Business Creation and Development

Presentation is the culmination of all business processes. To this end it is imperative to be able to give the potential clientele an online view of your product or service in the best light and quality to make a lasting impression. This is where the importance of rich content information on product creation and deployment comes in handy. Product design encompasses all that goes into the efficient and effective generation of ideas that infuse new products and services with features that are alluring across cultures and societies today.

The development of these ideas can be achieved through a process that once again ripples out into the spheres of new products and allied services. The whole process calls for the genius of in house, known as “Product Designers” who have the sole responsibility to not only conceptualize and evaluate cultivated ideas, but also make them as tangible as possible via a very systematic approach during the product development cycle. The process of product creation and deployment often times combines art, technology and science.

The end result is the creation of tangible three-dimensional services and products. Today there are specially endowed and created digital tools that go beyond simply allowing product designers to communicate. The tools also help in processes that involve visualizing and analyzing these ingrained ideas in an efficient and money saving manner. Product creation and deployment demanded a lot of manpower in the past primarily due to the time era when less technological systems were available. But today the aspect of product design in a business is a process that has become less cumbersome over the years thought technological advancements.

The arena calls for various methodology and a specific skill set to endow the product or service with ingenuity and uniqueness. The process is broken up into various stages. The initial stage comprises imagination and research and development phase to determine the need based generation of following popular trends. Mid Stage demands comprise developing design strategies and input arising from evaluated user needs, form exploration, ergonomics and prototyping technology to test the market demand. In the final stage marketing that is client based can be targeted based on market research for demand and competition.

Revolving and micro Loan funds are emerging as the primary source for entrepreneurs to obtain funding for their business as banks have been tighter with lending. Micro loan programs are provided by various federal, state and not for profit agencies to assist with economic development.

The funding sources shown below are not lent directly by the funding agency, rather these funds are provided to intermediary groups such as economic development agencies, municipal bodies, etc to disperse in their region. These funds are provided at no to little cost for the purpose of increasing economic activity and creating/retaining jobs. Below is an overview of the most common revolving and micro loan funds for businesses.

SBA 7m – The Small Business Administration (SBA) 7(m) Micro loan program gives short term, lesser dollar amount loans to small business entities, and also to organizations such as non-profit childcare and daycare centers. The Small Business Administration makes funds readily accessible to designated lenders, who act in an intermediary capacity. These intermediaries will be locally based non-profit organizations that have expertise, not only in general lending, but in the area of technical assistance and management. The intermediaries then directly supply the loans to qualified borrowers. An average loan amount is from $10,000 to $15,000, with the maximum available loan amount being $35,000. The general outline of fund usage is leasehold or renovation improvement, or as working capital. Job creation or retention requirements will apply.

Loan Amount: up to $35,000

Interest Rate: Typically 5%

USDA IRP – The purpose of the Intermediary Relending Program (IRP) program is to alleviate poverty and increase economic activity and employment in rural communities. Under the IRP program, loans are provided to local organizations (intermediaries) for the establishment of revolving loan funds. These revolving loan funds are used to assist with financing business and economic development activity to create or retain jobs in disadvantaged and remote communities. Intermediaries are encouraged to work in concert with State and regional strategies, and in partnership with other public and private organizations that can provide complimentary resources. Job creation or retention requirements will apply.

Loan Amount: up to $150,000

Interest Rate: Typically 5%

USDA RMAP – The USDA’s Rural Microentrepreneur Assistance Program (RMAP) is designed to create jobs, and strengthen rural communities by providing specialized technical support and loans for small businesses.

RMAP provides loans and grants to Microenterprise Development Organizations (MDOs), which in turn provide technical services and distribute micro loans to rural microentrepreneurs. The MDOs are not required to be located in a rural area to be eligible to participate but microentrepreneurs must be. Microenterprises may be, but do not have to be, food or agriculture-related.

In addition to loan funds, training, operational support, business planning, market development assistance, and other services to rural microentrepreneurs is available to no charge. Job creation or retention requirements will apply.

Loan Amount: up to $50,000

Interest Rate: Typically 5%

EDA Revolving Loan Program – The Economic Development Administration (EDA) Revolving Loan Fund Program is the Economic Development Administration’s economic development financing program that helps America’s small businesses grow while benefiting communities through tax base expansion, business growth and job creation. Loans are available for most types of small, for-profit businesses to purchase and/or renovate capital assets including land, buildings and equipment or to finance working capital needs such as inventory and accounts receivable. Job creation or retention requirements will apply.

Loan Amount: up to $150,000

Interest Rate: Typically ranges between 3% & 5%

CDBG Loan Program – Funding for the Community Development Block Grant Program (CSBG) program is provided by Housing and Urban Development (HUD). These grant dollars are available to communities with a population of fewer than 50,000 residents for the purpose of attracting new or expanding existing companies, as long as the projects align with one of three national objectives:

1. Principally benefit low and/or moderate income people.

2. Eliminate or prevent slums and/or blight.

3. Address imminent health and/or safety problems.

Job creation or retention requirements will apply.

Loan Amount: Varies by state

Interest Rate: Typically 5%

CDBG Loan Program – Community Service Block Grant (CSBG) Loan Program provides long-term, fixed-rate financing to new or expanding small businesses in exchange for job creation and employment for low-income individuals. Funding is typically administered jointly between State economic development agencies and Community Action Agencies which are local private and public non-profit organizations. Job creation or retention requirements will apply.

Loan Amount: up to $150,000

Interest Rate: Typically 5% – 7%

Revolving Loan Funds – Many States, Counties, Cities, Towns and Villages offer revolving loans fund to assist with small business development. Funding can come through endowments, consortium of banks or a combination of the funds mentioned above. These funds are typically administered by economic development groups, chambers of commerce, targeted minority association, not for profits or municipal bodies. Job creation or retention requirements typically apply.