SBA Loans
Borrow up to $5 million, use the funds for any business purpose, and secure the most competitive terms on the market.
What Do You Need to Qualify?
- 2 Years in Business
- $500,000+ in Annual Revenue
- 685+ Credit Score
- Ownership of Profitable Business
What Is an SBA Loan?
A Small Business Administration-backed loan, or an SBA business loan, can help your business to get working capital to accomplish any goal, like expanding, purchasing/refurbishing equipment, taking on new real estate, or refinancing an existing mortgage or agreement, and more.
SBA loans are one of the most desirable and sought-after types of business loans. Many small business owners apply for SBA loans before exploring other similar options. Between lower interest rates and substantially longer repayment terms, SBA loans tend to give you the funding you need without disrupting your cash flow.
While you can get SBA financing through both financial institutions like traditional banks and online lenders, they aren’t taking all of the risk. These loans are guaranteed through the SBA, a branch of the government dedicated to fostering stronger small businesses.
Through most lenders, SBA loans come with one drawback: it can take forever (up to 8 months) to complete the process. Banks thoroughly review loan applications, business plans, personal credit score, and more before providing an answer. When you use an SBA loan to drive revenue in your business, it can significantly improve cash flow.
Global Rapid Funding has eliminated this issue by streamlining the process to 45 days! Through our network of lending partners, we can speed up the funding process to complete it in nearly half the time while also simplifying the long and complex procedure to make SBA funding much easier for you. With guidance from your Business Financing Advisor, you can even get an SBA loan with a tax judgment.
What Are the Benefits of an SBA Loan?
SBA loans are some of the most coveted financing options available to entrepreneurs because of their high borrowing limits and low-interest rates. SBA-sponsored lenders offer their financing products based on strict eligibility requirements, including high credit scores, extended time in business, and substantial annual revenue. If your organization doesn’t meet these criteria, you might find it difficult to qualify for some of the more substantial SBA financing programs, but you might be able to reach approval with a more lenient option, like SBA microloans.
Longer Terms Build your business the right way, with term lengths ranging from 10-25 years
Prime Rate+ Access the best SBA rates and terms available through one simple application.
Express Funding Get streamlined funding on loan amounts of $350K or less.
Types of SBA Loans:
Small Business Administration loans come in a variety of shapes and sizes, with each option offering a unique set of benefits to borrowers. Here are the three main types of loans offered by the SBA:
SBA 7(a) Loans
SBA 7(a) loans a microloan A’s most common loan program. It provides up to $5 million in funding for a variety of business purposes, including working capital, equipment purchases, construction/renovation, and other growth investments, with repayment terms of up to 25 years.
SBA 504 Loans
This type of SBA loan can only be used to promote business growth and job creation, which includes the purchase/construction/improvement of
- New facilities
- Pre-existing facilities
- Pre-existing buildings
- Long term equipment and machinery
- Land, streets, utilities, parking lots, and landscaping
SBA 504 loans can’t be used for working capital, inventory, refinancing debt, or speculation/investment in real estate rental properties.
SBA Microloans The SBA’s microloan program offers up to $50,000 in capital to qualified borrowers. While you can’t use the funds to pay existing debts or purchase real estate, you can use a microloan for any other business purpose, including working capital, equipment, payroll expenses, and much more.
How it Works?
You’re only a few clicks away from the capital you need to reach your full potential.
- Apply Securely Within Minutes Move through our streamlined application within minutes and upload your business documents with zero risk.
- Review Your Offers Compare your offers with expert advice from our team and select the best one for your specific circumstances.
- Get Funded With your money in hand, you can take advantage of opportunities and tackle challenges with confidence.
Frequently Asked Questions
Of all SBA loan products, microloans are the easiest ones to qualify for. Most lenders don’t require high FICO scores (575 on average), but you may have to offer collateral or a personal guarantee. Additionally, your business must operate for profit and be in “good character,” meaning the owner can’t have a criminal record with “dishonest” crimes such as fraud, burglary, or theft of any kind.
Instead of the traditional credit pull, the SBA leverages the FICO Small Business Scoring Service to determine a borrower’s eligibility, which doesn’t damage credit. Personally guaranteeing an SBA loan won’t show up on your personal credit report, either.
Entrepreneurs can leverage SBA loans for “almost” every business purpose. You can:
- Purchase land
- Inventory/supplies
- Raw materials
- Improve a property
- Working capital
- Equipment
- Payroll
- Construct buildings (up to 2)
- And more!
You can’t use an SBA Loan for investment real estate (to sell or lease), refinance existing debt that would “expose the SBA to a loss,” pay delinquent taxes, or relocate the borrower from a community where their departure would result in a significant increase in unemployment.
The SBA caps funding amounts at $5 million, although you can technically borrow up to $16.5 million. Through the SBA 504 loan program, eligible energy-efficient businesses or manufacturing projects can secure more than one 504 loan, up to $5.5 million each.
Sed ut perspiciatis unde omnis iste natus voluptatem accusantium doloremque laudantium, totam rem aperiam, eaque ipsa quae ab illo inventore veritatis et quasi architecto beatae
Themesflat.
Founder & CEO, Arcade Systems
Sed ut perspiciatis unde omnis iste natus voluptatem accusantium doloremque laudantium, totam rem aperiam, eaque ipsa quae ab illo inventore veritatis et quasi architecto beatae
Themesflat.
Founder & CEO, Arcade Systems