BUSINESS FINANCING · MI

Small Business Financing Guide for Genesee County, Michigan

This guide helps solo contractors and small business owners in Genesee County, Michigan understand their financing options in plain language. It covers who qualifies, what documents you need, which local lenders and CDFIs actually serve the area, Michigan-specific rules to know, and common traps to avoid. Whether you have a Social Security Number or an ITIN, there are real pathways to business credit in the Flint region. Take your time, compare your options, and lean on local intermediaries who know this community.

§ 01 — What it is

What Is Small Business Financing?

Small business financing is money you borrow or receive to start, run, or grow a business. It comes in several forms: - **Term loans** — You receive a lump sum and repay it over a fixed period with interest. Good for buying equipment or making a one-time investment. - **Lines of credit** — A flexible credit account you draw from as needed. Good for managing cash flow between projects. - **Microloans** — Smaller loans, often under $50,000, designed for newer or smaller businesses that may not qualify at traditional banks. - **SBA-guaranteed loans** — Loans made by private lenders but partially backed by the U.S. Small Business Administration. This guarantee reduces the lender's risk and can help borrowers with limited collateral qualify. - **Grants** — Money you do not have to repay, usually tied to specific purposes like job creation, community development, or economic recovery. - **CDFI loans** — Loans from Community Development Financial Institutions, which are mission-driven lenders specifically designed to serve businesses that traditional banks often overlook. Financing is not one-size-fits-all. The right product depends on your business type, how long you have been operating, your credit history, and what you need the money for. This guide focuses on options that realistically serve Genesee County entrepreneurs today.

§ 02 — Who qualifies

Who Qualifies? Local Economic Context

Genesee County's economy has deep roots in manufacturing, skilled trades, construction, healthcare, and small retail. Flint and its surrounding communities have seen significant economic challenges over the past two decades, but the region is also home to a resilient entrepreneurial culture — including a large number of solo contractors, home-based businesses, and immigrant-owned enterprises. **You may qualify for local business financing if:** - You have been operating your business for at least 6–12 months (some microloans accept startups) - You can show some form of income or revenue, even informal records - You have a business plan, even a simple one - You have an ITIN (Individual Taxpayer Identification Number) — many local CDFIs and ITIN-friendly lenders accept this in place of a Social Security Number - Your personal credit score is below 680 — CDFIs and credit unions in this region routinely work with credit-challenged borrowers **Industries well-served by local programs:** - Residential and commercial construction contractors - Auto repair and vehicle services - Food businesses and catering - Childcare and home health - Retail and e-commerce - Property renovation and rental management You do not need to be incorporated. Sole proprietors and single-member LLCs are welcome at most of the institutions listed in this guide. Do not assume a bank rejection means no options exist — it often just means you need a different door.

§ 03 — What you need

Documents You Will Typically Need

Gathering paperwork ahead of time makes the process smoother and faster. Requirements vary by lender, but most local lenders in Genesee County will ask for some combination of the following: **Identity & Tax Documents** - Government-issued photo ID (driver's license, passport, or consular ID) - Social Security Number OR ITIN (ITIN is accepted at many CDFIs and ITIN-friendly lenders) - Last 2 years of personal tax returns (1040) - Last 2 years of business tax returns if your business files separately (1120, 1065, or Schedule C) **Business Documents** - Business license or registration with the State of Michigan (if applicable) - Articles of Organization or Incorporation (for LLCs and corporations) - EIN (Employer Identification Number) from the IRS — free to obtain at irs.gov - 3–6 months of business bank statements - 3–6 months of personal bank statements **Financial Documents** - Profit and loss statement (even a simple spreadsheet works for some microloans) - List of business debts and monthly payments - Business plan or written explanation of what you do and how you use the funds **For Contractors Specifically** - Contractor's license number (Michigan requires licensure for residential builders and certain trades) - Proof of active contracts or signed bids - Equipment list or invoice if purchasing equipment If you do not have all of these, do not stop. Many local CDFIs will help you prepare missing documents as part of their onboarding process. That is what makes them different from a bank.

§ 04 — Where to start in Genesee County

Local Lenders, CDFIs, and Resources That Serve Genesee County

These are real organizations with a presence in or direct service to Genesee County. This is not an endorsement — Origen Capital is a directory, not a lender. Always verify current programs and contact information directly. **Michigan Women's Forward (formerly Michigan Women's Foundation)** - Offers microloans and business development support to women entrepreneurs across Michigan, including Genesee County. - Website: michiganwomensforward.org **Northern Initiatives (CDFI)** - A Michigan-based CDFI that provides small business loans from $1,000 to $2 million across the state, including underserved communities in the Flint area. - Known for working with credit-challenged borrowers and accepting non-traditional documentation. - Website: northerninitiatives.org **Michigan CDFI Coalition / Invest Detroit Partners** - Multiple CDFIs operate statewide and can originate loans for Genesee County borrowers. Invest Detroit has expanded its reach into Mid-Michigan markets. - Website: investdetroit.com **Consumers Credit Union & ELGA Credit Union** - ELGA Credit Union is headquartered in Burton, Genesee County, and has deep roots in the local community. Credit unions typically offer lower rates than banks and more flexible underwriting. - ELGA Credit Union: elgacu.com - Consumers Credit Union: consumerscu.org **Flint & Genesee Economic Alliance** - The regional economic development organization that connects businesses to financing, incentives, and technical assistance. They can refer you to the right lending partner. - Website: flintandgenesee.org **SBA Michigan District Office (Detroit)** - The SBA's Michigan District Office covers Genesee County and administers SBA 7(a) loans, SBA 504 loans, and the SBA Microloan Program through approved local intermediaries. - SBA loans are made by banks and CDFIs — the SBA guarantees a portion. Contact the district office or use the SBA Lender Match tool at lendermatch.sba.gov. - Michigan District Office: sba.gov/offices/district/mi/detroit **SCORE Flint Chapter** - Free mentoring from retired business professionals. SCORE volunteers can help you build a business plan, prepare loan documents, and connect with local lenders. - Website: score.org (search for Flint chapter) **Small Business Development Center (SBDC) — Kettering University** - The SBDC at Kettering University in Flint provides free one-on-one advising, financial coaching, and loan readiness assistance. This is one of the most valuable free resources in the county. - Website: sbdcmichigan.org **ITIN-Friendly Lenders in the Region** - Northern Initiatives and several Michigan CDFIs explicitly accept ITIN borrowers. - Some local credit unions also accept ITINs for membership and basic loan products — call ELGA Credit Union directly to ask about current ITIN policies. - Community Reinvestment Fund (CRF) USA operates in Michigan and works with ITIN holders through certain CDFI partners.

§ 05 — What to avoid

Michigan-Specific Regulatory Notes

Operating a business in Michigan comes with specific rules that affect your financing eligibility and obligations. Here are the most important ones for Genesee County entrepreneurs: **Business Registration** - Michigan businesses should be registered with the Michigan Department of Licensing and Regulatory Affairs (LARA) at michigan.gov/lara. LLCs cost $50 to file. Operating as a registered business entity improves your credibility with lenders. **Contractor Licensing** - Michigan requires a Residential Builders License for contractors doing over $600 of residential construction work. Electrical, plumbing, and mechanical trades have their own license requirements. An unlicensed contractor may have difficulty qualifying for equipment loans or contracts that require proof of licensure. - Licensing info: michigan.gov/lara/bureau-list/bcc **Michigan Small Business Relief Programs** - The Michigan Economic Development Corporation (MEDC) periodically offers grant and loan programs for small businesses, including programs focused on underserved communities. Check medc.michigan.gov for current availability. - The Michigan Saves program offers financing for energy efficiency improvements to commercial properties — relevant to contractors and property investors. **Genesee County Land Bank** - For real estate investors interested in acquiring and rehabbing vacant properties in Flint and surrounding areas, the Genesee County Land Bank Authority sells properties at below-market prices. Some financing programs are specifically designed for Land Bank purchases. - Website: thelandbank.org **Usury and Interest Rate Rules** - Michigan's usury law caps interest on personal loans but business loans have different — often higher — allowable rates. This is why understanding the APR (annual percentage rate) on any business loan is critical. Always ask for the APR, not just the factor rate. **Sales Tax and Business Taxes** - Michigan has a 6% sales tax and a Corporate Income Tax (CIT) for C-corporations. LLCs and sole proprietors pay personal income tax on business income. Keeping clean books from the start makes future loan applications far easier.

§ 06 — Ask a question

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