How SBA loans helped two suburban businesses grow
Katie Dix
Capannari Ice Cream and Catering
10 S. Pine St., Mount Prospect, IL 60056
(847) 392-2277
https://www.capannaris.com/ | Email: Katie@capannaris.com Years in business: 18
Background: In 2016 Capannari's received an SBA-guaranteed loan to purchase their warehouse. Dix has also received counseling from SCORE counselors and the Women's Business Development Center.
Q: What motivated you to start this business?
A: A need in the community. Mount Prospect needed a place for people to gather and enjoy ice cream.
Q: What is the biggest challenge you face in growing the business?
A: Keeping ahead of the trends and constantly looking for opportunities to grow.
Q: How did securing an SBA loan help you meet that challenge?
A:The pace of growth demanded more personnel, square footage and machinery. We could not have acquired any of that without the SBA loan.
Q: What is one tip you'd offer something starting their own business?
A: Do your homework BEFORE you jump in. Know your numbers and manage by those numbers. Keep your expenses as low as you can without jeopardizing your quality product or service.
Matt Miller
M14 Hoops
2412 Church Road, Aurora
(331) 281-0192
www.m14hoops.com | Email: info@M14Hoops.com Years in business: 8
Background: M14 Hoops received an SBA-guaranteed 504 loan to construct a basketball training facility.
Q: What motivated you to start this business?
A: I always saw myself in the gym with kids. When I was in college, I was always in charge of the kids' camps. I came home and started to do some private instruction, and it grew from one kid, to 30, to 300, to 3,000..
Q: What is the biggest challenge you face in growing the business?
A: I had already been in business for eight years; the core of who we were was already established. We were running out of space because I was renting. We were renting three gyms at one point. We got too big to rent out high school gyms. I was also very cautious from a branding standpoint. I wanted to stand on our own two feet.
Q: How did securing an SBA loan help you meet that challenge?
A: When I decided to expand, I realized it was a win for our players, a win for the parents, and a win for the business. In 2014, I said I think I have to build something, and I think I can afford it. I started working with the Fox Valley Entrepreneurship Center. I got a bookkeeper, got my numbers tight and presentable, and had three years of projections. Chase loved the deal, but they wanted to have something else involved. I wanted to take the risk on my own. I shopped my package around and eventually was approved by Wessex 504, a Certified Development Company. After a deal with a bank in North Carolina fell through, Chase called and said we want another shot at it. Ultimately, Chase became the lender.
It was a tough process, but I wanted to do it on my own.
Q: What is one tip you'd offer someone starting their own business?
A: Get some mentors. When it comes to business, I had to humble myself. People will help you. We've also had clients, parents, who have been managers and business owners, so I was able to get some guidance from people who have already been there. I also can't speak highly enough of the Fox Valley Entrepreneurship Center. When it comes to the bank loan, the land, the facilities process - that was all the FVEC. They were extremely valuable.