Small Business Administration Loans (SBA)
SBA loans offer businesses like yours some key benefits you won't find with conventional financing. To take advantage of the benefits available to you through the Small Business Administration, simply contact Greg Moorehead at gmoorehead@aebfl.com.
The Small Business Administration offers two key loan options. While each type of loan is designed to suit a specific borrowing need, the eligibility and credit requirements are the same:
- Most small businesses are eligible, except non-profits and companies engaged in lending or investing.
- The business must be able to show past earnings and/or future projections to indicate its ability to repay the debt from company profits.
- You must demonstrate an ability to successfully operate a business and be of good character.
- You must have a reasonable amount of your own money invested in the venture.
- And you must provide sufficient collateral to protect the interest of the SBA and lender.
SBA 7(a) Loans
Terms:
- Up to 25 years for real estate based loans.
- Equipment loans for up to 10 years.
- Working Capital loans for up to 7 years.
Use of Financing:
- Business acquisition. Real estate and equipment.
- Working capital.
- Just about any reasonable business expense or need.
Minimum and Maximum Loan Amounts
- Minimum is $25,000
- Maximum is $2,000,000
Other Benefits:
No balloon payment.
Quick turnaround.
No pre-payment penalty.
SBA 504 Program
Terms:
- Up to 10 years on up to 40% of the project cost at a fixed rate.
- Extended terms on 50% of the project costs.
Use of Financing:
- Real estate acquisition and/or construction (owner occupied), as well as equipment and other fixed assets.
- NO WORKING CAPITAL.
Minimum and Maximum Loan Amounts
- Minimum is $350,000
- Maximum is $2,000,000
Other Benefits
- Low cash investment - as little as 10%!
- Low fixed rate on the SBA portion.
Type of Business:
Service, Retail, Wholesale, Farming and related activities, manufacturing.Member FDIC | Equal Housing Lender
