Are you a small green business in search of financing? Are you a small business with green principles and need working capital? Are you a small business that wants to invest in energy efficient equipment or upgrades? Are you tired of using your credit card and personal savings because the banks aren’t lending? Look no further. ACCION USA is a national nonprofit leader in microfinance, lending to the smallest of businesses that have trouble obtaining bank loans. Green America partnered with ACCION USA to bring you an exclusive look into ACCION USA’s green loan process and the opportunity to ask your questions directly to an ACCION USA loan consultant. What will you take away from this webinar? * The definition and benefit of an ACCION USA Green loan * Specific credit, financial and collateral requirements for loans up to $50,000 * Loan rates, fees and terms * Training and educational benefits * Direct connection with an ACCION USA loan consultant Green Cash for Green Business gives you access to the expertise of Renzo Mendoza-Castro. Renzo Mendoza-Castro is a National Loan Consultant at ACCION USA. Mendoza-Castro is responsible for business development and providing capital to small business owners nationwide. In addition to promoting traditional business loan products, Mendoza-Castro is leading ACCION USA's Green Business Initiative in New England.

2. The Green Business NetworkThe Green Business Network
Our mission is to work with
businesses everywhere to grow
a green economy that’s good for
people and the planet.
We are a vibrant community
of over 4,000 businesses
committed to creating
a better world.

3. Green America’s Green BusinessGreen America’s Green Business
& Green Economy Programs:& Green Economy Programs:
Green Business Network
Business Seal Of Approval
National Green Pages
Green Festivals
Green America Exchange
Green Business Conferences
Business Advertising Guides
Consumer and Investor
Outreach
Corporate Responsibility
Programs

4. Introducing your latest GBN membership benefit,
the Green America Exchange
The Exchange will help you …
Generate new business
Promote repeat business
Sell excess inventory
Reduce cash expenditures
Visit us online to activate
your free, pre-approved
Basic Account today.
Email to inquire about the
Premium Account with
an interest-free credit line
Now available: B2B tradingNow available: B2B trading

5. Green Business NetworkGreen Business Network
Membership OpportunitiesMembership Opportunities
There’s a place for everyone
on the green journey.
 Associate Members
An incubator for companies just starting and just
starting to go green.
 Approved Members
A space for established green companies
to access Green America’s consumer and
business audiences.
 Green Economy Allies
A dedicated category for nonprofits, educational
institutions, and peer certification programs.

6. More InformationMore Information
1612 K St., NW, Suite 600
Washington, D.C. 20006
Desireé Wolford
Sr. Manager Membership and Marketing
202-872-5330
www.GreenBusinessNetwork.org
www.facebook.com/greenbusinessnetwork
www.twitter.com/greenbizconf

7. Lending. Supporting. Inspiring.
ACCION USA:
“Green Cash for
Green Businesses”
November 15th
, 2010
Co-hosted by Green America

8. 8www.accionusa.org
What is ACCION USA?
At ACCION USA, we are committed to serving low- and moderate-income
communities by providing access to business financing and counseling.
Our focus is on microentrepreneurs, often minorities and women, who
build businesses, provide jobs, create assets for themselves and their
families and contribute to the development of their communities.

9. 9www.accionusa.org
Agenda: Total Time 1 hour
We have an allotted time for questions at the end of the
presentation, but feel free to “raise your hand” and ask a question
at any time.
- Financing Your Business 101 (25 mins)
- ACCION USA’s Loan Products (15 mins)
- ACCION USA’s Loan Guidelines (15 mins)
- Questions (15 mins)
- Special Offer Referral Code:
ACCION USA will waive your loan application fee, but you must
have the Referral code to qualify.

10. 10www.accionusa.org
Financing Your Business 101

11. 11www.accionusa.org
What do lenders look for?
Your ability to pay back!
1.Credit History
2.Business Plan
3.Business Financials

12. 12www.accionusa.org
What do lenders look for?
5 C’s
• Capacity to repay
• Capital: equity and liability
• Collateral to securitize loans
• Conditions to define the why and where? (Green)
• Character of you: the borrower (Green)

13. 13www.accionusa.org
Game Plan: Obtain Capital
• Build/Repair your personal credit
• Prepare a detailed and coherent business plan
• Prepare your financial statements for existing
businesses / create realistic projections for start-ups

14. 14www.accionusa.org
How to Get your Credit Report?
Contact all 3 Credit Reporting Agencies:
TransUnion: 1-800-888-4213 or visit www.transunion.com
Experian: 1-888-397-3742 or visit www.experian.com
Equifax: 1-800-685-1111 or visit www.equifax.com
You can request one free credit report per year at:
www.annualcreditreport.com
or by phone at 1-877-322-8228

15. 15www.accionusa.org
What is a Credit Score?
• A number that lenders use to predict how you will use credit in
the future (350-850).
• Credit scores take into consideration:
New Credit
Amounts owed
Types of Credit Used Length of Credit History
Payment History
10%
35%
30%
10%
15%

16. 16www.accionusa.org
Managing Credit Today: Key Strategies
• Pay on time
• Keep a healthy percentage of available credit
• Diversify your trade lines
• Keep copies of bills and statements
• Pay credit cards down one by one
• Be proactive in calling your
creditors

17. 17www.accionusa.org
Game Plan: Obtain Capital
• Build/Repair your personal credit
• Prepare a detailed and coherent business plan
• Prepare your financial statements for existing
businesses or create realistic projections for start-up
businesses

18. 18www.accionusa.org
Writing a Business Plan
• Most financial institutions require a written document
that will substantiate your budget and financials.
• Take time and make a thoughtful and realistic plan.
• This is the time to demonstrate your industry
knowledge and experience. (Green)

19. 19www.accionusa.org
Your Business Plan
A strong business plan will define the
following aspects of your business:
Product/ Service
Comparative advantage: What sets you apart? (Green)
Start-up Financing Options
Financial Calculations
Marketing Strategy (Green)

20. 20www.accionusa.org
Game Plan: Obtain Capital
• Build/Repair your personal credit
• Prepare a detailed and coherent business plan
• Prepare solid financial statements for existing
businesses or create realistic projections for start-up
businesses

21. 21www.accionusa.org
Financial Documents
• Income Statements (Profit and Loss)
• Cash flow statements
• Balance sheets
• Taxes
• Bank Statements

22. 22www.accionusa.org
Things to Consider: Income Statements
Can your business afford the loan payments?
$ales
(less) Cost of Sales
(less) Expenses
equals: Net Income
Is Net Income greater than 2x the loan payment?

23. 23www.accionusa.org
Things to Consider: Bank Statements
• Are deposits greater than withdrawals?
• Are there Insufficient Funds Fees (NSFs)?
• Are the balances declining or increasing over time?
• What are the frequent expenses?
Cash Management is Key!

24. 24www.accionusa.org
Keep GOOD Business Records
Understanding the 3 W’s
of your business
– Where are my
primary expenses?
– What do I sell?
– When do I sell it?

25. 25www.accionusa.org
ACCION USA’s Loan Products

26. 26www.accionusa.org
ACCION USA Small Business Loan Products
Loan Amounts:
• Established Businesses
6 Months of Operations & Profitable
Loan Amount: up to $50,000*
• Start-Up Businesses
6 Months of Operations but Not Yet Profitable
Loan Amount: up to $30,000*
• Transition Businesses
Business Purchase or Change of Location
Loan Amount: up to $30,000*
* The average ACCION USA loan size is $7,000

27. 27www.accionusa.org
Business Installment Loans:
• Interest rates: 8.99% – 15.99%
• Terms up to 60 months (based on loan amount and
purpose).
• ACH Monthly Payments
• 3-5% closing fee and $30 application fee if approved
• No prepayment penalties
Small Business Loan Product Specifics

28. 28www.accionusa.org
Green Loan Program Options
Energy Efficiency Loans
Loans for “green” small biz and industries
Loans for “green” loan purposes and services
Access to “green” education and resources

29. 29www.accionusa.org
What Qualifies as “Green”?
Investing in Energy / Water Efficiency Measures:
 New Equipment (refrigerators, ovens)
 Facilities upgrades (fluorescent / LED lighting, heating / water
system upgrades, other small appliance upgrades)
Providing Green Services:
 Services or industries that are “green” in nature (weatherization,
eco-tourism, alternative transportation)
Offering / Using Green Products:
 Organic/sustainable forestry/local products
 Recycled materials
 Alternative Energy-related products (biodiesel, solar panels)

30. 30www.accionusa.org
Green Loan Product - Benefits
1. Finance the upfront or “gap” costs of going green
2. Participate in government incentives, rebates & credits
3. Strengthen the application with an energy audit
4. Support navigating the energy audit process
5. Access to free training and educational resources
6. Lower rates in NY/MA for all green loans

31. 31www.accionusa.org
Energy Efficiency Loan Benefits
How
Green?
Avg F&B Loan $9,036
Avg Mthly Utility Bill $753
Avg Mthly Savings $103 (14%)
With an Energy Audit …
Term of Loan Potential Loan Increase
12 $1,239
18 $1,858
24 $2,478
30 $3,097
36 $3,717
42 $4,336
We add cost savings to
the applicant’s monthly
income, improving their
cash flow and their
chances of getting
approved.

32. 32www.accionusa.org
Green Resource Center
ACCION USA will create an online ‘Green Entrepreneur
Resource Center’ to which you can refer your clients for
green information!
• What incentives and/or rebates exist for small businesses
trying to ‘go green’?
• Should I get a certification for my green business?
• How can I market my commitment to sustainability as it
relates to my business operations?
Green TA

33. 33www.accionusa.org
ACCION USA’s Loan Guidelines

34. 34www.accionusa.org
ACCION USA Prequalification Questions
 Credit Score over 575
 No more than $3,000 past due
 No Bankruptcy in the last year
 No Foreclosure in the last 2 years
 No late payments on mortgage and rent in the last year
 Mortgage Qualifiers
 Ineligible industries
 Start Up Requirements

35. 35www.accionusa.org
Start Up and Transition Loan Requirements
• 6 or more months in operation
• Financially independent co-signer, not with business
• 2nd
source of income from client or household member
• A market study and 12-months of financial projections
• Technical expertise and commitment to the business
• All required licenses and permits

36. 36www.accionusa.org
Basic Documentation
ACCION USA relies on documentation to verify strengths.
• 2 Forms of ID (one government issued)
• 3 Months of Personal Bank Statements
• 3 Months of Business Bank Statements.
• All necessary permits and licenses
• Most recent utility bill from home residence and business
• Detailed description of how loan will be used

37. 37www.accionusa.org
Additional Documents
The following depends on the condition and size of the
loan and the status of the business:
• Mortgage Note or Business Lease if applicable
• Personal and Business Tax Returns
• Financial Statements: Profit & Loss and Balance Sheet
• Co-borrower Application if applicable
• Documents to verify other strengths

38. 38www.accionusa.org
AUSA Loan Application Process
Client receives
ACCION USA
loan Information
Client Applies Online or fills
out paper application. AUSA
acknowledges receipt w/in
48 hours
AUSA contacts
client regarding application to
offer loan amount range,
Interest rate, and request
documents
Application submitted
for Underwriting
Underwriter
Approves or Declines
ACCION sends
disbursement
Documents via secure e-mail
to client
Once ALL DOCUMENTS are submitted process takes 5 – 10 business days
Client submits documentation
via
fax or email and gets
Interviewed by Loan Officer.
This is often the most
difficult and time consuming
stage.
Prequal

39. 39www.accionusa.org
Before we open up to questions …

40. 40www.accionusa.org
SPECIAL OFFER – a $30 Value just for you!
 ACCION USA is waiving the loan application fee
especially for all Green America “Green Cash for
Green Businesses” webinar participants.
 When you apply online, enter “Green Webinar” in the
Referral Name field and be sure to mention the
promotion to the loan consultant you work with.
 You must apply by Monday November 22nd,
2010 to
qualify for this offer.

41. 41www.accionusa.org
Thank you! Questions?
• Check out our online resources or apply for your loan over the web at
www.accionusa.org
• Enter “Green Webinar” in Online Application Referral Name Field to
waive application fee – a $30 value!
• Download the paper application from our website and indicate “Green
Webinar” as the Referral Name.
• Call ACCION directly and apply over the phone. Be sure to mention
your “Green Webinar” Referral Name.
(866) 245-0783