For our next article we wanted to talk about How to get SBA Loans. Also note the guaranteed portion is typically sold on the secondary market (which has recently shut down to almost nothing in September of 2008) so there is more chance for loans to be sold and more money to go back into the coffers of the banks for further lending.
However, it must be kept in mind that the banks providing these loans do not always offer all the programs. All businesses should look at their organizational structure and continually assess what will allow the company to perform in an optimal way. Most small businesses do not have these organizational entities clearly defined and functional.
Therefore, no matter just how much revenue your home business needs, you will be able to have it. Keep in mind, nonetheless, that with these varieties of loans, chances are, your cash won’t come all at once, particularly if it is a big amounts. It is perfect for small businesses that are in need of money either to expand their businesses or purchase new ones without any kind of difficulty.
This loan can be used for any general business purpose, such as working capital, equipment, and renovation or construction of business facilities, it has a loan maturity of 10 years for working capital loans and up to 25 years for assets purchased with the loan.
SBA loan programs historically had guarantees of 85% for loans of $150,000 or less and 75% for loans greater than $150,000 (13 CFR Part 120). These articles tell you about the easy and most effective ways to raise money for businesses. Lenders take quite a few factors into consideration while extending these loans.