Last week, Small Business Administration made a small effort to loosen up its lending restrictions for its SBA 504 loan program and allow business owners to refinance their existing debt and improve their cash flow. Being from the top management of the company, the average salary is recorded to be somewhere around USD 88,000 per year. At the same time, the workhorse 7(a) loan program, which is usually for loans in the hundreds of thousands of dollars, was likewise increased to 90%.
According to the Small Business Administration (SBA), 40% to 60% of small businesses fail following a major disaster. And remember there are lenders now making such a loans even in this economy. The demand of data mining and data management is certainly going to increase in the future, increasing job opportunities in this IT field.
When lenders see a good credit record your chances of getting a loan are high. The 7(a) Loan Program, another SBA program, is the most widely used SBA guaranteed loan program for start-up and existing businesses with an upper limit of $5 million. Applying for a business loan is now quite convenient since every step of the process can be conducted online.
Potential lenders will always want to see that you have the relevant experience to put the money to good use, improving your business and ultimately making a profit and paying your loan back. Small business administration grants are provided for small businesses that are already in operation.
The Administration also provided help to small businesses to obtain government contracts and provided management consulting and technical assistance. If the risks connected with the loan are rather high, it is generally a better option to seek investors from within the family or the social circle that could lend money or buy a part of the business.