Most business owners going into a bank to seek funding and apply for a small business loan want to present themselves in the best possible light. They dress professional, have a good idea about what kind of financing they need, and have a solid plan on how they are going to use the funds.

With all the steps it takes to get approved for a small business loan from a traditional lender, the last thing a business owner expects is being discriminated against when applying for a loan. Unfortunately, traditional lenders tend to be very selective about who they lend to and may be more likely to be discriminate against minorities and women.

A study recently released and conducted by Utah State University, Brigham Young University and Rutgers University reveals that minority business owners may be treated very differently from white business owners when seeking small business loans. The study recruited black, Hispanic, and white entrepreneurs all across the U.S. and sent them to seek a small business loan from various banks. The businessmen were all dressed in similar professional clothing, had the same education levels and were all seeking a $60,000 loan for the same type of business.

Even though the business owners had nearly identical credentials, the study showed that black and Hispanic individuals were offered less help and information when applying for a loan. According to the study, in most cases the minority businessmen were not handed a business card or even asked what their name was by loan officers at the banks. However, business owners from minority backgrounds were asked more questions about their personal financial situation than the non-minority business owners.

Bloomberg BusinessWeek also reported last year about a study by The Kauffman Foundation that revealed that minority business owners were more likely to be denied for loans and less likely to apply, for fear of being rejected. According to these reports, discrimination in traditional lending may exist. But, minority business owners are not out of options if they can’t secure a business loan from a traditional lender.

Minority business owners are not at a disadvantage when applying for a business loan at Reliant Funding. Reliant Funding can help you obtain a small business loan that’s affordable for you – regardless if you are minority business owner. You can get financing for any business need, whether it’s for inventory, remodeling, marketing, or just general cash flow. As long as your business is financially healthy, it’s easy to qualify for a small business loan at Reliant Funding.  All you have to do is meet the following criteria:

• Be in business for at least 12 months
• Generate at least $8,000 per month in revenues
• Not have any open bankruptcies (prior bankruptcies are most often okay)