Brewing a detailed business plan helps tea lounge win backing

NJBIZ | May 17, 2004| | Copyright

LENDER READS BEYOND LACK OF COLLATERAL TO BACK VENTURE

Seventy-four rejections. Lenders weren't just rejecting Jesse Jacobs' loan application for a San Francisco tea lounge.

In 2002, any restaurant venture was considered risky: The triple whammy of reduced tourism, a recession and the dot-corn collapse was forcing dozens of Bay Area restaurants to close.

For Jacobs and partners Paul Fullarton and Robert Sandier, the disheartening answers meant one thing: There was still one more bank to call on the list of Small Business Administration lenders their adviser had given them.

That last stop was ...

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