NICK GOSNELL
Hutch Post
HUTCHINSON, Kan. — StartUp Hutch is looking to help small business owners get additional financing if they want to start or expand. Through Network Kansas, the GROWKS Loan Fund Program offers a variety of matching loan programs to support Kansas businesses.
"The two loan funds that we are most likely to use are the Minority and Women-Led Starter Loans and Rural/Urban Distressed Loans," Swearer said. "Starter loans doesn't only apply to startups. That can also be any kind of new expansion of a business."
This is for expansion of a small business.
"When I say small, I mean up to a $100,000 loan from this fund," Swearer said. "For some people, that could be quite a big project."
Owners who want to use these funds have to have secured other financing, too.
"These loan funds actually require that we have a financial institution also in the project, in the loan, the capital stack, if you will," Swearer said. "This is intended to be what we call gap financing. You've already got some other money that you've put into the business and you've gone to the bank or the credit union and they're going to give you a loan for some of what you need, but you've realized that there just isn't enough money there. Maybe you need some money for some operating capital, or for some inventory that the bank won't give you a loan for, because they can't use it as collateral. Then, we can step in and give another loan, kind of on top of the rest, to fund that gap."
StartUp Hutch still needs to do their due diligence to be sure you can pay the loan back, but if you have any questions, give Swearer a call at (620) 615-3319 or email [email protected].