility to carefully selected lenders. Other non-PLP
14 September 2009
GRANTS Alternative Financing Evergreen Business Capital
Rural Loan Fund
The SBA does not offer grants to start Shorebank Enterprise Cascadia www.evergreen504.com.
or expand small businesses. SBA does www.sbpac.com 800-878-6613.
offer some grant programs, however they 1901 NW Market Street.
are designed to expand and enhance Seattle, WA 98107.
organizations that provide small business 206-447-9226 .
25,000 or less. Amounts from $10,000
management, technical, or financial A non-profit community loan fund that
- $250,000. .
assistance. These grants generally support provides loans and technical assistance to
non-profit organizations, intermediary entrepreneurs who are unable to access
Community Capital Development (CCD)
lending institutions, and state and local traditional financing. Cascadia lends to
governments... women, minorities, and low-income people,
1437 South Jackson, Seattle, WA 98144.
and to businesses which restore or preserve
Federal Grant Resources the environment or have strong potential to
CCD counselors on-site provide services to
www.grants.gov create jobs. Loans range from $5,000 to
small businesses which include but are not
A listing of grants available through $500,000..
limited to: general management/marketing
a variety of federal, state and local assistance, financial planning analysis, and
organizations. The SBA does not provide Center for Economic Opportunity (CEO).
contract procurement assistance. Business
grants for starting or expanding the 15 N. Broadway, Suite B.
loan products are available to businesses
operations of a business. Tacoma, WA 98403.
located within the Seattle City limits...CCD
also offers the SBA 7(a) Loan Guarantee
On-line Catalog of Federal Domestic CEO,.a.program.of.the.Metropolitan.
Program and SBA Micro Loan Program.
Assistance (CFDA) Development Council, assists TANF and low-
www.cfda.gov income persons of Pierce County.to.pursue.
HAEIFC Private Business Loans
The on-line catalog covers a wide variety self employment as a means of achieving
of Federal programs, projects, services, self-sufficiency. CEO teaches participants
and activities which provide assistance or the skills required to create small business
Hanford Area Economic Investment Fund
benefits to the American public. There are opportunities and provides access to capital
Committee (HAEIFC) is a revolving loan
currently 15 types of assistance available and on-going technical assistance.
fund for for-profit entrepreneurs in Benton
including surplus equipment, training, & Franklin counties...Funds.may.be.used.
guaranteed loans, and, of course, grants The Lending Network for R&D, machinery/equipment or land
1611 N. National Avenue.
purchases, renovations, leasehold improve-
Chehalis, WA 98532.
ments, and/or construction-related costs
such as engineering, legal, architectural, sur-
FINANCING OPTIONS email@example.com.
veying, appraisals, etc. Loans may require
Rural Development Loan fund serves Lewis,
owner capital injection, personal guarantees
SBA Certified Development Cowlitz and South Thurston counties. and/or be secured by collateral or leveraged
in.Washington.State...Loan.amounts.from. by funds from other sources. Minimum loan
Companies.CDC $25,000 to $250,000; terms up to 20 years, amount is $150,000. Maximum term is 20
depending on what is being financed; fixed
CDCs use public and private partnerships
interest rates; collateral required; job creation
to finance fixed assets for small firms and
requirement. North Central Washington Business Loan Fund.
plays a key role in creating and retain-
ing jobs. Most 504 projects are in the Washington Dept of Commerce
PO Box 3032.
$200,000 to $2 Million range. . (formerly Commerce, Trade & Economic
Okanogan, WA 98840.
. Development - CTED)
Offers loans from $5,000 to $150,000 in
www.ameritrustcdc.com Helps entrepreneurs obtain financing for
Okanogan, Chelan & Douglas Counties
1420 5th Avenue #2200. start-up and expansion projects. Works to
and the Colville Indian Reservation.
Seattle, WA 98101. strengthen the state’s economy by helping
206-274-5152 businesses plan, finance and implement
Business Development Corp
strategies for company and job growth.
of Eastern WA.
Evergreen Business Capital Customers and partners include local
www.evergreen504.com governments, businesses, ports, community-
9 South Washington Street, Suite 212.
SBA 504 Loan Program. based development organizations,
Spokane, WA 99201.
13925 Interurban Avenue S. Suite 100. economic development councils, and tribal
Seattle, WA 98168 governments. Its loan programs include Rural
When conventional bank loans are
. Washington Loan Fund, Forest Products
unavailable, finances from $50,000
NW Business Development Association
Revolving Loan Fund, Child Care Facility
to $250,000 for start-up, early stage,
Fund, Coastal Loan Fund, HUD Section
and expanded businesses in Eastern
SBA 504 Loan Program.
108 Guaranteed Loans, CDBG Float Loans,
9019 E. Appleway, Suite 200.
Brownfields Cleanup Revolving Fund.
Spokane Valley, WA 99212.
WA State Linked Deposit Program
Benton Franklin Council of Governments
PO Box 217, Richland, WA 99352.
Panhandle Area Council (PAC).
A financing opportunity for certified
Nontraditional loan funds for gap financing
minority and women-owned businesses
11100 N. Airport Drive.
in manufacturing, value-added processing,
Hayden, ID 83835.
service and retail. It can be used for fixed
participating banks at less than market rate.
208-772-0584; firstname.lastname@example.org .
assets, working capital, inventory and real
Apply at your bank. See list of participating
Offers SBA 504 Fixed Asset Financing in
estate. Funding is available for eligible
the 5 northern counties of Idaho, and other
businesses.in.Benton, Franklin and Walla
business.loan.programs. Walla counties.
SBA Small Business Resource Guide www.sba.gov/wa 15
Development Loan Fund (DLF) Loans up to $15,000 for working capital, SNAP Financial Access
Department of Community Development .
expansion and/or start-ups at prime plus 2% www.snapwa.org
906 Columbia Street SW.
fixed term. Need viable business plan. 212 South Wall, Spokane, WA 99202.
PO Box 48300.
509-456-7174 ext. 111.
Olympia, WA 98504-8300.
Clearwater Economic Development Heyamoto@snapwa.org.
Association (CEDA) Provides training, business counseling, and
Provides loans of up to $350,000 through
www.clearwater-eda.org.. small business loans ranging from $500-
combined state and federal resources
1626 6th Ave., Lewiston, ID 83501. $50,000 to low-to-moderate income entrepre-
for.businesses.in.distressed.rural areas 208-746-0015 neurs.in.Spokane.County.who.want.to.start.
to create new jobs, particularly for lower Provides loans from $2,500 to $150,000 a business or expand an existing business.
income persons.. in.Clearwater, Idaho, Latah, Lewis and. SNAP also offers Individual Development
. Nez Perce Co in Idaho where conventional Accounts to help entrepreneurs to save for
Quest Revolving Loan Fund financing is not available. Technical their prospective businesses with the boost
assistance provided to borrowers. of matching funds. SNAP’s new Business
Resource Center is an entrepreneurial library
Wenatchee, WA 98801.
Spokane Neighborhood Economic Dev open to the public every Tuesday and Thurs-
Alliance (SNEDA) day from 1 p.m. to 7 p.m. or by appointment.
Existing businesses only. Also offers GAP
715 E. Sprague Ave., Spokane, WA 99202.
Microloan Revolving Fund (MRF)
financing with banks..
SNEDA, offers loans of $5,000—$50,000,
Provides financing to for-profit, independently
Dept of Community Services
risk-based interest (10-17%). SNEDA can
owned and operated start-ups or expanding
be a source of loan gap funding too. .
businesses that are unable to secure
Economic Development Division.
conventional financing. Range from $500 to
3602 Pacific Avenue, Suite 200.
Tri-County Economic Development
$35,000. Funds can be used for equipment,
Tacoma, WA 98418.
machinery, inventory, operating capital,
Sheree Clark, 253-798-6604; .
fixtures, and furniture. Interest rates vary.
347 West Second, Suite A, .
Maximum loan term is six years. Serves
Offers a variety of programs to assist
Colville, WA 99114 .
Benton, Franklin, Columbia, Garfield,
new and existing businesses locating
509-684-4571 or 800-776-7318.
Asotin, Whitman, and Spokane counties.
or.operating.in.Pierce county...Funding. Provides rural and revolving loan funds that
sources for programs include: Housing and can go up to $250,000, as well as Micro-
Childcare Microloans (CCML)
Urban Development, SBA and the Pierce loansin.Adams, Asotin, Ferry, Garfield,
Grant, Lincoln, PendOreille, Stevens,
County Community Investment Corporation.. 509-943-9185, email@example.com.
Whitman, and rural Spokane County.
. Financing for childcare providers to become
or continue to be licensed. Loans range from
Rural Community Development
MICROLOAN LENDERS Resources (RCDR). $500 to $5,000 for family home childcare
PO Box 9492, Yakima, WA 98909 . providers, and up to $25,000 for child care
509-453-5133; ruralCDR@aol.com . centers. Interest rate is 5% (subject to
Washington CASH - Washington
Provides business assistance, training, and change). Eligible uses related to licensing
Community Alliance for Self Help.
microloan programs from $2,000 to $35,000 requirements include safety items, equipment,
SBA Micro Loan Program Intermediary
in.the.greater.Yakima.area.for.equipment,. fencing, etc. Counties: Benton, Franklin,
inventory, working capital, franchise pur- Walla Walla, Grant, Adams, Whitman,
2100 24th Ave S, Suite 380.
chases and/or cash flow restructuring. Okanogan, Chelan, Douglas, Yakima,
Seattle, WA 98144
Skamania, Clark, Garfield, Kittitas,
Child Care Micro-loan Fund Klickitat, Asotin, and Columbia.
Helps people with low-incomes start and
grow.small.businesses,.usually.out.of.their. 25 W. Main St. Suite 310.
homes. Services include: 20 hours of Credit Rural Development Loans
Spokane, WA 99201. www.bfcog.us/econ.html
practical business training, credit (loans 509-209-2613.
begin at $500 and increase in steps to 509-943-9185, firstname.lastname@example.orgGap
Loans up to $5000 to licensed family child
$5,000), ongoing technical assistance care homes and $25,000 to centers. Funds Provide funds needed between the amount
and peer support. Also provides loans assist with start-up facility costs, health of conventional financing available and
funded by the SBA from $500 to $35,000 to and safety improvements, minor renova- the amount needed, of up to 75% of total
businesses.in.Washington.State.. tions of licensed child care businesses, and project costs ($10,000 to $250,000) for
. operational equipment acquisition. Loan start-ups or existing private for-profit and
Community Capital Development (CCD)
applicants receive up to 30 hours of free non-profit businesses in small communities
technical assistance and business training... and.rural.areas.of.Benton, Franklin, Walla
Counties served: Ferry, Lincoln, Pend Walla and Columbia counties involved in
See listing on page 15..
Oreille, Spokane, Stevens manufacturing, value-added processing,
Panhandle Area Council service and retail operations. Interest rate:
WA Assistive Technology Foundation.. two points below to two points above Prime.
1823 East Madison, Suite 1000 . BFCoG Regional Revolving Loans
Offers SBA MicroLoan Program in
Seattle, Washington 98122. www.bfcog.us.
Boundary, Bonner, Kootenai, Shoshone,
206-328-5116; email@example.com. 509-943-9185, firstname.lastname@example.org.
and Benewah counties in Idaho and other
TTY: 1-800-214-8731 RRLF proceeds provide gap financing for
Nonprofit lender. Offers access loans for job-creating business expansion within
AHANA - African American, Hispanic, assistive technology, home and vehicle ac- Benton and Franklin counties...Gap.loans.
Asian & Native American cessibility mods, loans needed by employ- beyond the available conventional financing
www.ahana.org.. ees.and.entrepreneurs.to.work.from.home. range from $25,000 to $175,000. Interest
25 W. Main, Suite 300. or other approved “Telework” locations; and rate is two points below to two points above
Spokane WA 99201. microloans ranging from $250 to $1,000 for Prime. Administered by the Benton-Franklin
509-838-1881; email@example.com. assistive technology or telework equipment. Council of Governments.
16 September 2009
FREE Loan Briefings
Downtown Seattle Spokane
- 2nd & 4th Thursday each month - 1st & 3rd Thursday each month
Noon to 1:00 pm Noon to 1:00 pm
SBA Education and Training Center. SBA Training Room.
4th & Battery Building. 801 W. Riverside Avenue, Suite 200.
2401 Fourth Avenue, Suite 450. Spokane, WA 99201.
Seattle, WA 98121. 509-353-2800
Tacoma Thurston County
- 3rd Thursday each month - 3rd Tuesday each month
Noon to 1:00 pm 1:00 pm to 2:00 pm
Tacoma Business Assistance Center. Thurston County Chamber of Commerce.
(co-located with Bates Technical College). 809 Legion Way SE
1101 S. Yakima Street, M-123B Olympia, WA 98501
Tacoma, WA 98405. Call 360-357-3362 to preregister
Call 253-680-7770 to preregister
. Join us for an informative session on how the SBA Loan Guaranty Program
V E N T U R E CAPITAL works. Your specific questions will be answered.
Small Business Investment Company
- Can loan proceeds be used to consolidate debt or help with cash flow or buy a building? .
- What are the eligibility and credit requirements? .
General information 202-205-6515.
- What are lenders looking for when approving loans? .
To order a licensing kit or publication.
- Who can help with a business plan or a loan proposal? .
- What financing options are available?
The SBIC Program fills the gap between
the availability of venture capital and the
Unable to attend a loan briefing in person? Go virtual.
needs.of.small.businesses.that.are.growing. Noon to 1 p.m. - Every Thursday each month
rapidly. Licensed and regulated by the SBA, Participate from the comfort of your home or office via ReadyTalk. As a virtual attendee
SBICs are privately owned and managed you can, use your phone to hear the presenter and view the Microsoft Power Point
investment firms that make capital available presentation on your computer. .
to small businesses through investments or .
loans. SBIC’s are: high risk venture capital, More.info.at.www.sba.gov/wa and click on “$$Need Money for Your Small Business”
and may charge higher interest rates than
other sources of financing. This program is
operated directly from the SBA Headquar-
ters office located in Washington, DC.
Credit Reports – Where to Get Yours
NWVA Northwest Venture Associates,
In accordance with the Fair and Accurate Credit Transactions Act (FACT Act),
221 N. Wall Street, Suite 628.
you have the right to obtain one free copy of your credit report a year from each
Spokane, WA 99201.
of the three major credit reporting agencies.
Preferred Investment size - $250,000
TransUnion, Equifax, and Experian created www.annualcreditreport.com.to.
provide consumers with a centralized and secure means to request and obtain
Investment Policy - Start up through later
stage Investment Type - Information Tech-
their free credit reports once every 12 months. This site provides credit reports
nology, Healthcare, Specialty Retail, Other
but does not provide credit scores, or more specifically FICO® scores. Go
Geographic Preference - Northwest
online to www.myfico.com for more info about FICO® scores.
NW Entrepreneur Network. Review your personal credit report from each credit reporting agency at least
P.O. Box 40128, Bellevue, WA 98015-4128. annually. If you are in the process of applying for a loan, immediately notify your
425-564-5701; firstname.lastname@example.org. lender of any incorrect information present in your credit report. You can dispute
The.Northwest.Entrepreneur.Network. any errors by contacting the credit reporting agencies directly. If you report an
helps entrepreneurs make the connections error to a credit reporting agency, it must investigate and respond to you within
and access the resources they need to
succeed. Focused on helping entrepre-
Northwest Entrepreneur Network provides Equifax Experian TransUnion
the knowledge, mentoring, and access to
investors that creates and grows successful 800-685-1111. 888-397-3742. 800-888-4213.
companies.. www.equifax.com www.experian.com www.transunion.com
Additionally,.business owners and entrepreneurs should check their
business credit reports for accuracy before submitting loan or credit
applications. To get copies of your business credit report, contact one of the
business credit reporting agencies such as Dun & Bradstreet online at .
SBA Small Business Resource Guide www.sba.gov/wa 17
D&O (“Director and Officer”) Insurance - Under certain
circumstances, officers and directors of a corporation may become
. personally liable for their actions on behalf of the company. This
Buying business insurance is among the best ways to prepare for type of policy covers this liability.
the unexpected. Without proper protection, misfortunes such as the
death of a partner or key employee, embezzlement, a lawsuit, or a Home-Based Business Insurance - Contrary to popular belief,
natural disaster could spell the end of a thriving operation standard homeowners’ insurance policies do not automatically cover
home-based business losses. Commonly needed insurance areas for
Ranging from indispensable worker’s compensation insurance to home-based businesses include business property/office equipment,
the relatively obscure executive kidnapping coverage, insurance is professional liability, personal and advertising injury, loss of business
available for nearly any business risk. Considering the multitude of data, crime and theft, and disability. Contact your homeowners’
options, carefully weigh whether the cost of certain premiums will insurance company to update your policy.
justify the coverage for a given risk.
Internet Business Insurance - Web-based businesses may wish
Types of Business Insurance to Consider to look into specialized insurance that covers liability for damage
done by hackers and viruses. In addition, e-insurance often covers
General Liability - General liability insurance covers legal specialized online activities, including lawsuits resulting from meta
hassles due to claims of negligence. These help protect against tag abuse, banner advertising, or electronic copyright infringement.
payments as the result of bodily injury or property damage, medical
expenses, the cost of defending lawsuits, and settlement bonds or
judgments required during an appeal procedure.
Product Liability - Every product is capable of personal injury
or property damage. Companies that manufacture, wholesale,
distribute, and retail a product may be liable for its safety. SBA Disaster Loans.
Additionally, every service rendered may be capable of personal
injury or property damage. Businesses are considered liable for www.sba.gov/services/disasterassistance
negligence, breach of an express or implied warranty, defective
products, and defective warnings or instructions. The SBA is the federal disaster bank in the wake of hurricanes,
floods, earthquakes, wildfires, tornadoes, and other physical
Worker’s Compensation - Required in every state except Texas, disasters. If you are in a declared disaster area and have suffered
worker’s compensation insurance pays for employees’ medical any.disaster.related.damage.you.may.be.eligible.for.federal.
expenses and missed wages. In most cases, business owners, disaster assistance. After the President or the SBA Administrator
independent contractors, domestic employees in private homes, declares a disaster, homeowners, renters, and businesses of all
farm workers, and unpaid volunteers are exempt. size may apply for low-interest SBA Disaster Loans.
Criminal Insurance – Despite heightened workplace security,
theft and malicious damage are always possibilities. Dangers Physical Disaster Loans: Available for non-farm businesses of
associated with hacking, vandalism, and general theft are obvious, any size and non-profit organizations. SBA makes loans of up to
but employee embezzlement is more common than most business $1.5 million to repair or replace damaged property, inventory, and
owners think. Criminal insurance and employee bonds can provide equipment....
protection against losses in most criminal areas.
Economic Injury Disaster Loans:.Small.businesses.or.
Business Interruption Insurance - While property insurance agricultural cooperatives may be eligible for SBA assistance of up
may pay enough to replace damaged or destroyed equipment to $1.5 million if they have suffered substantial economic injury in a
or buildings, how will you pay costs such as taxes, utilities and declared disaster area..
other continuation expenses during the period between when the
damage occurs and when the property is replaced? Business Real Property Loans: Loans up to $200,000 for homeowners to
interruption (or “business income”) insurance can provide sufficient
repair or restore a primary residence to its previous condition.
funds to pay your fixed expenses during a period of time when your
business is not operational due to a covered loss.
Personal Property Loans: Up to $40,000 for homeowners and
Key Person (“Key Man”) Insurance – A company’s business renters to repair or replace personal property such as clothing,
continuation plan outlines how the firm will maintain operations if furniture,.or.automobiles.lost.in.the.disaster.
a key person dies, falls ill, or leaves, but if you (and/or any other .
business partner or essential employee) are so critical to the Interest Rates: By law, rates are not to exceed 4 percent for
operation of your business that it cannot continue in the event of homeowners, renters and businesses unable to obtain credit
your illness or death, you should consider “key man” insurance. elsewhere. Rates are not to exceed 8 percent for homeowners,
Frequently required by banks or government loan programs, this renters and businesses determined by SBA to have credit available
coverage is usually life insurance that names the company as a elsewhere.
beneficiary if an essential person dies or is disabled.
Individuals who are Homeowners and Renters must register
Malpractice Insurance/E&O - Some licensed professionals
with the Federal Emergency Management Agency.to.obtain.a.
need protection against the cost of lawsuits/claims alleging that
one’s negligence or inappropriate action resulted in bodily injury FEMA Registration ID Number by calling 1-800-621-3362..The.
or property damage; medical expenses; the cost of defending speech or hearing impaired may call (TTY) 1-800-462-7585.
lawsuits, investigations and settlements; and bonds or judgments
required during an appeal procedure. Businesses may apply directly to the SBA for possible disaster
assistance. Go to www.sba.gov and access the disaster
Automobile - A vehicle owned by your business should be insured information linked to the front page for guidance and forms..
for both liability and replacement purposes. But you may need .
special insurance (called “non-owned automobile coverage”) for If you have any questions regarding SBA disaster assistance,.
employees who use their own autos in your business. This policy please contact the SBA disaster call center at 1-800-
covers the business’ liability for any damage which may result from 659-2955 or (TTY)1-800-877-8339. You can also email to
such usage. Some personal auto policies exclude business use, email@example.com
so be sure to contact your current agent to see if a commercial
policy is needed.
18 September 2009
Maintain a contact list of all your suppliers.
Find out how they plan to supply you, if the supplier experiences
According to the Washington State Emergency Management a.disaster.
Almost 40% of small businesses that close due to a disaster Equipment
Maintain an inventory of all equipment used by your business.
event never re-open. 91% of Americans live in places at moderate Keep a maintenance schedule for all equipment, as well as
to high risk of earthquakes, volcanoes, tornadoes, wildfires, manufacturer and service contact information for each.
hurricanes, flooding, high-wind damage or terrorism. 85% of the
U.S. critical infrastructure is owned by private industry. Property
Make sure your facility meets all local building and fire codes.
Know where utility shutoff s are located and how to operate them.
Though each situation is unique, any business can be better
prepared if it plans carefully, puts emergency procedures in Records
place, and practices for emergencies of all kinds. Document all processes that make your business run from
answering the phones, to tracking finances, to distributing your
Structural Fires product or service.
Install and maintain smoke alarms or a fire suppression system.
Develop a schedule for backing up all computer records.
Conduct fire drills regularly.
Keep current copies of all paper and computer files off-site and
Reduce clutter – it is a fuel source and can block exits.
Take proper precautions regarding smoking and lit candles.
Flooding Insurance coverage can mean the difference between reopening
Most standard insurance policies do not cover flood damage and
after a disaster strikes or having to close your doors. Meet
the resulting loss of income. Check with your insurance agent.
regularly with your insurance agent to ensure you have adequate
Build with flood-resistant materials to reduce damage and clean up.
coverage and knowledge of how to quickly file a claim.
Check with local authorities to find out the 100-year flood level of
Consider a policy that will reimburse you for business disruptions
your structure. in addition to physical losses.
Consider working with a licensed contractor to raise electrical and
HVAC system above the 100-year flood level mark. Additional tips
Raise computers, electronics, and important files off the floor. Get.a.weather.alert.radio.and.monitor.it.
Work with a licensed plumber to install a backflow valve to prevent Post emergency numbers and procedures throughout your facility.
Plan evacuation routes and procedures for employees and
Move critical items above flood level during a flood watch.
customers, and provide copies to all employees.
Wildfires Plan ahead to accommodate individuals with special needs.
Maintain a 30 foot “combustible-free” zone around your facility.
Keep grass mowed and irrigated, remove any trees and
Make a supply kit
Build and renovate with flame-resistant materials.
A well-designed supply kit – planned for the number of employees
Keep the roof and gutters clear of debris.
who may need it - can be invaluable during and after a disaster.
Attach non-flammable, fine-gauge screening over all chimneys.
Some items to include are: .
Ensure that your facility is up to code. Water. Duct Tape
Use natural gas lines with flexible connections and automatic shut- Food Radio.and.batteries
off valves. Tarps Cleaning.supplies
Use flexible water lines and/or couplings to toilets, sinks, and in First-aid kit Flashlights (never use candles or matches)
sprinkler.systems. Plastic bags Gloves (rubber and leather)
Secure equipment, including computers, to the floor or walls to Tool.kit Camera (to document damage)
prevent tipping. Blankets.
Make sure anything with a drawer or door, like filing cabinets, has .
latches with a manual release. **Advise your employees to store a small supply at work of
Tornado critical personal items, such as prescription medications.
Establish interior, preferably basement, locations for employees to
gather. Bathrooms, corners, and short hallways are safest.
Remember, a “watch” means a tornado could happen and a Important websites
“warning” means you should take immediate cover.
Keep surplus blankets in a shelter area. American Red Cross.
The following general emergency preparedness checklist was compiled .
courtesy of Nationwide Insurance Company and the SBA: Federal Emergency Management Agency.
Identify an internal shelter in the event that authorities tell you to Department of Homeland Security .
“shelter in place”. www.ready.gov/business/index.html.
Establish a spokesperson to speak to the media and the public.
Document each employee’s job and emergency contact info. Institute for Business and Home Safety.
Decide who is in charge when regular managers are unavailable. www.ibhs.org
Create a phone tree and designate individuals who will initiate the .
communication process. National Federation of Independent Business.
Train your employees on the plan and review it with them regularly.
Identify the odds that customers will be present if a disaster
strikes. UW Emergency Management.
Keep communications open.
Keep a copy of your customer records off-site.
Have an alternate worksite from which to communicate to
customers during recovery. Washington State.
SBA Small Business Resource Guide www.sba.gov/wa 19
Dry Cleaning Plants $ 4,500,000.
SBA Small Business Size Power Laundry/Linen Supply
Standards Security, Detectives, and
Armored Car Service $12,500,000 .
Engineering Services $ 4,500,000 .
www.sba.gov/size Building Cleaning & Maintenance $16,500,000.
Computer Programming $25,000,000.
SBA regulations define what is considered a “small”
/Software/Data Processing .
business concern for purposes of obtaining financial,
Accounting, Auditing, Bookkeeping $ 8,500,000.
managerial and government contract procurement
RETAIL: In most industry classifications, a retail concern is consid-
ered a small business if its average annual receipts do not exceed
$7,000,000 for the past 3 fiscal years (500 employees for govern-
Under the size criteria, one set of standards for each
ment procurement of supplies)..
industry applies to all SBA financial and government
contract procurement programs. .
Mobile Home Dealers $13,000,000.
Each North American Industry Classification System
Department Stores $27,000,000.
Variety Stores $11,000,000.
(NAICS) Code has a specific industry size standard.
Grocery Stores $27,000,000.
Gasoline Service Stations $ 9,000,000.
For complete rules, see Code of Federal Regulations,
Motor Vehicle Dealers (New) $29,000,000 .
Chapter 13 Part 121. Available at the Government
Motor Vehicle Dealers (Used) $23,000,000 .
Bookstore, Jackson Federal Building, 915 2nd Avenue,
Most Clothing Stores $ 9,000,000.
Seattle, or at the Seattle Public Library
Household Appliance Stores $ 9,000,000.
Radio & TV Stores $ 9,000,000.
Questions about specific industries .
Heating Oil Dealers 50 employees.
not listed? Call 206-553-8546.
WHOLESALE: A concern primarily engaged in wholesaling is
considered small if its average number of employees does not
AGRICULTURE: Crops and livestock (except beef cattle feedlots
exceed 100 over the preceding completed 12 calendar months (500
and chicken egg farms) - 3 fiscal year average annual receipts do
employees for government procurement of supplies).
not exceed $750,000..
Beef Cattle Feedlots $ 2,500,000 .
Chicken Egg Farms $12,500,000.
Training and Workshops for
Ornamental Nursery Products $ 750,000 .
Animal Aquaculture & Animal Specialty Farms $ 750,000
. SBA training facilities host no-cost and low-cost monthly
Agricultural Services-Planting, Harvesting, etc. $ 7,000,000 workshops for entrepreneurs on a wide variety of business-
. related topics. Ongoing workshops are available at the SBA’s
Fishing, Hunting, & Trapping $ 4,000,000. Education and Training Center in downtown Seattle and SBA’s
. Training Room in Spokane. Join us for SBA loan briefings, tax
CONSTRUCTION: General construction size standard is $33.5 workshops,.SCORE.workshops,.WNET.training.and.more..
million average annual receipts for the past three fiscal years. Size .
standard for special trade contractors is $14.0 million average an- Workshop Schedule.
nual receipts for the past three fiscal years.
- www.sba.gov/wa click on “Events Calendar”
TRANSPORTATION: Considered small if average annual receipts
for the past 3 fiscal years do not exceed the specified amount:. SBA Education and Training Center
. 2401 4th Avenue, Suite 450
Passenger Transport - Bus Service $ 7,000,000. Seattle, WA 98121
Trucking $25,500,000. firstname.lastname@example.org
Travel Agencies $ 3,500,000. Spokane SBA Training Room
Freight Forwarding $ 7,000,000. 801 W. Riverside Avenue, Suite 240
Tour Operators $ 7,000,000. Spokane, WA 99201
Water Transportation - freight or passenger 500 Employees 509-353-2800
Air Transportation/Air Courier 1,500 Employees Call for schedule www.sba.gov/training .
MANUFACTURING: ..A.business.primarily.engaged.in. Tacoma Business Center available 24 hours a day.
manufacturing is considered small if its average number of
Bates Technical College
employees does not exceed 500 over the preceding completed 12
1101 South Yakima Avenue
calendar months (with some exceptions up to 1,500 employees)..
Tacoma, WA 98402
SERVICE: A concern primarily engaged in a service industry
is considered small if its average annual receipts do not exceed
$7,000,000 for the past three fiscal years..
Skagit Valley Business Resource Center
204 W. Montgomery
Mt. Vernon, WA 98273
20 September 2009
Minority and women-owned business should apply for
Doing Business with the certification through the Washington State Office of
Minority and Women’s Business Enterprise at
OMWBE certification will help you get contracts with
state and local agencies and schools. They also have a
Where do I start? special loan program with discounted interest rates.
Go on-line to the SBA website and access the 8(a)
Use this checklist to help you prepare to bid on private and Business Development assessment tool. It.helps..
government procurement opportunities. small.business.owners.determine.whether.they.are.
eligible for SBA’s 8(a) program. This customized tool .
takes about 10 minutes to complete and is available
Get a computer and get on the Internet! Even if
you don’t have your own website, you must at least
Your company may qualify for SBA procurement
have an e-mail address to conduct business with the
certifications such as HUBZone, SDB or 8a. .
Find your DUNS (Data Universal Numbering System) Most Federal agencies have government contracting
specialists. Go to www.osdbu.gov/offices.html to find
number. Get this number by calling Dun & Bradstreet
agency reps who work with small businesses..
at 866-705-5711 or visit their website at .
This free of charge process only takes a few minutes..
Visit the Fed Biz Opps website at https://www.fbo.gov..
You can also register as a vendor and have bids .
e-mailed to you..
Find out your NAIC (North American Industry
Classification System) codes. These codes describe
Visit General Services Administration at www.gsa.gov...
Check out the GSA schedule and see the variety of
goods and services listed. You may want to consider
Use the U.S. Census “SIC to NAICS” website at .
applying for a GSA contract (called a “schedule”) which
allows government buys to purchase from you at a
to determine your NAICS codes. Be sure to keep
prearranged price. You can find out how to apply for a
these codes handy, as you may need them when filling
GSA schedule at their website..
out Government registrations or searching for bids..
Register your business with the Central Contracts Don’t forget about your local government agencies
and entities. Check with your local cities, ports,
Registration. Their website is located at www.ccr.gov..
school districts, counties and other local agencies for
information on their purchasing practices, small works
Government are required to be registered in CCR..
rosters, vendors’ lists, etc.
After signing up for CCR, be sure to complete your
ORCA (Online Representations and Certification
application) at http://orca.bpn.gov...This.registration.
allows you to enter your reps and certs information just Tips to Remember
once for use on all future government contracts..
Print out online applications and fill them out on paper
After signing up for CCR, be sure to fill out the before.doing.them.online..
additional information to register in the Dynamic Small
Business Search at the CCR website. This website Always keep copies of application you have done online
provides a database for government contractors and and/or mailed and faxed in. And, be sure you write down
the dates you submitted the applications on the copies..
prime contractors to use when they are looking for
vendors. . Always.write.down.and.keep.any.passwords,.registration.
http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm numbers, MPINS or TPINS. These can be very hard to
replace if you lose them!.
Be sure to keep track of your CAGE code. If you don’t
have a CAGE code, you will get one when you sign up Don’t hesitate to call the help lines on websites if you have
for the Central Contractor’s Registration. The Federal questions. Once again, keep track of who and when you
Government may use this code when pays you for called..
goods and services..
If you call a help line and aren’t satisfied with the person
you are talking to, document the call, hang up, call back
Find your local PTAC by visiting the website at . and.talk.to.someone.else.
www.washingtonptac.org/index.shtml. Your local
PTAC.assists.with.registrations,.answers.questions. Keep documentation of everything!
and.offers.workshops. You may need it in the future.
SBA Small Business Resource Guide www.sba.gov/wa 21
Procurement Technical Outreach Centers: More Procurement Help:
Assistance Centers PTAC Eastern Washington PTAC. Washington State Department of General
Greater Spokane Incorporated. Administration .
The.Washington.State.PTAC.is.designed. 801 Riverside Avenue, Spokane, WA 99201. www.ga.wa.gov/purchase.
to assist businesses with any aspect Louise Fendrich, 509-321-3628. 360-902-7400 .
of federal, state and local government email@example.com. Encourages state contracts for small firms. .
contracting. The PTAC provides assistance Serving Counties: Adams, Asotin,
with: Columbia, Ferry, Garfield, Lincoln, Pend Washington State Office of Minority
Oreille, Stevens, Spokane, Walla Walla, and Women’s Business Enterprises
Computerized Bid Match Service (OMWBE).
We search numerous government www.omwbe.wa.gov/
databases for bid leads that match your Olympia - 360-753-9693
Economic Development Association.of
company including FedBizOpps, Defense Downtown Seattle (co-located with SBA)
Skagit County (EDASC).
Logistics Agency buying centers, NASA, - 206-553-7356; firstname.lastname@example.org.
204 West Montgomery St..
Washington.State.Department.of.General. Tacoma (co-located at Bates Technical
Mount Vernon, WA 98273.
College) - 253-680-7770
Administration, and several other agencies.
Diane McLeod, email@example.com.
Manages a state program to increase the
Bid leads are sent via email. There is a
participation of bona fide minority and
$100 annual fee for this optional service.
Serving Counties: Island, San Juan, women’s businesses in state public works
All other PTAC services are provided free
Skagit, Whatcom contracting and purchasing of goods and
services. Provides certification of qualifying
Thurston County EDC. small businesses, conducts compliance
Interpretation of Solicitations
665 Woodland Sq. Lp. SE #201. reviews and monitors the use of certified
We can help decipher solicitations
Lacey, WA 98503. firms by state agencies..
by reviewing contract clauses, terms,
Tiffany Scroggs, 360-754-6320. .
definitions and requirements.
firstname.lastname@example.org. General Services Administration (GSA)
Serving Counties: Clark, Cowlitz, Lewis, www.gsa.gov
Assistance with government
Skamania, Thurston GSA contractors list products in the GSA
registrations and certifications
catalog for sales to government. .
Assistance with CCR (Central Contractor
Grays Harbor EDC. .
Registration), CAGE (Commercial and
506 Duffy Street, Aberdeen, WA 98520. Business Links
Government Entity) codes, DUNS (Data
Roger.Milliman,.email@example.com. WSU Tri-Cities.
Universal Numbering System) numbers,
360-532-7888 or 800-553-6618. 2710 University Drive.
(SDB) Small Disadvantaged Business, 8(a)
Serving Counties: Clallam, Grays Richland, WA 99352-1671.
certification, and HUBZone (Historically
Harbor, Jefferson, Kitsap, Mason, Pacific 509-372-7142; firstname.lastname@example.org
Underutilized Business Zone) certification.
Training and Seminars Dun & Bradstreet (D&B)
PTAC for Native American firms:
Northwest American Indian Development
sessions and seminars. Topics have Dun & Bradstreet, providing rapid access
3400 188th Street SW, Suite 310.
included local procurement opportunities, to.importial,.global.information,.tools.and.
Lynnwood, WA 98037.
government certifications, construction & expertise, also features the well known
information about suppliers, customers and
William Factory Small Business Incubater
Marketing Assistance trading.partners.
Assistance in determining where the key http://williamfactory.com/.
markets are for your products and services. 1423 East 29th.
Central Contractor Registration (CCR)
Tacoma, WA 98404.
Charles Aycock, 253-722-5800.
Specifications, Standards and Drawing Central Contractor Registraiton, a
Assistance in locating necessary centralized, electronic registration process
Serving Pierce County.
documents for solicitations. designed to eliminate administrative
duplication, is a requirement for contractors
Tricity Regional Chamber of Commerce.
that choose to conduct business with
7130 W. Grandridge Blvd. Suite C.
Kennewick, WA 99336.
PTAC Locations: 509-736-0510.
Serving counties: Benton, Franklin
WA State PTAC Program - Main Center.
North American Industry Classificaiton
Idaho Business Network & PTAC
Located with Snohomish County EDC.
Erin Nielsen, email@example.com.
Find 2002 NAICS codes, with links to defini-
700 West State.
tions and tables displaying correspondence
Boise, ID 83720-0093.
425-743-4567 ext. 213 .
with SIC codes, using this new business
Jim Vestermark, 1-800-842-5858 .
classification system created jointly by the
Snohomish County EDC .
U.S., Canada and Mexico to better reflect
Provides procurement technical assistance
728 134th St. SW, Suite 128.
the current North American economy,
and information about contracting
Everett, WA 98204.
including an expanded service sector and
Kylene Binder, firstname.lastname@example.org.
interested in selling to government agencies
and large corporations.
Serving Counties: Snohomish, Chelan,
Douglas, Grant, Kittitas, Okanogan,
22 September 2009
This subcontracting network of the SBA’s
SBA 8a Business Development
Office of Governmnet Contracting not The 8(a) Program helps small disadvantaged businesses compete in the market
only relates its services but provides place, gain access to federal and private procurement markets, and prepare small
a competitive venue for contractors disadvantaged firms for procurement and other business opportunites. The focus is to
and subcontractors to post notices of provide business development support, such as mentoring, procurement assistance,
subcontracting opportunities. business counseling, training, financial assistance, surety bonding and other management
and technical assistance. .
Government Web Portal .
www.firstgov.gov Available to businesses that: .
FirstGov supplies direct online access - meet SBA’s small business size standards.
to official federal, state, local and tribal - have been operating for at least two years prior to application.
government transactions, services and - are owned by persons who are U.S. citizens.
information. - are owned at least 51% by one or more socially and economically disadvantaged individuals
Procurement Gateway Socially disadvantaged groups include:.
progate.daps.dla.mil - Black American. - Asian Pacific American.
The Procurement Gateway provides flexible - Hispanic American. - Subcontinent Asian American
search options for RFQs (Request for Quo- - Native American
tations), RFPs (Request for Proposals) and .
Awards for the Defense Logistics Agency Others must provide evidence as to how they have been discriminated
(DLA) Supply Centers.
Economically disadvantaged businesses must have:.
GSA Federal Supply Service - personal net worth must be less than $250,000 (equity in primary residence
www.fss.gsa.gov and in business excluded).
Qualified businesses may obtain a GSA - a product or service regularly purchased by the federal government
Federal Supply Schedule contract and post Apply.online.at.www.sba.gov/8abd - click on “8a/SDB Electronic Application”
their products and services on the GSA Ad-
vantage website where federal buyers can
procure the products and services to satisfy Small Disadvantaged Business Certification Program (SDB).
all.their.business.needs. Available to businesses that:.
- meet SBA’s small business size standards.
WA Purchasing - are owned by U. S. citizens.
- are owned at least 51% by one or more individuals meeting the socially disadvantaged
criteria as defined under 8(a) program above.
Take advantage of the numerous contracting
- Economically disadvantaged businesses personal net worth must be .
opportunities available to agencies through-
less than $750,000 (equity in primary residence and in business excluded).
out Washington being offered by the State’s - SDB is a Self Certification Program (formal application process not required).
buyer of goods and services. .
Central Contract Registration (Dynamic Small Business Search).
Small Business Innovation Research CCR registration is a MUST for SBA certification and any small business wishing to do.
(SBIR) business with the federal government.
Learn how to obtain funding for relevant, - Available free of charge to small firms seeking federal, state or private- sector contracts.
early stage R&D projects in small technology - Provides opportunity to create, view and update business profile.
companies through this program offered by - Links firms to current procurement opportunities through electronic connection.
the.Department.of.Defense. - Creates a marketing tool to sell your product or service to both government and private sector.
- Provides access to buyers looking for qualified vendors.
Federal Acquisition Regulations (FARs) Register on-line at www.ccr.gov
A single source repository of Fedral
Acquisition Regulations for all the military HUBZone Empowerment Contracting Program.
services, this site serves as an easy-to-use Available to small businesses:.
research tool providing links to most of the - that meet SBA Small Business size standards.
various FARs, supplements and updates.. - located in an eligible “Historically Underutilized Business Zone”.
. - at least 51% owned and controlled by persons who are U.S. citizens; and.
Commerce Business Daily - at least 35% of its employees must be HUBZone residents
Provides “place-based” opportunities for both federal prime contract and subcontract
Federal Business Opportunity benefits. Determine HUBZone status by visiting SBA’s web site www.sba.gov/hubzone.
www.fedbizopps.gov Electronic application available on web site www.sba.gov/hubzone
Gateway for women-owned businesses SBA Government Contracting
selling to the government www.sba.gov/GC.
Administers several programs and services that assist small businesses in meeting
the requirements to receive government contracts, either as prime contractors or
subcontractors. Encourages government contracts for small firms through Central
Contract Registration (CCR)..
For more information contact:
Western Washington. Eastern Washington North Idaho
206-553-7341 509-353-2810 208-334-9004 ext 349
SBA Small Business Resource Guide www.sba.gov/wa 23
Surety Bond Guarantee Program SBG.
Contracting Opportunities for The Surety Bond Guarantee Program helps small and emerging
Service-Disabled Veterans contractors obtain bid, performance and payment bonds.
The SBA guarantees up to 90% of a bond issued by a surety
A new federal procurement program for Small Business company for construction, service, supply and manufacturing
Concerns owned and controlled by service-disabled contracts. To qualify as a small business an applicant’s annual
veterans has been established under The Veterans receipts must meet the NAICS standard.
Benefits Act of 2003 (Public Law 108-183) effective .
May 5, 2004. Seattle Bond Office handles applications for bond guarantees
on behalf of contractors domiciled in nine western states
This act is a further means of assisting federal agencies and thirteen southern states. Call 206-553-2746 for more
in meeting the 3% veteran contracting goal set out in information....
Public Law 106-50.
Federal contracting officers may now set-aside or award Washington State Bond Agencies.
sole-source contracts to Service-Disabled Veteran .
Owned (SDVO) Small Business Concerns (SBC) as Western Washington
follows: Contractors Bonding & Insurance Company Inc. (CBIC)
1213 Valley Street.
Seattle, WA 98109-0271.
1. Set-aside contracts may be available if there
Brian Schick, email@example.com; Mark Noma, firstname.lastname@example.org.
is a reasonable expectation that two or more 1-800-765-2242; 206-628-7200
SDVO SBC will submit bids at a fair market
price. Construction Bonding & Management Services of Washington, Inc.
11050 5th Ave. N.E., Suite # 206
Seattle, WA 98125
2. Sole-source contract awards may be allowed
Nicholas Fix, Rick Fix
if.there.is.not a reasonable expectation that 1-800-742-8815; 206-361-9693
two or more SDVO SBC will submit bids and .
the anticipated contract price does not exceed Hartford Fire Insurance Company
$ 3 million ($ 5 million for manufacturing Larry.Christianson
contracts). 520 Pike Tower, Suite #1004
Seattle, WA 98101
You can participate in this SDVO SBC procurement 206-346-0121
Integrity Surety LLC
938 N 200th Street, Suite D
1. 51% or more of the SDVO SBC is owned by Seattle, WA 98133
one or more service-disabled veterans. Kara Skinner, 206-546-1397; www.integritysurety.com
2. The management and daily business McDonald Insurance Group
operations of the SDVO SBC is controlled Jeff.Stewart
by one or more service-disabled veterans or Kirkland, WA 98083
the spouse of such veteran if the veteran is 425-897-5974; email@example.com
permanently and severely disabled.
2027 152nd Avenue N.E., C-24
3. At the time of contract offer, an SDVO SBC Redmond, WA 98052
is small as defined by the size standard Johanis.Sinon,.Margaret.Robbins
corresponding to the NAICS code (13 CFR 425-643-5200; firstname.lastname@example.org
121.201) assigned to the contract.
WUIA dba The Bond Shop
This new rule allows small business concerns to self- 3425 Broadway
certify as a SDVO SBC. It is also recommended that Everett, WA 98206.
you obtain a letter from the VA certifying that you are a Mary Fauré, 1-800-726-8771, Ext. 3561, 425-317-3561
service-disabled veteran in the event another business
protests.your.award. Eastern Washington.
Contractors Bonding & Insurance Company, Inc. (CBIC)
For further information of assistance to veterans please N. 901 Monroe, Suite # 340
visit the Seattle District Office web page for veterans at . Spokane, WA 99201
www.sba.gov/wa/seattle/WA_SEATTLE_SEAVA.html.. Marci Houts, Hans Rauth, email@example.com
. 1-800-368-2242; 509-326-2244 .
Mark Costello .
Veteran Business Development Officer Wolf-Majeskey-Rapp, Inc.
Walter Wolf, Judy Rapp, Jim Majeskey
Spokane, WA 99220
24 September 2009
R e s o u r c es for Northwest American Indian Development Workforce Diversity
Procurement Technical Assistant Center - Greater Spokane Inc
M i n o r i t i es www.nwaid.org 801 W. Riverside Avenue.
3400 188th Place SW, Suite 310.
Spokane, WA 99201
Northwest Minority Enterprise Center Lynnwood, WA 98037.
Group meets monthly at the GSI (Spokane
www.mbecwa.com The NW Native American Business
Chamber of Commerce) to promote
320 Andover Park East, Suite 205.
Develop Center provides management
Tukwila, WA 98188.
assistance for Native Americans residing
women and people of color.
The mission is to create and develop
Assistance is available for start-up and ONABEN - Oregon Native American
business opportunities for minority firms
expanding businesses. Business & Entrepreneurial Network.
between major private sector corporations
3201 BROADWAY, STE C.
and public agencies fostering economic
AHANA Business & Professional
Everett, WA 98201.
development in the communities.
Ralph C. Honhongva, WA State Operations
SBA - 8(a) Business Development
25 W. Main, Suite 300.
Spokane, WA 99201.
ONABEN offers training and support
focused on developing entrepreneurship in
AHANA stands for Asian/Hispanic/
Native American communities throughout
2401 Fourth Avenue, Suite 450 .
African/Native American. Support group
Seattle, WA 98121-3419.
for entrepreneurs of color in the Inland
Helps socially and economically disadvan-
taged individuals enter the economic main- Idaho Dept. of Transportation
stream, partly through access to federal
Bureau of Civil Rights.
contracts. See page 23.
Disadvantaged Business Enterprise
Minority Business Development Center P.O. Box 7129, Boise, ID 83707-1129.
1437 S. Jackson Street, Suite 301.
Seattle, WA 98144.
and disadvantaged business owners in
developing and promoting their businesses
The MBDC assists minority businesses that
in the highway construction industry.
have the potential to earn $500,000 or more
in revenues or are capable of generating
Provides training, certification, and
“The important thing is
significant employment and long-term
economic growth. Businesses must be
not being afraid to
USDOT NW Minority Resource Center
51% owned and operated by a recognized
William M. Factory take a chance.
Small Business Incubator
1423 East 29th Street
Contractor Development and
Tacoma, WA 98404
253-722-5808 or 1-866-DOT-JOBS (368-
Remember, the greatest
105 - 14th Avenue, 1st Floor.
5627). failure is to not try.
Seattle, WA 98122.
participate in important proejcts in the
The CDCC provides assistance and support
the.near.future,.from.light.rail.and.transit,.to. Once you find something
participating in the contracting opportunities
of Transportation provides bonds and loans
you love to do, be the
for transporation related projects. best at doing it.”
Contractors Resource Center.
Rural Community Development
2522 E. Cherry Street.
Seattle, WA 98122.
Attn: Luz Gutierrez. - Debbi Fields, founder
The CRC provides a program accessible to
PO Box 9492, Yakima, WA 98909.
509-453-5133; RuralCDR@aol.com .
of Mrs. Fields Cookies
minority firms in the construction industry.
Specializing in the start-up or expansion of
Black Dollar Days Task Force (BDDTF).
small businesses, RCDR provides business
assistance and training resources, as well
116 21st Avenue.
as an SBA microloan program in the greater
Seattle, WA 98122.
A nonprofit organization that offers
WA Office of Minority and Women’s
entrepreneurial training, technical
Business Enterprise OMWBE
assistance, and information and referral
services to existing business owners and
individuals interested in starting a business.
Downtown Seattle (co-located with SBA).
Small loans available through the BDDTF
Campaign 5000 Loan Fund.
Tacoma (co-located at Bates Technical
SBA Small Business Resource Guide www.sba.gov/wa 25
Bureau of Industry and Security NFIB’s purpose is to influence Public Policy
at the State and Federal level and be the re-
source for Small and Independent Business
Processes licenses for proposed exports
and re-exports of goods and technology from
International Trade Idaho Dept. of Commerce & Labor Development Counc i l s
Division of International Business
U.S. Commercial Service http://commerce.idaho.gov/international WA Economic Development Councils
U.S. Department of Commerce www.ecodevdirectory.com/washington.htm.
700 West State Street.
U.S. Export Assistance Center EDCs across the state provide local
Boise, ID 83720-0093.
www.buyusa.gov/seattle. business assistance resources, community
The Center is a cooperative effort of the Commerce 208-334-2650 ext 2109
Promotes expansion of international trade profiles, seminars, industrial site information,
Commercial Service of the U.S. Dept. of export assistance, and financing assistance
Commerce, the Export Finance Assistance and investment and support of international
tourism; export assistance to Idaho firms. to small businesses to expand their
Center of Washington and the SBA. operations.and.entrepreneurs.who.wish.to.
Assistance available in accessing and Washington State Department of start.a.business.
developing an international marketing Agriculture
strategy, providing customized market Jobs Plus
research, international trade data, leads, www.jobplusonline.org
International Marketing and Export
and contacts for Trade promotion events, 202 Sherman Avenue.
programs and publications. Financing Assistance - 360-902-1915.
Coeur d’Alene, ID 83816.
information on export loans, loan Assists Washington companies to export
208-667-4753; Toll-Free 800-621-5600.
guarantees and export credit insurance is food and agricultural products. Works
closely with the U.S. Dept. of Agriculture to North Idaho business recruiting. Provides
also available.. information to businesses considering
. promote exports and the Governor’s Office
and industry to resolve foreign trade barriers. relocation and/or expansion to North Idaho.
Seattle - 4th and Vine Building.
Pru Balatero, 206-553-0051.
Tri-County Industrial Development
firstname.lastname@example.org. International Trade Alliance ITA
Spokane - Eastern Washington region. 601 W. Main Avenue, Suite 315. Kennewick 509-735-1000 .
U.S. Department of Commerce Spokane, WA 99201. TRIDEC serves Benton and Franklin
www.buyusa.gov/spokane 509-413-1470; email@example.com counties. It offers comprehensive and
801 W. Riverside Avenue, Suite 100.
. business-specific assistance to companies
Spokane, WA 99201.
Supports.and.promotes.international. interested in expanding to the Tri-Cities area,
business.in.the.Inland.NW...Helps. as well as economic development resources
companies establish or expand their global for.new.and.growing.businesses.already.
presence. located in the region.
Boise - Serves Idaho, including
U.S. Department of Commerce Port of Seattle Clearwater Economic Development
www.buyusa.gov/Boise www.portseattle.org. Association (CEDA)
700 West State Street, 2nd Floor. 206-728-3000 Seattle . www.clearwater-eda.org..
Boise, ID 83720. 509-742-9362 Spokane. 1626 6th Ave, Lewiston, ID 83501.
208-364-7791; firstname.lastname@example.org Offers.information.on.shipping.goods. 208-746-0015 .
internationally. Operates in the public interest to improve
Trade Adjustment Assistance Center economic opportunities, increase
206-622-2730. Chambers of Commerce. employment.skills.and.sustain.preferred.
lifestyles for residents, communities and
Provides assistance to US manufacturers businesses.in.North.Central.Idaho.
affected by import competition. Services In Washington
include market studies, engineering www.wcce.org.
surveys, cost reduction programs, product
development, management information In Idaho Technology Resourc e s
systems and financial services. www.2chambers.com/idaho2.htm...
. MIT Enterprise Forum of the Northwest
Association of Washington Business www.mitwa.org.
Trade Development Alliance
of Greater Seattle www.awb.org/index.asp 206-283-9595 or email@example.com.
www.cityofseattle.net/tda/default.htm Provides creative programs that educate
Promotes the trade interests in domestic Independent Business Association . and entertain to foster innovative technology
and.international.markets.of.Greater.Seattle. www.ibaw.net companies.
including King, Pierce, and Snohomish 16541 Redmond Way, Suite 336C
Washington State Innovation
Counties.... Redmond, WA 98052.
Assessment Center (IAC)
U.S. Customs and Border Protection . The voice of small business in Olympia.
www.customs.gov. Washington State University .
Lobbies.on.behalf.of.small.business... Pullman, WA 99164-4850.
206-553-6944 Seattle; . Provides information on laws, regulations,
509-353-2833 Spokane. 509-335-8842; firstname.lastname@example.org.
Offers the Innovation Assessment Report
Assess and collect duties, taxes and fees
- which serves as an objective, comprehen-
on imported merchandise, enforce customs
and related laws, and the administer certain National Federation of Independent sive evaluation of your new product idea, a
navigational laws and treaties. Business (NFIB) patent search to determine if patents have
www.nfib.com been issued for similar products. .
World Trade Center Tacoma. 4160 Sixth Avenue SE, Suite 201 . .
www.wtcta.org. Lacy, WA 98503.
253-396-1022 or email@example.com. 360-786-8675 or 1-800-NFIBNOW
26 September 2009
Northwest Entrepreneur Network
Terabyte Triangle 253-573-1128 Tacoma.
www.terabytetriangle.com. Assist businesses and the community with
In.Spokane..Hosts.Internet.speeds.up.to. environmental and economic development
20 gigabits with “plug-and-go” locations for issues. Free Environmental consulting.
network. Provides the knowledge, mentor- startups and existing companies. A heavily
ing, and access to investors that creates wired and wireless metro area ideal for e- Executive Service Corps of Washington.
and grows successful companies. commerce, software development, and multi- www.escwa.org.
. media businesses. TT also has state-of-the- Seattle 206-682-6704 or firstname.lastname@example.org
Washington Technology Center (WTC) art wet labs ideal for bio-tech. Management consultants to NON-PROFIT.
www.watechcenter.org. organizations. A group of mostly retired
300 Fluke Hall, Box 352140. Tincan business executives, managers and
Seattle, WA 98195-2140. www.tincan.org.. community volunteers who contribute their
206-685-1920; email@example.com. 509-744-0972; firstname.lastname@example.org. broad experience and seasoned judgment
WTC helps companies develop, produce Supports social, economic and community to help nonprofit and public organizations
and commercialize technology products development through the use of computer statewide. Modest fee for services..
and services. Connects companies to technology and interactive media. Projects .
academic researchers and laboratory include e-commerce curriculum development U.S. Government On-line Bookstore
facilities. Channels state and federal for secondary schools, a Young http://bookstore.gpo.gov.
funding for research and business Entrepreneurs Center for school and youth Order publications (books, maps, serials,
development. Provides business groups, community techology centers. videos, CD-ROMs, subscriptions) available
consulting services and access to seed . for.sale.through.the.Superintendent.of.
capital for start up and early stage firms. Washington Manufacturing Services Documents, U.S. Government Printing
(WMS) - www.wamfg.org Office.
Connect Northwest. 1-800-637-4634; email@example.com. .
www.connectnw.org Help manufacturers become more Resource Venture - Business and
509-358-2110; firstname.lastname@example.org. competitive in global markets. Manufacturing Industry - www.resourceventure.org
Connects science and technology based representatives work closely with local Seattle 206-389-7304.
companies with the resources necessary manufacturers to assess their needs Provides free information, assistance and
to succeed. It provides coaching, and then develop an appropriate action referrals to help Seattle businesses improve
mentoring,.business.plan.and.presentation. plan to attain cost savings and increased their environmental performance. They fo-
preparation,.seminars,.and.networking. productivity. cus on waste prevention and recycling, water
events. Serves WA, ID, and MT. conservation, stormwater pollution preven-
U.S. Dept of Energy tion,.and.sustainable.building.
SBIR—Small Business Innovative Office of Industrial Technologies .
Research - www.sba.gov www.eere.energy.gov/inventions Seattle Public Library
SBIR programs fund early-stage R&D Contact point for inventors who are Small Business Center - www.spl.org.
projects at small technology companies interested in participating in the U.S. Dept. of Central.Library
— projects that have the potential for Energy’s Inventions and Innovation Program. 1000 Fourth Ave., Seattle, WA 98104
commercialization in the private sector 206-386-4645 Business Department
and/or military markets. 206-386-4636 Quick Information.
Provides resource material on small busi-
For answers to technical questions More Resources ness, financing, and international trade.
about specific SBIR solicitation .
www.dodsbir.net/sitis.. Better Business Bureau Washington Society of Certified Public
email@example.com www.thebbb.org - Western Washington Accountants - www.wscpa.org.
Submit written question through the SBIR/ www.thelocalbbb.org - Spokane. 425-644-4800 or 800-272-8273 .
STTR Interactive Topic Information System 206-431-2222; firstname.lastname@example.org.. Provides referral services for small busi-
(SITIS). All questions and answers are The Better Business Bureau is a not-for- nesses in need of accounting and financial
posted electronically for general viewing profit, private organization with the goal management assistance..
until the solicitation closes. . of.maintaining.fair.and.honest.business. .
. . dealings between consumers and
Sirti - www.sirti.org businesses in the community. . .
665 N. Riverpoint Blvd . . Labeling
Spokane, WA 99202-1665 . WA Office of the Attorney General .
509-358-2000. www.atg.wa.gov/Default.aspx Bar Code Basics
Provides an incubation environment for 800-551-4636. www.barcodehq.com/primer.html
fast-growth companies to accelerate Protects the public by upholding the
Access a Free Guide to Bar Coding
technology-based companies through Consumer Protection Act and enforcing laws
Clothing Labels Guidance
entrepreneurial coaching; no-cost business against anti-competitive business practices..
services, access to capital, and legal In Idaho call: 208-334-2424
services needed for formation, IP protection US Consumer Products Safety
and.long.term.growth. Business Waste Line
Technology Alliance Hazardous Waste Management Program .
U.S. Dept. of Agriculture .
www.technology-alliance.com Seattle 206-296-3976 .
Open Monday-Friday, 9 am- 4 pm.
Statewide consortium of leaders
from technology-based businesses, Hotline for businesses with quick answers to
many hazardous waste questions. Calls are
UPC Council (Uniform Product Codes).
research institutions, and high tech trade www.uc-council.org
associations. Focuses are education, free of charge. .
UPC Bar Codes for Product Packaging.
promoting Washington as a technology 800-543-8137 or 513-435-3870
leader and fostering innovation. Alliance Environmental Coalition of South Seattle
of Angels program facilitates access to www.ecoss.org Uniform Code Council, Inc
Al Van Schaik; email@example.com. www.uc-council.org.
SBA Small Business Resource Guide www.sba.gov/wa 27
. Underwriting and Security Requirements:
A g r i B u s i n e s s Resources - The proposed operation must have realistic repayment ability.
- New enterprises may be asked to obtain a feasibility study by a
USDA Business & Industry (B&I) Loans recognized independent consultant..
www.ruraldev.usda.gov. - The business and its owners must have a good credit history..
Designed to encourage commercial financing of rural businesses, - The business must have tangible balance sheet equity position
create and save rural jobs, and improve the economic climate at loan closing/project completion of: 10% or more (for existing
of rural communities. The B&I program is lender-driven. Like businesses) and 20% or more (for new businesses)..
SBA, USDA guarantees the loan rather than lending directly. A - There must be adequate collateral at discounted values..
commercial lender requests the B&I guarantee makes (and services) - Hazard insurance on collateral (lesser of loan amount or
the loan. Lenders use their own forms, loan documents, and depreciated replacement value).
security instruments. - Key person life insurance may be required (decreasing term OK)
- Personal/corporate guaranties – normally from all proprietors,
USDA B&I guarantees for rural business loans:. partners (except limited partners), or major shareholders (i.e., all
80% (maximum) guarantee cumulatively up to $5 million. those with a 20%-or-greater interest).
70% (maximum) guarantee cumulatively from $5-10 million - Inability to get credit elsewhere is NOT a requirement.
USDA B&I Loan Sizes:. Application Process: Lender & business submit a joint
No minimum; up to $10 million and in some cases, $25 million.
preapplication to USDA, indicating a willingness to make the loan
Usually B&I loans range from $200,000 to $5 million.
provided a B&I guarantee is approved. Loans up to $5 million are
approved locally; larger ones are approved in Washington, D.C.
Rate: Lender’s customary commercial interest rate .
Fixed or variable
USDA B&I Loan Specialists:.
Term: Working capital – 7 years maximum.
Serves Clallum, Island, Kitsap, Jefferson, King, San Juan, Skagit,
Equipment – 15 years maximum .
Snohomish, and Whatcom counties.
Real estate – 30 years maximum .
Structure: Balloons are not permitted. Reduced payments may be
Serves Clark, Cowlitz, Grays Harbor, Lewis, Mason, Pacific, Pierce,
scheduled in the first 3 years.
Thurston, and Wahkiakum counties.
Fees: Lender’s reasonable and customary fees. USDA charges
an initial guarantee fee equal to 2% of the guaranteed amt plus an
Serves Adams, Asotin, Benton, Columbia, Franklin, Garfield,
annual.renewal.fee. Kittitas, Klickitat, Skamania, Walla Walla, Whitman, and Yakima
Authorized Loan Purposes: Real.estate,.buildings,.leasehold.
improvements, equipment, inventory, & permanent working capital,
professional services, feasibility study costs, loan fees & costs
Serves Chelan, Douglas, Ferry, Grant, Lincoln, Okanogan, Pend
(including B&I guarantee fee). Lines of credit cannot be guaranteed.
Oreille, Spokane, and Stevens counties.
Debt refinancing: The refinancing must create new jobs or secure
existing jobs (e.g., by improving cash flow). If a lender wishes to
Serves northern Idaho.
refinance a loan already in their portfolio, this must be a secondary
purpose (less than 50% of loan) & the loan must have been current
for at least 12 months.
Commercial lease projects (retail centers, office buildings,
Washington State Department of Agriculture - http://agr.wa.gov
industrial facilities, etc.):...
PO Box 42560, Olympia WA 98504-2560.
No owner-occupancy required. .
Must have enough committed tenants to break even..
New developments and renovation projects are eligible. .
Washington State Agricultural Statistics Service
Transfer of ownership and debt refinancing are normally not eligible..
Community facility projects may be guaranteed if the financing is not
Idaho State Department of Agriculture
Borrower Eligibility: Most.types.of.enterprises.qualify–.. 2270 Old Penitentiary Rd, Boise ID 83712.
manufacturing, wholesale, retail, service new or existing. Project 208-332-8500.
must be in a rural area – beyond any 50,000+ population city and its Free publication: “Guide to Idaho Farmers’ Market”
Owner-occupied and rental housing projects (Housing site Ag Bureau, Greater Spokane Incorporated
development may be eligible.). www.agshow.org
Golf courses, race tracks, and gambling facilities. For.programs.supporting.agribusiness.
Churches and church-controlled or fraternal organizations. 509-321-3633; firstname.lastname@example.org
Lending, investment, and insurance companies|.
Projects involving more than $1 million and the relocation of 50 or Programs:
USDA Cooperative State, Research, Education and Extension
Production agriculture: Eligible only if the farm is vertically-
Tap into the huge network of resources for farming, ranching or
integrated, ineligible for FSA farm loan guarantees, & the agricultural
production part of the loan is secondary (less than 50% and less country living, through your local Cooperative Extension Office. .
than $1 million). Nursery, forestry, & aquaculture operations are
eligible without these restrictions.
28 September 2009
Greater Seattle Chamber of Commerce.
Automated Data Collections .
Internal Revenue Service
Tax information & forms.
Attorney General 1-800-829-1040 .
Washington - 1-800-551-4636. Posters—Required State & Federal
Idaho - 208-334-2424 Provided free. State links also have Federal
Better Business Bureau
Spokane - 509-455-4200.
Seattle - 206-431-222.
Toll free 1-800-356-1007.
SBA Education & Training Center.
Business Assistance Helpline 206-553-7311.
Tacoma Business Center.
Washington State 253-680-7770.
1-800-237-1233 SBA Disaster Area Office. .
Direct, low-interest SBA loans when disaster Tacoma Dept. of Licensing.
Credit Reports. damages exceed insurance coverage. 1- 253-591-5252.
Equifax 800-685-1111. 800-488-5323 .
Experian 888-397-3742. . Tacoma-Pierce County
TransUnion 800-888-4213. SBA Boise Idaho Business Chamber of Commerce.
. Information Center 253-627-2175.
Dept of Licensing Business & 208-334-1696 .
Professions Division. Uniform Codes Council, Inc.
Master License Service. SBA Alaska District Office 937-435-3870.
State Business Licenses & Name 907-271-4022, 1-800-755-7034 .
Registration. U.S. Customs Service.
360-664-1400 - Olympia. SBA Portland District Office Taxes on imported goods.
. 503-326-2682 206-553-0954.
Corporate Division / Secretary of .
State’s Office Corporate & SBA Seattle District Office U.S. Patent & Trademark Office
Non-profit Registration . 206-553-7310 Main line. Registration of Patents &
360-753-7115. 1-800-877-8339 Federal Relay Service. Trademarks.
Demographic Information. SBA Spokane Branch Office .
www.zipskinny.com. 509-353-2800 U.S. Export Assistance Center.
. Seattle Dept of Licensing.
Department of Labor
Business Assistance Helpline
Industrial & Contract Regulations.
Seattle Library Quick Info.
1-800-647-0982 or 360-902-5800 .
Business Resource Library.
Washington State Office of Minority &
Department of Revenue.
Women’s Business Enterprises OMWBE.
State Taxes - B&O and Sales.
Southeastern WA Business LInks
Olympia - 360-753-9693.
1-800-647-7706 or 360-486-2345.
Seattle - 206-553-7356.
Everett Dept of Licensing.
Spokane Dept of Taxes & Licensing.
Washington State Insurance
Everett City Business Licenses.
Spokane City Business LIcense.
Commissioners Office .
Everett EDC Spokane Public Library.
Zip Code - U.S. Postal Service
www.snoedc.org Business Reference Librarian.
Finance Programs & PTAC Center 509-444-5336.
Spokane Regional Business Center.
FEMA - 1-800-462-9029 509-742-9398
Federal Information Center.
Spokane BIZStreet Resource Center.
Social Security Administration.
SBA Small Business Resource Guide www.sba.gov/wa 29
Self-Employment Tax. individual and do not have income tax withheld, you must
make estimated tax payments..
The list of items below should not be construed as all-
inclusive. Other information may be appropriate for your Who Must Pay Self-Employment Tax?
specific type of business.. You must pay SE tax and file Schedule SE (Form 1040) if
What is Self-Employment Tax?
Self-employment tax (SE tax) is a social security and • Your net earnings from self-employment (excluding
Medicare tax primarily for individuals who work for church employee income ) were $400 or more.
themselves. It is similar to the social security and Medicare • You had church employee income of $108.28 or more.
taxes withheld from the pay of most wage earners.. • Your net earnings from self-employment are based on
your earnings subject to SE tax. Most earnings from
You figure SE tax yourself using Schedule SE (Form 1040). self-employment are subject to SE tax. Some earnings
Social security and Medicare taxes of most wage earners from employment (certain earnings that are not subject to
are figured by their employers. Also you can deduct half of social security and Medicare taxes) are subject to SE tax..
your SE tax in figuring your adjusted gross income. Wage
earners cannot deduct social security and Medicare taxes. Note: The SE tax rules apply no matter how old you are and
even if you are already receiving social Security or Medicare..
SE tax rate. The self-employment tax rate is 15.3%. The
rate consists of two parts: 12.4% for social security (old-age, Are You Self-Employed?
survivors, and disability insurance) and 2.9% for Medicare You are self-employed if any of the following apply to you.
(hospital insurance). • You carry on a trade or business as a sole proprietor or
an independent contractor.
Maximum earnings subject to SE tax. Only the first $102,000 • You are a member of a partnership that carries on a trade
of your combined wages, tips, and net earnings in 2008 is or.business.
subject to any combination of the 12.4% social security part • You.are.otherwise.in.business.for.yourself.
of SE tax, social security tax, or railroad retirement (tier 1)
tax. Trade or business. A trade or business is generally an activity
carried on for a livelihood or in good faith to make a profit.
All your combined wages, tips, and net earnings in 2008 are The facts and circumstances of each case determine whether
subject to any combination of the 2.9% Medicare part of SE or not an activity is a trade or business. The regularity of
tax, social security tax, or railroad retirement (tier 1) tax. activities and transactions and the production of income are
important elements. You do not need to actually make a
Fiscal year filer. If you use a tax year other than the calendar profit to be in a trade or business as long as you have a profit
year, you must use the tax rate and maximum earnings limit motive. You do need, however, to make ongoing efforts to
in effect at the beginning of your tax year. Even if the tax rate further.the.interests.of.your.business..
or maximum earnings limit changes during your tax year,
continue to use the same rate and limit throughout your tax Part-time business. You do not have to carry on regular full-
year. time business activities to be self-employed. Having a part-
time business in addition to your regular job or business also
Self-employment tax deduction. You can deduct half of may be self-employment..
your SE tax in figuring your adjusted gross income. This
deduction only affects your income tax. It does not affect Example. You are employed full time as an engineer at
either your net earnings from self-employment or your SE the local plant. You fix televisions and radios during the
tax. weekends. You have your own shop, equipment, and tools.
You get your customers from advertising and word-of-mouth.
How to Pay Self-Employment Tax You are self-employed as the owner of a part-time repair
To pay SE tax, you must have a social security number shop..
(SSN) or an individual taxpayer identification number (ITIN).
Obtaining a Social Security Number. If you never had an Sole.proprietor..You.are.a.sole.proprietor.if.you.own.an.
SSN, apply for one using Form SS-5, Application for a Social unincorporated business by yourself, in most cases. However,
Security Card. You can get this form at any Social Security if you are the sole member of a domestic limited liability
office or by calling (800) 772-1213. Download the forms at company (LLC), you are not a sole proprietor if you elect to
www.ssa.gov. treat the LLC as a corporation. For more information on this
election and the tax treatment of a foreign LLC, see Form
Obtaining an Individual Taxpayer Identification Number. 8832, Entity Classification Election. www.irs.gov
resident alien and you do not have and are not eligible to get
an SSN. To apply for an ITIN , file Form W-7, Application for
IRS Individual Taxpayer Identification Number. .
Federal income tax is a pay-as-you-go tax. You must pay
the tax as you earn or receive income during the year.
You generally have to make estimated tax payments if you
expect to owe tax, including SE tax, of $1,000 or more when
you file your return. There are two ways to pay as you go:
withholding and estimated taxes. If you are a self-employed
30 September 2009
Employee vs. Independent
Information 24 hours a day
Contractor – Ten Tips for Office of the National Ombudsman Receives, substantiates
and reports to Congress complaints and comments from small
Business Owners business owners regarding unfair regulatory enforcement and
compliance activities by federal agencies. .
people as independent contractors or as employees Serves as the voice of the nation’s small businesses, working to
will impact how much taxes you pay and the amount of reduce the burden that federal policies impose on them, and is the
taxes you withhold from their paychecks. Additionally, it source for small business statistics.
will affect how much additional cost your business must
bear, what documents and information they must provide This site provides a one-stop, common access point for Federal
to you, and what tax documents you must give to them.. Government services and information needed to assist with start-
Here are the top ten things every business owner should www.epa.gov/smallbusiness/geninfo.htm
know about hiring people as independent contractors General small business and environmental information
versus hiring them as employees..
Internal Revenue Service
1. Three characteristics are used by the IRS to .
workers: Behavioral Control, Financial Control, and The Washington State homepage offers excellent information for
the.Type.of.Relationship.. those just starting a business. Topics of interest: licensing, taxes
2. Behavioral Control covers facts that show whether .
the business has a right to direct or control how the www.dor.wa.gov.
work is done through instructions, training or other Washington Dept. of Revenue.
3. Financial Control covers facts that show whether Washington Dept. of Labor & Industries.
the business has a right to direct or control the .
financial and business aspects of the worker’s job. www.census.gov
People census for age, income, homeownership, home values,
4. The Type of Relationship factor relates to how the educational level down to zip code..
workers and the business owner perceive their .
5. If you have the right to control or direct not only Washington State Salary Survey
then.your.workers.are.most.likely.employees. The Franchise Registry lists names of franchise companies whose
6. If you can direct or control only the result of the franchises can be considered for the SBA loan program.
work done -- and not the means and methods of
accomplishing the result -- then your workers are Federal.Trade.Commission
probably independent contractors.
7. Employers who misclassify workers as independent www.assessyourinternationalrisk.org.
Provide small businesses with information that will help them
contractors can end up with substantial tax bills. determine what insurable exposures they may encounter doing
Additionally, they can face penalties for failing to business overseas.
pay employment taxes and for failing to file required .
tax forms. www.business.idaho.gov
Access business tools, information, licenses and forms for
8. Workers can avoid higher tax bills and lost benefits companies in the State of Idaho.
9. Both employers and workers can ask the IRS www.dol.gov/elaws
to make a determination on whether a specific Helps employers determine which laws administered by the
U.S. Dept of Labor apply to their business. Provides compliance
individual is an independent contractor or an information.
employee by filing a Form SS-8 – Determination of
Offers confidential mediation leading to voluntary, negotiated
Taxes and Income Tax Withholding – with the IRS. agreements to resolve employment discrimination disputes.
10. You can learn more about the critical determination
of a worker’s status as an Independent Contractor www.sba.gov/vets/vbop.html
or Employee at IRS.gov by selecting the Small Veterans Business Outreach Program designed to provide
entrepreneurial development services such as business training,
Business link. Additional resources include IRS counseling, mentoring and referrals for eligible veterans owning or
Publication 15-A, Employer’s Supplemental Tax considering starting a small business.
Guide, Publication 1779, Independent Contractor www.foodsafety.gov
or Employee, and Publication 1976, Do You Qualify The gateway to government food safety Information.
for Relief under Section 530? These publications
and Form SS-8 are available on the IRS Web site at www.fmi.org—The Food Marketing Institute has publications,
www.irs.gov or by calling the IRS at 800-829-3676 food and health safety, grocery, demographic and marketing
SBA Small Business Resource Guide www.sba.gov/wa 31
Hazardous Waste 27 Regulatory and Recordkeeping
Accountants 27 Requirements 2, 6
Application for Business License 4 Research and Development 27
Agribusiness Resources 28 Resources for Women 10
Revenue, WA Dept of 2, 4, 6
Barcodes 27 S
Better Business Bureau 27, 29 Idaho Business 2, 4, 7 SBA Loan Guarantee Program 12, 13
Bookstore, US Govt Online 27 Independent Business Association 26 What a Lender is Looking for 14
Business Licensing 4 Independent Contractor 31 Frequently Asked Questions 14
Business Plan 8 Innovation Assessment Center 26 SCORE, Counselors to America’s Small
Business Record Search 4 Insurance 3, 18 Business 10
. . Intellectual Property 5 Service Disabled Veteran Contracts 24
Internal Revenue Service 6 Size Standards 20
C International Trade Assistance 26 Small Business Development Centers 11
Internet Websites 7 Small Disadvantaged Business Certification
CCR-Contractor Registry 23 Program 23
Chambers of Commerce 26 K Social Security Administration 6, 30
Checklist for Starting a Business 2 Sole.proprietorship..3
Contracting Licensing 4 King County Bar Association 3
State Regulations 2 - 4, 6, 7
Contracting Help 21 - 24 Surety Bond Guarantee Program 24
Copyrights 5 L
Corporation Registration 3, 5
Labor and Industries, WA 2,4, 6
Counseling &Training 10, 11, 20,22 T
Legal Resources 3
Credit Scores 17 Taxes 2, 4, 6, 7, 30, 31
Legal Business Structures 3
Limited Liability Companies (LLC) 3 Technology Resources 26
..Limited.Liability.Partnerships..3 Trade Name Search 2, 4, 5
D Licensing 2, 4, 6, 7 Trademark 5
Loan Options 15 Training for Entrepreneurs 10, 11, 20, 22
Disaster Loans 18
Disaster Preparedness 19 Loan Briefings 16
Loan Guarantee Program (SBA) 12 U
Unified Business Identifier Program (UBI)
E M 2, 4, 5
Microloan Lenders 16 Uniform Code Council, Inc 27
Economic Development Councils 26
Electronic Filing System (ELF) 6 Minority Small Business Assistance 25
Employment Security Department 6 Minority 8(a) Business Dev Program 23
Employee Tax 6, 30, 31 V
Emergency Preparedness 19 N
Environmental 27 Veteran Contact 24.
National.Federation.of.Independent. Veteran Loans - Patriot Express 24.
Export Assistance 26
Business 26 .
Nonprofit Corporate 3, 5, 6
Financing Options 12 - 15, 28 Washington Manufacturing Services 27
Occupational Safety and Health Washington State Bar Association 3
Financial Statements 9, 14
Administration.OSHA..6 WNET Women’s Network for
Food Processing 7
Office of Minority and Women’s Business Entrepreneurial Training WNET 10
Enterprise (OMWBE) 10, 25 Women’s Business Centers 10
Frequently Requested Numbers 29
Office of the Secretary of State 3, 5, 6 Workshops 10, 11, 20, 22
Ombudsman SBA National 31
Federal Grant Resources 15
Partnerships 3, 4, 6
Catalog of Federal Domestic Assistance
Procurement Technical Assistance.
20, 21 - 24
32 September 2009
Attend an SBA Loan Briefing and get your questions answered.
$$ Need a loan to start, expand or buy a small business?
FREE Loan Briefings in Seattle, Spokane, Tacoma and Thurston County
Downtown Seattle Spokane
- 2nd & 4th Thursday each - 1st & 3rd Thursday each
Noon to 1:00 pm Noon to 1:00 pm
SBA Education and Training SBA Training Room
Center 801 W. Riverside Avenue, Suite
4th & Battery Building 200
2401 Fourth Avenue, Suite 450 Spokane, WA 99201
Seattle, WA 9821 509-353-2800
Tacoma Thurston County
- 3rd Thursday each month - 3rd Tuesday each month
Noon to 1:00 pm 1:00 pm to 2:00 pm
Tacoma Business Assistance Thurston County Chamber of
Bates Technical College 809 Legion Way SE
1101 S. Yakima Street, M-123B Olympia, WA
Tacoma, WA Call 360-357-3362 to preregister
Call 253-680-7770 to preregister
Please arrive 15 minutes early to check in.
Call location to confirm workshop
Unable to attend a loan briefing in person? Go virtual.
Noon to 1 p.m.
Every Thursday each month
Participate from the comfort of your home or office via ReadyTalk. As a virtual attendee you can, use
your phone to hear the presenter and view the Microsoft Power Point presentation on your computer.
Here’s how it works:
On the phone: Dial toll-free to 1-866-740-1260. When prompted, enter the Participant Login Access
Code of 3109402 to join the conference call.
On the computer: Log onto www.readytalk.com. Type the same Participant Login Access Code of
3109402 in the box on the left of the screen, fill in a simple participant registration form to join the live
session and view the PPT. You will be able to ask questions too.
Download a copy of the presentation at www.sba.gov/wa, go to Spotlight and
click on “$$ Need a small business loan” then select Free Loan Briefing.
Washington State and Northern Idaho Counties Served
Seattle District Office
2401 4th Avenue, Suite 450
Seattle, WA 98121
Washington State counties: King, Pierce,
Snohomish, Thurston, Kitsap, Skagit,
Whatcom, San Juan, Clallam, Jefferson,
Mason, Grays Harbor, Island, Lewis and
Portland District Office
1515 SW 5th Avenue, Suite 1050
Portland, OR 97201
Washington State counties: Clark, Cowlitz,
Spokane Branch Office
801 W. Riverside Avenue, Suite 200
Spokane, WA 99201
Washington State counties: Adams, Asotin,
Benton, Chelen, Columbia, douglas, Ferry,
Franklin, Garfield, Grant, Kittitas, Klickitat,
Lincoln, Okanogan, Pend Oreille, Spokane,
Stevens, Walla Walla, Whitman, Yakima
Northern Idaho counties: Benewah, Bonner,
Boundary, Clearwater, Idaho, Kootenai,
Latah, Lewis, Nez Perce, Shoshone