Business financing in Scott County.

Small business financing is money you borrow — or sometimes receive as a grant — to start, run, or grow a business. It can cover equipment, inventory, a work vehicle, a building, or simply keeping the lights on during a slow season.

There are several common types:

• **Term loans** — You borrow a fixed amount and pay it back over time with interest. Good for one-time purchases like a piece of equipment or a truck.

• **Lines of credit** — A flexible pool of money you draw from as needed and repay. Good for cash flow gaps between jobs.

• **Microloans** — Smaller loans, often $5,000–$50,000, from mission-driven lenders. These are especially helpful for new businesses or sole proprietors who don't yet have a long credit history.

• **SBA-backed loans** — Loans made by a local bank or credit union, but partially guaranteed by the U.S. Small Business Administration. This guarantee reduces the lender's risk, which can mean better terms for you.

• **Grants** — Money you don't have to repay, usually tied to specific industries, locations, or community goals.

Not all financing looks the same, and not all of it is right for every situation. This guide will help you figure out where to start in Scott County.

Scott County is a rural county in the far southwest corner of Virginia, bordered by Tennessee and Kentucky.

The local economy has historically leaned on coal, timber, agriculture, and small trades.

Today, many residents work in construction, transportation, retail, healthcare support, and small-scale farming. Entrepreneurship here often looks like a one-person contracting business, a family-owned store, a farm stand, or a home-based service.

**You may qualify for financing if you:**

- Have been operating a business for at least 6–12 months (some lenders require less)

- Can show consistent income — even if it's seasonal or variable

- Have a personal credit score of 580 or higher (some CDFI and microloan programs go lower)

- Are a sole proprietor, LLC, partnership, or S-corp registered in Virginia

- Have an ITIN (Individual Taxpayer Identification Number) instead of a Social Security number — several lenders in this region accept ITINs

**Honest note about rural lending:** Banks in rural counties sometimes have conservative lending standards, and small loans (under $50,000) can be harder to get from traditional banks.

That is exactly why CDFIs and microlenders exist — they are built for situations like Scott County.

Don't get discouraged if a bank says no. A CDFI or credit union may say yes.

Getting organized before you apply saves time and avoids frustration. Most lenders — whether a local bank, credit union, or CDFI — will ask for some combination of the following:

**For all applicants:**

- Government-issued photo ID (driver's license, passport, or consular ID)

- Social Security Number or ITIN

- Two years of personal tax returns (or the most recent year if you're newer)

- Two to three months of personal bank statements

**For your business:**

- Business bank statements (2–3 months minimum)

- Business tax returns (1–2 years, if available)

- Profit and loss statement or a simple income/expense summary

- Business license or registration documents from the Virginia State Corporation Commission

- Any contracts, invoices, or job records that show your revenue

**For loan-specific uses:**

- Equipment quotes (if buying machinery or vehicles)

- Property details (if purchasing or improving real estate)

- A brief written description of how you will use the funds and how you plan to repay them

**If you don't have all of this:** Don't let missing paperwork stop you from starting a conversation. CDFIs and small business development centers can help you gather and organize what you need. That is part of what they do.