If you own a small business and are in need of financing, you may consider applying for a loan from the United States Small Business Administration. These loans, known collectively as “SBA loans,” are not actually borrowed from the SBA itself. Instead, SBA loans come from regular lenders who have qualified for backing from the SBA. This means that if you default on your loan, the SBA will repay a portion of what you owe.
Recently, the SBA offered some advice to borrowers who are trying to qualify for a loan insured by the SBA loan programs. According to the SBA, though each loan program has its own application process and criteria for eligibility, the process you need to follow when preparing your application is basically the same for all programs.
Before you apply for any loan backed by the SBA, you need to determine your exact financing needs. You also need to understand how a lender chooses whether or not to approve a loan application. Next, you need to gather the paperwork you need to complete the application. Required paperwork usually includes business permits, tax returns, personal financial statements, and profit and loss statements for the company. Other paperwork may also be required, so read the guidelines specific to your loan program before you begin the process.
After you have gathered all of the paperwork you need, you are ready to begin preparing the application. Applications for SBA loans can take different formats. In many cases, the lender will be able to give you advice on what format you should use for your loan. However, you can also find more information about preparing the application on the SBA’s official website.
To learn more about the SBA loan application process, or to be matched with a lender who can provide you with an SBA loan, consult UnsecuredBizLoan.com. If you would like to connect with an SBA lender, complete the application found on our website and wait for a reply. An SBA loan can be a great asset for any small business.
To apply for funding for your small business, use the form on the right to begin the application process.