3 Business Loans from the Government
The SBA (Small Business Administration) is the main resource for business loans from the government. New startups and established businesses can apply for SBA loans, but there are different programs for different business needs. Here are the basics about the different types of SBA loans: SBA 7(a) Loans SBA 7(a) loans are best for the business owners who have a good credit score and need finance for the long term period. The term for SBA 7 (a) loans may range from 10-25 years depending on for which purpose you’re using your funds. The interest rate for SBA 7(a) loan may vary from 7-9.5%. 7% to 9.5 %, depending on tenure. Skip If: You need short-term financing. SBA 504/CDC Loans This loan is perfect for the business owners who need to invest in real estate or to buy the equipment necessary for their businesses. In SBA 504/ CDC loans, a portion of the loan comes from a bank, and a portion comes from an SBA-ap...