Funding Big Goals with Small Business Loans
Everything You Need to Know
Whether you’re looking to refinance or improve a current property, purchase new real estate, buy a building you’re currently renting, the right loan for your small business is out there. With lower down payments and longer loan terms, SBA loans provide long term financing to help you grow, sustain and expand your small business while preserving working capital.
What is an SBA Loan?
Small Business Administration (SBA) loans are a great option for small businesses looking for ways to access financing. These loans are partially guaranteed by the SBA, which allows approved lenders and financial institutions to offer them with more flexible terms. Obtaining an SBA loan can help you grow your business without having to take on more expensive debt. Low annual percentage rates make the SBA program one of the smartest ways to fund small business growth.
Can I qualify for an SBA Loan?
If your small business meets the following minimum requirements, SBA funding might be a good fit:
- 2+ years of business history
- Demonstrated historical and/or projected business cash flow for the project
- Solid personal credit
What Terms Does an SBA Loan Offer?
Just like any other type of loan, SBA loans come in all shapes and sizes (see below).
Summary of SBA Loan Types
7(a) Loans:
- Federally guaranteed term loans of up to $5 million
- Funds for real estate acquisition, improvements, equipment, debt refinance and working capital
- Processed through banks, credit unions, specialized lenders
- Loan terms up to 25 years for real estate and up to 10 years for equipment
504 Loans:
- Federally guaranteed term loans of up to $5 million
- Funds for buying land, machinery, facilities
- Processed through private-sector lenders
- Loan terms up to 25 years for real estate and up to 10 years for equipment
Ready to push your business further ahead?
