BUSINESS FINANCING · TX

Small Business Financing Guide for Howard County, Texas

Howard County, Texas is home to a resilient mix of oil-field contractors, agriculture-related businesses, retail shops, and real-estate investors centered around Big Spring. This guide walks you through the most accessible financing options available locally — from community lenders and credit unions to ITIN-friendly programs — so you can make informed decisions without pressure. Origen Capital is a directory, not a lender, and nothing here constitutes financial advice. Use this guide as a starting point, then connect directly with the local organizations listed below.

§ 01 — What it is

What Is Small Business Financing?

Small business financing is money you borrow — or sometimes receive as a grant — to start, grow, or stabilize a business. In Howard County, this most often looks like a term loan from a local bank or credit union, a microloan from a community development financial institution (CDFI), or a loan backed by the U.S. Small Business Administration (SBA). Each option has different repayment terms, interest rates, and qualification standards. The right fit depends on how long your business has been operating, your credit history, whether you have collateral (like equipment or real estate), and how much you actually need. You do not need to be a U.S. citizen to access many of these programs — some lenders in this region accept an Individual Taxpayer Identification Number (ITIN) in place of a Social Security number.

§ 02 — Who qualifies

Who Qualifies — and How the Howard County Economy Shapes Eligibility

Howard County's economy is driven by the Permian Basin energy sector, healthcare (Big Spring State Hospital is a major employer), agriculture, and a steady small-business corridor along U.S. Highway 87. Most lenders will want to see: • At least six months to two years of business operation (varies by lender) • A personal credit score — though some CDFI and microloan programs work with scores as low as 580 or even no established credit • Proof of income or business revenue — tax returns, bank statements, or profit-and-loss statements • A clear explanation of how you will use the funds For energy-sector contractors and oilfield service businesses, lenders familiar with the Permian Basin understand revenue seasonality and contract-based work. For agricultural businesses, USDA Farm Service Agency loans complement — but do not replace — the local lender relationship. Immigrant entrepreneurs and solo contractors without a Social Security number should specifically ask lenders about ITIN-based lending, as several community lenders in West Texas have expanded these programs in recent years.

§ 03 — What you need

Documents You Will Typically Need

Gathering the right paperwork before your first meeting with a lender saves time and builds trust. Most lenders in Howard County will ask for some combination of the following: • Government-issued ID (passport, consular ID/matrícula consular, or Texas driver's license) • ITIN letter or Social Security number • Last two years of personal and/or business federal tax returns • Three to six months of business bank statements • A simple business plan or one-page description of your business and how the loan will be used • Profit-and-loss statement (even a basic spreadsheet works for some CDFIs) • Business licenses or DBA registration from Howard County or the State of Texas • Lease agreement or proof of business address • For loans above $50,000: collateral documentation (vehicle title, equipment list, or property deed) If you do not have formal financial statements, a CDFI or small business development center can help you build them at little or no cost before you apply.

§ 04 — Where to start in Howard County

Local Lenders, CDFIs, and Community Resources That Serve Howard County

These are the organizations most likely to have direct experience serving small businesses in and around Big Spring and Howard County: **LiftFund (CDFI — statewide, West Texas reach)** LiftFund is one of Texas's largest CDFIs and actively lends to small businesses in the Permian Basin region. They offer microloans from $500 to $1 million, accept ITIN borrowers, and work with startups and businesses with limited credit history. Contact them at liftfund.com or call their San Antonio headquarters for referral to their West Texas loan officers. **PeopleFund (CDFI — Texas-based)** PeopleFund provides small business loans and free technical assistance across Texas. They have experience with oil-field adjacent businesses and minority-owned enterprises. They are SBA microloan intermediaries, meaning their rates are regulated and reasonable. Visit peoplefund.org. **Big Spring Community Federal Credit Union / First Financial Bank** Local financial institutions in Big Spring sometimes offer small business lines of credit and equipment financing. Ask specifically about their small business products and whether they work with non-traditional credit histories. Relationships matter at community banks — introduce yourself and your business before you apply. **Permian Basin Development Center / West Texas SBDC Network** The Small Business Development Center (SBDC) serving Howard County operates through the West Texas region, affiliated with the University of Texas Permian Basin. SBDC advisors offer free one-on-one business counseling, help with loan packaging, and can connect you to SBA lenders. Find your nearest advisor at sbdc.wtamu.edu or utpb.edu/sbdc. **SBA San Antonio District Office** Howard County falls under the SBA's San Antonio District Office, which oversees SBA 7(a) and 504 loans for this part of Texas. The district office does not lend directly — they work through approved lenders — but they can refer you to SBA-preferred lenders active in West Texas. Visit sba.gov/offices/district/tx/san-antonio. **USDA Rural Development — Texas** For businesses in or near rural areas of Howard County, USDA Rural Development offers Business & Industry (B&I) loan guarantees and Community Facilities grants. These programs work through local lenders and are worth exploring if your business serves a rural community. Visit rd.usda.gov/tx. **Acción Opportunity Fund (ITIN-Friendly CDFI)** Acción serves Texas small businesses and explicitly welcomes ITIN borrowers. They offer loans from $300 to $250,000 with flexible underwriting and bilingual support. Visit accionopportunityfund.org.

§ 05 — What to avoid

Texas-Specific Regulatory Notes

Operating a business in Texas comes with some state-level rules worth knowing before you borrow: • **Texas usury law** caps the maximum interest rate on most commercial loans. If a lender quotes you an annual rate above 18% on a commercial loan, ask questions — very high rates may be a sign of a predatory product. (Note: Merchant cash advances and some invoice-factoring products are structured as purchases, not loans, and fall outside usury caps.) • **Texas Finance Code** regulates licensed lenders. Any lender doing business in Texas should be registered with the Texas Office of Consumer Credit Commissioner (OCCC). You can verify a lender's license at occc.texas.gov. • **DBA registration** for sole proprietors doing business under a trade name must be filed with Howard County Clerk's office in Big Spring. This is a low-cost step that also helps you open a business bank account. • **Texas Workforce Commission and franchise tax**: If you hire employees, register with the TWC for unemployment insurance. Most small businesses also owe the Texas franchise tax (margin tax), though many small-revenue businesses fall below the no-tax-due threshold. An SBDC advisor can walk you through this. • **No state income tax**: Texas has no personal or corporate income tax, which simplifies some of the documentation lenders require compared to other states.

§ 06 — Ask a question

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