Setting up a new business is never an easy task. Capital is required at every step of its establishment. However, despite the huge loan requirements that small business owners have, they often fail to fulfill the eligibility criteria set by conventional lending sources.
The SBA or the US Small Business Administration provides small business start-up loans to business owners with the aim of bringing about an improvement in the economic condition of the nation. Although SBA is not the direct provider for these loans, they act as guarantor for a number of banks and private sector lenders who provide these loans based on SBA rules and regulations. SBA determines the lending requirements and authorizes the banks and private sector lenders to provide these small business loans.
SBA loans are beneficial for small business owners in a number of ways. Let us discuss some of the significant advantages they have over conventional loans:
- They are provided at lower interest rates to make it easier for small business owners to set up their business even while making debt payments.
- SBA provides you complete support and assistance by serving as your guarantor even if you do not possess any property for security purpose.
- Most SBA loans have longer maturity periods than conventional loans.
- SBA loan processing is fast and easy. You can get them almost like ready cash as soon as you apply for them.
Small business start-up loans provided by SBA provide immense support to small business owners in setting up and expanding their business. Let us discuss some of the important features of these loans:
- SBA offers several loan programs to serve people with various financial situations and requirements. The various loan programs offered by them are SBA 504 loans, SBA 7 (a) loans, SBA Express loans etc. Each of the programs has their own set of features and eligibility criteria. It is important that you obtain detailed information regarding each of the programs to determine which one can best cater to your financial requirements.
- Loan amounts vary from one SBA loan program to another. You can avail loans from a few thousand dollars to $3.5 million or even more. It is therefore important that you evaluate the features and advantages of each of the SBA loan programs before you avail them. Also, you must compare the terms and conditions offered by various lending sources to decide on the most reliable one.
- SBA loans can be availed by almost anyone who has a strong desire to start their own business. There are no strict restrictions that can forbid you from applying for them. You can obtain these loans conveniently even if you have a poor financial situation.
- These loans are not only beneficial when you are trying to start a new business, but can also be used for expanding an already existing one. SBA loans can also be used for refinancing existing loans.
SBA provides you help and support in every possible manner to start your business. However, you must know that all the banks providing these loans might not offer the same loan programs. Hence, you must choose a lending source that provides the most appropriate loan program in accordance with your financial situation.
Miner Capital Funding, LLC is one of the leading financial companies in the USA providing all kinds of commercial real estate loans. They specialize in providing conventional, bridge and SBA small business loans. Miner Capital serves as one of the most reliable, private-sector lenders providing small business start-up loans under SBA rules and regulations.
