An Escape From a Predatory Loan
Congratulations are in order for Milton Carranza, who was recently approved for a loan of $36,000 for his business, Leon Valet Parking Service.
Leon Valet Parking Service, established in 2012, has been serving the cities of Los Angeles and Beverly Hills for almost 12 years. The business’ restaurant service operates at over 16 restaurants and nightclubs in Los Angeles, in addition to operating a controlled parking lot and servicing private events.
The future looks bright for Leon Valet Parking Service. In the time following the pandemic and even in the midst of a recession, Carranza says, “Business is very busy, there’s more patrons coming, we even have restaurant services opening in Burbank and Studio City.”
CHALLENGES BEFORE EXPANSION
The success of Leon Valet Parking Service was previously hindered by a predatory loan. Carranza had taken out a loan for the business at a very high interest rate and was seeking funding to pay off the initial loan.
Carranza’s search for funding led him to recall a chance encounter he had with Vermont Slauson Economic Development Corporation CEO, Joseph Rouzan. Carranza had met Rouzan at a restaurant five years prior. After reaching out to VSEDC, Carranza was paired with two of our business coaches, Terry Gubatan and Esther Elizondo, in mid-July and the real work began.
Elizondo enrolled Carranza in our BusinessSource program, which provided Carranza with free services such as loan packaging assistance, loan readiness, and business financial analysis and finance coaching. After working with Carranza for a little over three months, he was approved for a loan totaling $36,000.
“[Carranza] felt like he had no way out of that loan, no space to breathe as a business,” says Elizondo. “[VSEDC] funding him helped him out a lot.”
FIVE STAR BUSINESS COACHING FOR A FIVE STAR BUSINESS
“I would highly recommend Vermont Slauson to my friends in business. Five stars!” says Carranza.
The $36,000 loan freed Carranza and his business from the pressure of the initial loan, making it possible for Leon Valet Parking Service to continue expanding into West Hollywood with new venue opportunities. The funding was also utilized for new branding for the business and new uniforms for the team at Leon Valet.
As for continued plans, Carranza says that Leon Valet Parking service has its eye on more locations, especially in the Beverly Hills area, and is planning to hire more people.