How the SBA Can Fuel Your Success
By Andrew Kube
Did you know the federal government has funds set aside specifically for your business? That’s right—the Small Business Administration (SBA) provides money to help small businesses and entrepreneurs start, grow, or franchise their ventures. Here’s a guide on how the SBA can help fuel your business success:
Popular SBA Programs
1. The 7(a) Loan Program
The 7(a) loan program is the SBA’s primary business loan option, with loans up to $5 million. To qualify, your business must be operating in the U.S., demonstrate profitability, meet eligibility guidelines, and have good credit.
With a 7(a) loan, you can:
- Acquire, refinance, or improve real estate
- Access short- and long-term working capital
- Refinance existing business debt
- Purchase and install machinery or equipment
- And much more!
2. The 504 Loan Program
The 504 loan program provides long-term, fixed-rate financing for major fixed assets that support business facilities. Eligibility includes:
- Operating as a for-profit company in the U.S.
- Average net income under $6.5 million after federal income taxes for the two years prior to application
- Qualified management expertise, a feasible business plan, good character, and the ability to repay the loan
The maximum loan amount for a 504 loan is $5.5 million, with options for multiple loans. Unlike 7(a) loans, 504 loans cannot be used for working capital, inventory, debt consolidation, or rental investments. However, they can fund:
- Purchase or construction of existing buildings or land
- New facilities
- Long-term machinery and equipment
- Improvements or modernization of land, streets, utilities, parking lots, landscaping, and other existing structures
Finding the Right Lender
Choosing the right lender can feel overwhelming, but you don’t have to navigate it alone. U.S. Commercial & Business helps you find the best loan by comparing interest rates, down payments, costs, and terms.
Visit www.uscbcapital.com or call Andrew at (727) 296-8650 to learn more about SBA programs and how we can help you turn your American Dream into reality!
