Small Business Government Loans
The United States Small Business Administration (SBA) is a government agency that provides support, financial and otherwise to small businesses across America. Their primary mission is to strengthen America’s economy by helping small businesses get established, especially those that can facilitate the recovery of communities after disasters, natural or otherwise. Start – up businesses most often need financial aid. Small business owners, if they lack personal funding, would look for alternative sources. Most small businesses would get a loan through the help of SBA.
SBA – assisted loans are actually small business government loans. The government provides financial assistance (loans) to accredited lenders and highly – qualified small businesses. SBA loans are a wise alternative because they give lower interests and have a longer payback period.
An entrepreneur can apply for sb government loans for various purposes. These include initial capital outlay, inventory purchases, commercial real estate expenses such as rent or lease, marketing and advertising purposes, business debt refinancing and even the purchase of another small business if needed. SBA can definitely help your small business to succeed. Most non – profit business in the fields of manufacturing, wholesale or retail and even service-oriented industries are qualified for this type of financing.
Sb government loans can amount to anywhere from $200,000 to as much as $5 million. Since SBA loans are supported by the government, applying for one can be a tedious process, especially if the borrower has not established a good credit history. If the borrower’s credit ratings are low, SBA will not allow their accredited lending companies to approve the loan and release money. To help improve your chances of getting approved, you can apply for small lines of credits using your government ID number from accredited lenders that report your payment history in detail to the Small Business Financial Exchange. If you do not have a delinquent payment history, this will certainly help improve your credit ratings and qualify for an SBA loan.