Personal Growth – Running a Small Business
March 5, 20185 Ways to Generate Qualified Leads for Your Small Business
March 5, 2018To sort this mess out lets take a look at the various different kinds of small business loans that are available to you so that you can decide which business loan will fit your needs.
SBA Microloan
For those in need of less that $25,000 to start your business then looking at a SBA microloan is a good place to start. These loans are designed to help get businesses off the ground or to help your business through a short downturn in profitability. It is also important to note that interest rates tend to be higher on this type of small business loan.
Low Doc
As you might expect the Low Doc small business loan requires very little paperwork. In fact, the initial application for the Low Doc small business loan consists of just one page. You can apply for a loan up to $100,000. The Low Doc loan is made on the basis of your character and personal credit so it can be helpful to those starting small businesses but lack a business credit history.
Basic 7(a) SBA loan
This type of small business loan can range up to $750,000 and is backed by the SBA but is actually issued by commercial lenders. These SBA loans are normally relatively easily to qualify since they are backed by the Small Business Administration, a government entity.
504 SBA loan
A 504 SBA loan can be acquired up to $1 million. However, the loan cannot be used to finance more than 40 percent of the business venture or project. This type of business loan is ideal for individuals who possessing strong assets and who can show the positive effect (in terms of jobs created) your business will have on the community.
Community Adjustment and Investment Programs(CAIP)
This loan program was developed to help small businesses create more jobs or prevent potential job less. The hitch is that for your application to be approved you must show that your business is in jeopardy as a result of trade changes in either Mexico or Canada.
As you can see there are a variety of different options available for you business loan needs. Looking to purchase a business and require financing? We can help! Contact Us today for a consultation.