SBA is a Pain in the Ass

So the Small Business Association (SBA) proclaims that it helps all of these small business get off the ground and aid them in their start up process.  This is total malarkey!!! They have been nothing but an absolute pain in the ass for this whole process. It probably would have been twenty times easier to get a second mortgage on our house!

The reason I have been so quiet on here is because I have been busting my ass on supporting our “equity injection” into our business.  I have to prove that I have spent the predetermined agreed upon amount of personal funds into the business before we can close on our small business loan.  Seems like a simple task right?  It also seems reasonable. They want to make sure we are for real. They want to make sure we are taking some of the risk too, not just taking their money and gambling with it.  Well it isn’t so simple.  The amount of support that is required as proof of expenditure is INSANE!!! And there is no materiality.  No matter the size of the expenditure, it has to be traced back to cash that is ours.

For example: I spent $12 changing the to a google sites domain in order to create our website with google.  Since I do not have a credit/debit card for our main business account I used our personal credit card.  To properly support this $12 expenditure I have to show an invoice or receipt, I then have to show that amount hitting my credit card statement, then I have to show my credit card statement being paid for at least that amount in the same period, and then I have to show the funding of that payment; I have to attach or snip in a picture of our checking account being deducted the amount paid to the credit card.  ALL FOR $12!!! And this is just ONE example! We have had so many expenses that went through our Lowes card, our Amazon account, and personal credit card and I have to do it for EVERY one!!

Needless to say I have spent probably 70 hours on one spreadsheet and I currently have 32 statements downloaded and ready to send to the SBA for proof of expenditure.  This is just the expenditures too.  The support for where the capital came from is the same thing! Oodles and oodles of documents.  If I was the one on the other end to review this spreadsheet I would just think “really? it’s $12, who gives a shit” haha

Also.  if you have never used the snipping tool (on a windows computer) you are really missing out!!!



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