SBA Loans

Small Business Administration (SBA) loans provide government-backed financing for entrepreneurs looking to purchase commercial real estate or grow their business.

Empowering Small Businesses

SBA loans are partially guaranteed by the government, which reduces the risk for lenders and allows them to offer favorable terms to business owners. They are an excellent tool for purchasing owner-occupied commercial real estate.

Key Programs

• SBA 7(a) Loans: Versatile loans for real estate, working capital, or equipment.
• SBA 504 Loans: Specifically designed for major fixed assets like real estate or large equipment, offering long-term, fixed-rate financing.
• Lower down payments compared to traditional commercial loans (often as low as 10%).
• Longer repayment terms to help manage cash flow.
• No balloon payments.

Who is Eligible?

• For-profit businesses operating in the United States.
• Businesses that meet the SBA's size standards (based on industry, revenue, and number of employees).
• Owners with good personal and business credit histories.
• The business must occupy at least 51% of an existing building or 60% of a newly constructed building.

What is the Process?

1. Document Preparation: We collect comprehensive business and personal financial statements, tax returns, and business plans.
2. Application Submission: We package your loan and submit it to the lender and the SBA for review.
3. Underwriting & Appraisal: The lender orders a commercial appraisal and environmental reports (if necessary).
4. SBA Approval: The SBA reviews the file and issues a loan authorization.
5. Closing: You close on the property and move your business into its new home!

Is Mortgage Insurance Required?

No, SBA loans do not require traditional mortgage insurance. Instead, the SBA charges a "Guarantee Fee" (which varies based on the loan size and type) to offset the risk of backing the loan. This fee is often rolled into the total loan amount.