The Small Business Association offers a variety of loans for business with varying terms and APR. Funds can be used for anything from the purchase of equipment to construction, and inventory. The SBA provides specific requirements to be considered a “small business” and eligibility is determined based on the ability to provide proof of those requirements.
The immense benefit of this financing is that the SBA will guarantee a percentage of these loans to the lender. This provides a significant measure of security for guaranteed repayment. As a result, financial institutions have more incentive to lend money to these qualified small businesses.
