For Women Who Dare to Build: The Truth About Getting Your First Business Loan

business consultingbusiness strategywomen in businessentrepreneurs
Written By QK Douglas

Let me say this plainly: if you’re a woman—especially a woman of color or a first-generation entrepreneur—who’s building a business and wondering how the hell you’re supposed to fund it, you’re not alone. This blog is for you:

A Guide to Funding Your Business in 2025.

You might be juggling caregiving, bills, a big vision, and an inbox full of grant applications and closed doors. But trust me: closed doesn’t mean canceled. When it comes to funding your business, you don’t need to come from wealth or wait for someone to hand you the green light. You need strategy, creativity, and a little bit of insider knowledge.

And that’s where I come in.

Let’s Start With the Basics: How Lenders Think

Most of us didn’t grow up talking about DSCRs over dinner. But when you approach a lender—whether it’s your local bank, a community lender, or a FinTech platform—that’s the language they speak.

DSCR stands for Debt Service Coverage Ratio. It’s a simple way for lenders to ask:
“Can your business consistently bring in more than it will owe us each month?”

For example, let’s say your business is generating $3,000 a month and your projected loan payment is $800. That’s a DSCR of 3.75—solid. Lenders typically want to see a DSCR of at least 1.25. If you don’t know how to calculate yours, ask your SCORE or SBA advisor. You don’t need to guess.

Not All Loans Are Created Equal—and That’s a Good Thing

Here’s where most of us get overwhelmed: there are a lot of loan types, and they’re not one-size-fits-all. Knowing your options makes the process feel less intimidating and way more empowering.

Let’s break them down:

  • SBA 7(a) Loan – Offers up to $5 million for general business purposes. It’s a staple for established businesses, but hard to get as a brand-new startup.

  • SBA 504 Loan – Long-term, fixed-rate loans used for real estate or big equipment. Think: opening a storefront, buying property.

  • Microloans – These are the real MVPs for first-time founders. Usually under $50,000, often through community-based lenders. Higher interest, but more flexible—and they’re made for women rebuilding credit, with nontraditional income or a new business model.

  • FinTech Lenders – These online platforms move fast. They offer everything from invoice financing (you get paid on receivables before your client pays you) to short-term loans for things like payroll or pop-up inventory. Rates are higher, terms can be tighter, but sometimes speed and access matter more.

Important SBA Changes (Effective June 1, 2025)

If you're seeking a traditional SBA-backed loan, heads up: the rules are changing.

Here’s what’s new:

  • Higher credit score requirements (using the Small Business Scoring Service, 300+ scale)

  • All SBA loans now require collateral

  • You must inject at least 10% equity (cash or assets) into the loan

  • Seller-ownership transitions are stricter—if you’re buying a business, it's harder for the seller to stay on as part-owner under SBA rules

These changes can feel like barriers—but they’re just part of the game. And games can be learned.

You’re Not Powerless. You Just Need the Right Map.

One of my favorite tools for women just starting out is the SBA Lender Match tool. It’s free, online, and connects you with lenders who are already primed to work with small and under-resourced businesses.

And remember: you are allowed to interview your bank.
Ask questions. Shop around. Bring a mentor or advisor. The money may have rules, but you still have the power of choice.

And if a bank says no? That’s not the end.

When Traditional Paths Don’t Open—Build a New One

You don’t have to wait on gatekeepers who don’t see your vision. You can be bold, strategic, and creative. If your credit’s not perfect, your revenue’s new, or your model is niche:

And yes, there are grants, crowdfunding, and corporate small business contests. But while you're chasing those, build your bankability. Protect your IP. Organize your numbers. Draft strong contracts. Stay ready so you don’t fumble the funding when it shows up.

Final Word From QK: Your Venture is Valid

You may not see yourself in glossy pitch competitions or hear your business shouted out on NPR—yet. But your company matters. Your vision is needed. Your leadership is not a fluke.

If they don’t fund you now, it’s not a no. It’s a not yet.
And if they never fund you, you’ll still be unstoppable—because you’ll know how to fund yourself, position your offer, and build a brand that lasts.

I help women like you get clear, get protected, and get funded.

Ready to plan your funding strategy or get your legal and compliance documents in order? Visit qkiconsultingllc.com to book your session.

QK Douglas

QK Douglas is a small business and compliance attorney. She became a business owner to bridge the gap of information she saw small business owners struggling through in creative spaces and across the board, especially with creatives and entrepreneurs. (Canna and crypto)

Compliance and legal structures are necessary, but it’s an elusive step for those who don't have access or don't know where to start.

QK desires for those in her community who want to get into these dynamic spaces to have access and a chance to chase their dreams.

https://www.qkiconsultingllc.com
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