7 of 8
BACKNEXT
In need of expansion capital
In need of expansion capital
Trzepacz, with his kids, Daniel (top), Abby and Ethan.
Tim Trzepacz
Co-founder, Vers Audio
Wayland, Mass.
Launched: March 2007, now trying to expand
Former job: Product developer for Brookstone

My business partner, David Laituri, and I started our environmentally conscious business two years ago. We developed a high-end iPod dock that's made of wood and sustainable materials. We tried a total of 11 banks, but they all turned us down because we didn't have a revenue history. Then we tried a small lending institution, Middlesex Bank of Framingham, just down the street from our office. They gave us a $200,000 asset-backed line to use on inventory.

We expanded nationally and internationally very quickly. We avoided large retailers and concentrated on indie retailers that are focused on green products and that could appreciate our product. In our first year, we hit $1 million in revenue. I think we'll hit $2 million this year, and we'll need more capital so that we can start turning orders around faster and developing new products.

I went back to Bank of America recently. They had turned me down for a loan, but I came to find out that Vers is no longer small enough for their small business lending. I'm not going to pitch to their corporate banking division now - we're really happy with our current bank. Of course, in this lending situation, you never know. Despite our growth, anything can happen. So I'm nervous about that, but I think we're covering our bases by also initiating conversations with interested private investors as well.

NEXT: In need of clients

LAST UPDATE: Mar 12 2009 | 10:51 AM ET
Sponsored by
More Galleries
A sampling of beers being made with traditional Latin flavors A small but growing number of craft breweries are including passion fruit, Mexican cinnamon and other traditional Latin flavors. More
Banks won't lend? Use these guys instead Banks often have exhaustive approval processes, high minimums, and flawless credit requirements. But there's a wealth of non-bank alternatives for those who need capital fast. Here are some of the leaders. More
Facebook launched my startup These entrepreneurs relied exclusively on Facebook, Twitter and Instagram to jumpstart their small businesses. More

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.