The SBA loans are obtained through lending partners. These lending partners are typically banks that provide financing to the small businesses under this program. Again, the government guarantees a major portion of the loan made to the small business.
You can start or expand your business with loans guaranteed by the Small Business Administration. We use Lender Match to find lenders that offer your specific business loans you need. The agency doesn’t lend money directly to small business owners. Instead, it sets guidelines for loans made by one of its partnering lenders, community development organizations, and even micro-lending institutions. The SBA reduces risk for lenders and makes it easier for them to access capital. That is why it is easier for small businesses to get loans.
There are some competitive terms. SBA-guaranteed loans generally have rates and fees that are comparable to non-guaranteed loans. This is an additional benefit. Another is lower down payments. Also, flexible overhead requirements and no collateral needed for some loans makes SBA loans highly sought after.
Patriot Business Finance Consultants helps all types of businesses with the financing solutions. From payroll financing to SBA loans and asset- based financing, Patriot is here for you. Contact us today.