In this episode, host David Ponraj talks with Danny McDonald, SBA Expert for Listo SBA, who specializes in 7(a) loans to finance Working Capital, Debt Refinance, Business Acquisitions, Building Acquisitions, Partner Buyouts and more.
McDonald talks about the roots of his professional journey until now. He describes how important it is to him to see small businesses growing. He started his career path with a non-profit small business support organization. He then developed an affinity toward small business, and emphasized how a business idea can go from a dream to getting first dollar revenue, to growing the company, raising money, and exiting and bringing many dollars to the local community. McDonald also speaks about resources that can help underrepresented entrepreneurs and the best ways to hit goals as a company. Also, McDonald explains that his job is to let entrepreneurs think critically about what they are preparing, and to show numbers that are believable. Traction needs to be shown in the market in order to be investible, and this messaging does not get talked about a lot, which is why he has such an interest in it.
McDonald’s niche is Latino entrepreneurs. The hustle mentality is strong within this culture, and there is a desire to sell, sell, sell in that community. At times, there can be a disconnect in terms of content and resources for entrepreneurs not being available in Spanish language and messaging, which could allow for more opportunity and understanding. That is exactly why Danny believes in the importance of material being available to those from diverse backgrounds.
At EIC, we are finding out through the Entrepreneur of Color Fund, a program in Dallas in which we are partnering with JPMorgan Chase and the DEC Network, that POC and Latino founders are proven to be marginalized due to barriers in language, cultural differences and lack of trusted connections. McDonald himself is half Peruvian, and has seen this impact shown with BIPOC individuals. He stated that if you have a good story, good branding, and good traction, firms will be open to you. Showing that you’re human and are experiencing growth makes a difference. McDonald details that there is no excuse for loan officers to not be involved, which is why he helps to get entrepreneurs connected to local passionate advisors, SCORE, and SBDC. It’s a two-fold endeavor; the entrepreneur needs to show their effort, and the bankers need to help with guidance throughout the process. He believes in asking real questions and seeing how these entrepreneurs react in order to better assist them.
SCORE includes local business consultants who are industry veterans that are available to meet for free. They are willing to come to one’s office and spend time with business owners and founders, while helping them accomplish their dreams. americassbdc.org and score.org include groups that allow for business advancement.
To find a counterpart like Danny McDonald in your community, ask your local bank or local credit union if they have an SBA Loan Officer.
For any questions or just to get in touch, Danny McDonald’s email is email@example.com. Danny’s LinkedIn is https://www.linkedin.com/in/dannymcd/, he is open to connecting and expanding his network. He would love to talk and give straight, honest feedback through virtual or in person meetings. Danny is eager to help Latino and other entrepreneurs throughout the nation. He leaves the conversation with one last note: there is a path to sell your company if interested, and liquidate the enterprise value, because your family and employees truly deserve it.
About Breaking Down Barriers
A Podcast About Entrepreneurship-Led Economic Development
This podcast explores entrepreneurship as part of the economic developer’s toolkit for building prosperity in our communities. Episodes feature changemakers with innovative approaches to building ecosystems and improving the environment to empower people to start and grow their businesses. Conversations focus on breaking down barriers that limit entrepreneurship in underserved and historically excluded communities. We seek authentic stories to understand the profound impact of entrepreneurship-led economic development on the local economy and spotlight a network of passionate leaders advancing the field. Find out more at economicimpactcatalyst.com/impact