Summer 2009

First ARC Loan in Kentucky Goes to a

Disadvantaged Business Enterprise
Big Meadow Oil Plans for the Future

Sheila Pruitt and Betty Gentry at Big Meadow Oil, like other small business owners, have many tales to tell. “Most of them will go to the grave with us,” laughed Gentry. But one story brings encouragement to other small business owners when it comes to accessing capital in times of need. Big Meadow Oil, located in Knob Lick, KY was the first recipient in Kentucky of the Small Business Administration’s (SBA) America’s Recovery Capital (ARC) Loan Program.

“With the economy being what it is, we needed to inject some more capital into the business to increase our cash flow,” said Pruitt. “We have a long-standing (30+ years) relationship with Edmonton State Bank. We also have an ongoing relationship with the SBA. It seems that when we really need them they are there,” she continued.

“So we went to our banker, Andrea Gentry at Edmonton State Bank, and talked about this SBA loan program. She put us in touch with the bank’s SBA contact, Tony High at the Tompkinsville branch and, surprisingly, it didn't take very much time at all for us to get the loan.”

High, Community President at the Edmonton State Bank in Tompkinsville has experience with SBA loans. He consistently monitors the information he receives from the Small Business Development Center (SBDC) based at Western Kentucky University (WKU).

“The SBDC at WKU sent e-mails providing lots of helpful information about how the loans work. The SBA web site lays out the information and with the automated E-Tran system, a well-prepared applicant can have access to the loan within 24 hours,” said High.

“Gentry and Pruitt came prepared with the necessary financial documents, which is the most important factor in determining how smooth the loan application process will go,” said High.

“SBA’s ARC loan program is another opportunity to serve our community,” said. High. “We are highly committed to the success of our neighbors.”

“This (ARC) loan was not the savior of our business by no means, but it has given us some breathing room since the economy has dealt a pretty bad blow,” said Gentry.

“Our goal for this year is to hang on tight, watch every penny and emerge stronger. We believe that the businesses that survive this rough economy will be the leaders in the coming years.”