Lowering Your Business Expenses

Feb, 08th, 2012, By J Dilworth
Tags/Topics: Uncategorized

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February 08, 2012

Lowering Your Business Expenses
By: J. Dilworth

Having been in the capacity to work with businesses and their management teams for more than 25 years, there is really nothing more pleasurable and profitable for a business and its owners than finding ways to lower their expenses. Over time, a businesses’ expenses can become bloated and having a new set of eyes review their financial data, such as financial statements, invoices, and other key documents, is a great way for business owner’s and their management teams to re-gain some financial perspective.

Recently I began working with a business that was introduced to me by a center of influence (COI) that I call on often for referrals. Developing your network of COI’s is one of the best ways to prospect and build a list of clients and customers. COI development is a topic I will save for another time; however, if you would like to know more about this sales development technique before then, don’t hesitate to contact me through my website at

My COI warned me that the business owner he was referring to me was an expert in all aspects of running his business. I was told that the only reason he was agreeing to speak with me was as a courtesy to my COI because ultimately he did not believe that I would be able to show him how to reduce his businesses’ expenses by any significant amount. I was more than willing to take up this challenge and I worked with the business owner over a period of several weeks and was finally able to get some information to review which I thought would bear financial fruit. After a few days of analysis, low and behold, I showed the owner a way he could cut one of his expense categories by more than $8,000 annually.

Another client I work with owns a large business, and has a full-time chief financial officer (CFO). I have known the owner for many years, and I initially pitched him on the idea that I would come in as a second set of eyes. I told him my goal was not to see if the CFO was doing anything wrong, but rather that I wanted to serve almost as a member of the accounting and finance team with a different skill set. I told the owner that I would look at his business from my perspective, which was different from his accounting staff’s because of my background in banking and finance.

Having been in banking for many years and as a CFO of a large company myself, I know it takes a team of people, inside and outside of the company, to properly run the finances of a business with any size to it at all. I had a number of outsiders that were members of my team, and they provided a wealth of expertise and financial value.

Once I made the CFO comfortable that I was not there to make her look bad or try to take her job, we targeted several areas. After getting the financial data I wanted to review, I was ultimately able to show the business owner and the CFO where they could make some adjustments and save nearly $50,000 on an annual basis in several expense categories.

These are just two examples of the monetary value a business financial consultant can provide to owners and their businesses, and I know consultants like myself have many success stories of their own. Having a knowledgeable consultant come into a business, review financial and other data with a fresh set of eyes, and then help management implement any identified expense savings strategies is a great way to put money back into the pockets of the business and its owners.

If you would like help in seeing if you can reduce some of your businesses expenses and you would ultimately like assistance in trying to make your business more successful, Mr. Dilworth, a former corporate banker, SBA 504 loan underwriter, and business CFO would be happy to discuss your business needs with you. Please email Mr. Dilworth at The Crescent Group X,, or visit the company website ( for more information.

Business Financing: SBA 504 Loan Could Provide the Green for Your Green Business

Dec, 18th, 2011, By J Dilworth
Tags/Topics: Business Financing

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The U.S. Small Business Administration offers a loan program for businesses that could just be the green ticket for environmentally sensitive businesses. The SBA 504 Loan Program provides up to 90% financing for acquisition or renovation of owner occupied real estate, or the acquisition of qualifying pieces of equipment. With SBA loan amounts up to $5.5 million, it means a project size can be $11.0 million, or even higher for qualifying businesses and their projects.

So whether it is a new building fully encompassing the newest qualifying green technology or the renovation of an existing building to take advantage of going green, the SBA 504 loan program may be the program for you and your business.

The SBA 504 loan program is a zero subsidy program to the government and on occasions has created a surplus which of course gets used elsewhere by the U.S. Government. Being a zero subsidy program is amazing, especially when put in the context of the fact that these loans are provided to borrowers at rates that are typically below rates that financial institutions charge and tend to be to businesses that these institutions consider a much higher risk. The March 2011, 20-year, full-term, effective rate for the 504 loan program was as low as 5.941% for the SBA’s loan. Banks won’t typically offer rates this low, and certainly won’t offer them for 20 years fixed.

The financial institutions that participate in the SBA’s loan programs are truly a catch 22 for businesses that need the SBA funding. On the one hand, you can’t get direct funding from the SBA in most cases without the participation of these lenders, but many of them, despite the decreased risk due to the SBA’s participation, are not putting money on the streets at rates that can really make the difference in getting our job machine revved up. Most lenders won’t likely tell you about the SBA 504 loan program because it’s not really in their best interest, but that’s another blog topic; however, you can contact me at http://www.thecrescentgroupx.comto discuss in more detail.

While most large businesses are cutting jobs left and right, its businesses with less than 500 employees that are adding jobs. According to a March 30, 2011 article in the Orange County Register entitled “Small private employers lead big job growth in March”, ADP, which has 550,000 employees it manages payroll for, added 184,000 small business employees (for businesses with less than 500 employees) versus only 17,000 in its larger business segment for March 2011. Because small business job growth is so critical to our long-term economic recovery, the SBA and its 504 loan program are a key component to helping fuel job creation for small businesses in the United States, especially green businesses.

If you would like to learn more about the SBA 504 loan program, or if you need someone to help you make your business more successful, Mr. Dilworth, a former corporate banker, 504 loan underwriter, and CFO would be happy to discuss your business needs with you. If you are interested in help with your business, please email Mr. Dilworth at The Crescent Group X,, or visit the company website ( for more information.