Securing the financing you need to start or grow a business can be difficult, especially if you don’t have access to traditional sources of capital. Fortunately, the U.S. Small Business Administration (SBA) offers several loan programs that can help small business owners get the funds they need for their businesses.
1. SBA 7(a) Loan Program
The SBA 7(a) loan program is the most popular and versatile of all SBA loans. It can be used for a variety of business purposes, including working capital, furniture and equipment purchases, real estate purchases, refinancing/restructuring existing debt, launching new businesses, and more. The maximum loan amount for an SBA 7(a) loan is $5 million with repayment terms of up to 25 years.
2. SBA 504 Loan Program
The SBA 504 loan program is a great option if you’re looking for long-term financing for larger projects like the purchase of real estate or the construction/renovation of a building. This program offers loan amounts up to $5.5 million with repayment terms of 10, 20, and 25 years.
3. SBA Microloan Program
The microloan program is designed for small businesses that need working capital or funding for inventory or supplies on a short-term basis. This program offers loan amounts up to $50,000 with repayment terms of up to six years.
4. SBA Disaster Loan Program
If your business has been affected by a declared disaster (like a hurricane or earthquake), you may be eligible for low-interest funding through the SBA’s disaster loan program. This program offers loan amounts up to $2 million with repayment terms of up to 30 years.
Hopefully, this guide has helped familiarize you with the various SBA loan programs available so that you can make an informed decision about which one is right for your business needs. If you need small business financing, contact Synergy Commercial Funding to explore our SBA loan programs.
Are you looking for financing options for your business? If so, Synergy Commercial Funding is ready to help. We offer a wide range of commercial finance services to help businesses of all sizes achieve their objectives, whether it’s purchasing new equipment or purchasing a new commercial property.
Interested in creating a second line of income just by talking with your existing network? Want to help the economy grow by helping businesses around you grow? Think about becoming a Synergy Commercial Funding Partner. Visit our "Referral & Broker Program" to learn more.
