disb access to capital survey 2015 09
DESCRIPTION
DISB Access to Capital Survey 2015 09TRANSCRIPT
The DC Department of Insurance Securities and Banking (DISB) survey is being conducted with theassistance of consulting firm, BDA Global, and asks DC-based small businesses about theirexperiences in pursing financial services and credit.
The questionnaire takes approximately 10 minutes to complete. Your answers are confidential andresults will be reported only in the aggregate.
The valuable information you provide will help DISB’s efforts to:
- improve offerings to the local business community;- provide feedback to financial services entities; and- provide outreach to match businesses and service providers needs.
For optimal readability, we recommend taking the survey on a desktop computer or a tablet. Thankyou for your time.
Welcome to the DISB Access to Capital Survey
Small Business Barriers to Accessing Capital - General Questions
Please take the next 10 minutes to answer the following survey questions. All information provided will be aggregated and none of yourresponses will be attributed to you personally.
General Questions
1. What is the name of your business?
2. What is your business's primary zip code?
Date / Time
MM
/
DD
/
YYYY
3. In what year was your business founded?
4. What type of funding was used to start your business? (Select all that apply)
Business Loan
Line of Credit
Credit Card(s)
Personal Savings
Friends/Family
Other (please specify)
Section 1. General Questions...continued
5. Please select the industry that BEST describes your business:
Agriculture, Forestry, Fishing, and Hunting
Mining, Quarrying, Oil and Gas
Utilities
Construction
Manufacturing
Wholesale Trade
Retail Trade
Transportation and Warehousing
Information, media, and telecommunications
Finance and Insurance
Real Estate and Rental and Leasing
Professional, Scientific, and Technical Services (e.g. Accounting or Consulting)
Management of Companies and Enterprises
Administrative and Support and Waste Management and Remediation Services
Educational Services
Health Care and Social Assistance
Arts, Entertainment, and Recreation
Accommodation and Food Services
Public Administration
Other (please specify)
6. Please specify what your business does?
Section 1.1 Business Size
7. How many people does your business employ?
8. Roughly, what were your business's total revenue in 2014?
Less than $50,000
$50,001 - $250,000
$250,001 - $500,000
$500,001 - $1,000,000
$1,000,001 - $5,000,000
$5,000,001 - $10,000,000
$10,000,001 - $100,000,000
Greater than $100,000,000
Section 2.0 Performance and Strategy
9. For the first half of 2015 (Jan - Jun) how did your business perform financially?
Profit
Break Even
Loss
Increased Stayed the Same Decreased
2012
2013
2014
10. How did your business's revenue change over the last 3 years?
Increased Stayed the Same Decreased
2012
2013
2014
11. How did your business's profits change over the last 3 years?
Increased Stayed the Same Decreased
2012
2013
2014
12. How did your business's number of employees change over the last 3 years?
Section 2.0 Performance and Strategy...continued
13. Select the MAIN strategy, if any, your business used to improve operations in the first half of calendaryear 2015?
Reorganized management
Reduced operating expenses
Lowered debt payments
Increased capital investment(s)
Launched new products / services
Added new clients and/or markets
Increased pricing
No changes made
Other (please specify)
Section 2. Performance and Strategy...continued
14. Has your business experienced ANY OF the following challenges in the first half of 2015?
2012 2013 2014
Lack of Credit Availability
Lack of FinancialManagement Guidance
Uneven Cash Flow
Increased Fixed Cost ofRunning Business
Not Applicable
15. Did your business experience the same financial challenges in the prior 3 years?
16. Briefly, please describe the reason(s) for any changes (or lack of) in the challenges your businessfaces?
Section 3. Finances
2013 2014 2015 (YTD)
Increased
Stayed the Same
Decreased
N/A
17. How has your business's ability to access capital changed in the last 3 years? (Including current year)
2013 2014 2015 (YTD)
100%
75-99%
50-74%
25-49%
1-24%
0%
18. What level of financing did your business have to cover operational expenses and/or capitalinvestments over the last 3 years?
19. What, if anything, has your business done to improve its ability to obtain financing in the first half of2015? (Select all that apply)
Paid down debt
Consulted business advisor / improved financial management
Contact new / more financial institutions and/or explored new financing types (e.g. Crowd Funding; peer loans)
Did not take any action to improve my business's financing position
Other (please specify)
Section 3. Finances...continued
20. Please select the PRIMARY type of financing used by your business in the last year?
Business earnings
Credit cards
Business loans / line of credit
Personal savings
Friends and family
Home Equity load
Other (please specify)
21. What percentage of your business's operations was financed by credit?
100%
75-99%
50-74%
25-49%
1-24%
0%
22. Did your business have any outstanding debt as of June 30, 2015?
Yes
No (Jump to question 30)
Not sure (Jump to question 30)
23. If you answered yes to question 22, how much total debt did your business have as of June 30, 2015?
$1 - $10,000
$10,001 - $25,000
$25,001 - $50,000
$50,001 - $100,000
$100,001 - $250,000
$250,001 - $500,000
$500,000 - $1,000,000
> $1,000,000
Not sure
24. If you answered yes to question 22, what percentage of your business's total debt was held on a creditcard?
100%
75-99%
50-74%
25-49%
1-24%
0%
25. If you answered yes to question 22, what percentage of your business's total debt was added orrenewed in the last year?
100%
75-99%
50-74%
25-49%
1-24%
0%
Section 3. Finances...continued
26. If you answered yes to question 22, for what PRIMARY purpose does your business use financing fromnon-business earning sources (e.g. business loan, line of credit, personal savings)
Refinance or pay down debt
Capital investment
Hire employees
Real estate investment
Fulfil existing business contracts
Launch new products/service
Manage cash flow / operating expenses
My business only uses business earnings
Other (please specify)
27. If you answered yes to question 22, how did the interest rate on your debt change in the last 3 years?
Rate became lower
Rate stayed the same
Rate became higher
Other (please specify)
28. If you answered yes to question 22, was collateral required to secure ANY OF your business debt?(Collateral might include inventory, equipment, property, personal real estate, and other assets)
Yes
No
Not sure
29. If you answered yes to question 28, which types of collateral were required to secure your businessdebt?
Inventory or accounts receivable
Business non-real estate assets
Business real estate property
Personal real estate property
Other (please specify)
Section 3. Finances...continued
30. Did your business search for credit in the last year?
Yes
No (Jump to question 32)
Not sure (Jump to question 32)
31. If you answered yes to question 30, what was the MOST frequent way your business searched forcredit in the last year?
Internet Search
Consulted primary financial institution
Consulted multiple financial institutions
Consulted business service organization (e.g. Chamber of Commerce)
Applied through government program(s)
Applied through nonprofit organization(s)
Consulted with accountant
Consulted with friends and family
Other (please specify)
32. Did your business apply for credit in the last year?
Yes (Continue to Section 4)
No (Jump to Section 5)
Not sure (Jump to Section 5)
Section 4. Businesses that applied for credit
33. How many applications for credit did you submit in the last year?
1-5
6-10
11-15
16-20
>20
34. How many different business institutions did you submit applications for credit to in the last year?
1-5
6-10
11-15
16-20
>20
35. Approximately how many hours did your business spend researching and completing credit applicationsin the last year?
< 1
1-5 hours
6-10 hours
11-15 hours
16-20 hours
21-30 hours
31-40 hours
> 40 hours
36. What types of funding sources did you submit applications to?
Banks
Alternative small business lenders
Federal Government Lenders
State and Local Government Lenders
Non profit administered grant programs
Other (please specify)
37. From which sources did your business receive funding? (Select all that apply)
Banks
Alternative small business lenders
Federal Government Lenders
State and Local Government Lenders
Non profit administered grant programs
None
Other (please specify)
38. What was the MAIN purpose for your business to apply for credit in the last year?
Start a business
Purchase a business
Expand business (e.g. New products and markets)
Fund day-to-day operations
Make Capital Investments
Improve Cash Flow (e.g. to help with payroll )
Other (please specify)
Section 4. Businesses that applied for credit...continued.
39. How much of the credit that your business applied for was approved?
100% (Jump to question 43)
75-99%
50-74%
25-49%
10-24%
1-10%
None
40. For businesses that did not receive 100% of the credit applied for, what were the MOST likelyreasons for not receiving the full amount of credit sought?
Low Credit Score
Insufficient Collateral
Lack of a cash contribution
Less than 3 years in business
Weak/missing financial documents or tax statements
Weak business performance (e.g. uneven cash flow)
Discrimination
Other (please specify)
41. For businesses that did not receive 100% of the credit applied for, what was the MOST importantbusiness impact of not receiving the full amount of credit sought?
Did not hire new employees
Delayed/prevented ability to fulfill existing contracts
Delayed/prevented expansion of business (e.g. launch of new products/services)
Sought alternative financing sources (e.g. Crowd Funding or Peer-to-Peer lending)
No significant impact
Other (please specify)
42. If your business sought alternative financing, please specify the sources:
Crowd Funding
Peer-to-Peer Lending
Nonprofit Administered Grants
Federal Lending Program(s)
Local Lending Program(s)
Other (please specify)
Business Loan Line of Credit Credit Card Other
2013
2014
2015 (YTD)
Other (please specify)
43. What types of credit products did your business apply for in the last 3 years?
Business Loan Line of Credit Credit Card Other
2013
2014
2015 (YTD)
44. Did your business receive all, some, or none of the credit products applied for in each of the last 3years?
45. Was your business's credit sufficient to meet your operational needs?
Yes
No
46. If your business sought alternative financing, please specify the sources?
Crowd Funding
Peer-to-Peer Lending
Nonprofit Administered Grants
Federal Lending Program(s)
Local Lending Program(s)
Other (please specify)
Section 5. Businesses that DID NOT apply for credit
47. What was the PRIMARY reason your business did NOT apply for credit in the last year?
Had sufficient financing
Did not think business would be approved
Discouraged by someone
Did not want to accrue debt
Did not think business had sufficient collateral
Credit costs were too high
Other (please specify)
48. If you responded "did not think business would be approved" to question 47, what were the likelyreasons your business would not be approved? (Select all that apply)
Low credit score
Insufficient collateral
Weak/missing financial documents or tax statements
Weak business performance
Discrimination
Other (please specify)
49. If you responded "did not think business would be approved" to question 47, did you not apply for creditbased on the perception that you would be discriminated against?
Yes
No
50. If you responded "yes" to question 49, on what basis did you think you would discriminated against?
Age
Race
Gender
Disability
Religion
National Origin
Sexual Orientation
Other (please specify)
51. In the last year, what was the MOST important business impact of NOT APPLYING for credit?
Did not hire new employees
Delayed/prevented ability to fulfill on existing contracts
Delayed/prevented expansion of business (e.g. launch of new products/services)
Sought alternative financing sources (e.g. Crowd Funding or Peer-to-Peer lending)
No significant impact
Other (please specify)
52. If your business sought alternative financing, please specify the sources?
Crowd Funding
Peer-to-Peer Lending
Nonprofit Administered Grants
Federal Lending Program(s)
Local Lending Program(s)
Other (please specify)
Section 6.0 Future Credit Plans
53. Does your business plan to apply for credit in the next year?
Yes
No
Not sure
54. If your business were to apply for credit in the next year, do you think you would be approved for theamount you require?
Yes
No
Not sure
55. What types of assistance do you think would be helpful in your efforts to obtain access to capital?
Bank financing information events
Alternative financing information events
How-to apply for financing clinics
Financial management workshops
Bookkeeping training
Other (please specify)
56. Is your business a member of:
DC Chamber of Commerce
Hispanic Chamber of Commerce
Greater Washington Board of Trade
DC Certified Business Enterprise
Other (please specify)
57. If you indicated your business is a "Certified Business Enterprise," in question 56 above, pleaseindicate the type of CBE? (Select all that apply)
Local Business Enterprise
Small Business Enterprise
Disadvantaged Business Enterprise
Development Enterprise Zone
Resident Owned Business
Longtime Resident Business
Veteran Owned Business Enterprise
Local Manufacturing Business Enterprise