Business owner Joel Sandoval was facing an issue many entrepreneurs dream of. The revenues and profits of his CPA firm had doubled over its three years in operation. The problem? He was running out of space. Sandoval and his 2 assistants were working out of a 350 square foot office and needed much more room, especially during the busy tax season.
Sandoval considered simply renting a larger office but determined that a commercial real estate purchase could solve his space issues and help build equity in his business. Here’s more about his company, his successful SBA loan experience, and plans for future growth.
Sandoval Tax is a CPA firm serving small business owners and individuals in southern California. The small business specializes in tax preparation, bookkeeping, and payroll services in the community of Bakersfield and surrounding cities.
Joel Sandoval has a passion for guiding small business owners through their accounting needs, whether it’s helping them save money on taxes, with bookkeeping, or QuickBooks training and consulting.
Sandoval has only been a full-time business owner since March 2016. Before starting Sandoval Tax, he graduated from California State Bakersfield, passed the CPA exam, and worked for several large accounting firms.
“I like to see growth,” he says. “When you’re in business for yourself, you have unlimited potential for growth. That’s what prompted me to start my own business. I have that drive.”
Sandoval used his own funds to get Sandoval Tax started. “I applied for a home equity line of credit in case of emergencies but I didn’t need to use it,” he reports. Working as a one-man-show for a year, business began to boom and he brought on an assistant.
He now has 2 assistants and around 300 clients.
“We do some online marketing through social media and have very strong word-of-mouth referrals. We work with small businesses like construction companies and restaurants as well as individuals.” The testimonials on his website show Joel’s commitment to strong customer service and his motto to always go the extra mile.
One client, the CEO of a contracting firm, writes:
“I would like to say Joel, Owner of Sandoval Tax, has been such a big help to me and has helped me build my business. He’s always there, day or night when I need him. Thanks Sandoval Tax.”
As the business grew, Sandoval looked for a solution to his space problem. “I thought if we’re going to take on a bigger lease payment, why not just purchase?” He found the perfect office building for his needs and began looking for funding options. “Once I decided to purchase, the owner of the building suggested a commercial real estate SBA loan. I researched online and put in inquiries with a number of banks. SmartBiz® caught my attention.”
Sandoval reports he had an excellent experience applying through SmartBiz.
“The process of applying online was user friendly. That’s what attracted me in the first place. It was an easy process to upload the required documents. With other lenders, they wanted word documents printed out. That just makes more hurdles and hoops to jump through.”
Sandoval’s lack of debt, high credit score and strong business financials made him the perfect fit for SmartBiz. His SBA loan was fully underwritten and credit approved by a SmartBiz marketplace bank in just 10 days.
Sandoval used all of the SBA loan proceeds to purchase the commercial building.
“I’ll now be able to work out of a 1,500 square foot office. I’m considering leasing out the unused space to other businesses but my plan is to eventually use the whole building.” The office building is in an excellent location on a main street, is move-in ready, and already furnished. “We just have to take our computers and go,” he says.
Sandoval worked with SmartBiz Loans Commercial Real Estate Manager Doug Kilroy during the application process. Kilroy says, “Although only in business for a short period of time, Sandoval Tax had shown tremendous increases in revenue each year. The bank recognized that a larger space would allow the business to expand its services and capture more of the market. Coupled with Joel at the helm, it will be exciting and rewarding to see the growth this small business is now on the path to achieve.”
Sandoval says, “For me, working with Doug made everything so much easier. He understood my business right off the bat. It was a pleasure working with him for sure. We’re now planning a grand opening celebration.”
If you’re a small business owner in the market to refinance or purchase commercial real estate, check out our article: SBA 7(a) Commercial Real Estate Loan for Purchase or Refinance. You can learn more about this funding option along with the pros and cons of a purchase or refinance.
Interested to meet more SmartBiz Loan customers who have taken advantage of an SBA loan’s low rates and long terms? Visit the SmartBiz Blog and read how a childcare specialist has saved money with a commercial real estate purchase: Wonder Years Business Story.
Visit the SmartBiz Loans website for qualifications and additional details.
