SBA 7(a) SMALL BUSINESS LOAN
The 7(a) Loan is SBA’s most basic and commonly used type of loan. They help start-up and existing small businesses with financing for an array of general business purposes such as working capital, machinery and equipment, furniture and fixtures, land and building, leasehold improvements and debt refinancing.
SBA 7(a) Eligible Applicants’ Businesses Must:
Program Eligibility
Applicant operates as a for profit business
Be small, as defined by Small Business Administration
Operates in the United States
Have reasonable invested equity
Be able to demonstrate a need for the loan proceeds
Use the funds for a sound business purpose
Not be delinquent on any existing debts to the U.S. Government
SBA 7(a) Ineligible Businesses
Financial businesses
Life insurance companies
Businesses located in a foreign country
Businesses deriving more than one-third of its revenue from legal gambling activities
Private clubs and businesses that limit membership for reasons other than capacity
Businesses principally engaged in teaching religion or in political or lobbying activities
Consumer and marketing cooperatives (producer cooperatives are eligible)
Click www.sba.gov for more information…
USES FOR SBA 7(a)
HOW THIS LOAN CAN BENEFIT YOU
Purchase real estate or equipment
Construction of expansion of a building
Refinance existing business debt
Business acquisition
Provide working capital