It’s happened to almost everyone at one time or another. Unexpected expenses come up and there’s no paycheck left after paying all the regular bills. The answer for many is to obtain a signature or unsecured personal loan. These types of loans are used by many people but especially those with a bad credit history.
Bad credit is something that can be just overspending on your part. This is the typical attitude of many who see people in a tough financial situation. There are many more however where through no fault of their own, there’s been a financial set back like a job loss. Or a child needs to go to the hospital and we all know that insurance, even when it is available doesn’t cover near enough of the cost. Or how about the unexpected bills that show up when we least expect it. These are inconveniences for some but many people especially at the lower income ranges simply don’t have the money cushion available to get through emergencies.
Back to the bad credit loans. Those payday type lending companies charge a heck of a lot of interest. Don’t be fooled into thinking that you can afford the monthly payment. This is a common tactic to get you to agree to making those payments. What they don’t explain well however, is that a large proportion of that payment is actually going to interest.
While these loans of last resort may seem like a quick way out of your money problems, they are more likely a trap to keep you in debt longer to those companies. Consider all other options before getting a bad credit loan.
Here are a few ideas:
1. Sell property. If you have things you’ve bought that you don’t need any longer, sell them. Use EBay or a garage sale but get rid of the accumulation of stuff.
2. Work a part time job. Not my favorite but a part time pizza delivery job will get you out of debt much faster than a typical bad credit loan. And remember this possibility is just temporary until you get back on your financial feet.
3. Work out different payment options with your creditors. Mortgage companies do not want to foreclose on your home, and banks don’t want to repossess your car. Bottom line is they want their money and interest. They would much prefer that you contact them directly and work out a payment plan based on your current situation then having you later quit making all payments. Contact your credit card companies and do the same. These people will also work with you. Remember however, that once you agree to something, it’s important that you keep your word and deliver on those promises. This means don’t promise anything you can’t do.
Is your usually payment 100 dollars but you can only afford 50 and you’re behind a couple of months? You should actually call the creditor first instead of having them make the first contact. Still, once on the phone, don’t promise to catch up and make full payments if you cannot afford to do so. It destroys your credibility. Being behind makes you someone with a problem. Promising and not delivering makes you a liar.
There are other strategies that although uncomfortable can be used instead of a bad credit loan. Exhaust all possible options before committing to a loan from a lender of last resort.
The government provides loans to those individuals who have low to moderate income for permanent residence in rural areas. To qualify for these government loans is not that hard and the restrictions are small.
The Federal agency that provides the loans for housing is: Rural Housing Service, (RHS)
Their main objective is to assist very low, low-income, and moderate-income households so that they can get decent, safe, and modest housing as a permanent residence.
The types of assistance they provide are “Direct Loans” or “Guaranteed / Insured Loans”.
Description for Uses and Use Restriction Reads:
“Direct and guaranteed loans may be used to buy, build, or improve the applicant’s permanent residence. New manufactured homes may be financed when they are on a permanent site, purchased from an approved dealer or contractor, and meet certain other requirements. Under very limited circumstances, homes may be re-financed with direct loans. Dwellings financed must be modest, decent, safe, and sanitary. The value of a home financed with a direct loan may not exceed the area limit. The property must be located in an eligible rural area. Assistance is available in the States, the Commonwealth of Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, the Commonwealth of Northern Mariana’s, and the Trust Territories of the Pacific Islands. Direct loans are made at the interest rate specified in RD Instruction 440.1, Exhibit B (available in any Rural Development local office), and are repaid over 33 years or 38 years for applicants whose adjusted annual income does not exceed 60 percent of the area median income, if necessary to show repayment ability. Payment assistance is granted on direct loans to reduce the installment to an “effective interest rate” as low as one percent, depending on adjusted family income. Payment assistance is subject to recapture by the government when the customer no longer resides in the dwelling. There is no funding provided for deferred mortgage authority or loans for deferred mortgage assumptions. Guaranteed loans may be made to refinance either existing RHS Guaranteed Housing loans or RHS Section 502 Direct Housing loans. Guaranteed loans are amortized over 30 years. The interest rate is negotiated with the lender.”
The eligibility requirements are:
“Applicants must have very low, low or moderate incomes. Very low-income is defined as below 50 percent of the area median income. Low-income is between 50 and 80 percent of AMI. Moderate income is below 115 percent of AMI. Families must be without adequate housing, but able to afford the housing payments, including principal, interest, taxes, and insurance (PITI). Qualifying repayment ratios are 29 percent for PITI to 41 percent for total debt. In addition, applicants must be unable to obtain credit elsewhere, yet have an acceptable credit history.”
It would be very wise to check the area that you are interested in to see what they yearly taxes are as some areas are very high compared to others. Depending on your age, and area, taxes could run anywhere from 500.00 per year up to thousands of dollars per year. By age, I mean that senior citizens get a huge tax break on property taxes.
You can also lower property taxes by other means including farming. Check with their office to see what tax breaks you can get.
You may be required to show proof of your inability to get credit elsewhere, verification of your income, any debts that you owe,and other pertinant information on the application such as plans, specifications, and cost estimates.
How Do You Apply?
For direct loans, application is made at the Rural Development field office serving the county where the dwelling is or will be located. For guaranteed loans, application is made to a participting lender. This program is excluded from coverage under OMB Circular No. A-110.
Rural Development field offices have the authority to approve most Direct loan requests. The processing of guaranteed loans will vary from State to State. You will need to contact the Rural Development State Office in your area. It will be listed in your local telephone directory.
If no backlog exists, decisions on direct loan applications are made within 30 to 60 days. Requests for guarantee loans are acted upon in 3 days.
The time it takes to get approved or disapproved can range anywhere from 30 days to 60 days depending on the availablity of funds and whether or not the application was filed while a backlog of applications are present. For guarantees, a decision is required within 3 days of loan package submission by the approved lender.
You CAN appeal if you are denied the loan or loan guarantee:
“Agency regulations providing customers with the rights for an informal review, mediation or alternative dispute resolution (ADR), or appeal to the National Appeals Division (NAD) are contained in 7 CFR Part 3550. NAD regulations are found at 7 CFR Part 11. Requests for an informal review, mediation and ADR must be received within 30 days from the date of the adverse decision. Requests for an appeal to NAD must be received within 30 days of receipt of the adverse decision.”
You can also reapply at any time.
This assistance is available throughout the year by means of quarterly allocations. Funds may be given at the loan closing or they may be deposited in the bank account for purchase of a building site, and purchase or repair of a dwelling, or in multiple advances for construction. For guaranteed loans, funds are distributed after all the work has been completed.
Just so you know, the applications for direct loans far exceed available funding. There’s usually a waiting list if you want direct loan funding for a home.
You are not required to, but you should keep copies of any of your loan related documents.
Range and Average of Financial Assistance
From $1,000 to $105,000; an average of $73,350 for 502 direct loans, and 93,000 for guaranteed loans. Loans in high cost areas may be higher.
Literature and Guidelines: 7 CFR Part 3550 “Direct Single Family Housing Loans and Grants.” For guaranteed loans, 1980-D “Subpart D -Rural Housing Loans.”
You can contact their offices here:
For Your Local Office:
They will be listed under United States Department of Agriculture for Rural Development in your local phone directory. If you can’t find their listing, you can contact the Rural Development State
Headquarters Office
Director, Single Family Housing Direct Loan Division or Director Single Family Housing Guaranteed Loan Division, Rural Housing Service (RHS), Department of Agriculture, Washington, DC 20250. Telephone: (202) 720-1474 (direct loans); (202) 720-1452 (guaranteed loans).
You can visit their web site here:
http://www.rurdev.usda.gov
Need a new way to pump up this year’s fundraisers at your nonprofit? These six fundraising ideas will definitely maximize your results.
1 – Auction off premium event seating
2 – Grab Google Grants for publicity
3 – Leverage eBay for donations
4 – Swell your revenue stream with credit
5 – Multiply donations with upfront requests
6 – Explode your results by going OTT
Auction Premium Seating
Heard about the Minneapolis church that auctioned off their three front pews for the Christmas Eve service as part of their school fundraiser? The bids topped $6,000 or $1,000 a pew. Not bad for something that went for free most other places. Just imagine what you can get for the premium seats at your own events.
Google Grants
Are you hip to Google Grants? The world’s favorite search engine provides free advertising for registered 501c nonprofit groups. The Google Grants program is like Google’s pay-per-click AdWords program without having to pay for the clicks.
To be eligible, groups must have a website, non-profit 501(c)(3) status and not be religious or political in nature. Google picks new grantees every quarter. To apply for Google’s free advertising program, fill out an online application at http://services.google.com/googlegrants/application
eBay Giving Works
Got eBay? Not in your fund raising plan? Then go to the world’s largest market place and sign up your nonprofit group for online donations. eBay Giving Works puts the power of the eBay Marketplace to work for nonprofit organizations.
Anyone can sell items on eBay and donate part or the entire final sale price to your nonprofit organization. Donations from the sales of eBay Giving Works items will be collected and distributed to you, and tax receipts will be issued to the seller on your behalf. Find out more at http://givingworks.ebay.com/nonprofit/
Increase Revenue With Credit
Did you know credit is better than cash? Not only are people more likely to honor a pledge backed by a credit card than an ordinary phone pledge (100% to 70%), they are also much more willing to give more if you split the amount into smaller monthly pledges.
Instead of asking for a $100 donation, ask for $10 a month. Make sure you set it up as a recurring billing where you can bill the monthly amount for periods up to 36 months. Find the monthly sweet spot of your donor base and explode your donations on autopilot.
Make It Easy To Donate
Shy about asking directly for money? A small Illinois nonprofit held a fundraising dinner for their supporters and raised $6,000. They prominently placed a big donation jar at the registration table and raised an extra $18,000.
Don’t be shy about asking for help and don’t be shy about making it as easy as possible for supporters to give financial support at any event. Just be upfront about your needs and give them high visibility.
Explode Results By Going OTT
Know the secret of OTT? Over the top is what you want your fundraising event to be, the must attend occasion topping the social calendar. Pull out all the stops to add glitz and glamour. Be sure to provide multiple attractions that encourage participants to join in the fun (and open their wallets) wherever possible.
Silent auctions, live auctions, raffles, door prizes, entertainment, sponsorships, celebrity presenters, and glamorous settings work wonders by boosting turnout through free publicity and word of mouth. By going “over the top” with your fundraising event, you’ll magnify your donations mightily.
Put these fundraising ideas to work for your nonprofit group and make 2006 your best year ever.
It’s posted all over the Internet. You hear it on the radio, and see it on television. The United States government is giving away free money in the form of federal grants. While it’s true that the government does indeed award $400 billion annually through its 26 federal entities, the statement of free money through the government doesn’t exactly pinpoint the definition of a federal grant.
A grant isn’t a gift or a free-for-all giveaway. It also doesn’t mean that if you’ve been awarded a grant, you’ve won the lottery. According to American Government and Politics by Jay M. Shafritz, a grant is “a form of gift that entails certain obligations on the part of the grantee and expectations on the part of the grantor.” The key word in this definition of the word is obligations. Getting a government grant will get you an unbelievable amount of obligations, and not fulfilling your obligations will, in turn, grant you legal problems.
The majority of federal grants that are awarded are the farthest thing from being considered free money. Grants are most often awarded to organizations planning major projects to benefit a community. It could include money to be used for repaving streets in a city. A grant could also be awarded for a nonprofit organization featuring an art exhibit or musical performance. Grants are also awarded for technological research, conservation, and flood control projects. While there are other sources that are awarded grant funding, in general, the free money aspect is lost, and individuals, in general, are not qualified for most grants other than those used for educational purposes such as to pay tuition bills for higher education. Businesses can also tap into the federal grant program, but only by meeting strict criteria through the government agency offering the grant, such as if grant funding is available for research in a particular area that is of specialty to that business.
Once the free money is provided through the grant, the organization that has been awarded the free money must keep careful track of all project expenditures. Organizations that are awarded free money must be prepared for detailed audits, which will be conducted by the Federal government annually or more often. Any money not spent and accounted for goes back to the United States Treasury, and is not extra free money for the organization. Detailed program goals must be developed, approved, and completed by the organization exactly as specified in the grant application without exception. Any unforeseen project changes that occur along the way must receive prior approval by the government agency that awarded the grant. All project phases must be completed as planned, and even more importantly, completed successfully and on time.
The free money offered through a grant program can lead to financial and legal disaster to an organization that does not abide by the strict rules that the grant holds. By failing on a part of the obligation agreed upon when the grant is approved, the organization and/or persons in charge are held accountable. Penalties can range from economic sanctions to prison in the instance of improper use or theft of this free money.
The majority of grants, or free money, that is requested is applied for and awarded to other Federal agencies, state governments, city governments, colleges, universities, and research organizations and businesses. Few individuals have the money, time, and expertise necessary to prepare adequate applications that are awarded free money through federal grant funding. Most active grant seekers, such as universities, employ full-time grant writers to do nothing but apply for and administer Federal grant funding. A full staff of grant writers is not uncommon at a large university.
Because this free money through Federal grants is carefully monitored, the truth is that the money isn’t actually free. Applying for Federal grants takes an unbelievable amount of time. Additionally, by even unintentionally not abiding by the grant’s requirements, as mentioned, an individual that is unfamiliar with the Federal government’s grant programs can find themselves in a financial or legal disaster. With Federal funding cutbacks and the competition for grant fundings becoming more intense, seeking free money through a grant requires not only time, but also money, with no guarantee of success.
Stating it plainly, Federal grants and free money are fictitious. Often, it’s more work, not to mention more time and money spent obtaining a Federal grant, than obtaining a low interest loan. Large organizations, such as universities, can benefit from grant funding much easier because they can apply for multiple grants at once, and a skilled, knowledgeable staff can monitor the grant’s use carefully. A small business or organization may not see as much success in obtaining a grant due to the time needed to apply, monitor funds, and prepare materials for auditing.
The plain truth is that with federal funding cutbacks and competition for them becoming more intense, seeking a federal grant always requires a lot of time and potentially a lot of money up front with no guarantee of success. Dedication is needed, and is the most important part of attempting to obtain free money through grant funding.
Today childcare centers are gaining importance as a profitable business. Many people are seeking advice to obtain grants to start their own childcare center, expand their program, or upgrade their facilities.
One way to locate financing for your childcare business is to:
Check with your local bank
Research and obtain venture capital
Seek gifts and loans from family and friends
Look for advice from incubator organizations
Obtain counsel from local small business and women’s associations
In a few states, special loan programs have been developed to help childcare centers access immediate funds at affordable rates, like Washington and Oregon’s Cascadian Child Care Fund.
On-line Resources
Independent childcare business owners can also try the Foundation Grants to Individuals Online, a service of The Foundation Center at http://www.fdncenter.org. For a small fee per month (payable by credit card), the Foundation Center offers online listings of Grants to Individuals in the U.S.
Requesting Guidelines and Applications
Once you have completed your initial research and found potential grant funding, the next step involves contacting them and request their latest application and funding guidelines. If the program is operated by a foundation, also request their annual report. It is a good idea to view some common grant applications online so you know what to look for when your information comes in.
Grant/Funding Information Processing
Once you have received various funding information packets and applications, read them carefully and make notes about specific guidelines. Review which of the funding opportunities are available for a childcare center and whether your business plan fits their criteria. Examples of information you would find on a funding information packet would be: the type of program for which funding is available, eligibility requirements, location and populations served, and application deadlines, and so on.
Contact Funding Agencies Directly
Funding guidelines and applications can be quite extensive. While reviewing the guidelines and application, make notes of any questions you may have. Most funding agencies will assist you in completing your application for funding, and will appreciate that you have taken the time to get all the facts before submitting your proposal. Funding proposals are often set aside and not reviewed due to incomplete information, therefore it is critical to review your application to ensure you have met all the eligibility requirements and submitted all the necessary paperwork.
Prepare Your Cover Letter and Proposal
A cover letter is usually required with each proposal submitted. Again, check the guidelines of the funding agencies. Each agency will have different paperwork requirements.
Don’t Give Up
The best advice you can receive as you begin your quest for funding for your childcare center is not to become discouraged. Funding agencies typically receive a lot more proposals than they fund. So apply to more than one funding organization, and follow each organization’s instructions very carefully as to what they want in a proposal, and you will have a much better chance of obtaining funding for your childcare center.
David Chandler
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First of all, let’s set things straight about the meaning of a lien, that is in terms of law: a lien is a way of securing the payment of a debt or performance of some other obligation, by means of granting a security interest over an item of property. The two parts involved will be referred as lienor and lienee, that is the owner of the property, who grants the lien and respectively, the person who has the benefit of the lien.
U.S. law defines the term lien as non-possessory security interest and includes many types of mortgage and charge. Other countries’ laws refer to liens as being a certain type of security interest. That is when the possession of the property is lost, the lien is released. This is because in these countries, the term lien defines a passive right to retain, but not sell property until the debt or other obligation is discharged. The pronunciation is also different in the U.S. than in the other common law countries. In the U.S. the word is usually pronounced “leen”, while in other countries this term is more widely known as “lee-en”.
Terminology and application of the term lien may be different in the U.S. and in the other countries, but there are some similarities that must not be overseen.
In the United States, mortgages, car loans, security interests, chattel mortgages and property improvements are considered to be consensual liens, that is they are set by a contract between the creditor and the debtor. The liens can also be non-consensual, meaning that the creditor has the right to impose a lien on an item of real property or a chattel just by the existence of the relationship of creditor and debtor. To name just a few of this sort of liens: tax liens, which are imposed to secure payment of a tax, attorney’s liens, against funds and documents to secure payment of fees, judgment liens, imposed to secure payment of a judgment. Non-consensual liens also include “weed liens” and “demolition liens”, set by the government to rectify a property from being a nuisance and public hazard, mechanic’s liens, which secure payment for work done on property or land and maritime liens, which are being imposed on ships by admiralty law.
Another point of interest when considering the definition of the term lien is perfection, that is accomplished by taking steps required by law to give third party creditors notice of the lien. If a property is still the hands of the debtor, some further steps have to be taken, until that item of property gets in the hands of the creditor. That finally means that a lien has been perfected!
Applying for a grant used to be a difficult and tedious process. The applications were long and often difficult to obtain. Even worse, loans used to be difficult to locate. Unless you were extremely familiar with government loan programs, in all likelihood, finding a grand and applying for a grant meeting your specific needs may have been nearly impossible to find.
Fortunately, that has changed in recent years. Grants.gov, a web site listing all available government grants, was created as part of the President’s Management Agenda (PMA) and related e-Government Strategy. Grants.gov is one of 24 PMA initiatives devoted to improving services offered by the government over the Internet. According to Grants.gov, the site was created as a partnership with the 26 Federal agencies that offer grant programs. It is organized by the United States Department of Health and Human Services, which is also the largest grant-making agency.
By visiting Grants.gov, it’s easy to see how simple it is to apply for a grant. Gone are the days of preparing extensive paperwork and printed documentation, as well as mailing the paperwork to the agency awarding the grant. Instead, applying for a grant is now done electronically through the site, offering individuals and businesses the opportunity to flawlessly submit a grant application online.
There are five steps involved at Grants.gov in applying for a grant.
1. Find an appropriate grant opportunity in which you’d like to apply.
Visit Grants.gov/search/searchHome.do for specific information on grants available to you. Be sure you meet all criteria, or your time spent will be wasted because your application will be voided in that instance. Jot down the grant’s CFDA Number or Funding Opportunity Number, which will be needed for Step 2, below.
2. Download the application package.
Once you’ve determined which grant or grants you’ll apply for, you’re ready to download your grant application package. Your first step is to download PureEdge Viewer, which is a free software package required for filling out the application. The software is available to both Macintosh and PC users. Instructions are included as to how to install and use the software. After installing PureEdge Viewer, you’re ready to download your specific application package. Have the grant’s CFDA Number or Funding Opportunity Number for this step, which should have been obtained in Step 1, above.
3. Register with Central Contractor Registry (CCR).
Grant applicants need to be registered with CRR prior to submitting a grant application through Grants.gov. By registering with the CCR, the organization is required to designate an e-Business Point of Contact (EPOC) According to Grants.gov, the EPOC is the sole authority of the organization capable of designating or revoking an individual’s ability to submit a grant application on behalf of their organization through Grants.gov. The CCR also provides organizational information that Grants.gov uses to verify an applicant’s identity and to pre-fill repetitive information on grant application, which will ultimately save you time in applying for a grant.
4. Register with Credential Provider.
Grants.gov employs the use of e-Authentication to ensure the security of your information that is submitted electronically in an application. e-Authentication is done through the use of Credential Providers. It is the process of determining, with certainty, that the person applying for the grant is who they are claiming to be in the application. The Credential Provider for Grants.gov is an organization called Operational Research Consultants (ORC). When you, as a grant applicant, are applying for a grant, you’ll receive a username and password, which is then used to register with Grants.gov as an authorized organization representative, or in other words, as an individual designated as authorized to submit grant applications for your business or organization through Grants.gov. Once you’ve registered as an authorized organization representative, your EPOC is asked to validate the registration. Once your EPOC validates the request, the individual requesting authorized organization representative’s status for your organization will receive a notification via email confirming that you’re not able to submit grant applications electronically through Grants.gov, which is the fastest and easiest way to expedite your grant application.
5. Register with Grants.gov.
As mentioned, when applying for a grant, it is necessary to register with Grants.gov as an authorized organization representative in order to submit a grant application electronically. According to Grants.gov and their instructions file, the E-Business Point of Contact (EPOC) listed on an organization’s Central Contact Registry (CCR) registration will receive email notification stating that the grant applicant has registered to submit grants. The EPOC will then need to log onto the EBiz section of Grants.gov and assign the “Authorized Applicant” role to the grant applicant. Once the EPOC does this, the applicant will receive email notification stating that they have been designated as an AOR and will be able to submit applications through Grants.gov.
While there are many steps involved in applying for a grant, doing so online will move the process along much smoother and quicker than through traditional paperwork applications. The site offers user-friendly instructions and support tools, including a tutorial, a help section, a user guide, a quick reference section, and a frequent questions and answers section. Through this information, most questions and problems are addressed, and where something unusual occurs, personalized support is also available through the Grants.gov contact center.
Each year, the federal government gives out over 150 billion dollars in Government funded grant programs to businesses and individuals. These grants are provided to assist businesses in growing and providing jobs, and to help individuals raise funds for education or other personal needs.
Despite the abundance of grant programs available, many businesses and individuals are finding it difficult to locate grants. The system can be very confusing. Luckily, there is progress being made. The federal government actually has a website, Grants.gov that you can visit and you can search by agency, category, or browse the available grant opportunities. Now, this is a step in the right direction, but as you will see, their site is still hard to use and the search function is well, somehow lacking. Also, this is not a complete list of all grant programs that are available. You will likely need to employ additional research methods to uncover many government grant opportunities.
When researching for Government Grants, one of the best resources for research is the Internet. Try searching for the type of grant that you are hoping to apply for. Try putting the type of grant in quotes – ex. “grants for single mothers”, and search with the quotes. This instructs most modern search engines to search for the exact phrase. This will often times narrow down the results to a more manageable size for research.
If this fails you, you may try visiting another government run website, cfda.gov – The Catalog of Federal Domestic Assistance. You may try searching this for related government grant programs. There is a third government run website that may help as well, located at firstgov.gov.
If you still cant find information on the type of grant that you require, there are many commercial products available that maintain private databases of grant opportunities. Usually, this costs money, but the small fee might be worth it
if it saves you time and helps you find the grant that you are searching for.
Once you have found information on the grant that you hope to apply for, it would be a good idea to contact the funding organization and verify the details of the grant. Alot of times, information is out of date and you want to make sure that you have the most recent data before you attempt to apply for a grant. A phone call or letter to the group that funds that grant could save you a great deal of time and aggravation later on if you wind up with out dated information.
There are numerous government grant programs available. Locating them can be tricky, but is often times well worth the effort. With diligent research, you should be able to uncover some good opportunities for federal government grants.
Minority scholarships can be easier to come by than you might think. It is important to keep these scholarships in mind as you are searching for schools and applying for colleges. It is also important to make sure that you are aware of the various ways that you can apply for scholarships, because they will allow you to attend school for a much cheaper rate than otherwise. In fact, your college education could potentially be entirely free with college scholarships and college grants!
The cost of college is absolutely skyrocketing, as each college, public and private, is raising tuition and other costs on an almost yearly basis. This happens for a lot reasons. For instance, schools are paying more for rentals and utilities, and much more in taxes. Therefore, they need to charge more for tuition. Also, schools are offering more in the way of classes and more diverse majors and programs. This also leads to an increase in costs. Minority scholarships can help offset these costs, if you know where to find them and how to apply for them.
Minority scholarships are scholarships that are offered to minorities. There are lots of them out there, and there is a lot of good news for you when it comes to them. Although costs are getting higher by the year, it is surprising that lots of people don’t apply for scholarships. Actually, there are thousands of scholarships that are available each year – but many of them aren’t even awarded because there is no one to apply for them. When scholarships are offered, they are simply money that is given away to the students who qualify the best for them. When no one applies, or when someone applies who is not qualified, these scholarships, even minority scholarships, can go completely unawarded.
Another thing to remember about minority scholarships is that often today they are not just geared towards a financial need. There are still financial scholarships available, so if you are in a financial situation you should be able to find lots of scholarships that are available to you. However, there are also scholarships that are geared towards certain fields of study, certain heritages, or other types of qualifications that you might not have even thought about. Therefore, these scholarships can be available to you no matter where you are going or what you are into. There are lots of scholarships that are specially earmarked to be awarded to many minorities – and most of them are simply available for you to reach out and take.
When you are looking for minority scholarships, keep in mind that there are lots of places to find them. Be sure that you do as much research as you can to ensure that you have given yourself the best chance of finding the perfect minority scholarships for your needs. You can even be awarded multiple scholarships and/or grants, since there is no limit to the number you can have. Some might be smaller, like $300 which will not go a long ways towards offsetting your college education, but if you had 20 of those and/or also much larger scholarships to help you out, that could go a long way!
The bottom line is to just apply for as many as you can, because the only rule is that if you do not take the time and trouble to apply, it is guaranteed that it will not be awarded to you.
Despite what many people tell you, the idea that the government is just sitting around with a pile of money waiting to give out to you or any other small business is just plain wrong. This is not to suggest however that no grants are available to anyone at any time.
The whole idea of a grant is to provide capital for some activity the government wants to encourage. Typically this means in less desirable areas or opportunities. So although there may be grants available for things such as encouraging the arts or research into a specific disease, unless you can fit your business into these niche areas, there is not a lot of grant money your dream.
This isn’t to say that assistance isn’t available at all, just that grants are probably a long process when and if you happen to find one where your small business fits. There are other ways however that you might explore to fund a small business.
Of these small business financing options, one of the most popular is the loan. That’s right, just go out and borrow the cash needed. If you’ve done your homework and have a solid business plan then the thought of self financing through your personal credit lines shouldn’t worry you. After all, you’re really betting on yourself that you will be successful.
There is a lot of confusion about the Small Business Administration. Yes, this is the government agency dedicated to helping small business…just not with grants. The SBA actually funds a very small portion of the total number of small business loans that are called SBA type loans. What the SBA actually does is “guarantee” to the bank that the money will be paid back, either by you or as a last resort by the SBA/government. If this sounds a lot like the Federal Housing Administration (FHA) you are correct.
Like the FHA, the loan needs to meet their lending or “insurance guarantee” standards. For a small business loan, it’s much the same. The SBA will look at your credit, ability to pay back the loan and the business plan.
Other potential sources of private loans can be found based on ethnic, religious, military service – veterans, or other sub groups of the population. Check out all resources until you find a group willing to finance your dream.
Finally, never give up. I personally know someone who wanted to start a home construction business and needed funding for his first home. The SBA was not an option, and being young, most banks just looked and politely declined. Long story short, he ended up going to 53 different lending institutions but he DID finally find a small, local savings and loan willing to take a chance on the new guy. Why? Because although he didn’t have all the necessary “security” they were impressed by the list of financial institutions he went to and was turned down but never gave up.
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