Nanni and Deeda’s Toys
, an LGBTQ-owned and women-owned business, successfully leveraged the Small Business Administration’s (SBA) 504 commercial real estate loan to purchase their dream property.
The $650,000 acquisition enabled the beloved toy store to secure a permanent home at 941 East Main Street in Santa Paula, Calif, enhancing its presence and credibility within the small business community.
From Dream to Reality: A Story of Passion and Perseverance
Co-founders Nancy Grass and Deirdre Weaver, two passionate educators who share a common belief in the power of imagination, always envisioned creating a haven for families to ‘gather and play’. They embarked on their small business journey to bring joy and wonder to the hearts of children and adults alike.
The co-founders met 26 years ago and quickly bonded over their mutual love of children and community. “We always talked about opening a toy store,” Grass shared. “It was a dream we both had for years.”
The challenges of the pandemic made them realize the importance of seizing the moment. “We decided that if we wanted to open our toy store, we shouldn’t wait. We needed to act as soon as possible,” said Grass.
In 2021, they opened their store in Santa Paula CA, a small, old-fashioned town that perfectly suited their vision. The shop quickly became a cherished part of the community, but as business grew, so did the need for more space.
“We were bursting at the seams with our products,” Weaver explained. “We needed a larger space to accommodate our expanding inventory and to create a more engaging environment for our customers.”
Finding the Perfect Home: The Role of SBA 504 Financing
The SBA 504 loan, known for its low down payment requirement and long-term fixed rates, made the founders’ desire for property ownership achievable. TMC Financing’s SBA 504 loan enabled the couple to purchase the perfect building for their expanding needs. TMC Financing’s John Rockwell provided essential guidance throughout the entire loan process. “John was phenomenal,” Grass says. “He was so patient and walked us through every step to make sure we understood the intricacies of SBA financing.”
The founders acquired their new property with only a 10% down payment. The new location not only offers more space but also includes the Gather and Play Cafe, a board game cafe designed to foster community engagement across all ages.
“Finding this building felt like destiny. It was designed to be a board game cafe, which aligns perfectly with our vision,” Weaver explained.
Rockwell emphasized the benefits of the SBA 504 Loan Program’s low down payment requirement, “A 10% down payment versus the 20-40% required by conventional financing can make all the difference for small operations like Nancy and Deirdre’s,” he says. “It allows business owners to retain more capital for other critical aspects of their business, ensuring stability and growth.”
Lease Replacement: A Sound Investment
Before purchasing their new location, Grass and Weaver were leasing a space. “We always wanted to buy a building to ensure that our business would have stability and security,” said Weaver.
Leasing posed risks such as sudden rent increases or lease termination. “We didn’t want to face the uncertainty of renting and decided it was time to own our property,” she added.
Owning the building has provided them with a sense of security and a solid investment for the future.
“Even if the business is not making money hand over fist, our real estate is a solid investment,” Grass noted. “It becomes an asset we can rely on in retirement.”
Establishing Credibility Via Property Ownership
Acquiring their own property has significantly enhanced their credibility and standing within the small business community.
“Our credibility as business owners has increased exponentially,” Grass stated. “We’ve been invited to join committees and participate in community events. Owning property has given us a stronger voice and presence.”
The couple’s journey to becoming both business owners and property owners is a testament to the importance of seizing opportunities and believing in one’s vision. The support they received extended beyond financing.
“John introduced us to invaluable resources, that helped us understand our financials and streamline our bookkeeping,” Grass acknowledged. “Our customer base has grown, and we feel validated in the small business space – that type of recognition is priceless.”
Looking Ahead: The Magic Continues
Despite the challenges of being an LGBTQ+ couple in business, the founders have created a space that promotes inclusivity and acceptance.
“We were initially hesitant to display a flag during Pride Month, but we wanted to create a space that welcomes everyone. Every person should be allowed to enjoy the magic of board games and camaraderie,” Grass shared.
About TMC Financing
Founded in 1981, TMC Financing is the leading provider of SBA 504 commercial real estate loans in the nation, funding projects worth over $14 billion across Arizona, California, Nevada, Hawaii, and Oregon. Over 7,000 businesses have benefited from this financing, resulting in the creation of an estimated 60,000 jobs.
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