SBA 7(a) Loans

The Small Business Administration (SBA) is a U.S. government agency that provides loans and loan guarantees to small businesses. These loans are available to most businesses. 

 

This is the best option when real estate is part of a business purchase, but can be used for:

 

*Short and long-term working capital

*Refinance current business debt

*Package furniture, fixtures, and supplies

 

Our firm originates, and is a direct in-house partner of several large funders. 

 

We process applications, package the financing for equipment purchases and procure the working capital through SBA Flex programs. 

 

Key factors the SBA underwriting team evaluates is: what the business does, their industry, credit history and how the business operates.

 

Most 7(a) term loans are repaid with monthly payments of principal and interest.

 

The maximum loan amount for a 7(a) loan is $5 million and most lenders require a credit score of 640 to 680 to qualify for this program. Loan terms up to 25 years for real estate and up to 10 years for other purposes. 

 

The SBA can guarantee up to 85% of a loan up to $150,000*

75% of a loan greater than $150,000 3 Acceptable base rates:

 

Prime rate published daily national newspapers. 

*London Interbank One Month Prime plus 3% * SBA Peg Rate

 

Available in the following states: CA, TX, FL, NY, PA, IL, OH, GA, NC, MI, NJ, VA, WA, AZ, MA, TN, IN, MD, MI, WI, CO, MN, SC, AL, LA, KY, OR, OK, CT, UT, IA, NV, AR, MS, KS, NM, NE, ID, WV, HI, NH, ME, RI, MT, DE, SD, ND, AK, VT.