When the time comes to find financing for your small business, you want to be certain that you are following the best possible path for your needs. There are countless services available and you cannot be too careful when it comes to making the right choice. Though it might seem like a good idea to opt for standard loans through a traditional lender like a bank or credit union, you may find that the terms and rates are not to your liking. This is why a better alternative for many small business owners is an SBA loan.

The SBA 7(a) Loan

The Small Business Administration works closely with lenders around the country to provide financing solutions to businesses of all varieties. For you to feel confident that the SBA has what you require, you should first take a look at the services offered. For example, the SBA 7(a) loan is structured for smaller companies and startups that are just establishing themselves. To qualify for this loan, you will need to provide tax information for the last three years and information about your credit history.

The Express Loan

Another attractive option to pursue when it comes to taking out the right SBA loan for your needs is an SBA Express Loan. When your company struggles to find working capital, an express loan can be a good choice for many reasons. To qualify, you must prove that your company has been in operation for at least 18 months. While you can take out upward of $350,000 with an express loan, you will need to provide proof of income if the loan exceeds the amount of $100,000. 

The SBA 504

SBA CDC/504 loans may also be worth your time and attention. This type of financing comes with a long-term rate that is fixed. However, there are unique qualifications that come into play for securing a 504 loan through the Small Business Administration. You must be able to prove that your company occupies more than half of the usable space within the company’s real estate. Additional eligibility requirements are usually involved, though you will need to consult with the lender to learn the specifics. 

Finding the right SBA loan for your small business is all about reviewing the options that are available to you. Take time to take a closer look at the breakdown of SBA loans and find the best possible fit for the future of your company.