How SBA funding works

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• Merchants must meet the requirements set forth by the SBA and the lender

• Application turnaround time from the SBA is 5-10 business days

• Funding amounts available up to $5,000,000

• Maximum terms vary depending on loan purpose (e.g., up to 25 years for real estate, up to 10 years for equipment, etc.)

 

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Rates are based on

 

• Market Prime Rate (MPR)

• Loan size and term

• Time in business

• Credit profile, overall profitability, and existing debt

 

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Questions

 

• What do you intend to do with the funds from an SBA 7(a) loan?

• How quickly do you need funding?

• Do you have existing debt on your balance sheet?

 

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Required documents

 

• Application with basic details about the business and merchant

• Business financial statements, such as balance sheets, profit and loss statements, and projected financial statements

• Loan application history

• Income tax returns

• Etc.

 

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Good to know

 

• Long repayment terms, low interest rates, and no prepayment penalties make the SBA 7(a) loan a great option

• Loans can be used for a variety of purposes, including working capital, business expansions, or purchasing equipment and supplies

• Additional SBA loan types are available depending on your needs